MEIS Scheme: An Overview

The Merchandise Exports from India Scheme (MEIS) is an export incentive scheme instigated with an objective to promote the export of goods from India. Under this scheme, exporters gain rewards to offset inefficiencies and associated costs. These incentives range from 2%- 7% of the FOB (Free- On-Board) value of exports for the notified/specified products by the DGFT.

 

The products having higher export intensity, the ability for employment generation in the country, and enhancing the competitiveness of Indian goods in the global market are focused under MEIS Scheme. 

Under the MEIS Scheme, incentives can be claimed through a Duty Credit Scrip or MEIS License that can be used as a mode of payment for import duties or be sold at premium rates in the open market.

There are five schemes merged under the MEIS Scheme: Focus Market Scheme, Focus Product Scheme, Vishesh Krishi Gramin Udyog Yojana, Market Linked Focus Product Scheme,  Agri Infrastructure incentive scheme under  Foreign Trade Policy (FTP) 2009-14. This replacement resulted in the removal of various kinds of restrictions and significantly increased the scope of export incentive schemes existing in earlier FTP. 

Benefits that weren’t permitted for exports under the Special Economic Zone (SEZ) under the previous export incentive schemes, can now be claimed with the MEIS Scheme. These benefits can be availed by the exporters upon the goods eligible as per Appendix 3B.

Eligibility criteria for MEIS Scheme 

Mentioned below is the eligibility criteria for the Merchandise Exports from India Scheme (MEIS):

  • Every exporter, irrespective of the merchant or manufacturer exporter, exporting products mentioned in Appendix 3B- MEIS Schedule will be able to claim incentives under the MEIS Scheme. 

  • Eligibility entirely depends on the product exported. As per the recent circular, exported products, irrespective of the country of export can claim incentives. MEIS Scheme is acceptable for all countries.

  • SEZ Units and EOU Units are eligible to claim benefits under the MEIS Scheme.

  • The minimum turnover criteria to claim the MEIS isn’t specified yet.

  • Products exported through e-commerce platforms via courier are also eligible.

  • The exported product must be of Indian origin, re-exported products aren’t eligible.

  • The shipping bills containing the Declaration of Intent and the Scheme reward option are marked YES are eligible for the MEIS Scheme.

 


How can the Gurus assist you to claim the MEIS Scheme benefit?

  • Consulting our clients to get informed about the benefits they can claim on their products by checking their eligibility.

  • We regularly keep in touch and assist our clients throughout the process of preparation of documents providing hassle-free services.

  • We assist in the preparation as well as submission of applications online for acquiring the SEIS Licence under the MEIS Scheme.

  • Registration for the MEIS License is done conveniently in custom from our office.

  • You may seek assistance in the selling of the MEIS License and transfer of documentation to the buyer.

  • We also do the online transfer by recording the details on the DGFT website itself.

What are the rewards mentioned under the MEIS Scheme?

The exporter can claim incentives under the MEIS Scheme through the MEIS License or the Duty Credit Scrip (DCS). the MEIS License or DCS is freely transferable, i.e., they can be sold to anyone if the holder has no foreseen benefits. The buyer can utilize the MEIS License for a waiver of their import duty. 

What are the specified MEIS Rates?

Underneath the MEIS Scheme, the benefits are estimated as a percentage of the FOB value of the export of products that are notified and are exported to the notified markets.

Product incentives under the MEIS Scheme may vary from product to product and country to country.  Appendix 3B of FTP, categorized according to the ITC (HS) code has the specified reward rate. The MEIS reward rates vary from product to product with a range of 2% to 5% majorly. For some products, it can be 7% as well.

According to the recent amendment, differentiation has been done country-wise by expanding the market coverage to all countries for the MEIS incentives.

Why DGFT Gurus for Consulting?

  • Our team has an ample amount of expertise gained over 30 years in the field of DGFT Consultancy Services. Our success reflects from more than 7000 successful cases with 1000+ happy clients.

  • Our DGFT Advisors assist the clients throughout the process of preparing the documents to provide hassle-free services. 

  • We also help in preparing and submission of applications online for the license underneath the SEIS Scheme.

  • The team gets regular follow-ups at the DGFT department to get the documents and approvals at the earliest.

  • Our DGFT Advisors also extend their expert services for the sale of licenses in the market for the best rate available, and documentation for transferring the license to the buyer.

  • The transfer is done online along with recording the details on the DGFT website.

  • We make sure the entire procedure is executed without delays.

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