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Government extends RoDTEP scheme until Dec 31

Government extends RoDTEP scheme until Dec 31
Government extends RoDTEP scheme until Dec 31

NEW DELHI The government has extended the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme by three months until December 31, 2026, while keeping existing reimbursement rates and value caps unchanged. The extension is aimed at providing continuity to exporters facing uncertain global demand, higher logistics costs and geopolitical disruptions. The extension covers exports by Domestic Tariff Area units, Advance Authorisation holders, Special Economic Zone units and Export Oriented Units, according to the Department of Commerce. The existing RoDTEP rates and value caps applicable on September 30 will continue during the extended period. RoDTEP reimburses exporters for embedded central, state and local duties, taxes and levies that are not refunded through other mechanisms. The scheme also covers prior-stage cumulative indirect taxes borne on exported products, helping reduce the tax burden incorporated into goods shipped overseas. Operational since January 1, 2021, the scheme covers a wide range of merchandise exports. Advance Authorisation holders, EOUs and SEZ units were brought under broader RoDTEP coverage in 2024. Government data released in 2025 showed that the scheme covered more than 10,700 tariff lines, while cumulative disbursements crossed Rs 57,976 crore as of March 31, 2025. The government also extended RoDTEP benefits to eligible exports through the postal channel from January 2026, expanding access for MSMEs, artisans, start-ups and smaller exporters. The latest extension follows the scheme’s continuation from April 1 to September 30, 2026. Exporters will now have clarity on the existing rates and caps through December 31, when the next decision on further continuation will become important. The scheme had earlier seen temporary restrictions before full rates were restored, amid freight pressures and trade risks linked to disruptions in West Asia.