Centre Slashes Exporters' RoDTEP Benefits, Citing 'Fiscal Consolidation'
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Moneycontrol•25-02-2026, 18:48
Centre Slashes Exporters' RoDTEP Benefits, Citing 'Fiscal Consolidation'
•The Centre has reduced RoDTEP scheme benefits for exporters, attributing the decision to 'fiscal consolidation'.
•Exporters are urging the government to reverse the changes, warning of losses on current orders and decreased competitiveness.
•Government officials state that the restructuring is part of 'fiscal rationalisation' and a rollback is not currently under consideration.
•The Directorate General of Foreign Trade (DGFT) notified on February 23 that RoDTEP benefits would be restricted to 50% of notified rates and value caps.
•The move coincides with a significant budgetary contraction, with RoDTEP allocation reduced by 45% to Rs 10,000 crore in FY27, from Rs 18,233 crore in FY26. Agriculture and allied sectors are exempt from the new restrictions.
