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Full RoDTEP Export Benefits Restored April 1, Boosting Indian Exporters

The government will restore the full benefit rates under the RoDTEP export support scheme starting April 1, 2026, reversing a recent reduction. This assurance was given by the Directorate General of Foreign Trade to the exporters' body FIEO. The scheme provides refunds on various domestic taxes incurred during manufacturing to improve the competitiveness of Indian goods abroad. The move is expected to support exporters who have been dealing with global cost pressures and market uncertainty.

Key Points: Full RoDTEP Export Benefits Restored from April 1

  • Full RoDTEP rates restored April 1
  • Benefits were halved in February
  • Refunds range from 0.3% to 3.9%
  • Scheme replaced MEIS for WTO compliance
2 min read

Govt to restore full RoDTEP export benefits from April 1: FIEO

The government will restore full RoDTEP export scheme benefits from April 1, 2026, providing crucial support to exporters facing global challenges.

"The assurance was given by the Directorate General of Foreign Trade during a meeting with the exporters' body - FIEO"

New Delhi, March 7

The government will restore full benefits under the export support scheme Remission of Duties and Taxes on Exported Products from April 1, according to exporters' body Federation of Indian Export Organisations on Saturday.

The move is expected to provide much-needed support to the exporting community, which has been dealing with multiple global challenges.

"The assurance was given by the Directorate General of Foreign Trade during a meeting with the exporters' body," according to FIEO.

FIEO President SC Ralhan said the currently reduced rates under the RoDTEP scheme will remain in place only until March 31, 2026.

From April 1 onwards, the full rates will be restored, which is expected to support exporters who have been facing cost pressures and uncertainty in global markets.

On February 23 this year, the government had reduced RoDTEP duty benefits by half for most products, except agricultural and processed food items.

The decision had disappointed exporters, who urged the Ministry of Commerce and Industry to reconsider the move.

The RoDTEP scheme, launched in 2021, provides refunds of certain taxes, duties, and levies that exporters incur during the manufacturing and distribution of goods but are not reimbursed under other mechanisms at the central, state, or local levels.

The refunds under the scheme typically range from about 0.3 per cent to 3.9 per cent of the export value.

The programme replaced the earlier Merchandise Exports from India Scheme to ensure compliance with rules set by the World Trade Organisation.

It aims to improve the competitiveness of Indian products in global markets by reducing the tax burden on exporters.

Under the scheme, exporters must declare their intention to claim the benefit while filing the shipping bill for export.

After the export process is completed, the refund is issued as transferable electronic scrips that can be used to pay customs duties through the government's ICEGATE portal.

- IANS

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Reader Comments

P
Priyanka N
Good news, but the constant changes in policy rates create so much uncertainty for businesses. One day benefits are cut, the next they are restored. While I welcome this move, the government needs to provide more stable, long-term policy frameworks for exporters to plan effectively.
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Aman W
As someone working in a small export firm in Surat, this is a huge relief. The reduced rates were really squeezing our margins. The electronic scrip system is also quite efficient once you get used to it. Hope this helps us secure more orders from Europe and the US.
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Sarah B
Interesting to see India aligning its export incentives with WTO rules. The shift from MEIS to RoDTEP seems to be a more sustainable model. The key will be ensuring the refund process is quick and hassle-free for all exporters, big and small.
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Vikram M
Finally some positive news! The government listened to the exporters' concerns. This will help protect jobs in the manufacturing sector. Now we need to focus on improving logistics and port efficiency to further boost exports. Jai Hind!
K
Kriti O
It's good that agricultural and processed food items were protected even when other rates were cut. As a country with a large farming community, supporting agri-exports is crucial. Hope this policy continues to favor our farmers and food processors.

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