New Delhi, Feb. 24 -- The government has reduced benefits under the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme by 50 per cent with immediate effect, according to a notification issued by the Directorate General of Foreign Trade (DGFT) on Monday.

The DGFT said RoDTEP benefits will now be capped at half of the notified rates and value limits.

The scheme, launched in 2021, refunds embedded central, state and local taxes not otherwise reimbursed to exporters. Existing refund rates range from 0.3 per cent to 3.9 per cent.

The move follows a reduction in the scheme's FY27 budget allocation to Rs 10,000 crore from Rs 18,232.5 crore in the previous fiscal.

Industry Voices Concern

The Federation of Indian Export Organi...