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Which export promotion schemes are available to service exporters in India?

Author:: Editorial team, serviceexportguide.com
Verified by:: Editorial team
Published: 28 October 2026
Last modified: 30 October 2026
Reading time: 7 min read

Short answer

The Foreign Trade Policy 2023 offers service exporters status holder recognition, the EPCG scheme, the STP and EOU schemes and Districts as Export Hubs.¹²³⁴ The Export Promotion Mission, approved on 12 November 2025, consolidates the Market Access Initiative and the Interest Equalisation Scheme.⁵ SEIS belonged to the FTP 2015-20 and is not part of the FTP 2023.⁶

Applies to	Governed by	Deadline	Penalty	Last verified
Service exporters claiming any FTP benefit	FTP 2023, Chapter 2, paragraphs 2.05 and 2.57 (IEC and RCMC)⁷	IEC must exist on the date the service is rendered⁷	Not applicable	28 October 2026
Service providers importing capital goods	FTP 2023, Chapter 5, EPCG Scheme²	Export obligation fulfilled within 6 years of the authorisation²	Not covered on this page	28 October 2026
Exporters with large export performance	FTP 2023, Chapter 1, paragraphs 1.25 to 1.29¹	Not applicable	Not applicable	28 October 2026
MSME exporters seeking trade finance or promotion support	Export Promotion Mission, approved 12 November 2025, implemented by DGFT⁵	FY 2025-26 to FY 2030-31⁵	Not applicable	28 October 2026

Indian service exporters often look for an incentive scheme like the old Service Exports from India Scheme (SEIS), which paid duty credit scrips on foreign exchange earned. SEIS is not part of the Foreign Trade Policy (FTP) 2023.⁶ What remains is a smaller set of schemes, most of which help with capital goods, recognition or export promotion activity.

This page lists the schemes currently open to service providers, with the official source for each. Each has its own eligibility rules, so confirm with DGFT or your export promotion council before planning around one.

What are the export promotion schemes for service exporters in India?

The export promotion schemes for service exporters in India are the FTP 2023 provisions that expressly include services or service providers, plus the Export Promotion Mission.¹²³⁴⁵

Scheme	What it offers	Best for
Status holder (Export House)	Recognition from One Star to Five Star, with privileges mostly linked to customs and FTP schemes	Exporters with at least USD 3 million of export performance over the qualifying years
Export Promotion Capital Goods (EPCG)	Import of capital goods at zero customs duty, against an export obligation	Service providers that buy imported equipment, such as studios, labs or data centres
Software Technology Park (STP) and Export Oriented Unit (EOU) schemes	Duty-free imports and procurement for an export-oriented unit, under a Letter of Permission	Software, IT and other service units that export most of their output
Districts as Export Hubs	District-level export action plans, outreach, buyer-seller meets and training	Service businesses whose district has identified services as a priority
Export Promotion Mission (EPM)	Trade finance and non-financial support through two sub-schemes	MSMEs needing trade finance or trade fair support

The table summarises Chapters 1, 3, 5 and 6 of the FTP 2023 and the Cabinet release on the EPM.¹²³⁴⁵

Who can use export promotion schemes for services?

Export promotion schemes for services can be used by service exporters that hold an Importer Exporter Code (IEC) and a Registration-cum-Membership Certificate (RCMC), subject to each scheme's own conditions.⁷

Entity type	Applicable	Why	Best for
Animation studio or diagnostics lab importing equipment	Yes	EPCG covers service providers as well as manufacturers²	EPCG
Software or IT unit exporting most of its output	Yes	Chapter 6 covers units that export their entire production of goods and services, apart from permitted domestic sales³	STP or EOU scheme
Established exporter with large foreign exchange earnings	Yes	Status recognition is open to all exporters of goods, services and technology holding an IEC¹	Status holder recognition
MSME needing trade finance or trade fair support	Depends on each intervention's guidelines	The EPM gives priority to sectors affected by tariff escalations⁵	Export Promotion Mission
Freelancer or small agency with few imports	Rarely	Most schemes help with capital goods, recognition or promotion activity	GST zero-rating and FEMA compliance

How do you prepare to claim an export promotion scheme as a service exporter?

You prepare to claim an export promotion scheme by getting an IEC and an RCMC first, then matching the scheme to what the business spends money on.⁷

Obtain an IEC before you render the service for which you plan to claim an FTP benefit.⁷
Obtain an RCMC from the relevant export promotion council, which is required for any benefit or concession under the FTP unless specifically exempted.⁷
Match the scheme to your spending: EPCG or the STP and EOU schemes if you import equipment, status recognition if you earn large export income, and the EPM if you need trade finance or trade fair support.¹²³⁵
Read the DGFT chapter or notice for the scheme, including EPM notices for each intervention.⁵
Confirm eligibility with DGFT, your export promotion council or a chartered accountant.

See how to apply for an IEC and RCMC registration.

What thresholds and obligations apply to export promotion schemes for services?

The main thresholds and obligations for export promotion schemes for services are the USD 3 million status threshold, the EPCG export obligation and the STP or EOU foreign exchange condition.¹²³

Scheme	Threshold or obligation	Best for
Status holder	USD 3 million of export performance for a One Star Export House¹	Larger exporters
EPCG	Export obligation of 6 times the duties, taxes and cess saved, fulfilled in 6 years from the authorisation, over and above average exports of the preceding three licensing years, with exceptions²	Service providers with a steady export pipeline
STP, EHTP and EOU	Net foreign exchange positive over five-year blocks; domestic sales up to 50% of the FOB value of exports where payment is received in foreign exchange³	Export-focused service units
Export Promotion Mission	Outlay of ₹25,060 crore for FY 2025-26 to FY 2030-31⁵	MSMEs

Check the full scheme text before relying on any single row.

How does EPCG work for a service provider?

The EPCG scheme allows a service provider to import capital goods for pre-production, production and post-production at zero customs duty, against an export obligation.² For a service provider, the export obligation is met through services rendered by the authorisation holder.² Payments received in rupees for services notified in Appendix 5D also count towards the obligation.²

For example, an animation studio importing render hardware or a diagnostics lab importing equipment for foreign clients is the kind of business for which EPCG is relevant.

How do status holder recognition and the STP or EOU schemes help service exporters?

Status holder recognition gives exporters a One Star to Five Star status based on export performance, starting at USD 3 million.¹ The STP, EHTP and EOU schemes in Chapter 6 of the FTP 2023 give duty-free imports and procurement to units that undertake to export their entire production of goods and services, apart from permitted domestic sales.³ See DGFT status holder and STPI registration for software exporters.

What is the Export Promotion Mission for exporters?

The Export Promotion Mission (EPM) is a Government programme with an outlay of ₹25,060 crore for FY 2025-26 to FY 2030-31, approved by the Union Cabinet on 12 November 2025.⁵ It works through two sub-schemes:⁵

Niryat Protsahan: trade finance support for MSMEs, such as interest subvention, export factoring, collateral guarantees and credit enhancement.
Niryat Disha: non-financial support, such as quality and compliance, international branding, trade fair participation, logistics, and trade intelligence and capacity building.

The EPM consolidates the Interest Equalisation Scheme and the Market Access Initiative (MAI), and DGFT is the implementing agency through a dedicated digital platform.⁵ The release gives priority to sectors affected by tariff escalations, such as textiles, leather, gems and jewellery, engineering goods and marine products.⁵ Whether a particular EPM intervention is open to service exporters depends on that intervention's guidelines, so check DGFT's EPM notices before applying.

What happened to the Service Exports from India Scheme (SEIS)?

The Service Exports from India Scheme (SEIS) was a reward scheme under Chapter 3 of the FTP 2015-20 that gave duty credit scrips to service providers of notified services, and it ended with that policy.⁶

Last year covered: for services rendered in FY 2019-20, DGFT capped the entitlement at ₹5 crore per IEC.⁶
Deadline: DGFT set 28 February 2022 as the deadline for applications, after which they were time-barred.⁶
FTP 2023: SEIS does not appear in the FTP 2023, which took effect on 1 April 2023.¹⁶

Note: Some council and consultant web pages still list SEIS as a reason to get an RCMC. Do not plan on SEIS for any current export.

What are the common mistakes with export promotion schemes for services?

The common mistakes with export promotion schemes for services are planning around SEIS, missing the IEC or RCMC, and assuming every scheme suits a small business.⁶⁷

Planning on SEIS: SEIS is not part of the FTP 2023.⁶
Late IEC: for services, the IEC must exist on the date you render the service for which you claim an FTP benefit.⁷
No RCMC: an RCMC from the relevant council is required for any benefit or concession under the FTP, unless specifically exempted.⁷
Assuming EPM covers services: check each intervention's guidelines on DGFT's EPM notices.⁵
Expecting a large saving: many freelancers and small agencies will find that none of these schemes change their costs much, and that GST zero-rating and correct FEMA compliance matter more.

A chartered accountant who works with exporters can check eligibility for a specific scheme.

How did we verify this?

We checked this page against the sources below on 30 October 2026. Read our methodology or report an error.

Frequently asked questions

Is SEIS still available for service exporters in India?+

No. SEIS was a scheme of the Foreign Trade Policy 2015-20. DGFT notified rates for services rendered in FY 2019-20, and applications for that year were time-barred after 28 February 2022.⁶ The Foreign Trade Policy 2023, which took effect on 1 April 2023, does not contain SEIS.¹⁶

Is there a cash incentive for exporting services from India in 2026?+

SEIS, which rewarded service exporters on foreign exchange earned, is not part of the FTP 2023.⁶ Support for service exporters in 2026 comes through schemes such as EPCG, status holder recognition and the Export Promotion Mission's interventions.¹²⁵ Each scheme has its own eligibility rules, so check DGFT's text before planning around one.

What does a service exporter need before applying for any FTP scheme?+

A service exporter needs an IEC, which for services must exist on the date of rendering the service, and an RCMC from the relevant export promotion council.⁷ The RCMC is required for any benefit or concession under the FTP unless specifically exempted.⁷ Apply for both before you plan any claim.

What happened to the Market Access Initiative for exporters?+

The Union Cabinet's approval of the Export Promotion Mission on 12 November 2025 says the Mission consolidates the Market Access Initiative and the Interest Equalisation Scheme.⁵ DGFT is the implementing agency through a dedicated digital platform.⁵ Check DGFT's Export Promotion Mission notices for which interventions are open to service exporters.

How much export performance does a One Star Export House need?+

Status holder recognition under the FTP 2023 starts at USD 3 million of export performance for a One Star Export House.¹ It is open to all exporters of goods, services and technology holding an IEC.¹ The privileges are mostly linked to customs and FTP schemes, so they matter most to larger exporters.

Can a software unit under the STP scheme sell services in India?+

Service units under the STP, EHTP and EOU schemes, including software units, may sell in India up to 50% of the FOB value of their exports where payment is received in foreign exchange.³ The units must be net foreign exchange positive over five-year blocks.³ See STPI registration for software exporters for the setup steps.

This page is general information for Indian service exporters, not tax or legal advice. Rules change and outcomes depend on your facts, so confirm with a chartered accountant before acting.

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