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Govt Extends RoSCTL Export Scheme for Textiles Until 2026

The Indian government has extended the Rebate of State and Central Taxes and Levies (RoSCTL) scheme for apparel and made-up exports until September 2026. The scheme refunds embedded taxes not covered by other incentives to improve the global competitiveness of Indian textiles. It will run alongside the RoDTEP scheme to provide comprehensive coverage across the textile value chain. This move aims to ensure policy stability and reduce cost burdens for exporters, particularly MSMEs.

Key Points: RoSCTL Scheme Extended for Apparel Exports Until 2026

  • Scheme extended to Sep 2026
  • Supports apparel & made-up exports
  • Aims for zero-rating of exports
  • Runs parallel with RoDTEP scheme
2 min read

Govt extends RoSCTL scheme for apparel exports till September

Indian government extends the RoSCTL scheme for apparel and textile exports until September 2026 to boost competitiveness and support MSMEs.

"ensure that exported products are not burdened with unrefunded taxes - Ministry of Textiles"

New Delhi, April 1

The government on Wednesday announced the extension of the Rebate of State and Central Taxes and Levies Scheme for exports of apparel, garments and made-ups until September 30, 2026, or until the scheme is approved under the 16th Finance Commission cycle, whichever comes earlier.

The extension will continue under the existing guidelines without any changes, the Ministry of Textiles said.

Launched on March 7, 2019, the RoSCTL scheme aims to refund embedded state and central taxes and levies that are not covered under any other export incentive mechanism.

The initiative is designed to ensure that exported products are not burdened with unrefunded taxes, in line with the principle of zero-rating of exports, thereby improving the global competitiveness of Indian textile shipments.

The scheme has emerged as a crucial support system for the textile export sector, especially for micro, small and medium enterprises (MSMEs), which form a significant portion of the beneficiaries.

Industry stakeholders have often highlighted the role of such incentives in helping Indian exporters compete with global peers in a challenging market environment.

Alongside RoSCTL, the government has also continued the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme from April 1, 2026 to September 30, 2026.

The RoDTEP scheme covers textile products that are not included under RoSCTL, particularly those outside Chapters 61, 62 and 63 of the ITC (HS) classification.

With both schemes running in parallel, the government aims to provide comprehensive coverage across the textile value chain.

The move is expected to ensure that a wide range of textile exports benefit from tax remission, reducing cost burdens and enhancing competitiveness in international markets.

The continuation of these schemes underscores the Centre's focus on maintaining policy stability for exporters while strengthening India's position in the global textile trade.

- IANS

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Reader Comments

P
Priyanka N
Good to see the extension, but the government must ensure the rebates are disbursed on time. Delays in past schemes have caused serious cash flow problems for small exporters. Efficiency in implementation is as important as the policy announcement.
A
Aman W
This is crucial for job creation. The textile sector employs millions, directly and indirectly. Stable export incentives mean stable orders, which means stable jobs in weaving, stitching, and packaging units across states like Gujarat, Tamil Nadu, and UP. A sensible decision.
S
Sarah B
As someone who sources textiles from India for our brand, this is welcome news. It provides predictability for our costing and planning. The parallel run of RoSCTL and RoDTEP should cover most products, which simplifies things for international buyers like us.
V
Vikram M
While incentives are good, the long-term focus should also be on improving productivity, adopting sustainable practices, and building our own global brands. We can't rely on tax rebates forever. Need to move up the value chain. #MakeInIndia
K
Kavya N
Hope the benefits truly trickle down to the workers, especially the women in the garment factories. Often, cost savings from such schemes are not passed on in the form of better wages or working conditions. The government should monitor this aspect as well.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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