The government reverses a recent cut to duty remission rates, restoring full RoDTEP incentives for all eligible export products effective 23 March 2026, as exporters battle rising freight costs and West Asia disruptions.
The Indian government has restored full rates and value caps under the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme for all eligible export products, effective from 23 March 2026 through 31 March 2026. The move reverses a recent decision to halve incentive rates across all tariff lines, providing immediate relief to exporters grappling with surging freight costs and logistics disruptions caused by the West Asia conflict.
The RoDTEP scheme, notified in 2021, is designed to compensate exporters for embedded duties and taxes not refundable under other mechanisms, helping Indian goods remain price-competitive in global markets. The restoration is expected to benefit sectors including textiles, footwear, pharma, chemicals, leather, and agriculture.
Export-oriented companies including Gokaldas Exports, Pearl Global Industries, Bata, Red Tape, Avanti Feeds, Apex Frozen Foods, KRBL, and Sun Pharma have come into focus following the announcement. The move comes at a time when an estimated 40,000 to 45,000 containers of Indian goods are stranded at sea or in international ports, and freight surcharges have reportedly risen three to five times in some trade lanes.
