DGFT rationalises RoDTEP scheme, reduces benefits by 50 per cent

The Government of India has reduced benefits under the Remission of Duties and Taxes on Exported Products (RoDTEP) Scheme by 50 per cent with immediate effect.

According to Notification No. 60/2025-26 dated February 23, 2026, issued by the Directorate General of Foreign Trade (DGFT), RoDTEP rates applicable across all HS lines listed in Appendix 4R and Appendix 4RE will be limited to half of the existing notified rates. Value caps under the scheme have also been reduced by 50 percent wherever applicable.

The move has been notified under provisions of the Foreign Trade (Development and Regulation) Act, 1992, read with the Foreign Trade Policy 2023.

The RoDTEP scheme reimburses exporters for embedded duties and taxes not refunded through other mechanisms. The reduction in incentives is expected to increase cost pressures for exporters and may affect price competitiveness in global markets.

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