1 Oct 2024
The existing rate of refund varied from 0.5% to 4.3% of the product value. The new rates will range from 0.3% to 3.9%.
The Centre introduced Remission of Duties and Taxes on Exported Products (RoDTEP) in January 2021 for the period ending September 30th, 2024. It has now been extended until September 30th, 2025, for exports made from Domestic Tariff Area (DTA) units. The Directorate General of Foreign Trade notified that the scheme has been extended until December 31st, 2024, for Export-Oriented Units, Special Economic Zones, and Advance Authorisation holders.
The RoDTEP offers a refund of duties, taxes, and any other cesses levies incurred by exporters during the manufacture or distribution of goods. These taxes and duties are not reimbursed under any other scheme at the central, state, or local levels.
The revised rates will be implemented effective October 10th and will take effect once the Indian Customs Electronics Gateway (ICEGATE) portal is updated with them.
The refund rates have been reduced to adhere to the budgetary allocation as per Foreign Trade Policy.