India's textile stocks drop as government reduces benefits for exporters

Alok Industries

24/02/2026 04:48

** Indian textile stocks fall as much as 6%

** The government has halved benefits under the RoDTEP scheme for exporters in textiles and gems & jewellery, restricting incentives to 50% of notified rates and value caps with immediate effect

** Alok Industries ALOK.NS loses 1.83%, Trident TRIE.NS down 2.26%, Gokaldas Exports GOKL.NS drops 4.5% and Arvind Ltd ARVN.NS slips about 6%

** Amid weak global demand and U.S. tariffs, the move raises competitiveness concerns, brokerage ICICI Securities says

** Adds these uncertainties will weigh on textile stocks in the near term

** Exporters might have to take the burden of 1%-2% cost increase on profitability - ICICI Securities

** YTD, ALOK down ~10%, TRIE sheds ~3%, GOKL loses 4% and ARVN up ~12%

 (Reporting by Komal Salecha in Bengaluru)

 ((Komal@thomsonreuters.com))