Latest news with #AdvanceAuthorisation
&w=3840&q=100)
Business Standard
2 days ago
- Business
- Business Standard
Govt set to relax rules under Advance Authorisation scheme for exporters
Exporters may no longer be denied duty-free import benefits under the Advance Authorisation (AA) scheme simply because their goods were shipped before the licence was issued, according to sources familiar with the matter. The Advance Authorisation scheme allows exporters to import inputs—such as raw materials, components or chemicals—without paying customs duty, on the condition that these will be used to manufacture products for export. The scheme is a key tool to make Indian exports competitive by reducing input costs. 'Even if goods have already been shipped or have arrived in India, they can still be cleared under an Advance Authorisation granted later by DGFT—provided the importer files the Bill of Entry after the licence date. However, this relaxation won't apply to restricted goods or products that can only be imported through designated government agencies, unless DGFT gives special permission,' a senior government official said, requesting anonymity. Until recently, as per sources, field formations of customs, particularly following objections raised by the Directorate of Revenue Intelligence (DRI) in Ludhiana, had taken a strict view that if the shipment left the foreign port before the date on which the AA licence was granted, the benefit of duty exemption should not be available—even if the goods were cleared through customs later. However, after several industry bodies flagged concerns over unnecessary disputes and procedural delays, the authorities have decided that the relevant date for eligibility under the AA scheme is the date of filing the Bill of Entry—this is a legal customs document submitted to Indian Customs to get the goods cleared—that is, when the goods are cleared through Indian customs, not the date of shipment from the foreign country, another official added. An email sent to the Directorate General of Foreign Trade (DGFT), which administers the AA scheme, and the Central Board of Indirect Taxes and Customs (CBIC), remained unanswered till the publishing of this article.
Business Standard
3 days ago
- Business
- Business Standard
Restoration of RoDTEP Scheme for AA, SEZ, and EOU Exports ensures that key contributors to exports are not excluded from critical incentives
Associated Chambers of Commerce and Industry of India (ASSOCHAM) has commended the Government of India for restoring the benefits under the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme for exports from Advance Authorisation (AA) holders, Export-Oriented Units (EOUs) and Special Economic Zones (SEZs), effective June 1, 2025. The restoration ensures that key contributors to Indias exports are not excluded from critical incentives, especially at a time when global competitiveness and domestic industrial resilience are of utmost importance. ASSOCHAM has consistently advocated for the extension of RoDTEP to all exporting entities, including those operating in SEZs and under AA and EOU frameworks. This move will correct the gap that created cost disadvantages for such units and is aligned with Indias WTO commitments, noted Manish Singhal, Secretary General, ASSOCHAM.
Fibre2Fashion
4 days ago
- Business
- Fibre2Fashion
India to restore RoDTEP benefits for AA, EOU & SEZ exports from June 1
Government of India has reinstated Remission of Duties and Taxes on Exported Products (RoDTEP) scheme benefits for Advance Authorisation (AA) holders, Export-Oriented Units (EOUs), and Special Economic Zone (SEZ) units. Applicable from June 1, 2025, the move aims to strengthen India's export competitiveness and ensure parity across all exporter categories. These benefits had earlier lapsed on February 5, 2025. Their restoration signals the government's ongoing commitment to boosting merchandise exports by offsetting unrefunded embedded duties and taxes. Since its launch on January 1, 2021, the WTO-compliant scheme has disbursed over ₹57,976.78 crore (~$6.8 billion), the Ministry of Commerce & Industry said in a press release. Indian government has reinstated RoDTEP benefits for AA holders, EOUs and SEZ units from June 1. The move aims to enhance export competitiveness and ensure parity across exporter categories. Earlier withdrawn in February 2025, the scheme has disbursed over ₹57,976.78 crore (~$6.8 billion) since 2021. For FY26, ₹18,233 crore is allocated to support a wide range of HS lines via a digital platform. For FY26, ₹18,233 crore has been earmarked to support exports under 10,780 HS lines for Domestic Tariff Area and 10,795 HS lines for AA/EOU/SEZ segments. The scheme is operated through a fully digital platform to ensure transparency and ease of access for exporters. Fibre2Fashion News Desk (KD)
Time of India
4 days ago
- Business
- Time of India
GTRI backs RoDTEP reinstatement, urges five-year stability to boost exports
Representative image The Global Trade Research Initiative (GTRI) has welcomed the reinstatement of the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme but stressed on the need for a stable, five-year implementation period to bolster India's export competitiveness. 'To position India as a stable and competitive export hub, the government must ensure uninterrupted RoDTEP coverage for at least five years. Frequent policy shifts hurt credibility, weaken trust, and ultimately damage India's export competitiveness,' GTRI said. Although the RoDTEP scheme complies with World Trade Organisation (WTO) norms, GTRI expressed concern over the government's inconsistent handling of the policy. The scheme reimburses exporters for embedded duties, taxes, and levies not covered under other incentive programs. RoDTEP benefits for certain categories were discontinued on February 5, 2025. However, the recent decision to reinstate them aims to ensure a level playing field for exporters across sectors. The Ministry of Commerce and Industry noted that this move reflects the government's ongoing efforts to enhance India's position in global markets. Since its inception, the RoDTEP scheme has seen disbursements exceeding Rs. Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 입꼬리 올리는 여름, 인천에서 33만원 임플란트 만나보세요 플란치과 더 알아보기 Undo 57,976.78 crore as of March 31. For the fiscal year 2025–26, the government has allocated Rs. 18,233 crore to support 10,780 HS lines under Domestic Tariff Area exports and 10,795 HS lines under Advance Authorisation (AA), Export Oriented Units (EOUs), and Special Economic Zones (SEZs), ensuring broad sectoral coverage. Additionally, the government has launched the Trade Connect e-Platform, aimed at streamlining international trade by connecting Indian Missions abroad with Department of Commerce officials and relevant organisations to offer comprehensive export-related services. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
08-05-2025
- Business
- Time of India
FICCI urges extension of RoDTEP Scheme for Export Units amid global trade uncertainties
Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads New Delhi: In a move underscoring the growing uncertainty related to the future ambit of the RoDTEP scheme , the Federation of Indian Chambers of Commerce and Industry ( FICCI ) has formally written to the Ministry of Commerce and Industry 's Directorate General of Foreign Trade with an appeal seeking the immediate extension of the Remission of Duties or Taxes on Export Products (RoDTEP) Scheme for units operating under Advance Authorisation (AA), Export Oriented Units (EOUs), and Special Economic Zones (SEZs).In a letter to the Commerce Ministry, FICCI has voiced concerns over the lapse of RoDTEP benefits for the units based in these export-oriented zones beyond 5th February 2025, and has urged the Ministry to expedite the notification of an extension at least till September 30, 2025. In view of the prevailing global uncertainties, FICCI underscored the need to continue including AA/EOU/SEZ units under the scheme to maintain the cost competitiveness of Indian manufacturing and ensure a level playing field for Indian exporters in international representation follows similar submissions made recently by top industry bodies such as the Federation of Indian Mineral Industries ( FIMI ) and the Aluminium Association of India (AAI), reflecting broader industry apprehensions about global trade. Aluminium is a key driver in India's industry landscape with over $20 billion invested, making India the world's 2nd largest aluminium in its representation, FIMI highlighted that nearly 45% of India's aluminium exports come from units based in AA/EOU/SEZ locations. It pointed out that the withdrawal of RoDTEP support significantly undermines the ability of Indian manufacturers to compete with their global peers since embedded taxes and duties, which comprise up to 10% of aluminium production costs, would remain unrebated and commending the Commerce Ministry's progressive measures, FICCI cautioned that any delay in extending RoDTEP coverage to restore export competitiveness in a severely stressed business environment would be detrimental. It may be recalled that FIMI, in its representation, explained that this could result in production cuts, job losses, and setbacks to domestic value addition within the Indian aluminium sector, which currently has an annual capacity of 4.1 million tonnes. Fresh investments in expanding domestic capacity would be critical for sustaining the industry's growth the ongoing global trade headwinds, FICCI said that an extension for AA/EOU/SEZ exporters would provide much-needed certainty and stability to the wider industry. The chamber emphasized that the government's swift action will be pivotal in restoring parity and supporting India's ambition to emerge as a global manufacturing a progressive step, the Ministry of Finance has already approved the budget for RoDTEP scheme as Rs 18,000 crore for FY26, as opposed to Rs. 16,575 crores in the previous fiscal. Now, with successive leading industry bodies, including AAI, FIMI and FICCI pleading the cause for extension of the RoDTEP scheme for AA/EOU/SEZ units from February 5 2025 onwards at least till 30 September 2025 in line with the DTAs, the industry is optimistic that the government will act promptly to formally notify the RoDTEP extension. While the geopolitical crisis and the global slowdown has made the going difficult, the extension of RoDTEP for AA/EOU/SEZs would help the industry to be globally competitive and also ensure the continued growth of Indian exports amid the uncertain global scenario.
