India extends RoDTEP export benefits

The government has extended export benefits under the RoDTEP scheme for an additional year until June 2024, as stated in an official release. The Scheme for Remission of Duties and Taxes on Exported Products (RoDTEP) offers refunds for taxes, duties, and levies incurred during the manufacturing and distribution of goods, not reimbursed by other mechanisms at the central, state, or local levels. The commerce ministry's release noted that the RoDTEP support, initially set to expire on September 30, 2023, will now continue at the same rates until June 30, 2024. This extension aims to assist exporters in negotiating international contracts under current conditions. To review and suggest ceiling rates for various export sectors under the RoDTEP Scheme, the RoDTEP Committee has been reconstituted within the Department of Revenue. The committee recently engaged with Export Promotion Councils (EPCs) and Chambers of Commerce to discuss scheme methodology and implementation. The EPCs emphasised the need for increased budget allocation for RoDTEP and higher rates for all export items to enhance market access abroad. This scheme serves as a replacement for the discontinued Merchandise Exports from India Scheme (MEIS). Exporters receive incentives in the form of transferable duty credit scrips, which can be used to pay import duties or sold in the market.