CONTENTS
- REMISSION OF DUTIES AND TAXES ON EXPORTED PRODUCTS (RODTEP) SCHEME
- GREEN HYDROGEN
- STUDENT ENTREPRENEURSHIP PROGRAM 3.0
REMISSION OF DUTIES AND TAXES ON EXPORTED PRODUCTS (RODTEP) SCHEME
Focus: GS III- Indian Economy
Why in news?
Centre has notified RoDTEP Scheme Guidelines and Rates (Remission of Duties and Taxes on Exported Products).
- The scheme for zero rating of exports will boost our exports & competitiveness in the global markets .
- The rates of RoDTEP will cover 8555 tariff lines.
About RoDTEP scheme:
- RoDTEP stands for Remission of Duties and Taxes on Export Products.
- It replaced MEIS (Merchandise Exports from India Scheme).
- The scheme will ensure that the exporters receive the refunds on the embedded taxes and duties previously non-recoverable.
- The scheme was brought about with the intention to boost exports which were relatively poor in volume previously.
Need for the RoDTEP Scheme
The US had challenged India’s key export subsidy schemes in the WTO (World Trade Organisation), claiming them to harm the American workers. A dispute panel in the WTO ruled against India, stating that the export subsidy programmes that were provided by the Government of India violated the provisions of the trade body’s norms. The panel further recommended that the export subsidy programmes be withdrawn. This led to the birth of the RoDTEP Scheme, so as to ensure that India stays WTO-compliant.
The following were some of the export subsidy programmes recommended to be withdrawn:-
- Merchandise Exports from India Scheme
- Export Oriented Units Scheme
- Electronics Hardware Technology Parks Scheme
- Bio-Technology Parks Scheme
- Export Promotion Capital Goods Scheme
- Special Economic Zones (SEZ) Scheme
- Duty-Free Imports for Exporters Scheme
Features of the RoDTEP Scheme
Refund of the previously non-refundable duties and taxes
- Mandi tax, VAT, Coal cess, Central Excise duty on fuel etc. will now be refunded under this particular scheme. All the items under the MEIS and the RoSTCL (Rebate of State and Central Taxes and Levies) are now under the purview of the RoDTEP Scheme.
Automated system of credit
- The refund will be issued in the form of transferable electronic scrips. These duty credits will be maintained and tracked through an electronic ledger.
Quick verification through digitisation
- Through the introduction of the digital platform, the clearance happens at a much faster rate. Verification of the records of the exporters will be done with the help of an IT-based risk management system to ensure speed and accuracy of transaction processing.
Multi-sector scheme
- Under RoDTEP, all sectors, including the textiles sector, are covered, so as to ensure uniformity across all areas. Additionally, a dedicated committee will be set up to decide regarding the sequence of introduction of the scheme across the various sectors, what degree of benefit is to be extended to each sector, and such related matters.
Eligibility to obtain benefits of the RoDTEP Scheme
- All sectors, including the textiles sector, may enjoy the benefits of the RoDTEP Scheme.
- Labor-intensive sectors that enjoy benefits under the MEIS Scheme will be given a priority.
- Manufacturer exporters and merchant exporters (traders) are both eligible for the benefits of this scheme.
- There is no particular turnover threshold to claim the RoDTEP.
- Re-exported products are not eligible under this scheme.
- To be eligible to avail the benefits of this scheme, the exported products need to have the country of origin as India.
- Special Economic Zone Units and Export Oriented Units are also eligible to claim the benefits under this scheme.
- Where goods have been exported via courier through e-commerce platforms, RoDTEP scheme applies to them as well.
GREEN HYDROGEN
Focus: GS III- Environment
Why in News?
UK expressed willingness for collaborating with India on Green Hydrogen.
About Green Hydrogen
- The technology for green hydrogen is based on the generation of hydrogen through electrolysis.
- It is a universal, light and highly reactive fuel.
- Under this method, electrical current is used to separate the hydrogen from the oxygen in the water.
- In case the electricity is produced through renewable sources of energy, the hydrogen would be green hydrogen.
- Hydrogen is the most abundant element on earth. Also, the global demand for hydrogen as a fuel has become thrice of what it was in 1975. It is also the only source of energy that only emits water vapour and leaves no residue in the air.
- Hydrogen has been used to fuel cars, airships and spaceships since the beginning of the 19th century.
Green Hydrogen Advantages
- Hydrogen is a 100 % sustainable source: Green hydrogen does not emit polluting gases in its combustion or production processes.
- Green Hydrogen is a gas and thus would be easily stored. It can be subsequently used for other purposes just following its production.
- It can be easily transformed into electricity or synthetic gas which can then be used for domestic, commercial, industrial purposes.
- Green hydrogen can be mixed with the natural gas, up to a maximum of 20 %. It can also be transported through the same pipes and in the same infrastructure.
Green Hydrogen Disadvantages
- Renewable sources, which would be used to generate green hydrogen through electrolysis, are extremely expensive currently taking the cost of the whole production to sky heights.
- The production of green hydrogen requires more energy than other fuels.
- Green hydrogen is an extremely volatile and flammable element. It needs extensive safety measures to prevent leakage and explosions.
Green Hydrogen Importance
- Hydrogen is being used across the United States, Russia, China, France and Germany. Countries like Japan desire to become a hydrogen economy in future.
- Green hydrogen can in future be used for
- Electricity and drinking water generation, energy storage, transportation etc.
- Green hydrogen can be used to provide water to the crew members in space stations.
- Energy storage- Compressed hydrogen tanks can store the energy longer and are easier to handle than lithium-ion batteries as they are lighter.
- Transport and mobility- Hydrogen can be used in heavy transport, aviation and maritime transport.
STUDENT ENTREPRENEURSHIP PROGRAM 3.0
Focus: GS III- Growth and development
Why in News?
Atal Innovation Mission in collaboration with Dassault Systems launched Student Entrepreneurship Program 3.0
About Student Entrepreneurship Program 3.0
- It is a program designed to push school students to become future innovators and entrepreneurs
- Atal Innovation Mission (AIM) NITI Aayog in collaboration with La Foundation Dassault Systems in India launched the third series of the ‘Student Entrepreneurship Program’ (SEP 3.0) for the young innovators of Atal Tinkering Labs (ATL).
- The theme of SEP 3.0 is based on the ‘Made in 3D – Seed the Future Entrepreneurs Program’, conceptualized and rolled out in France by La Main à la Pate Foundation and La Foundation Dassault Systèms Europe in 2017.
- As part of this program, a team from each school (6 students and a teacher) will be allocated seed funding towards creating their own start-up, design and prototype their innovation using 3D printing, prepare marketing campaign, define product pricing and create expansion strategy.
- With this they will receive real feel of ‘How a startup works!’. At the end of the program, each school’s Startup will participate in a playful competition and present their marketing campaign in front of experts from industry and academia.
- Keeping the essence of the program in mind, SEP3.0 will allow student innovators to work closely with Dassault volunteers and gain – Mentor support, Prototyping and testing support, End-User feedback, Intellectual Property registration and Patenting of ideas/processes/products, Manufacturing support, and launch of the product in the market.
- A total of 50 teams from 26 states are selected for the SEP 3.0.
- Top 20 teams of ATL Marathon 2019, 10 teams selected by Dassault, 10 teams from Aspirational Districts and 10 teams from Jammu, Kashmir, Ladakh and North east regions are selected.
- One of the interesting parts of the program will be interaction opportunities for students and teachers, between French and Indian schools.
- In addition to the development of Innovation mindset and exposure to start-up culture, school students and teachers will have a unique opportunity to interact and collaborate with French schools and French students for cultural and technical interactions.
