CBIC extends export incentives to postal shipments w.e.f 15th January 2026

• 17 Jan 2026
• 125 Views

The Central Board of Indirect Taxes and Customs (CBIC) has extended benefits pertaining to export under the Duty Drawback, Remission of Duties and Taxes on Exported Products (RoDTEP) and Rebate of State and Central Taxes and Levies (RoSCTL) schemes to exports made via postal mode in digital format, effective from 15th January 2026.

This landmark measure taken by CBIC aims to provide a level playing field for exporters via postal channel and to create an ecosystem that is conducive as well as inclusive for cross border e-commerce’s growth. It is anticipated that this initiative would enhance the MSME exporters’ competitiveness, especially those who are located in remote areas and smaller towns. It would give a major fillip to postal exports.

To make these benefits operational, the CBIC has given approval for amendments to the Postal Export (Electronic Declaration and Processing) Regulations 2022. These amendments enable the exporters to claim Duty Drawback, RoDTEP and RoSCTL benefits for goods exported via postal route. 

Accordingly, on 15 January 2026, Notification No.07/2026-Customs (N.T.) amending the Postal Export (Electronic Declaration and Processing) Regulations 2022 and Circular No. 01/2026 –Customs explaining the amendments and detailing the operational modalities were issued.

The Government of India has come up with several policy initiatives and digital reforms as well as regulatory measures, all of which are intended to transform the country's e-commerce export ecosystem in recent years. A dedicated chapter with title “Promoting Cross-Border Trade in the Digital Economy” has been introduced in the Foreign Trade Policy 2023. 

This chapter provides a detailed framework to facilitate cross border e-commerce through courier services, postal services, e-commerce export hubs, Dak Niryat Kendras and certain other supportive mechanisms. At present, there are 28 Foreign Post Offices in India under Section 7 of Customs Act 1962. 

The CBIC has implemented several measures with the objective to strengthen cross-border trade via postal as well as courier methods. For the postal exports, the Postal Export Electronic Declaration and Processing Regulations 2022 enabled end to end electronic processing of export declarations.

In addition to this, the Postal Import Regulations 2025 were established in order to facilitate the electronic processing of postal imports. Automation of IGST refunds for postal exports was successfully implemented in the month of September in 2024. For further promotion of e-commerce exports, the CBIC collaborated with Department of Posts to launch Hub and Spoke model in December 2022. 

The model makes use of vast nationwide network that India Post has. Under this model, over 1,000 Dak Niryat Kendras in total have been established across the country to assist with the booking, aggregation and processing of export parcels. The model particularly benefits the MSMEs as well as small exporters. 

The inclusion of export incentives for postal shipments marks a significant milestone in the Government’s ongoing efforts to simplify procedures, lower costs and promote inclusive growth in exports of India. It strengthens the country’s position in the ever evolving global e-commerce ecosystem.

Source: Press Information Bureau (PIB)