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Export Incentives
Zero-Rating Global Trade

Taxes cannot be exported. We architect supply chains using Advance Authorizations, Duty Drawback, and RoDTEP frameworks to completely neutralize input taxes, securing your competitive pricing advantage in global markets.

Ideal for: Auto-component Manufacturers, Textile Exporters, Pharmaceutical Producers, and Deemed Exporters.

60-90%
Reduction in Net Duty
₹1-4Cr
Annual Recovery Potential
100%
EODC Fulfillment Rate

The Profitability Leak

Exporters frequently fail to claim their rightful duty remissions due to the sheer complexity of DGFT procedures, resulting in millions of rupees acting as dead weight in product pricing.

Capital Lock-in (Drawback)

Paying 10-15% BCD upfront on raw materials blocks massive working capital for 6-9 months until the goods are exported and drawback refunds are processed.

Cost: High financing charges and restrictive cash flow.

Input-Output Friction

Manufacturing processes that don't neatly fit the government's standard norms (SION) are continually rejected for Advance Authorization duty-free imports.

Cost: Forced back into the less lucrative Drawback system.

Export Obligation Default

Failure to submit strict documentary proof of export (EODC) within the stipulated timeframe triggers devastating demands for the exempted duty, plus interest at 15%.

Cost: Retrospective taxation and DGFT Blacklisting (DEL).

DGFT Incentive Architecture

Mathematical Scheme Selection

We run concurrent models comparing Duty Drawback vs. Advance Authorization vs. MOOWR frameworks against your specific bill of materials to identify the absolute highest net-margin yield.

Advance Authorization

Securing upfront 0% duty on high-value inputs. Where standard SIONs do not exist, we execute complex engineering representations before the Norms Committee to establish ad-hoc norms for your unique products.

RoDTEP Optimization

Auditing shipping bill declarations to ensure no embedded taxes (fuel tax, electricity duties, stamp duties) are left unrecovered. We manage the E-Scrip ledgers for monetization.

EODC Securitization

Ironclad tracking of your Export Obligations. We correlate e-BRCs (Bank Realization Certificates) with Shipping Bills, filing flawless redemption applications (EODC) to discharge your bond liabilities.

Case Study

Supply Chain Liquidity Unlocked

Client Profile

  • • Tier-1 Auto Component Exporter
  • • Importing specialized steel composites (₹15 Cr annually)
  • • Exporting finished precision gears to Germany
  • • Functioning purely on the All Industry Rate (AIR) Drawback

Capital Inefficiency

  • • The company was paying ₹1.8 Cr in Basic Customs Duty upfront every year.
  • • It took an average of 9 months to recover these funds via Drawback after export.
  • • Furthermore, standard drawback rates were insufficient to cover the high specific duties on their unique input steel.

Our Execution

  • • Shifted the procurement model entirely from Drawback to Advance Authorization.
  • • Petitioned the DGFT Norms Committee to establish a customized Standard Input Output Norm (SION) accounting for the high scrap rate of their specific manufacturing process.
  • • Implemented a strict internal tracking system ensuring 100% Export Obligation compliance.
₹1.8 Cr
Working Capital Freed Upfront
0%
Import Duty on Raw Materials
100%
Export Obligations Cleared
45 Days
Norms Authorization Secured

"Blocking almost two crores with customs every year was throttling our ability to invest in new machinery. Sami Tax proved our distinct manufacturing scrap rate to the DGFT, shifted us completely to duty-free imports under Advance Authorization, and injected immediate liquidity back into our operations."

— Executive Director, Precision Auto Components

Questions & Answers

DGFT Operations Explained

Understanding Advance Authorizations, RoDTEP rejections, and Deemed Exports.

The optimal choice fundamentally depends on your working capital constraints and the predictability of your supply chain.

Advance Authorization

Allows import of inputs at 0% Basic Customs Duty (BCD) and 0% IGST upfront.

Best for:

High-volume, consistent manufacturers who want to avoid blocking capital with the government for months.

Duty Drawback (All Industry Rate)

You pay all import duties upfront, export the final product, and then claim a fixed percentage refund.

Best for:

Smaller exporters or those with highly variable input requirements who prioritize administrative simplicity over cash flow.

The Sami Exception: Brand Rate Drawback. If the standard drawback rate covers less than 80% of actual duties paid, we file for a customized Brand Rate to recover the exact duties incurred.

RoDTEP (Remission of Duties and Taxes on Exported Products) refunds embedded local taxes that are not covered by GST or Drawback (e.g., VAT on transport fuel, Mandi Tax, stamp duties).

Claims are frequently rejected or held up at the port for three primary reasons:

  • Declaration Error: Failing to explicitly declare intent to claim RoDTEP on the Shipping Bill at the time of export. (This is fatal; it cannot be added retroactively).
  • Ineligible Categories: Exports under Advance Authorization or through EOUs/SEZs were historically ineligible, though recent Dgft notifications must be continuously tracked for sector-specific inclusions.
  • E-Scrip Ledger Failure: Not creating the mandatory ICEGATE electronic ledger to receive the transferable duty credit scrips.

Yes, if structured correctly.

When an Indian manufacturer supplies goods to an Advance Authorization holder, an EPCG license holder, or an EOU/SEZ unit, the goods do not physically leave India, but the transaction is treated as a "Deemed Export."

Benefits Available:

  • Advance Authorization for annual requirement.
  • Deemed Export Drawback (reclaiming basic customs duty paid on inputs).
  • Refund of terminal excise duty (where applicable).

Maximize Your Export Margins

Stop leaving embedded taxes on the table. We audit your supply chain to ensure every export transaction yields maximum legal incentives.