The Central Government has extended the Rebate of State and Central Taxes and Levies (RoSCTL) scheme, which provides financial support to make exports more competitive, until March 31, 2026.
Launched in 2020, RoSCTL compensates for state and central taxes not covered by the existing duty drawback scheme for apparel, garments, and made-ups. This helps make Indian exports more affordable in the international market.
Extension of this scheme ensures a stable policy environment that is crucial for long-term planning in the textile sector. Additionally, the scheme reduces the tax burden on exporters, making their products more competitive globally.
The scheme aligns with the principle of ‘zero-rated exports, where taxes are not exported, creating a fair playing field for Indian exporters.
The extension of the RoSCTL scheme also allows other textile products not covered by the scheme to benefit from the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme.
The extension will boost competitiveness in India's apparel export competitiveness and create jobs in the textile sector.