AFFECTED FLOWOutflow (subsidised)
ANNOUNCED AS TEMPORARYNo
Tax-based export incentive
On 4 May 2016, the Indian Ministry of Commerce & Industry amended Merchandise Exports Incentive Scheme (MEIS) via Public Notice No. 06/2015-2020. MEIS provides incentives in the form of "duty scrips" which can be used to pay a range of customs or excise duties. Export receive duty scrips worth between 2 and 5% of the export value depending on the product and the destination country. The scrip value may vary across three country groups.
For country group C, the notification from 4 May 2016 increased the export incentives for 2'787 products. Prior to the change, these products were not eligible for exports to country group C. The new incentives are set at 2 percent.
The countries listed in Group C do not follow a geographical pattern. Group C consists of Afghanistan, Albania, American Samoa, Andorra, Anguilla, Antarctica, Aruba, Australia, Bangladesh, Bhutan, Bosnia and Herzegovina, Channel Islands, Christmas Islands, Cocos Islands, Cook Islands, Eritrea, Faroe Islands, Fiji Island, French Polynesia, French Southern and Antarctic Lands Fr S Ant Tr, Gibraltar, Greenland, Guam, Heard Macdonald, Hong Kong, Iceland, Kiribati Rep, Korea DPR, Liechtenstein, Macao, Macedonia, Maldives, Marshall Islands, Micronesia, Monaco, Mongolia, Montenegro, N. Mariana Islands, Nauru Republic, Nepal, Neutral Zone, New Caledonia, New Zealand, Niue Islands, Norfolk Islands, Norway, Pacific Islands, Pakistan, Palau, Panama, Papua New Guyana, Pitcairn Islands, Puerto Rico, Samoa, San Marino, Serbia, Solomon Island, Sri Lanka DSR, St Pierre, Switzerland, Timor Leste, Tokelau Islands, Tonga, Tuvalu, Serbia Montenegro, Vanuatu Republic, Territory of the Wallis and Futuna Islands plus any other country not listed in the country groups A or B will be treated as part of country group C.