Duty Drawback (AIR) vs RoDTEP Explainer

The comparison uses CBIC All Industry Rate schedules and DGFT RoDTEP notifications. Verify final entitlement before claiming.

Compare the All Industry Rate duty drawback and RoDTEP benefits for a shipment, see which pays more at your rates, and understand the eligibility rules for each scheme. Free for Indian exporters.

Last updated: · By One Link Exim Solutions

Quick Answer: Which Scheme Pays More?

Duty Drawback (All Industry Rate) refunds customs and excise duties embedded in exported goods, computed as a percentage of FOB value and auto-credited through the shipping bill on ICEGATE. RoDTEP (Remission of Duties and Taxes on Exported Products) refunds un-refunded embedded taxes and duties, issued as transferable e-scrips in your ICEGATE ledger.

Both are calculated on FOB value, but the better option depends on your product's notified rates. Use the calculator below to compare, then verify your ITC-HS code rate on the DGFT portal and CBIC schedules before claiming.

Shipment Details

Enter your FOB value and applicable rates to compare benefits.

Quick rates (illustrative examples):

Quick-rate chips show illustrative sector examples only. Actual rates vary by ITC-HS code — always verify on the DGFT/CBIC schedules.

Incentive Claim Support

Confused about which scheme applies to your product? Submit your HS code for expert guidance on drawback and RoDTEP claims.

Benefit Comparison

Estimated benefit under each scheme at the entered rates (indicative only).

Important: Rates shown are examples. Drawback and RoDTEP rates are product-specific and notified by CBIC/DGFT. Both schemes have separate eligibility; some products are excluded from RoDTEP. Always verify your ITC-HS code rate before claiming.

Duty Drawback vs RoDTEP — At a Glance

BasisDuty Drawback (AIR)RoDTEP
Administered byCBIC (Customs)DGFT
Rate sourceAll Industry Rate / Brand Rate schedulesRoDTEP schedule for ITC-HS codes
Claimed viaShipping bill (customs) — auto-credited on ICEGATERoDTEP claim on DGFT / ICEGATE, credited as scrip/amount
Typical basisFOB value × rateFOB value × rate
Benefit formCash refund to bank accountTransferable e-scrip in ICEGATE ledger
TransferabilityNot transferable (cash)Freely transferable to other importers
ValidityN/A (cash credited)12 months from issue
Key exclusionsDuty-free imports / AA-DFIA exportsSeveral product categories; check schedule

How to Use This Tool

  1. Enter your FOB value — the Free On Board value of your shipment in Indian Rupees.
  2. Enter your rates — your product's All Industry Rate (AIR) drawback percentage and RoDTEP percentage. Use the quick-rate chips for illustrative sector examples, or look up your exact ITC-HS code rate on the DGFT RoDTEP schedule and CBIC drawback schedule.
  3. Click "Compare Benefits" — the tool calculates the estimated benefit under each scheme, shows the difference, and displays a visual bar comparison. It also suggests which scheme leads at your entered rates.
  4. Verify before claiming — always confirm your product's notified rate and eligibility on the official DGFT and CBIC portals before filing a claim.

Understanding Your Export Incentives

Duty Drawback refunds customs/excise duties embedded in exported goods, computed at All Industry Rates on the FOB value. It is processed through the shipping bill at the time of export via ICEGATE. The All Industry Rate (AIR) schedule is notified by CBIC and covers thousands of product categories, with rates expressed as a percentage of FOB value or a fixed amount per unit. Drawback is typically credited as cash to the exporter's bank account linked to the shipping bill, usually within days of export.

RoDTEP (Remission of Duties and Taxes on Exported Products) replaced the earlier MEIS scheme and refunds un-refunded embedded taxes and duties on exported products at notified rates. Claims are filed with DGFT and tracked through the RoDTEP estimator flow. RoDTEP benefits are issued as transferable electronic duty credit scrips (e-scrips) in your ICEGATE ledger, valid for 12 months. These scrips can be used to pay basic customs duty on imports or sold/transferred to other importers, typically at a small discount to face value.

Both benefits are computed on FOB value, but eligibility rules differ by product, scheme history (AA/DFIA/EPCG exports are typically excluded from drawback), and DGFT notifications. Use this tool to compare rates, then confirm applicability with your CHA or consultant before claiming.

Worked Example

Suppose you export a shipment with an FOB value of ₹10,00,000. Your product's AIR drawback rate is 1.3% and its RoDTEP rate is 1.5%:

However, the actual benefit depends on your product's notified rates, quantity caps (for RoDTEP), and eligibility. Always verify before claiming.

How to Claim Each Scheme

Duty Drawback (AIR) claim process:

  1. File your shipping bill on ICEGATE with correct HS codes and FOB values.
  2. Customs automatically computes the drawback amount based on the AIR schedule.
  3. The amount is credited to your bank account linked to the shipping bill, usually within days.

RoDTEP claim process:

  1. File your shipping bill on ICEGATE with correct ITC-HS codes and FOB values.
  2. Customs processes the shipping bill and generates the RoDTEP e-scrip in your ICEGATE ledger.
  3. Use the e-scrip to pay basic customs duty on imports, or transfer/sell it to other importers.

You need a valid IEC (Import Export Code) and a Class 3 Digital Signature Certificate to access the ICEGATE ledger and file claims.

Official References & Sources

Verify your product's rates and eligibility on these official government portals:

Frequently Asked Questions

Can I claim both drawback and RoDTEP on the same shipment?
In general, exports made under duty-exemption schemes (Advance Authorization, DFIA, EPCG) are excluded from drawback. RoDTEP applies to most other exports. Whether both can be claimed depends on the product and notifications; verify with your CHA.
How do I find my product's RoDTEP rate?
Check the RoDTEP schedule on the DGFT portal for your 8-digit ITC-HS code. Rates are notified in percentage of FOB and change periodically.
Where is drawback credited?
Duty drawback under AIR is automatically computed at customs and credited to your bank account linked to the shipping bill, usually within days of export.
What is the difference between duty drawback and RoDTEP?
Duty drawback (All Industry Rate) refunds customs duties paid on inputs, while RoDTEP refunds embedded taxes on exported products. This tool compares both benefits for your shipment and suggests the better option.
Are the benefit calculations official?
No — figures are estimates based on CBIC AIR drawback schedules and DGFT RoDTEP notifications. Verify final entitlement on the official portals before claiming.
Is the Drawback vs RoDTEP free to use?
Yes. The Drawback vs RoDTEP is 100% free for personal and commercial use — no registration, login or payment required.
What is the All Industry Rate (AIR) for duty drawback?
The All Industry Rate (AIR) is a schedule of duty drawback rates notified by CBIC for various product categories. It is expressed as a percentage of FOB value or a fixed amount per unit, and is automatically applied at the time of export through the shipping bill.
How is RoDTEP benefit paid — cash or scrip?
RoDTEP benefits are issued as transferable electronic duty credit scrips (e-scrips) in your ICEGATE ledger, not as cash. These scrips can be used to pay basic customs duty on imports or sold/transferred to other importers.
Which products are excluded from RoDTEP?
RoDTEP excludes certain product categories including petroleum products, some minerals, and goods exported under Advance Authorization, DFIA, and EPCG schemes. The DGFT RoDTEP schedule lists eligible ITC-HS codes and their rates.
Is RoDTEP benefit taxable?
Yes, RoDTEP benefits received as e-scrips are taxable as business income under the Income Tax Act. The scrip value should be accounted for in your books. GST is not applicable on the RoDTEP scrip itself.
How long is a RoDTEP e-scrip valid?
RoDTEP e-scrips are valid for 12 months from the date of issue. Unused scrips expire after this period, so exporters and buyers should plan utilization or transfer within the validity window.
What documents do I need to claim drawback or RoDTEP?
You need a valid IEC (Import Export Code), a Class 3 Digital Signature Certificate (DSC) for ICEGATE access, and your shipping bill details. Drawback is auto-credited via the shipping bill; RoDTEP e-scrips are generated in your ICEGATE ledger after customs processing.