Latest News | Govt Allocates Rs 18,233 Cr Under RoDTEP Scheme for Exporters for 2025-26

New Delhi, May 27 (PTI) The government has allocated Rs 18,233 crore under the export benefit scheme RoDTEP in the current financial year for over 10,750 product categories, an official statement said on Tuesday.

As of March 31, 2025, total disbursements under the RoDTEP scheme have crossed Rs 57,976.78 crore.

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The government also said that the benefits under the scheme for exports of goods manufactured in special economic zones and export-oriented units are restored from June 1 this year.

Under the Remission of Duties and Taxes on Exported Products (RoDTEP), various central and state duties, taxes, and levies imposed on input products, among others, are refunded to exporters. The current RoDTEP rates are in the range of 0.3-4.3 per cent.

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"For the Financial Year 2025-26, the government has allocated Rs 18,233 crore under the scheme. The support will cover 10,780 HS lines (or product categories) for Domestic Tariff Area exports and 10,795 HS lines for Advance Authorization (AA) holders, Export-Oriented Units (EOUs), and units operating in Special Economic Zones (SEZs) exports, ensuring broad-based coverage for diverse sectors of the economy," the commerce ministry said.

Operational since January 1, 2021, the scheme is designed to reimburse exporters for embedded duties, taxes, and levies that are not otherwise refunded under any other existing scheme.

It is compliant with World Trade Organization (WTO) norms and implemented via a comprehensive end-to-end digital platform to ensure transparency and efficiency.

"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," it said.

Commenting on the move, economic think tank GTRI said the government did not allow RODTEP benefits for these groups for exports made between February 5 and May 31, 2025.

"The government's stop-and-start approach to RoDTEP undermines the scheme's purpose," Global Trade Research Initiative (GTRI) founder Ajay Srivastava said.

Although RoDTEP is a WTO-compliant way to refund embedded duties paid by exporters, its repeated withdrawal for AA holders, EOUs, and SEZs creates serious uncertainty, he said.

"Exporters struggle to price products or plan long-term deals when they cannot rely on steady refunds. While the reinstatement of benefits is welcome, it raises a bigger issue: why were they cut off mid-cycle at all? To position India as a stable and competitive export hub, the government must ensure uninterrupted RoDTEP coverage for at least five years," he said.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)