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DGFT restores full RoDTEP benefits for pharma exporters till March 31, 2026
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Shardul Nautiyal, Mumbai
March 25 , 2026
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In a significant move aimed at boosting India’s pharma export competitiveness, the Directorate General of Foreign Trade (DGFT) has reinstated full benefits under the Remission of Duties and Taxes on Exported Products (RoDTEP) Scheme, reversing an earlier restriction that had reduced the incentive rates by half.
According to a DGFT notification, the RoDTEP rates and value caps have been restored to the levels that were in effect on February 22, 2026. This restoration will apply to all eligible export products until March 31, 2026, providing relief to exporters who had been impacted by the earlier reduction.
The RoDTEP scheme, introduced under the Foreign Trade Policy (FTP) 2023, is designed to reimburse exporters for embedded taxes and duties that are not otherwise refunded under any other scheme. By restoring the original rates, the government seeks to ensure that exporters remain competitive in global markets and are not burdened by hidden costs.
Earlier, through a Notification dated February 23, 2026, the government had imposed a 50% cap on RoDTEP benefits, a move that drew concern from export-oriented industries. The latest notification supersedes that decision, effectively withdrawing the restriction and reinstating full benefits.
However, a corrigendum issued clarified an important detail regarding the implementation timeline. While the initial notification stated that the restored rates would take effect from February 23, 2026, the correction specifies that the revised benefits will actually be applicable from March 23, 2026 through March 31, 2026.
Officials indicated that the move has been approved at the highest level, including the minister of commerce and industry, underscoring the government’s commitment to supporting exporters amid evolving global trade conditions.
The restoration of full RoDTEP benefits is expected to provide immediate financial relief to pharma exporters, improve liquidity, and strengthen India’s position in international trade during the closing days of the financial year.
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