Let’s discuss different export incentive schemes in India in detail:

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Types of Export Incentives in India
The Indian government provides various export incentives to keep domestic products competitive globally. Some of the most common export incentives include direct payments, export subsidies, tax exemption on export profits, low-cost loans, and government-financed international advertising.



1. Advance Authorization Scheme
As part of this scheme, businesses are allowed to import input in the country without having to pay duty payment, if this input is for the production of an export item. Moreover, the licensing authority has fixed the value of the additional nepal phone number list export products to not below 15%. The scheme typically has a validity period of 12 months for imports and 18 months for carrying out the Export Obligation (EO) from the date of issue.

Under this scheme, an exporter also gets the cost of inputs, fuel, or packaging material spent in producing an export product. However, the quantity of input for a given product is based on particular criteria, which may include the waste generated in the manufacturing process.

2. Advance Authorisation For Annual Requirement
Under the Advance Authorisation Scheme, exporters are authorised to import duty-free inputs, which are physically integrated into the export product. However, only the exporters who have a previous export performance for at least two financial years can avail of the Advance Authorization for Annual Requirement scheme and its export benefits in India.