We offer complete consultancy on foreign trade policy and procedure. This includes advising, preparing, submission and obtaining the following benefits from the concerned regional licensing authorities.
1. Merchandise Exports From India Scheme (MEIS)
To provide rewards to merchandise exporters from India, Government introduced MEIS Incentive. MEIS Incentive was available for vide range of sectors and the incentive ranged from 2-20%. The MEIS incentive was available for LEO filed till 31st December 2020.
2. Remission Of Duties And Taxes On Exported Products (RoDTEP)
To compensate the taxes/duties/ levies, at the central, state and local level, which are not being refunded under any other mechanism, the Government has announced Remission of Duties and Taxes on Exported Products (RoDTEP) Scheme to all eligible exports of goods with effect from 1st January, 2021.
RoDTEP scheme has replaced the MEIS incentive earlier available for the merchandise exports.
The rate of reward is notified under Appendix 4R.
The reward will be provided in the form of Duty Credit Scrip which can be used to pay Basic Customs duty on imported goods. The scrip can also be transferred to other importers.
3. Services Exports From India Scheme (SEIS)
To encourage and maximise service exports, SEIS incentives was notified under Foreign Trade Policy. The incentive ranges from 3-7% depending on the services and the year of services rendered. The incentive is available for Legal, Accounting, Architectural, Engineering, Educational, Hospital, Hospitality etc.
4. Advance Authorization Scheme
To enable duty free import of inputs for export production, Advance Authorisation scheme is notified. Under Advance Authorisation scheme, it allows duty free import of input, which is physically incorporated in export product.
Advance Authorisation can be issued either to a manufacturer exporter or merchant exporter tied to supporting manufacturer.
The Advance Authorisation holder should undertake a Minimum value addition of 15% to avail the benefit under this Scheme.
Advance Authorisation is issued for inputs in relation to resultant product, on the following basis:
5. Duty Free Import Authorization Scheme (DFIA)
Duty Free Import Authorisation is issued to allow duty free import of inputs. Duty Free Import Authorisation shall be issued on post export basis for products for which Standard Input Output Norms have been notified.
The exemption is only from payment of Basic Customs Duty(BCD).The Application to avail the benefit under the scheme is to be filed with concerned Regional Authority before effecting export & Minimum value addition of 20% shall be required to be achieved.
6. Export Promotion of Capital Goods Scheme (EPCG)
With the objective to facilitate import of capital goods for producing quality goods and services and enhance India’s manufacturing competitiveness, the scheme allows import of capital goods for pre-production, production and postproduction at zero customs duty. The exemption is available for all the duties of Customs i.e. Basic Customs Duty, Social Welfare Surcharge & Integrated GST.
Import under EPCG Scheme shall be subject to an export obligation equivalent to 6 times of duties, taxes and cess saved on capital goods, to be fulfilled in 6 years reckoned from date of issue of Authorisation.
7. EOU/EHTP/STP/BTP Units
The objectives of these schemes are to promote exports, enhance foreign exchange earnings, attract investment for export production and employment generation.
The scheme is beneficial for units undertaking to export their entire/maximum production of goods and services.
The scheme allows varied benefits including duty free import of raw materials and capital goods but are subject to Net Foreign Exchange Earnings positive or other conditions as specified.
8. Steel Import Monitoring System (SIMS)
To have an advance information about the import of Steel into India, DGFT vide their Notification no 33/2015-20 dated 28 September, 2020 inserted policy condition from ‘Free’ to ‘Free subject to compulsory registration’ under Steel Import Monitoring System (SIMS) for all items of Chapter 72, 73 and 86. (Earlier, this was for only 284 specified Hs codes of Chapter 72, 73 and 86)
The importer shall require iron & steel items importers to submit advance information in an online system for import of items. The Importer has to apply for online registration not earlier than the 60th day before the expected date of arrival of import consignment.
9. Paper Import Monitoring System (SIMS)
DGFT vide their Notification no 11/2015-20 dated 25 May, 2022 inserted policy condition from ‘Free’ to ‘Free subject to compulsory registration’ under Paper Import Monitoring System (SIMS) for tariff lines under Chapter 48 of ITC(HS) Code 2022 which is effective from 01.10.2022.