Finance Minister Nirmala Sitharaman on Saturday announced a new scheme – Remission of Duties or Taxes on Export Product (RoDTEP) – to incentivise exporters at an estimated cost of Rs 50,000 crore to the exchequer.
The announcement comes in the backdrop of India’s merchandise exports declining by 6.05 per cent to USD 26.13 billion in August compared to the year-ago month.
The minister also said there will be a fully automated electronic refund route for input tax credits (ITC) in GST. This will be implemented by the month-end.
The move, she added, is aimed at quick and automated refunds of ITC.
She said RoDTEP will replace the existing incentive schemes and “will more than adequately incentivise exporters than the existing schemes put together”.
The minister said the revenue foregone towards the scheme is projected at Rs 50,000 crore.
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