Government Extends RoSCTL Scheme for Apparel Exports Until September 2026
Synopsis
Key Takeaways
New Delhi, April 1 (NationPress) - The government has officially confirmed the extension of the Rebate of State and Central Taxes and Levies (RoSCTL) Scheme for the export of apparel, garments, and made-ups until September 30, 2026, or until its approval under the 16th Finance Commission cycle, whichever occurs first. This extension will follow the existing guidelines without modifications, as stated by the Ministry of Textiles.
Initially launched on March 7, 2019, the RoSCTL scheme is designed to reimburse state and central taxes and levies that are excluded from any other export incentive program.
This initiative aims to prevent exported goods from being encumbered by unrefunded taxes, adhering to the zero-rating principle of exports, which in turn enhances the global competitiveness of Indian textile exports.
The scheme has become a vital support mechanism for the textile export industry, particularly benefiting micro, small, and medium enterprises (MSMEs), which represent a large portion of the stakeholders.
Industry leaders have frequently emphasized the significance of such incentives in empowering Indian exporters to compete against international rivals in a challenging market landscape.
In addition to RoSCTL, the government will also maintain the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme from April 1, 2026, to September 30, 2026.
The RoDTEP scheme encompasses textile products that are not covered under RoSCTL, particularly those outside Chapters 61, 62, and 63 of the ITC (HS) classification.
By having both schemes operational simultaneously, the government intends to offer comprehensive support throughout the textile value chain.
This initiative is expected to guarantee that a broad spectrum of textile exports receives tax remission, thereby alleviating cost burdens and boosting competitiveness in global markets.
The continuation of these schemes highlights the government's commitment to ensuring policy stability for exporters and reinforcing India's standing in the global textile trade.