In January 2026, the Directorate General of Foreign Trade (DGFT) under the Ministry of Commerce & Industry (MoC&I) launched two key financial interventions worth Rs 7,295 crore as part of the initial rollout of the Export Promotion Mission (EPM), under Niryat Protsahan sub-scheme.
- Also, these interventions will be implemented on pilot basis with continuous monitoring and data-driven enhancements.
- Both these new interventions aimed to boost Micro, Small and Medium Enterprises (MSME) exports and enhance access to trade finance.
Exam Hints:
- What? Launch of two key interventions
- Scheme: Under Export Promotion Mission (EPM)-Niryat Protsahan
- Launched by: DGFT, MoC&I
- Total Budget: Rs 7,295 crore
- Two Key Interventions:
- 1st intervention: Relates to interest subvention for pre and post-shipment export credit(Rs 5,181 crore); Exporter cap: Rs.50 lakh per IEC
- 2nd intervention: Relates to collateral support for export credit(Rs 2,114 crore); Exposure limit: Rs 10 crore
- Duration: For both interventions (6 years, from FY26-FY31)
About 1st Intervention:
Overview: The 1st intervention relates to interest subvention for pre and post-shipment export credit, aimed to reduce the cost of export credit and ease working-capital constraints faced by MSME exporters.
Total Budget: The total budget outlay for this newly launched interest subvention scheme is Rs 5,181 crore, with validity period of 6 years (Financial Year 2025-26(FY26)-FY31).
Interest Subvention: Under this intervention, eligible lending institutions will provide interest subvention on pre- and post-shipment rupee export credit to exporters.
- The MoC&I has further clarified that eligible exporters will get base interest subvention of 2.75%, with a provision for additional incentive for exports to notified under-represented or emerging markets, subject to operational readiness.
Eligibility Criteria: This new interest subvention will be applicable only to selected export items covered under a notified positive list of tariff lines at the Harmonised System (HS) 6-digit level which cover nearly 75% of India’s tariff lines.
- Each exporter will get a maximum Rs 50 lakh per Importer Export Code (IEC) in FY26.
Bi-annual Review: The applicable rates will be reviewed bi-annually in the months of March and September, considering local and global benchmarks.
Guidelines: Defence and SCOMET (Special Chemicals, Organisms, Materials, Equipment, and Technologies)‑notified products are included to boost strategic exports, with the Reserve Bank of India (RBI) set to issue detailed operational guidelines.
About 2nd Intervention:
Overview: Launched under Niryat Protsahan, the 2nd intervention relates to collateral support for export credit, aimed to address collateral constraints faced by MSME exporters and enhance access to bank finance.
Budget Outlay: The new scheme valued at Rs 2,114 crore, will be implemented for a period of 6 years (FY26-FY31).
Collateral Guarantee: Under this new intervention, the GoI introduced a collateral guarantee support for export credit, in partnership with the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE).
Guarantee Coverage: It offers maximum guarantee coverage of 85% for Micro and Small exporters and maximum 65% for medium exporters, with outstanding guaranteed exposure of up to Rs 10 crore per exporter in a financial year.
About Export Promotion Mission(EPM):
Background: In November 2025, the Union Cabinet under the chairmanship of Prime Minister (PM) Narendra Modi, approved the EPM, a flagship initiative of GoI, with a total budget outlay of Rs 25,060 crore from FY26-31.
Aim: To strengthen India’s export competitiveness with special focus on MSMEs, 1st-time exporters and labour-intensive sectors and to support market diversification and promotion of value-added exports.
Implementing Agencies: The mission is jointly implemented by Department of Commerce (DoC), MoC&I, Ministry of MSME (MoMSME) and Ministry of Finance (MoF).
Integrated Sub-schemes: The EPM includes two integrated sub-schemes:
- NIRYAT PROTSAHAN which focuses on providing access to affordable and diversified trade finance;
- NIRYAT DISHA, supporting non-financial enablers such as market access, branding, among others.
About Ministry of Commerce and Industry (MoC&I):
Union Minister- Piyush Goyal (Constituency- Mumbai North, Maharashtra)
Minister of State (MoS)- Jitin Prasada (Constituency- Pilibhit, Uttar Pradesh, UP)
