Government of India has introduced export incentives under the Foreign Trade Policy (FTP) 2015-20. The main objective of the scheme is to make our services globally competitive in terms of price and to provide rewards to the exporters. The exports incentives are categorized broadly into two schemes respectively:
1.Service Export from India Scheme (SEIS)
Under this scheme service providers of notified services are incentivized in the form of Duty credit scrips calculated on their net foreign exchange earnings. These SEIS scrips are freely transferable and can also be used for payment of a number of Central duties or taxes including the basic customs duty. The rewards under SEIS shall be admissible for export of services rendered on or after 01.04.2015
2. Merchandise Export from India Scheme (MEIS)
Objective of MEIS scheme is to promote the manufacture and export of notified goods or products. Under this scheme exporters are rewarded on various notified goods based on the HSN code of the product. Reward is calculated on the basis of FOB value of exports in free foreign exchange.