Full RoDTEP Benefits Restored: A Lifeline for Exporters Amidst Crisis

The commerce ministry has announced that full benefits under the RoDTEP export support scheme will be reinstated from April 1, providing relief to exporters affected by the West Asian crisis. This decision, welcomed by the Federation of Indian Export Organisations, comes after a previous rate cut sparked disappointment in the exporting community.

The Indian commerce ministry has pledged to fully restore benefits under the RoDTEP export support scheme from April 1, offering a much-needed lifeline to exporters facing adverse conditions due to the ongoing West Asian crisis. This announcement follows an initial rate cut that had alarmed many in the export sector.

The Federation of Indian Export Organisations (FIEO) welcomed the news, highlighting that the current 50% RoDTEP rates were only temporary, set to revert to full rates by April 2026. FIEO President SC Ralhan emphasized the critical support the restored rates will provide to the export community.

Originally implemented in 2021, the RoDTEP scheme refunds taxes, duties, and levies not covered by other reimbursements. Challenges like rising freight and insurance costs, exacerbated by the West Asian conflict, have already strained exporters, with India's trade deficit hitting a three-month high in January.

(With inputs from agencies.)