RoDTEP scheme: FIEO expects steel, pharma and chemical sectors to be included

Eight months after the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme was notified, the government has finally announced rates under the scheme. Depending on the freight on board (FOB) value of exports, the rates range from 0.5 to 4.3 percent and will cover around 8,555 tariff lines. RoDTEP support will be available to eligible exporters at a notified rate as a percentage of the FOB value.

Also Read: Govt notifies RoDTEP rates in range of 0.3%-4.3%

In an interview to CNBC-TV18, Sahai said, “One positive side of it is that RoDTEP has been expanded, it covers more products. Second, the rates announced provide some sort of cushion to the export sector, they can factor the rate in their future costing; also it has provided stability to the scheme.”

Also Read: RoDTEP scheme: IOL Chemicals expects pharma to be included

According to him, there should be some refund mechanism for steel, pharma and chemicals. “These sectors definitely deserve an export benefit of RoDTEP and therefore, we are approaching the government for inclusion of these sectors in the RoDTEP scheme,” said Sahai.

For the entire interview, watch the video