AFFECTED FLOWOutflow (subsidised)
ANNOUNCED AS TEMPORARYYes
Tax-based export incentive
On 31 October 2011, the Ministry of Commerce & Industry through Notification No.84 (RE-2010)/2009-2014 extended the Status Holder Incentive Scrip under the Foreign Trade Policy 2009-14 for exports made during 2012-2013 as well. The scheme was initially valid on exports made during 2010-11 and 2011-12 only.
Within the indian foreign trade policy, Status Holders include business leaders, firms with high contribution to international trade and firms with high export contributions (at least USD 3 million per year). Under the Status Holder Incentive Scrip scheme, status holders in specified sectors will receive an additional incentive scrip at the rate of 1% of the FOB value of their exports during the period in which the scheme is valid. The incentive scrips can be used to get duty credit when importing capital goods for use in these sectors. The specfied sectors are -