Press Information Bureau

Government of India

Ministry of Commerce & Industry

14-December-2016 15:18 IST

The Government has introduced the Service Exports from India Scheme (SEIS) w.e.f. 01.04.2015 under the Foreign Trade Policy (FTP), 2015-20 replacing the earlier scheme 'Served from India Scheme’ under the FTP, 2009-15. Under SEIS, the service providers of notified services are incentivized in the form of Duty Credit Scrips at the rate of 3 or 5% on their net foreign exchange earnings. These SEIS scrips are transferrable and can also be used for payment of a number of Central duties/taxes including the basic customs duty.

Apart from services, there is also a scheme for incentivizing export of merchandise/goods. The Merchandise Exports from India Scheme (MEIS) in the Foreign Trade Policy (FTP) 2015-20 operating since April 1, 2015 rewards export of merchandise which are produced/manufactured in India through Duty Credit Scrips which are transferable and can be used to pay Central duties/taxes including customs duties.

SEIS and MEIS schemes are designed to make our exports (both services & goods) globally competitive.

This information was given by the Commerce and Industry Minister Smt. Nirmala Sitharaman in a written reply in Lok Sabha.

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MJPS

Service export incentives: transferable duty credit scrips ease duty liabilities and boost export competitiveness. The Service Exports from India Scheme (SEIS) issues transferable Duty Credit Scrips to notified service providers based on net foreign exchange earnings; these scrips, introduced from April 1, 2015 and replacing the earlier Served from India arrangement, may be used to pay various Central duties and taxes including basic customs duty. The Merchandise Exports from India Scheme (MEIS) similarly rewards goods exports produced in India with transferable Duty Credit Scrips under the Foreign Trade Policy, 2015-20, with both schemes intended to boost export competitiveness.