Merchandise Exports from India Scheme

What is MEIS scheme about?

Government of India (Director General of Foreign Trade (DGFT)) has introduced Merchandise Exports from India Scheme (MEIS) under Foreign Trade Policy (FTP 2015-2020). FTP 2015-2020 introduces two 2 new incentive schemes such as Merchandise Exports from India Scheme (MEIS) and Service Exports from India Scheme (SEIS). These schemes are basically incentive schemes to motivate exporters from india. Merchandise Exports from India Scheme (MEIS) schemes was earlier distributed with 5 different forms of incentives which were called as follows:

  1. Focus Product Scheme (FPS)
  2. Focus Market Scheme (FMS)
  3. Market Linked Focus Product Scheme (MLFPS)
  4. Infrastructure incentive scheme
  5. Vishesh Krishi Gramin Upaj Yojna (VKGUY)

The above incentive schemes were announced and being distributed for exporters from india under foreign trade policy 2009-2014 (FTP 2009-14). Now, all the above 5 schemes have been merged into one scheme and it is introduced as Merchandise Exports from India Scheme (MEIS). The intend of this incentive scheme to motivate to produce competitive products under make in India to the global market. The value of the incentives are categorized into three different group of market segment along with its harmonized codes (ITC HS Code). It is called Group A, B and C. Group-A are destinations of European (EU) countries and United States of America (USA). Group B covers all major destinations in the worlds and it has the highest value of incentive. Group C are countries of SAARC, Australia, New Neland and African countries. Group C has almost no incentive at all.

Rate of Merchandise Exports from India Scheme (MEIS) incentive:

Merchandise Exports from India Scheme (MEIS) incentive rates are fixed as percentage for eligible ITC HS Code along with is group country as 2,3 or 5% of the credited FOB value of exports.

Merchandise Exports from India Scheme (MEIS) distribution and artifact coverage:

Merchandise Exports from India Scheme (MEIS) incentive scheme was introduced on 1st April 2015 to cover above 5000 ITC HS Code tariff items. Government of India allocates around 21000 crores per annum for Merchandise Exports from India Scheme (MEIS).

How to use Merchandise Exports from India Scheme (MEIS) duty scripts?

Merchandise Exports from India Scheme (MEIS) duty scrips can used for payment of a number of duties such as payment of taxes including the customs duty, central excise duty and service tax. Merchandise Exports from India Scheme (MEIS) scrips are fully transferrable.

Which are Ineligible categories under Merchandise Export from India Scheme (MEIS)?

The following exports categories /sectors shall be ineligible for Duty Credit Scrip entitlement under Merchandise Exports from India Scheme (MEIS):

  1. EOUs / EHTPs / BTPs/ STPs who are availing direct tax benefits / exemption
  2. Supplies made from DTA units to SEZ units
  3. Export of imported goods covered under paragraph 2.46 of FTP
  4. Exports through trans-shipment, meaning thereby exports that are originating in third country but trans-shipped through India
  5. Deemed Exports; SEZ/EOU/EHTP/BPT/FTWZ products exported through DTA units
  6. Items, which are restricted or prohibited for export under Schedule-2 of Export Policy in ITC (HS), unless specifically notified in Appendix 3B
  7. Service Export
  8. Red sanders and beach sand
  9. Export products which are subject to Minimum export price or export duty
  10. Diamond Gold, Silver, Platinum, other precious metal in any form including plain and studded jewellery and other precious and semi-precious stones
  11. Ores and concentrates of all types and in all formations
  12. Cereals of all types
  13. Sugar of all types and all forms
  14. Crude / petroleum oil and crude / primary and base products of all types and all formulations
  15. Export of milk and milk products
  16. Export of Meat and Meat Products
  17. Products wherein precious metal/diamond are used or Articles which are studded with precious stones
  18. Exports made by units in FTWZ
  19. Remittances through Credit Card and other instruments for MEIS: Free Foreign Exchange earned through international credit cards and other instruments, as permitted by RBI shall also be taken into account for computation of value of exports.

What is the list of Countries covered under Merchandise Exports from India Scheme (MEIS)?

I-Country Group A 

(1) Austria, (2) Belgium, (3) Bulgaria, (4) Canada, (5) Croatia, (6) Cyprus, (7) Czech Republic, (8) Denmark, (9) Estonia, (10) Finland, (11) France, (12) Germany, (13) Greece, (14) Hungary, (15) Ireland, (16) Italy, (17) Latvia, (18) Lithuania, (19) Luxembourg, (20) Malta, (21) Netherlands, (22) Poland, (23) Portugal, (24) Romania, (25) Slovak Republic, (26) Slovenia, (27) Spain, (28) Sweden, (29) United Kingdom, (30) United States of America (Total 30 Countries)

II-Country Group B 

(1)Algeria, (2) Angola, (3) Antigua, (4) Argentina, (5) Armenia, (6) Azerbaijan, (7) Bahamas, (8) Bahrain , (9) Barbados, (10) Belarus, (11) Belize, (12) Benin, (13) Bermuda, (14) Bolivia, (15) Botswana, (16) British Virgin Islands, (17) Brazil, (18) Brunei, (19) Burkina Faso, (20) Burundi, (21) Central African Republic, (22) Cambodia, (23) Cameroon, (24) Canary Island, (25) Cape Verde Island, (26) Cayman Island, (27) Chad, (28) Chile, (29) China PRP, (30) Colombia, (31) Comoros, (32) Congo Democratic Republic, (33) Congo Republic, (34) Costa Rica, (35) Cote D’ Ivoire, (36) Cuba, (37) Djibouti, (38) Dominic Rep, (39) Dominica, (40) Ecuador, (41) Egypt , (42) El Salvador, (43) Equatorial Guinea, (44) Ethiopia, (45) Falkland Island, (46) French Guiana, (47) Gabon, (48) Gambia, (49) Georgia, (50) Ghana, (51) Grenada, (52) Guadeloupe, (53) Guatemala, (54) Guinea, (55) Guinea Bissau, (56) Guyana, (57) Haiti, (58) Honduras, (59) Indonesia, (60) Iran, (61) Iraq, (62) Israel, (63) Jamaica, (64) Japan, (65) Jordan, (66) Kazakhstan, (67) Kenya, (68) Korea Republic (south Korea), (69) Kuwait, (70) Kyrgyzstan, (71) Lao PDR, (72) Lebanon, (73) Lesotho, (74) Liberia, (75) Libya, (76) Madagascar, (77) Malawi, (78) Malaysia, (79) Mali, (80) Martinique, (81) Mauritania, (82) Mauritius, (83) Mexico, (84) Moldova, (85) Montserrat, (86) Morocco, (87) Mozambique, (88) Myanmar, (89) Namibia, (90) Netherland Antilles, (91) Nicaragua, (92) Niger, (93) Nigeria, (94) Oman, (95) Panama Republic, (96) Paraguay, (97) Peru, (98) Philippines, (99) Qatar, (100) Reunion, (101) Russia, (102) Rwanda, (103) Sao Tome, (104) Saudi Arab, (105) Senegal, (106) Seychelles, (107) Sierra Leone, (108) Singapore, (109) Somalia, (110) South Africa, (111) St Helena, (112) St Kitt N A, (113) St Lucia, (114) St Vincent, (115) Sudan, (116) Suriname, (117) Swaziland, (118) Syria, (119) Taiwan, (120) Tajikistan, (121) Tanzania Republic, (122) Thailand, (123) Togo, (124) Trinidad, (125) Tunisia, (126) Turkey, (127) Turkmenistan, (128) Turks and Caicos Islands, (129) United Arab Emirates, (130) Uganda, (131) Ukraine, (132) Uruguay, (133) Uzbekistan, (134) Venezuela, (135) Vietnam Socialist Republic, (136) Virgin Island Us, (137) Yemen Republic, (138) Zambia, (139) Zimbabwe.(139 Countries)

III-Country Group C

(1)Afghanistan, (2) Albania, (3) American Samoa, (4) Andorra, (5) Anguilla, (6) Antarctica, (7) Aruba, (8) Australia, (9) Bangladesh, (10) Bhutan, (11) Bosnia and Herzegovina, (12) Channel Islands, (13) Christmas Islands, (14) Cocos Islands, (15) Cook Islands, (16) Eritrea, (17) Faroe Islands, (18) Fiji Island, (19) French Polynesia, (20) French Southern and Antarctic Lands (Fr S Ant Tr), (21) Gibraltar, (22) Greenland, (23) Guam, (24) Heard Macdonald, (25) Hong Kong, (26) Iceland, (27) Kiribati Rep, (28) Korea DPR (North Korea), (29) Liechtenstein, (30) Macao, (31) Macedonia, (32) Maldives, (33) Marshall Islands, (34) Micronesia, (35) Monaco, (36) Mongolia, (37) Montenegro, (38) N. Mariana Islands, (39) Nauru Republic, (40) Nepal, (41) Neutral Zone, (42) New Caledonia, (43) New Zealand, (44) Niue Islands, (45) Norfolk Islands, (46) Norway, (47) Pacific Islands, (48) Pakistan, (49) Palau, (50) Panama, (51) Papua New Guyana, (52) Pitcairn Islands, (53) Puerto Rico, (54) SaharwiA.Dm Republic, (55) Samoa, (56) San Marino, (57) Serbia, (58) Solomon Island, (59) Sri Lanka DSR, (60) St Pierre, (61) Switzerland, (62) Timor Leste, (63) Tokelau Islands, (64) Tonga, (65) Tuvalu, (66) Serbia (67) Montenegro, (68)Vanuatu Republic, (69) Territory of the Wallis and Futuna Islands(70) Any other country not listed in the Country Groups above will be treated as part of Country Group C (70 Countries)

What is the last date to file the application for Merchandise Exports from India Scheme (MEIS)?

  1. 12 months from the Let Export Order (LEO) date or
  2. 3 months from the date of:
    • Uploading of EDI shipping bills onto the DGFT server by customs
    • Printing /Release of shipping bills for non-edi shipping bills (whichever is later)

What is the validity period and revalidation of scrips for Merchandise Exports from India Scheme (MEIS)?

  1. Merchandise Exports from India Scheme (MEIS) scrips can be issued for any value. Im case if the exporter wants multiple scrips then the minimum value of each Merchandise Exports from India Scheme (MEIS) would be 5 lakhs and thereof multiples will be issued.
  2. In case of EDI enabled ports, the split certificates shall be permitted with the same port of registration as appearing on the original scrip
  3. In case of the export through non-edi ports, the facility of split is not permitted.