The Government of India has announced extension of Remission of Duties and Taxes on Exported Products (RoDTEP) Scheme support to additional export sectors.

Union Minister of Commerce & Industry Piyush Goyal on Friday announced the extension of the scheme and said the decision comes in recognition of the significant contribution these sectors make to India’s exports, constituting approximately 25 per cent of our exports.

Amidst global economic uncertainties and supply chain disruptions, extending RoDTEP to the uncovered sectors such as AA, EOU, and SEZ units will help the exporting community in handling the international headwinds, the minister said.

The additional export sectors include Advance Authorisation (AA) holders, Export Oriented Units (EOU) and Special Economic Zones (SEZ) export units.

RoDTEP Scheme is a key initiative by the Government of India aimed at refunding various embedded taxes and duties on exported products.

Since its inception in January 2021, the RoDTEP Scheme has already provided support amounting to Rs 42,000 crore to more than 10,500 export items at 8-digit ITC HS Code level.

In the current financial year, the scheme has a budget of Rs 15,070 Crore with an additional increase of 10 per cent in FY 2024-25.

Keeping budgetary allocation in view, the extension of RODTEP to additional sectors is presently till September 30, 2024. The extension of the RODTEP scheme to these sectors is aimed at enhancing India’s export competitiveness in international markets.

Key sectors such as Engineering, Textiles, Chemicals, Pharmaceuticals and Food Processing and many others stand to benefit from the measure.

By providing support to crucial export sectors, the government aims to not only enhance their competitiveness but also create employment opportunities and contribute to overall economic growth, aligning with the vision of building an Aatmanirbhar Bharat.

The government is confident that the proactive measures being taken, including efforts to negotiate new FTAs, will further accelerate India’s journey towards achieving USD One trillion merchandise export levels.