In exercise of power conferred under paragraph 103 of the Foreign Trade Policy 20152020 the Directorate General

## Report on Amendments to the Merchandise Exports from India Scheme (MEIS) **1. Executive Summary:** This report analyzes a public notice issued by the Directorate General of Foreign Trade (DGFT), Government of India, pertaining to amendments in the Appendix 3B, Table 2 of the Merchandise Exports from India Scheme (MEIS). The amendment, effective from July 27, 2021, adds two new entries to the MEIS schedule, specifically including ITC HS codes 30036000 and 30046000 (related to antimalarial active principles) for MEIS benefits. This inclusion aims to incentivize exports of these specific pharmaceutical products by making them eligible for a 3% MEIS benefit for exports made between January 1, 2017, and December 31, 2020. **2. Introduction:** This report provides an informative analysis of Public Notice No. 18/2015-2020, dated July 27, 2021, issued by the Directorate General of Foreign Trade (DGFT). The report focuses on the amendments made to the Merchandise Exports from India Scheme (MEIS) as detailed within the provided text. **3. Policy Overview:** * This public notice amends the existing Merchandise Exports from India Scheme (MEIS), specifically Appendix 3B, Table 2. The original MEIS was issued vide Public Notice 61 dated 07.03.2017 and amended from time to time. * **Core Objective:** The core objective, as inferred from the text, is to incentivize the export of specific pharmaceutical products containing antimalarial active principles, by including them in the MEIS schedule. **4. Background and Rationale:** The amendment likely aims to address the export competitiveness of specific pharmaceutical products containing antimalarial active principles (ITC HS codes 30036000 and 30046000). By including these products under the MEIS, the government aims to provide exporters with an incentive to increase exports of these items, which could be vital for both economic and public health reasons. The retroactive nature (01.01.2017 to 31.12.2020) suggests a desire to retroactively support exporters who may have already been exporting these goods. **5. Key Provisions / Changes:** This public notice introduces specific changes to the MEIS scheme by adding two new entries to Appendix 3B, Table 2. * **Specific Part of Original Policy Changed:** Appendix 3B, Table 2 of the MEIS is being amended. * **New Rule/Provision:** The amendment adds the following two entries: * MEIS Serial No. 8145, HS code 30036000: Other, containing antimalarial active principles described in Subheading Note 2 of chapter 30 of ITC HS * MEIS Serial No. 8146, HS code 30046000: Other, containing antimalarial active principles described in Subheading Note 2 of chapter 30 of ITC HS * **Effect of Change:** The addition of these entries makes exports of these specific pharmaceutical products eligible for MEIS benefits at a rate of 3% for exports made during the period January 1, 2017, to December 31, 2020. This provides a financial incentive to exporters of these goods. **6. Target Audience and Stakeholders:** The primary target audience and stakeholders directly affected by this amendment are: * Manufacturers and exporters of pharmaceutical products falling under ITC HS codes 30036000 and 30046000, specifically those containing antimalarial active principles. * The Directorate General of Foreign Trade (DGFT) as the implementing agency. **7. Implementation Aspects (Inferred):** * **Responsible agency:** The Directorate General of Foreign Trade (DGFT) is responsible for implementing and administering the MEIS scheme and this amendment. * **Timeline:** The amendment specifies that the MEIS benefit is applicable for exports made during the period January 1, 2017, to December 31, 2020. * Exporters will likely need to follow the standard MEIS application procedures to claim the 3% benefit for eligible exports made during the specified period. **8. Expected Outcomes / Impact of Changes:** The likely intended outcome of these changes is to: * Increase exports of pharmaceutical products containing antimalarial active principles. * Improve the competitiveness of Indian exporters of these products in the global market. * Potentially increase the availability of these critical medicines in countries where malaria is prevalent. * Provide financial support to exporters who have already been exporting these goods during the specified period. **9. Conclusion:** The amendment to the MEIS, as detailed in Public Notice No. 18/2015-2020, provides a targeted incentive for the export of specific pharmaceutical products containing antimalarial active principles. By including ITC HS codes 30036000 and 30046000 in the MEIS schedule with a 3% benefit, the government aims to boost exports and support the pharmaceutical industry's contribution to the Indian economy and global health. This retroactive benefit highlights a commitment to supporting exporters of these essential medicines.

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