How RoDTEP Rates Are Calculated: Schedule, Caps, and Scroll Value

The one-line formula

At its simplest, RoDTEP credit on an export line is the FOB value of that line multiplied by the notified rate for its HS code, subject to a cap per unit where one applies. Everything else is detail on those three inputs: the FOB value you declare, the rate the schedule assigns, and the ceiling that stops the credit running away on high-value goods. Get those three right and the scroll value is predictable before the scrip ever issues.

The rate schedule, read per HS line

RoDTEP rates are notified as a schedule that assigns a rate to tariff lines at a detailed HS level. The rate is not one blanket number across all exports; it varies line by line, because the embedded taxes RoDTEP remits differ by product. Two goods on the same invoice can carry different RoDTEP rates if they sit under different HS codes. This is why correct classification matters: the rate follows the HS line, so a misclassified product draws the wrong rate. The schedule is revised from time to time, so the rate that applies is the one notified for your shipping-bill date.

What FOB value the rate is applied to

The rate is applied to the FOB (free on board) value of the exported goods, the value of the goods at the point of export before freight and insurance. In practice the value used for the RoDTEP calculation follows the declared FOB on the shipping bill, and the schedule sets out how value is read where a cap is in play. Because the credit scales directly with FOB, the declared value on the shipping bill is one of the two levers that decide your scrip size; the rate is the other.

The cap per unit, and why it exists

Many RoDTEP lines carry a value cap per unit of measure, for example a maximum credit per kilogram or per piece. The cap is a ceiling: the credit for a line is the lower of the percentage-of-FOB figure and the per-unit cap multiplied by the quantity exported. Its purpose is to stop the rebate over-rewarding unusually high-value or over-invoiced consignments. In everyday exporting the percentage usually governs, but for high unit-value goods the cap can bind and hold the credit below the raw percentage. Reading the schedule means reading both the rate and the cap for each line.

From line calculation to scroll value

Each qualifying line on a shipping bill produces its own capped credit. Those line credits sum to the RoDTEP amount for that shipping bill, and when the export is processed a scroll is generated for that amount. The scroll is the customs system's calculation of what you are owed; when it matures, that value is created as a duty-credit scrip in your Electronic Duty Credit Ledger on ICEGATE. So the face value you eventually see on the scrip is the sum of the per-line, capped calculations across your export. The RoDTEP scrip guide covers what happens after the scroll matures.

Why two exporters see different rates

It is common to compare notes with another exporter and find your effective RoDTEP percentage differs. Usually the reason is one of three things: different HS classification of the goods, a per-unit cap binding on one shipment but not the other, or a schedule revision between the two shipping-bill dates. None of these is a mispayment; they are the schedule doing exactly what it is written to do. The lesson for planning is that RoDTEP value is a property of the HS line and the schedule in force, not a flat rate you can assume across a catalogue.

Why the schedule matters for what a scrip is worth

Understanding rate calculation is useful even after the scrip issues, because it explains the supply side of the market. Scheme rates, and the caps within them, shape how much duty-credit exists and for which products, which in turn feeds the benchmark a scrip trades against. On ScripX that benchmark is the Scrip Reference Rate, published by scheme and expiry band. The scroll math decides how big your scrip is; the SRR decides what it fetches when you sell. If you are ready to sell, selling a RoDTEP scrip online covers the path.

Frequently asked questions

How is the RoDTEP amount on a scrip calculated?

It is the FOB value of each qualifying export line multiplied by the notified RoDTEP rate for that HS code, subject to a value cap per unit where the schedule sets one. The per-line credits sum to the shipping-bill amount, which becomes the scroll and then the scrip face value.

What is the RoDTEP cap per unit?

Many lines have a maximum credit per unit of measure, such as per kilogram or per piece. The credit for the line is the lower of the percentage-of-FOB figure and the per-unit cap times the quantity. The cap prevents the rebate over-rewarding unusually high-value or over-invoiced consignments.

Why is my RoDTEP rate different from another exporter's?

Usually because the goods are classified under different HS codes, because a per-unit cap binds on one shipment and not the other, or because the rate schedule was revised between your two shipping-bill dates. The rate follows the HS line and the schedule in force, not a flat rate across all exports.

Does a higher FOB value always mean a bigger scrip?

Up to a point. Credit scales with FOB times the rate, but where a per-unit cap binds, the cap and the quantity set the ceiling, so credit stops rising with FOB. For most lines the percentage governs, but for high unit-value goods the cap can hold the credit below the raw percentage.