India offers exporters a suite of incentives designed to neutralise the duties and taxes embedded in exported goods and to support capital investment and input sourcing. Used well, they materially improve export competitiveness; used carelessly, the export obligations attached to them become a liability. The schemes are set under the Foreign Trade Policy and administered by the DGFT, and they change with notifications and budgets.
ATB Legal advises exporters and manufacturers on India’s export incentives – which schemes fit a business, how to claim them, and, importantly, how to meet the export obligations that come attached – and on the disputes that arise when an obligation is missed or a benefit is questioned.
1. Export Incentives Under the Foreign Trade Policy
India’s export incentives sit within the Foreign Trade Policy 2023, administered by the DGFT, and span remission of embedded taxes, duty-free capital goods and inputs, and sector-specific rebates. Each scheme has its own eligibility, mechanics and – for several – an export obligation that must be fulfilled to keep the benefit.
Because the schemes and their rates change with notifications and successive budgets, the current position should always be confirmed. ATB Legal advises on which schemes a business can use and on claiming them under the rules in force at the time.
2. RoDTEP – Remission of Duties and Taxes on Exported Products
RoDTEP, which replaced the earlier MEIS, rebates the duties and taxes embedded in exported products that are not otherwise refunded, through transferable electronic scrips. As of 2026 the scheme remains in force – currently notified through the latter part of the year – with its product coverage and rates revised periodically, and its scope has been extended to cover Advance Authorisation, EOU and SEZ exports.
Because RoDTEP rates and validity have moved more than once, we advise on the current rate for a product and the validity period in force rather than a fixed figure. ATB Legal advises on eligibility, claiming and the use of the scrips.
3. EPCG – Export Promotion Capital Goods
The EPCG scheme allows an exporter to import capital goods at zero customs duty, in return for an export obligation – broadly, exports equivalent to six times the duty saved, to be fulfilled over a six-year period. It is a powerful incentive for manufacturers investing in plant and equipment, but the obligation is real and monitored.
ATB Legal advises on EPCG authorisations, on structuring the export obligation realistically, and on monitoring and redeeming it – and on the relief and extensions available where an obligation is at risk.
4. Advance Authorisation
Advance Authorisation allows the duty-free import of inputs that are physically incorporated into an export product, subject to the applicable input-output norms and a value-addition requirement, against an export obligation. It is widely used by manufacturers whose exports depend on imported raw materials or components.
ATB Legal advises on Advance Authorisation eligibility, norms and value-addition, and on fulfilling and closing out the export obligation.
5. RoSCTL & Duty Drawback
Alongside these, the Rebate of State and Central Taxes and Levies (RoSCTL) supports exporters of textiles and apparel by rebating embedded state and central levies, and Duty Drawback refunds the customs and excise duties on materials used in exported goods, at all-industry or brand rates. A given export may interact with more than one scheme.
ATB Legal advises on RoSCTL and Drawback eligibility and on combining schemes correctly, so benefits are maximised without double-claiming.
6. Export Obligations & the Compliance Risk
The incentives that carry an export obligation – EPCG and Advance Authorisation in particular – turn a benefit into a commitment. Failing to fulfil an obligation within the prescribed period exposes the holder to the duty saved, with interest and potential penalty, and to action on the authorisation. The obligation is documented, monitored and, ultimately, redeemed through an export-obligation discharge certificate.
ATB Legal advises on tracking and discharging export obligations, on seeking extensions or regularisation where an obligation cannot be met as planned, and on the consequences of a shortfall.
7. Disputes & Recoveries
Disputes arise across the incentive schemes – over eligibility, scrip value, the calculation of a rebate, non-fulfilment of an export obligation, and recovery of benefits already taken. These can come from the DGFT or from customs, and they can reach back over past claims.
ATB Legal advises on responding to demands and recoveries, on defending the entitlement to a benefit, and on the appeals and representations available under the Foreign Trade (Development and Regulation) Act and the customs framework.
8. Our Process
A typical engagement runs in four steps: a review of the business and its exports to identify the incentives that fit; advice on eligibility, claiming and the export obligations attached; support in monitoring and discharging obligations and using scrips; and representation in disputes, demands and recoveries. Because the schemes and rates change, we confirm the current position at the time of advising. Remote handling is available throughout.
Frequently asked questions
What export incentives does India offer?
Under the Foreign Trade Policy 2023, the main schemes are RoDTEP (remission of embedded duties and taxes), EPCG (duty-free capital goods against an export obligation), Advance Authorisation (duty-free inputs for exports), RoSCTL for textiles, and Duty Drawback. We advise on which fit a business and how to claim them.
What is RoDTEP?
The Remission of Duties and Taxes on Exported Products – it rebates embedded duties and taxes not otherwise refunded, through transferable electronic scrips, and replaced the earlier MEIS. We advise on eligibility, claiming and using the scrips.
Is RoDTEP still in force?
Yes – as of 2026 RoDTEP remains in force, currently notified through the latter part of the year, with coverage and rates revised periodically and scope extended to Advance Authorisation, EOU and SEZ exports. Because the rates and validity move, we confirm the current position for your products rather than quote a fixed figure.
What is the EPCG scheme?
Export Promotion Capital Goods – it allows import of capital goods at zero customs duty in return for an export obligation, broadly six times the duty saved over six years. We advise on the authorisation, the obligation and its discharge.
What is Advance Authorisation?
A scheme allowing duty-free import of inputs physically incorporated into export products, subject to input-output norms and a value-addition requirement, against an export obligation. We advise on eligibility, norms and closing out the obligation.
What are RoSCTL and Duty Drawback?
RoSCTL rebates embedded state and central levies for textile and apparel exporters; Duty Drawback refunds customs and excise duties on materials used in exported goods. A given export may interact with more than one scheme, and we advise on combining them correctly.
What happens if an export obligation is not met?
Failing to fulfil an EPCG or Advance Authorisation obligation within the prescribed period exposes you to the duty saved, with interest and potential penalty, and to action on the authorisation. We advise on extensions, regularisation and managing a shortfall.
What are export-incentive scrips, and can they be transferred?
RoDTEP and similar benefits are issued as transferable electronic scrips that can be used to pay certain customs duties or transferred to others. We advise on their use and treatment.
Can export-incentive benefits be disputed or recovered?
Yes – the DGFT or customs can dispute eligibility, scrip value or obligation fulfilment and seek recovery of benefits already taken, sometimes across past claims. We advise on responding to and defending such demands.
Can you advise on export incentives for a corridor business?
Yes – with offices in both, we advise on India’s export incentives and obligations alongside the UAE side of a corridor business, in one relationship.
⭐ Representative Experience (anonymised)
A manufacturer was advised on an EPCG authorisation for new plant and on structuring an export obligation it could realistically meet.
An exporter was advised on its RoDTEP and Drawback entitlements and on claiming them correctly without double-counting.
A business facing a demand for non-fulfilment of an Advance Authorisation export obligation was advised on regularisation and on the response to the recovery.
🏆 How we work
- Scheme-fit – matching RoDTEP, EPCG, Advance Authorisation, RoSCTL and Drawback to a business rather than claiming blind.
- Obligation-aware – the export obligations behind the benefits tracked and discharged, not discovered too late.
- Current – schemes and rates confirmed as in force at the time, because RoDTEP and the Foreign Trade Policy change.
- Dispute-ready – eligibility, scrip and non-fulfilment demands and recoveries defended.
- Corridor coverage – India incentives advised alongside the UAE side of a corridor business.