English

Transforming LLMs into Efficient Cross-Encoders via Knowledge Distillation for RAG Reranking

Computation and Language 2026-07-11 v1 Information Retrieval Machine Learning

Abstract

Cross-encoders achieve high reranking accuracy in Retrieval-Augmented Generation (RAG) pipelines but impose quadratic inference costs that limit real-time deployment. We address this by fine-tuning LLaMA 3 (8B) as a drop-in reranker using a two-stage pipeline: supervised fine-tuning on a custom query-document relevance dataset via the Unsloth framework with LoRA adapters, followed by 4-bit quantization for efficient inference. The resulting model replaces the cross-encoder in a dual-retriever RAG pipeline combining BM25 and dense vector search. Evaluated on a domain-specific question-answering benchmark using the RAGAS framework, our fine-tuned LLaMA 3 reranker achieves gains of 14% in answer relevancy, 16% in context precision, 19% in answer similarity, and 21% in answer correctness over the cross-encoder baseline, while reducing inference overhead through 4-bit quantization. These results demonstrate that instruction-tuned LLMs can be adapted into accurate, efficient rerankers without the quadratic complexity of traditional cross-encoders.

Cite

@article{arxiv.2607.11933,
  title  = {Transforming LLMs into Efficient Cross-Encoders via Knowledge Distillation for RAG Reranking},
  author = {Shreeya Dasa Lakshminath and Shubhan S},
  journal= {arXiv preprint arXiv:2607.11933},
  year   = {2026}
}

Comments

6 pages, 4 figures. This work was completed in 2024

R2 v1 2026-07-22T20:39:11.247Z