The Indian government has set up two panels to review and overhaul its flagship export tax refund schemes, aiming to improve fund utilisation and make reimbursements more targeted. The move comes amid global trade uncertainties affecting Indian exporters.

The review covers the Remission of Duties and Taxes on Exported Products (RoDTEP) and the Rebate of State and Central Taxes and Levies (RoSCTL) schemes. These programmes help exporters recover taxes and levies, improving the global competitiveness of Indian goods.

The initiative follows a recommendation by the Expenditure Finance Committee to ensure better targeting and optimal use of funds. The Commerce and Textiles ministries have sought nearly ₹2 trillion over five years for the two schemes.

The panels' recommendations are likely to be considered during the upcoming Union Budget deliberations. Any changes could affect exporters across sectors, including textiles and apparel.