Finance Minister Nirmala Sitharaman
Finance Minister Nirmala SitharamanIANS

Finance Minister Nirmala Sitharaman on Saturday, September 14, announced the Remission of Duties or Taxes on Export Product (RoDTEP) scheme to boost the exports. The news scheme will replace the existing Merchandise Exports From India Scheme (MEIS).

Revenue foregone as a result of RoDTEP implementation would be Rs 50,000 crore, she said.

The development comes in the backdrop of India's merchandise exports declining by 6.05 per cent to $26.13 billion in August compared to the year-ago month.

Addressing the press conference, Nirmala Sitharaman said, "The scheme of Remission of Duties or Taxes on Export Products (RoDTEP) is a new scheme, it shall completely replace all Merchandise Exports from India Scheme (MEIS) from January 1, 2020."

Sitharaman also announced interest equalisation for MSMEs to 5 per cent from 3 per cent. She said for small procedural defaults, small taxpayers would not be prosecuted.

Sitharaman added that all communications with assesses will be through technology or complete faceless dealings.

Sitharaman said the PSU banks are transmitting rate cuts and on September 19, she will meet bank PSU heads on this and discuss credit flows and the progress on rolling out partial credit scheme for PSU banks for buying high rated NBFC asset pools.

(With agency inputs)