The Indian government has officially restored the full rates and value caps under the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme.
Effective from March 23 through March 31, 2026, this policy reversal provides immediate financial relief to Indian exporters struggling with volatile global supply chains.
This move directly reverses a recent government decision that had halved RoDTEP incentive rates across all eligible tariff lines. Originally notified in 2021, the RoDTEP scheme compensates exporters for embedded local, state, and central duties and taxes that are not refundable under other mechanisms. By restoring the full incentive rates, the government aims to keep Indian goods competitive on price in international markets.
The restoration comes at a critical time for EXIM operations. The ongoing conflict in West Asia has caused severe maritime disruptions, leading to massive spikes in global logistics costs. Exporters report that freight surcharges have risen three to five times on certain trade lanes. Additionally, an estimated 40,000 to 45,000 containers carrying Indian goods are currently delayed in international ports or stranded at sea.
The reinstatement of full RoDTEP benefits is expected to stabilize margins across several major export sectors, including agriculture, chemicals, footwear, leather, pharmaceuticals, and textiles.
Market analysts are closely watching several companies focused on exports following the announcement, including:
- Apex Frozen Foods
- Avanti Feeds
- Bata
- Gokaldas Exports
- KRBL
- Pearl Global Industries
- Red Tape
- Sun Pharma