India Slashes RoDTEP Export Benefits by 50%

The Directorate General of Foreign Trade cut Remission of Duties and Taxes on Exported Products (RoDTEP) rates by 50%, halving refunds of 0.3%–3.9% (textiles 2.5%–4.7%) with immediate effect.

Launched in 2021, the scheme supports exporters; industry leaders urged restoration of earlier rates and value caps.

India’s January exports rose 0.61% to US$ 36.56 billion, while the trade deficit widened to US$ 34.68 billion (a 3-month high).

Exporters warned a 1–2% cost disadvantage versus Vietnam, Bangladesh, Turkey and China could shift orders.

Textile firms targeting US$ 100 billion exports by 2030 said orders booked 2–3 months ahead may turn unviable due to the sudden cut.