With reference to the Foreign Trade Policy 2023, explain in brief the objectives and salient features of Remission of Duties and Taxes on Exported…

Remission of Duties and Taxes on Exported Products (RoDTEP) scheme is based on the globally accepted principle that taxes and duties should not be exported, and taxes and levies borne on the exported products should be either exempted or remitted to exporters. RoDTEP scheme aims to refund such duties and taxes on exported products, as are otherwise not being refunded under other provisions of law. The rebate under the Scheme shall not be available in respect of duties and taxes already exempted or remitted or credited. The objective of the scheme is to refund, currently unrefunded:- (i) Duties/taxes/levies, at the Central, State & local level, borne on the exported product, including prior stage cumulative indirect taxes on goods & services used in production of the exported product, and (ii) Such indirect duties/taxes/levies in respect of distribution of exported products. Salient features of the scheme: - (i) Rebate amount is issued in the form of a transferable duty credit/electronic scrip (e-scrip), which will be maintained in an electronic ledger by the CBIC. (ii) Such duty credit shall be used only to pay basic customs duty on imported goods. (iii) The duty credit scrips are freely transferable, i.e. credits can be transferred to other importers. (iv) The rebate under the scheme shall not be available in respect of duties and taxes already exempted or remitted or credited.