RODTEP is a new scheme The Indian government has recently approved this scheme and will be notified in a phased mannerand accordingly Items will be shifted from existing scheme MEIS to RoDTEP with proper monitoring & audit mechanism.

RoDTEP under which a mechanism would be created for reimbursement of taxes / duties / levies, at the central, state and local level, which are currently not being refunded under any other mechanism, but which are incurred in the process of manufacture and distribution of exported products . This scheme is going to give a boost to the domestic industry and Indian exports providing a level playing field for Indian producers in the international market so that domestic taxes / duties are not exported.

At present . GST taxes and import / customs duties for inputs required to manufacture exported products are either exempted or refunded. However, certain taxes / duties / levies are outside GST, and are not refunded for exports, such as, VAT ON FUEL USED IN Transportation .mandi tax, Duty on electricity used during manufacturing etc. These would be covered for reimbursement under the RoDTEP Scheme.

The rebate would be claimed as a percentage of the Freight On Board (FOB) value of exports.