Indian Exporters Seek RBI Relief Amid US 50% Tariffs Impacting $48 Billion Exports

Indian exporters across multiple sectors are seeking urgent relief from the Reserve Bank of India (RBI) following the imposition of steep US tariffs of up to 50% on Indian goods, affecting exports worth around $48 billion. Key demands include a moratorium of at least one year on loan repayments, interest subvention schemes, relaxation of non-performing asset (NPA) norms, and easier credit access through priority sector lending (PSL) enhancements tailored for micro, small, and medium enterprises (MSMEs). Industry groups such as the Federation of Indian Export Organisations (FIEO), Engineering Export Promotion Council (EEPC), and other chambers have urged the government and RBI to provide flexible collateral and credit rating norms, along with faster cheque realization and penalty waivers on payment delays. The EEPC highlighted the disproportionate impact on engineering exports, which constitute around 45% of tariffed products and are mostly MSME-driven, requesting that the government share part of the tariff burden. While the RBI has listened to these appeals without committing to immediate relief, exporters warn that without swift action, production cuts and job losses may accelerate. Additionally, an Export Promotion Mission package aimed at enhancing market access and diversification is pending government approval and may complement these financial relief measures.