Seven new interventions launched under the
Export Promotion Mission for MSMEs
Recently, the Union Minister of Commerce and Industry
launched seven additional interventions under the Export Promotion Mission
(EPM) aimed at making micro, small, and medium enterprises (MSMEs) competitive
in global markets.These interventions are designed to address key challenges
faced by Indian exporters, promote broad-based and inclusive export growth, and
strengthen India’s position as a globally competitive export powerhouse.They
aim to address structural constraints faced by MSMEs, including high cost of
capital, limited access to diversified trade finance instruments, compliance
burdens in international markets, logistics disadvantages, and barriers to
market entry.The announcement was made on the occasion of World Day of Social
Justice with emphasis on inclusive growth and empowerment of marginalised
sections.The Union Minister highlighted that nearly 70% of global GDP and
two-thirds of global trade are now accessible to India through nine concluded
FTAs.
Seven Interventions under the Export
Promotion Mission (EPM)
Niryat Protsahan Financial Support
¨
Support for Alternative
Trade Instruments (Export Factoring): Support for Alternative Trade Instruments
promotes export factoring as a working capital solution for MSMEs with 2.75%
interest subvention and annual assistance capped at ₹50 lakh through a digital
claim mechanism.
¨
Credit Assistance for
E-Commerce Exporters: Credit Assistance for E-Commerce Exporters provides
structured credit with interest subvention and partial guarantees, including
support up to ₹50 lakh for direct e-commerce exporters and up to ₹5 crore for
overseas inventory financing.
¨
Support for Emerging
Export Opportunities: Support for Emerging Export Opportunities enables
exporters to enter new or high-risk markets through shared risk and
credit-based financial instruments.
Niryat Disha Ecosystem Support
¨
Trade Regulations,
Accreditation & Compliance Enablement (TRACE): TRACE assists exporters in
meeting international testing inspection and certification requirements with
reimbursement up to 75%, subject to an annual ceiling of ₹25 lakh per IEC.
¨
Facilitating Logistics,
Overseas Warehousing & Fulfilment (FLOW): FLOW supports overseas
warehousing and fulfilment infrastructure with assistance up to 30% of the
approved project cost for a maximum of three years.
¨
Logistics Interventions
for Freight & Transport (LIFT): LIFT provides reimbursement up to 30% of
eligible freight expenditure for exporters in low export intensity districts,
subject to a ceiling of ₹20 lakh per IEC per year.
¨
Integrated Support for
Trade Intelligence & Facilitation (INSIGHT): INSIGHT strengthens exporter
capacity building and trade intelligence systems with financial assistance up
to 50% of project cost and up to 100% for government institutions and Indian
Missions abroad.
Export Promotion Mission
¨
The Mission was announced
in the Union Budget 2025–26 as a major structural reform that merges multiple
fragmented export support schemes into a single outcome-based and digitally
enabled framework.
¨
The Mission has a total
financial outlay of ₹25,060 crore for the period from FY 2025–26 to FY 2030–31.
¨
The Mission aims to
strengthen India’s export ecosystem by improving access to affordable trade
finance and enhancing global market readiness and competitiveness across
sectors and regions.
¨
The Mission focuses on
creating a unified and performance-driven mechanism to promote sustained and
inclusive export growth.
¨
The Mission is anchored
in an institutional framework involving the Department of Commerce, Ministry of
MSME, Ministry of Finance, Export Promotion Councils, Commodity Boards,
financial institutions, industry associations and state governments.
¨
The Export Promotion
Mission adopts a holistic ecosystem approach by combining financial enablers
under ‘Niryat Protsahan’ and trade ecosystem support under ‘Niryat Disha’.
¨
Niryat Protsahan
(Financial Enablers): This sub-scheme focuses on improving access to affordable
trade finance for MSME exporters through instruments such as interest
subvention on pre- and post-shipment credit, export-factoring and deep-tier
financing, credit cards for e-commerce exporters, collateral support for export
credit and credit-enhancement for new or high-risk markets.
¨
Niryat Disha
(Non-Financial Enablers): This sub-scheme aims to raise market readiness and
competitiveness through support for export quality and compliance (testing,
certification, audits), international branding and packaging assistance,
participation in trade fairs and buyer-seller meets, export warehousing and
logistics, inland transport reimbursements for remote-district exporters, and
capacity-building at clusters, associations and district-level facilitation
cells.
Significance of the Export Promotion
Mission
¨
The mission strengthens
India’s export ecosystem by integrating financial and non-financial support
into a single, digitally driven framework.
¨
It enhances MSME
competitiveness by improving access to affordable trade finance and reducing
compliance-related costs.
¨ It helps safeguard
employment and export orders in sectors affected by global tariff escalations
such as textiles, leather, engineering goods and marine products.
It addresses structural challenges like high logistics costs, weak export branding and fragmented market access, enabling long-term export resilience