All exams GA
In one line
Source: ET
Context:
The Government of India has set up a committee headed by former Secretary Neeraj Kumar Gupta to review the notified rates under two key export support schemes — Remission of Duties and Taxes on Exported Products (RoDTEP) and Rebate of State and Central Taxes and Levies (RoSCTL).
About the RoDTEP Scheme:
- Objective: To refund taxes, duties, and levies incurred by exporters during the manufacturing and distribution process that are not reimbursed under any other mechanism at the central, state, or local level.
- Rate Structure: The current rates range from 0.3% to 4.3% of the export value, depending on the product category.
- Extension: The scheme has been extended till March 2026 to continue supporting exporters amid global trade challenges.
About the RoSCTL Scheme:
- Applicable primarily to textile and apparel exports.
- Offers rebates on central and state taxes/levies to enhance the competitiveness of India’s labour-intensive textile sector.
- Aims to ensure that exported goods are tax-neutral and not burdened by domestic levies.
Significance:
- The review aims to enhance export competitiveness, particularly for MSMEs and labour-intensive sectors.
- It is part of India’s broader strategy to boost merchandise exports and maintain momentum under the Foreign Trade Policy (FTP) 2023.