IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Outflow (subsidised)

ANNOUNCED AS TEMPORARY

Yes

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

SMEs

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 05 Dec 2017 | Removal date: open ended
Still in force

Tax-based export incentive

The Ministry of Commerce and Industry through Public Notice No. 44/2015-2020 increased the export incentive by 2% under the Merchandise Exports Incentive Scheme (MEIS) on exports by labour-intensive and Micro, Small and Medium-sized Enterprises (MSMEs) in sectors such as leather, agriculture, carpets, handtools, marine products, rubber products, ceramics, sports goods, medical and scientific products and electronic and telecom components. This increased incentive is expected to increase the annual incentive under MEIS by INR 4567 crore (USD 712 million).

The additional 2% incentive was initially announced for exports in the period 1 November 2017 and 30 June 2018, but was later extended indefinitely vide Public Notice 7/2015-2020 on 11 May 2018.

The inception date of this State Act has been set as 5 December 2017, the date of the announcement, as the exports are expected to the affected after the announcement is made.

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

AFFECTED SECTORS AND PRODUCTS

012 Vegetables
0702 Tomatoes, fresh or chilled.
070200 Tomatoes, fresh or chilled.
0703 Onions, shallots, garlic, leeks and other alliaceous vegetables, fresh or chilled.
070310 Onions and shallots
070320 Garlic
070390 Leeks and other alliaceous vegetables
0704 Cabbages, cauliflowers, kohlrabi, kale and similar edible brassicas, fresh or chilled.
070490 Other
0707 Cucumbers and gherkins, fresh or chilled.
070700 Cucumbers and gherkins, fresh or chilled.
0708 Leguminous vegetables, shelled or unshelled, fresh or chilled.
070810 Peas (Pisum sativum)
070820 Beans (Vigna spp., Phaseolus spp.)
070890 Other leguminous vegetables
0709 Other vegetables, fresh or chilled.
070930 Aubergines (eggplants)
070960 Fruits of the genus Capsicum or of the genus Pimenta
070993 Pumpkins, squash and gourds (Cucurbita spp.)
070999 Other
0807 Melons (including watermelons) and papaws (papayas), fresh.
080711 Watermelons
080719 Other
013 Fruits & nuts
0806 Grapes, fresh or dried.
080610 Fresh
0807 Melons (including watermelons) and papaws (papayas), fresh.
080720 Papaws (papayas)
0808 Apples, pears and quinces, fresh.
080810 Apples
0810 Other fruit, fresh.
081090 Other
015 Edible roots & tubers with high starch or inulin content
0701 Potatoes, fresh or chilled.
070190 Other
0714 Manioc, arrowroot, salep, Jerusalem artichokes, sweet potatoes and similar roots and tubers with high starch or inulin content, fresh, chilled, frozen or dried, whether or not sliced or in the form of pellets; sago pith.
071430 Yams (Dioscorea spp.)
016 Stimulant, spice & aromatic crops
0901 Coffee, whether or not roasted or decaffeinated; coffee husks and skins; coffee substitutes containing coffee in any proportion.
090111 Not decaffeinated
0902 Tea, whether or not flavoured.
090220 Other green tea (not fermented)
090240 Other black tea (fermented) and other partly fermented tea
019 Forage; natural rubber; living plants; raw vegetable materials
0601 Bulbs, tubers, tuberous roots, corms, crowns and rhizomes, dormant, in growth or in flower; chicory plants and roots other than roots of heading 12.12.
060120 Bulbs, tubers, tuberous roots, corms, crowns and rhizomes, in growth or in flower; chicory plants and roots
0602 Other live plants (including their roots), cuttings and slips; mushroom spawn.
060290 Other
0603 Cut flowers and flower buds of a kind suitable for bouquets or for ornamental purposes, fresh, dried, dyed, bleached, impregnated or otherwise prepared.
060311 Roses
060319 Other
023 Eggs of hens or other birds in shell, fresh
0407 Birds' eggs, in shell, fresh, preserved or cooked.
040711 Of fowls of the species Gallus domesticus
040719 Other
040721 Of fowls of the species Gallus domesticus
040729 Other
029 Other animal products
0307 Molluscs, whether in shell or not, live, fresh, chilled, frozen, dried, salted or in brine; smoked molluscs, whether in shell or not, whether or not cooked before or during the smoking process; flours, meals and pellets of molluscs, fit for human consumpt
030760 Snails, other than sea snails
0409 Natural honey.
040900 Natural honey.
0410 Edible products of animal origin, not elsewhere specified or included.
041000 Edible products of animal origin, not elsewhere specified or included.
032 Non-wood forest products
0604 Foliage, branches and other parts of plants, without flowers or flower buds, and grasses, mosses and lichens, being goods of a kind suitable for bouquets or for ornamental purposes, fresh, dried, dyed, bleached, impregnated or otherwise prepared.
060490 Other
0802 Other nuts, fresh or dried, whether or not shelled or peeled.
080290 Other
042 Fish live, fresh or chilled for human consumption
0301 Live fish.
030199 Other
0302 Fish, fresh or chilled, excluding fish fillets and other fish meat of heading 03.04.
030219 Other
030229 Other
030232 Yellowfin tunas (Thunnus albacares)
030242 Anchovies (Engraulis spp.)
030244 Mackerel (Scomber scombrus, Scomber australasicus, Scomber japonicus)
030289 Other
049 Other aquatic plants & animals
0511 Animal products not elsewhere specified or included; dead animals of Chapter 1 or 3, unfit for human consumption.
051199 Other
212 Prepared & preserved fish, crustaceans, molluscs
0303 Fish, frozen, excluding fish fillets and other fish meat of heading 03.04.
030323 Tilapias (Oreochromis spp.)
030339 Other
030341 Albacore or longfinned tunas (Thunnus alalunga)
030342 Yellowfin tunas (Thunnus albacares)
030343 Skipjack or stripbellied bonito
030353 Sardines (Sardina pilchardus, Sardinops spp.), sardinella (Sardinella spp.), brisling or sprats (Sprattus sprattus)
030354 Mackerel (Scomber scombrus, Scomber australasicus, Scomber japonicus)
030369 Other
030389 Other
0304 Fish fillets and other fish meat (whether or not minced), fresh, chilled or frozen.
030449 Other
030489 Other
030499 Other
0305 Fish, dried, salted or in brine; smoked fish, whether or not cooked before or during the smoking process; flours, meals and pellets of fish, fit for human consumption.
030559 Other
0306 Crustaceans, whether in shell or not, live, fresh, chilled, frozen, dried, salted or in brine; smoked crustaceans, whether in shell or not, whether or not cooked before or during the smoking process; crustaceans, in shell, cooked by steaming or by boiling
030611 Rock lobster and other sea crawfish (Palinurus spp., Panulirus spp., Jasus spp.)
030612 Lobsters (Homarus spp.)
030614 Crabs
030616 Coldwater shrimps and prawns (Pandalus spp., Crangon crangon)
030617 Other shrimps and prawns
030619 Other, including flours, meals and pellets of crustaceans, fit for human consumption
0307 Molluscs, whether in shell or not, live, fresh, chilled, frozen, dried, salted or in brine; smoked molluscs, whether in shell or not, whether or not cooked before or during the smoking process; flours, meals and pellets of molluscs, fit for human consumpt
030749 Other
030759 Other
213 Prepared & preserved vegetables, pulses & potatoes
0710 Vegetables (uncooked or cooked by steaming or boiling in water), frozen.
071021 Peas (Pisum sativum)
071022 Beans (Vigna spp., Phaseolus spp.)
071029 Other
071040 Sweet corn
071080 Other vegetables
071090 Mixtures of vegetables
0711 Vegetables provisionally preserved (for example, by sulphur dioxide gas, in brine, in sulphur water or in other preservative solutions), but unsuitable in that state for immediate consumption.
071140 Cucumbers and gherkins
0712 Dried vegetables, whole, cut, sliced, broken or in powder, but not further prepared.
071231 Mushrooms of the genus Agaricus
071239 Other
071290 Other vegetables; mixtures of vegetables
214 Prepared & preserved fruits & nuts
0801 Coconuts, Brazil nuts and cashew nuts, fresh or dried, whether or not shelled or peeled.
080111 Desiccated
080119 Other
080132 Shelled
0802 Other nuts, fresh or dried, whether or not shelled or peeled.
080232 Shelled
080280 Areca nuts
0803 Bananas, including plantains, fresh or dried.
080310 Plantains
080390 Other
0804 Dates, figs, pineapples, avocados, guavas, mangoes and mangosteens, fresh or dried.
080430 Pineapples
080450 Guavas, mangoes and mangosteens
0805 Citrus fruit, fresh or dried.
080510 Oranges
080550 Lemons (Citrus limon, Citrus limonum) and limes (Citrus aurantifolia, Citrus latifolia)
080590 Other
0806 Grapes, fresh or dried.
080620 Dried
0811 Fruit and nuts, uncooked or cooked by steaming or boiling in water, frozen, whether or not containing added sugar or other sweetening matter.
081190 Other
0812 Fruit and nuts, provisionally preserved (for example, by sulphur dioxide gas, in brine, in sulphur water or in other preservative solutions), but unsuitable in that state for immediate consumption.
081290 Other
0813 Fruit, dried, other than that of headings 08.01 to 08.06; mixtures of nuts or dried fruits of this Chapter.
081340 Other fruit
081350 Mixtures of nuts or dried fruits of this Chapter
222 Other dairy products
0405 Butter and other fats and oils derived from milk; dairy spreads.
040510 Butter
040590 Other
0406 Cheese and curd.
040630 Processed cheese, not grated or powdered
040690 Other cheese
239 Food products n.e.c.
0408 Birds' eggs, not in shell, and egg yolks, fresh, dried, cooked by steaming or by boiling in water, moulded, frozen or otherwise preserved, whether or not containing added sugar or other sweetening matter.
040811 Dried
040891 Dried
040899 Other
0901 Coffee, whether or not roasted or decaffeinated; coffee husks and skins; coffee substitutes containing coffee in any proportion.
090112 Decaffeinated
090121 Not decaffeinated
090190 Other
0902 Tea, whether or not flavoured.
090210 Green tea (not fermented) in immediate packings of a content not exceeding 3 kg
090230 Black tea (fermented) and partly fermented tea, in immediate packings of a content not exceeding 3 kg
391 Wastes from food & tobacco industry
0506 Bones and horncores, unworked, defatted, simply prepared (but not cut to shape), treated with acid or degelatinised; powder and waste of these products.
050610 Ossein and bones treated with acid
050690 Other
0507 Ivory, tortoiseshell, whalebone and whalebone hair, horns, antlers, hooves, nails, claws and beaks, unworked or simply prepared but not cut to shape; powder and waste of these products.
050790 Other
0510 Ambergris, castoreum, civet and musk; cantharides; bile, whether or not dried; glands and other animal products used in the preparation of pharmaceutical products, fresh, chilled, frozen or otherwise provisionally preserved.
051000 Ambergris, castoreum, civet and musk; cantharides; bile, whether or not dried; glands and other animal products used in the preparation of pharmaceutical products, fresh, chilled, frozen or otherwise provisionally preserved.

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