RoDTEP Scheme: Inclusion of AA and EOU Units for Duty Remissions

In a major boost for high-volume exporters, the RoDTEP Scheme has been expanded to include exports made against Advance Authorization (AA) and by Export Oriented Units (EOU). This move resolves a long-standing demand from the industry to provide a level playing field for units that were previously excluded from the remission benefits due to their special status. The Remission of Duties and Taxes on Exported Products (RoDTEP) aims to ensure that no domestic taxes are exported, thereby making Indian products competitive in global markets. The scheme covers various central, state, and local duties—such as electricity duty and VAT on fuel used for transport—that are not otherwise refunded or credited. As per the Ministry of Commerce and Industry guidelines, the rates for these specific sectors are outlined in Appendix 4R. ## What this means for exporters Units operating under AA or as EOUs must now ensure their shipping bills specifically indicate the intent to claim RoDTEP. The duty credit is issued in the form of a transferable electronic scrip, maintained in an e-ledger by the CBIC. Exporters should verify the specific item-wise rates, which vary by HS code, to calculate their expected benefits accurately. It is essential to reconcile the 'scroll' generated by the customs system with your financial records to ensure no credit is lost. Our advisory team suggests an immediate audit of shipping bills filed since the inclusion date to verify that the 'RoDTEP' flag was correctly selected.