Updated 27 May 2025 at 15:48 IST
Government Brings Back Export Duty Remission Scheme Effective June 1
The Indian government has brought back the RoDTEP scheme, which includes units under AA, SEZ and EOU, effective from June 1st 2025. The MoCI stated that the restoration aimed at boosting India’s global competitiveness in international markets.
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The Indian government on Tuesday (27th May 2025) announced the restoration of 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 under Special Economic Zones (SEZs) to be effective from June 1st 2025.
What is the Significance of the RoDTEP Scheme?
In India, schemes that refund exporters for duties, taxes and levies paid do not exist. In such circumstances, the RoDTEP scheme was launched, where exporters could avail the benefits until February 5th 2025.
This was done to provide equal opportunities to exporters from all sectors, boosting their competitiveness as stated by the Ministry of Commerce and Industry (MoCI).
“The decision comes as part of the government’s sustained efforts to boost India’s export competitiveness in global markets,”
The total disbursements under the scheme crossed Rs 57,976 crores as of March 31 2025, highlighting the importance of the scheme in supporting India’s goods export as reported by the Press Information Bureau (PIB).
This scheme aligns with World Trade Organisation (WTO) norms, ensuring feasibility in the long run and eliminating any opposition.
Why is the Government Keen on Restoring the RoDTEP Scheme?
The RoDTEP scheme only includes units under AA, SEZ and EOU. The MoCI stated that the restoration aimed at boosting India’s global competitiveness in the international markets.
“The reinstatement of RoDTEP benefits for special export categories reflects the government's continued commitment to creating a conducive, competitive, and compliant export ecosystem that drives India's long-term trade growth,”
With these intentions, the Indian government allocated a budget of Rs 18,233 for the fiscal year 2025-26, ensuring broad-based coverage of diverse sectors in the economy as reported by PIB.
To further their goals in benefiting exporters, the Indian government launched the ‘Trade Connect e-Platform’, acting as an information and intermediation platform to conduct international trade. The platform will connect Indian Missions abroad with officials from the MoCI, offering extensive services to exporters, as reported by PIB.
Published 27 May 2025 at 15:48 IST