3 months ago
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The Commerce Ministry has assured that afloat benefits nether the export enactment strategy RoDTEP volition beryllium restored from April 1 this year, providing large alleviation to exporters facing challenges owed to the West Asian crisis, FIEO said connected Saturday (March 7, 2026).
Barring cultivation and processed nutrient products, the government, connected February 23, halved the complaint of work benefits nether the Remission of Duties and Taxes connected Exported Products (RoDTEP) Scheme.
"Good quality for exporters. The existent 50% RoDTEP rates are applicable lone up to 31st March 2026. The afloat restoration of RoDTEP rates volition instrumentality effect from 1st April 2026, which should supply much-needed enactment to the exporting community," Federation of Indian Export Organisations (FIEO) president SC Ralhan said
The assurance was fixed by the Directorate General of Foreign Trade (DGFT) successful a gathering with FIEO.
The exporting assemblage had expressed disappointment implicit the chopped successful the rates and had urged the Commerce Ministry to reconsider the decision.
Engineering, textile exporters question restoration of RoDTEP
The RoDTEP scheme, launched successful 2021, provides for a refund of taxes, duties and levies that are incurred by exporters successful the process of manufacturing and organisation of goods, and are not being reimbursed nether immoderate different mechanics astatine the Centre, authorities oregon section level.
Refunds nether the strategy scope from 0.3% to 3.9%.
The fund allocation nether the strategy for 2025-26 was ₹18,232 crore. It was projected to summation to ₹21,709 crore successful 2026-27. But the fund allocated was ₹10,000 crore.
According to sources, a enactment to the expenditure concern committee (EFC) has been sent by the Commerce Ministry to the Department of Expenditure for enhanced allocations.
The exporting assemblage was earlier grappling with the precocious U.S. tariffs and is present facing challenges from the West Asian situation triggered by the associated onslaught of the U.S. and Israel connected Iran past month.
The struggle has pushed up oversea and aerial freight rates, portion security premiums are besides rising . If the concern persists, it could impact the terms competitiveness of Indian goods successful planetary markets.
In price-sensitive sectors, adjacent a 1-2% summation successful costs tin determine whether orders are won oregon lost.
The country's exports roseate marginally by 0.61% to $36.56 cardinal successful January, portion the commercialized shortage widened to a three-month precocious of $34.68 billion.
