Duty, tax remissions scheme returns for select exporters

The decision is part of a broader effort to ensure a level playing field for all exporters

- Dhirendra Kumar

The government has decided to restore certain tax and duty benefits for specified categories of exporters in a move aimed at making Indian exports more competitive.

"The Government of India has announced the restoration of benefits under the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme for exports made by Advance Authorization (AA) holders, Export-Oriented Units (EOUs), and units operating in Special Economic Zones (SEZs),"" the commerce and industry ministry said in a statement on Tuesday. "The benefits will be applicable for all eligible exports made from 1 June."

The reinstatement comes about four months after the benefits for these categories were suspended, causing concern among exporters reliant on duty-free schemes.

The decision is part of a broader effort to ensure a level playing field for all exporters, irrespective of the route they use. The RoDTEP scheme had been operational for exports from domestic tariff areas (DTA) even after the benefit was withdrawn for AA, SEZ and EOU shipments on 6 February this year.