Remission of Duties and Taxes on Exported Products (RoDTEP)

✦Key Features

• Effective January 1, 2021; replaced MEIS which was found WTO-incompatible
• Rates: 0.5-4.3% of FOB value varying by product and sector
• 8,731 export product lines covered; duty credit scrips issued (transferable/sellable)
• Budget FY2025-26: ₹15,070 crore
• WTO-compliant: remission only of actual taxes/duties paid — not additional subsidy
• Administered by CBIC (Central Board of Indirect Taxes) through ICEGATE portal
• Remits taxes on electricity, water, fuel, mandi taxes, state levies in export supply chain

✓Eligibility Criteria

• Exporters of manufactured goods across diverse sectors of the Indian economy.
• Both merchant exporters and manufacturer exporters are eligible for the benefits.
• Products must be exported and listed under the notified Appendix 4R tariff lines.
• The scheme applies to physical exports as well as exports made via courier through e-commerce.

★Benefits

• Refund of previously un-refunded central, state, and local duties and taxes on exported goods.
• Enhancement of the global competitiveness of Indian products by neutralizing domestic taxes.
• Provision of transferable duty scrips that can be used to pay basic customs duty on imports.
• A fully automated and transparent process that reduces physical interface with tax authorities.

▶Application Process

• The exporter must declare the intent to claim RoDTEP for each item in the Shipping Bill.
• The claim is processed by the Customs System (ICEGATE) after the Export General Manifest is filed.
• The system calculates the eligible rebate amount based on the notified rates for the product.
• The rebate is credited to the exporter's ledger in the form of transferable duty credit scrips.

₹ Budget Allocation

15070

Funding Ratio (Centre:State): 100% Central Government (Budgetary allocation via Department of Revenue)

Historical Context

Replaced the Merchandise Exports from India Scheme (MEIS) on January 1, 2021, after a WTO dispute panel ruled against Indian subsidies.