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Expediting Export Rebate Payments
The Central Board of Indirect Taxes and Customs (CBIC) has ordered that RoDTEP and RoSCTL scrolls must now be processed within three days. This follows long delays in processing these scrolls, which had caused significant difficulties and financial stress for exporters.
Understanding RoDTEP and RoSCTL
These schemes are key to making Indian exports more competitive globally. RoDTEP refunds embedded central and state taxes and duties not recovered elsewhere, with rates from 0.3% to 3.9% of export value. It especially helps MSMEs in labour-intensive industries like textiles and leather.
The RoSCTL Scheme offers rebates for state and central taxes and levies not covered by other means. It specifically targets exports of apparel, garments, and made-ups to boost their global competitiveness. Both schemes ensure Indian exports are priced competitively by remitting unrefunded taxes.
Recent Scheme Extensions
The Indian government recently extended both RoDTEP and RoSCTL schemes. This comes amid high freight costs and a global demand slowdown. RoDTEP will continue at full rates until September 30, 2026. The RoSCTL scheme for apparel and made-ups also runs until September 30, 2026, or until the 16th Finance Commission is approved, offering continuity for the textile sector. These moves show the government's commitment to global trade and supporting its exporters.