ANNOUNCEMENT 09 Jul 2012
In July 2012, the government of India announced a change in the tax legislation for exporters.
NUMBER OF INTERVENTIONS
On 9 July 2012, the Indian Ministry of Finance allowed exemptions to exporters under the Focus Product Scheme from payments of local excise duties (taxes on domestic production).
The Focus Product Scheme was launched in 2006 to offset high infrastructure and other market development costs for listed products that are deemed to have high export/employment potential. Exporters of these notified goods are entitled to a Duty Credit Scrip of 2% of the F.O.B value of exports. The scrip can be used to pay off various dues to the government.
The Focus Product Scheme expired with the launch of the new Foreign Trade Policy in April 2015.