New Delhi, Sep 2 (UNI) The total reward which may be granted to an Importer-Exporter Code holder under the Merchandise Exports from India Scheme will not exceed Rs 2 crore per IEC of exports made during September 1 to December 31, 2020, the government has said.
A notification imposing the limit on total rewards under the MEIS was issued by Directorate Generate of Foreign Trade (DGFT) on Tuesday evening.
Further, it has also been informed that any IEC holder who has not made any exports for a period of one year preceding 1.9.2020 or any new IECs obtained on or after 1st September would not be eligible for submitting any claim under MEIS.
In addition, MEIS Scheme is withdrawn with effect ffrom January 1, 2021. The above ceiling will be subject to further downward revision to ensure that the total claim under MEIS for the period September 1 to December 31, 2020 does not exceed prescribed allocation by the Government which is Rs 5,000 Crore.
It is estimated that 98 per cent of the exporters’ claim of MEIS will be unaffected by the changes. The unaffected exporters who have already factored in MEIS in the pricing of their products do not face any change or uncertainty since neither coverage of products nor rates of MEIS will be changed.
An advance notice of 4 months of the end date of MEIS provides certainty for the future pricing decisions.