if you are supplying goods to Merchant Exporter in terms of Notification No. 41/2017--Integrated Tax (Rate) , then yes, you can avail ITC on your Inward supply .
Note. : As per Section 17(2) ITC is to be reversed when the outward supply is Exempted ,But supply made to Merchant Exporter @ 0.1% do not fall under the definition of Exempted Supply .