NITMA has sent representations to the Hon’ble Minister of Finance, Commerce & Industry & Textiles , expressing serious concern over Notification No. 60 dated 23 February 2026 , which reduces RoDTEP rates and value caps by 50% with immediate effect.
In a formal communication, the association cautioned about the sudden halving of remission rates and caps will have an immediate and damaging impact on the competitiveness, contract viability, and long term investment climate of India’s textile export sector.

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Key concerns highlighted
Financial strain on existing contracts — The 50% reduction in RoDTEP benefits, without a corresponding reduction in underlying taxes, will erode already thin margins and jeopardize fixed price export contracts currently under execution.
Erosion of global competitiveness — The loss of price support weakens India’s cost advantage and risks permanent market share losses to international competitors.
Policy unpredictability — Sudden policy shifts amid global supply chain realignments deter long term investment and undermine export momentum.
Short term uncertainty — The limited validity period through March 2026 creates acute pricing and incentive planning challenges; exporters may be forced to quote prices excluding RoDTEP benefits, increasing the risk of order cancellations.

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Association’s  request.

The association has made the following urgent requests to:
Restore the earlier RoDTEP rates and value caps with immediate effect to maintain  export momentum.
Extend the RoDTEP Scheme’s validity to 31 March 2030 to align policy support with the national objective of achieving $100 billion in textile exports by 2030.
Statement from the association
“Sudden withdrawal of export support at this scale threatens livelihoods across the textile value chain and undermines India’s strategic export objectives. We respectfully urge the government to restore the earlier RoDTEP parameters and provide a clear, long term horizon so that exporters can plan, price, and compete effectively,” said the association’s President.
CREDITS: PR received from NITMA official WhatsApp chat. The content has not been edited and reviewed by us.

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