The recently implemented RoDTEP scheme by the Government of India is available to manufacturers, MSMEs, exporters, sellers, and enterprises of all types and sizes. This article will explain the RoDTEP scheme and its advantages.
The RoDTEP plan, or Remission of Duties and Taxes on Export Products, was implemented by the Government of India in January 2021 to replace the Merchandise Exports from India Scheme (MEIS). The government of India has launched the RoDTEP program to offer incentives and tax breaks to Indian exporters in an effort to increase exports from India to worldwide markets. With this program, exporters can get their money back for federal, state, and municipal taxes and tariffs.
RoDTEP Scheme Characteristics
The RoDTEP scheme encompasses several key characteristics, as outlined below:
Wide range of taxes and levies:
The scheme covers various taxes, tariffs, and levies that are not refunded or reimbursed for exports. These include regional and integrated taxes, state and central taxes on fuel used in transportation, state duty on power generation for export production, highway tax, business rates on import-export documentation, and more.
The RoDTEP scheme is open to all types of exporters, ranging from manufacturers to small and medium-sized enterprises (SMEs), wholesalers, and retailers. There are no specific thresholds for exports or revenues that need to be met in order to qualify for the program.
Verification and monitoring:
Exporters’ records will be verified and tracked using a monitoring and audit method known as the Risk Management System. This helps ensure compliance and transparency in utilizing the scheme’s benefits.
Indian origin requirement:
All exported goods must be of Indian origin, meaning they are “Made in India.” This requirement ensures that the scheme supports domestic production and promotes goods manufactured within the country.
Coverage of e-commerce:
The RoDTEP scheme is not limited to physical exports but includes exports facilitated through e-commerce platforms. This acknowledges the growing significance of digital trade and enables e-commerce exporters to avail the benefits of the scheme.
Exporters need to stay updated with the latest guidelines and critical notifications issued by the Government of India regarding the RoDTEP scheme. These guidelines provide detailed information on eligible taxes, claim procedures, documentation requirements, and any specific provisions related to different sectors or industries.
Details on how to participate in the RoDTEP program:
To receive rewards from the RoDTEP program, please complete the steps below.
- If you want to use ICEGATE, you must sign up for an account.
- A RoDTEP claim declaration must be made in the shipping bill through the ICEGATE platform.
- The Customs office will review your claim and create shipping bills for the allowable amount, which may be accessed through the ICEGATE system.
- To begin using the RoDTEP credit ledger, an account must be set up on the ICEGATE platform.
- If you’ve already set up a credit ledger account, you can log in and print scrip by selecting the appropriate shipping bills.
- After it has been generated, you can verify the credited reimbursement by viewing the script in your ledger account.
Tips for Indian Exporters: Simplifying Global Selling with Amazon
Every business owner has a secret desire to take their product global. With Amazon Global Selling, exporting from India is simple for any kind of business, whether you’re a traditional exporter, an online seller in India, a startup, or a multi-city store. It merely takes 15 minutes to sign up and start exporting from India by providing some basic KYC information, including proof of identity, address, and a credit card (for receiving and making payments).
Everyone from manufacturers to small and medium-sized enterprises to wholesalers and retailers who export can make use of this program. There are no thresholds for either exports or revenues that must be met to qualify for this program. However, everything exported must be of Indian origin (i.e., Made in India). This plan also covers the export of goods purchased through online marketplaces. Here are some tips to get you started with Amazon Global Selling.
Get your company registered
To start exporting through Amazon Global Selling, you need to register your export firm. It doesn’t matter if you’re not an established Amazon India seller. The registration process can be completed online on Seller Central. The following documents are required for registration:
- PAN (Permanent Account Number)
- ID proof (Aadhar(UID) card, driving license, or passport)
- Proof of commercial address (bank statement)
- Credit card with international transaction capability
Make a product listing
Once you have completed Amazon’s global seller registration process, it’s time to showcase your products to a worldwide audience. Creating an attractive and informative product listing is essential for capturing the attention of international shoppers and driving sales. Take advantage of the guidelines provided by Amazon on how to optimize your product listings.
Start by highlighting your products’ unique features and benefits clearly and concisely. Use high-quality product images that showcase your offerings from different angles and provide accurate representations. Remember to write compelling product descriptions, emphasizing the key selling points and addressing potential customer concerns.
Additionally, consider localizing your product listings by providing translations or offering multilingual support to cater to diverse markets. If necessary, engage professionals outside your organization to ensure that your product listings resonate with international customers and meet their expectations. Investing time and effort in creating compelling product listings can significantly enhance your chances of success in the global marketplace.
Export and receive funds
When it comes to exporting and receiving funds through Amazon Global Selling, you have flexibility and convenience at your fingertips. After a customer orders your product, you can handle the shipment yourself or utilize Amazon’s renowned Fulfillment Service (FBA). By opting for FBA, you can entrust Amazon with the responsibility of shipping, delivery, returns, and handling customer issues, saving you valuable time and resources.
One of the significant advantages of using Amazon’s FBA is the seamless fund transfer process. When a customer buys one of your listed products, Amazon promptly deposits the proceeds into your designated bank account. The funds are deposited in your chosen currency, eliminating the complexities associated with international transactions. This hassle-free payment system ensures you receive your earnings conveniently and efficiently, allowing you to focus on expanding your export business and delighting customers with exceptional products and services.
By following these tips and leveraging the Amazon Global Selling platform, Indian exporters can easily expand their reach and tap into global markets, regardless of their business type or size.
Register today and reap the benefits of this scheme.