{"id":2141,"date":"2025-12-08T05:33:31","date_gmt":"2025-12-08T05:33:31","guid":{"rendered":"https:\/\/www.iiiem.in\/blog\/?p=2141"},"modified":"2025-12-08T05:33:31","modified_gmt":"2025-12-08T05:33:31","slug":"government-benefits-incentives-for-exporters","status":"publish","type":"post","link":"https:\/\/www.iiiem.in\/blog\/government-benefits-incentives-for-exporters\/","title":{"rendered":"Government Benefits & Incentives for Exporters"},"content":{"rendered":"

Government Benefits for Exporters<\/strong><\/h2>\n

The Government of India offers various schemes and incentives to exporters to boost exports, enhance competitiveness, and compensate for the duties and taxes incurred in the export process.<\/p>\n

Here are some of the major government benefits for exporters in India, with a short explanation:<\/p>\n

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  1. \n

    Duty Drawback Scheme (DBK)<\/strong><\/h3>\n<\/li>\n<\/ol>\n

    What it is:<\/strong> Refund of customs duty paid on imported inputs used in making export goods.
    \nExample: <\/strong>If you import fabric, pay duty, and export shirts, the duty paid on fabric is refunded.<\/p>\n

      \n
    1. \n

      Remission of Duties & Taxes on Exported Products (RoDTEP)<\/strong><\/h3>\n<\/li>\n<\/ol>\n

      What it is:<\/strong> Refund of hidden taxes (electricity duty, mandi tax, fuel tax, etc.) that are not otherwise refunded.
      \nExample: <\/strong>Exporter of leather wallets gets a small amount per piece as rebate credited to the electronic ledger.<\/p>\n

        \n
      1. \n

        Rebate of State & Central Taxes and Levies (RoSCTL) <\/strong><\/h3>\n<\/li>\n<\/ol>\n

        (for garments & made-ups)<\/em><\/strong><\/p>\n

        What it is:<\/strong> Refund of state and central embedded taxes for textile exports.
        \nExample: <\/strong>Exporter of cotton T-shirts gets a rebate percentage on FOB value.<\/p>\n

        4. <\/strong>Interest Equalization Scheme (IES)<\/h3>\n

        What it is:<\/strong> Government gives interest subsidy (3%\u20135%) on pre- and post-shipment export loans.
        Example: <\/strong>If bank interest is 9%, you may pay only 6% after subsidy.<\/p>\n

        5. Free Trade Agreements (FTAs) \u2013 Duty Benefits to Buyers (Importers)<\/h3>\n

        What it is<\/strong>: Buyers in FTA partner countries get reduced or zero import duty, making Indian goods more competitive.<\/p>\n

        What this means for Exporter<\/strong>: Buyers may continue to buy their requirements from your country as they do not have to pay import duty.
        \nExample: <\/strong>Indian textiles exported to UAE under the CEPA have zero duty, increasing demand.<\/p>\n

        General Schemes for all Exporters (as applicable)<\/strong><\/h2>\n

        1.\u00a0\u00a0\u00a0\u00a0 Export Oriented Unit (EOU) Scheme \/ SEZ Benefits<\/h3>\n

        What it is:<\/strong> Units in EOUs or SEZs get major tax & duty benefits.
        Key benefits:<\/strong><\/p>\n