Two Credit-linked Sub Schemes Launched under Export Promotion Mission | Current Affairs | Vision IAS
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In Summary

  • Export Promotion Mission (EPM): Launched for 6 years (FY 2025-26 to 2030-31) with ₹25,060 crore outlay, aiming to provide affordable trade finance and non-financial support, especially for MSMEs and labour-intensive sectors.
  • Niryat Protsahan Component: Includes interest subvention of 2.75% on rupee export credit and collateral support (85% for Micro/Small, 65% for Medium exporters) up to ₹10 crore, with an annual cap of ₹50 lakh for FY 2025-26.
  • Significance of EPM: Aims to enhance global competitiveness by lowering export costs, expanding finance access, strengthening India's export brand, diversifying markets, and boosting job creation through support for labour-intensive industries and first-time exporters.

In Summary

These pilot schemes form part of NIRYAT PROTSAHAN component of the Export Promotion Mission.

About New Schemes

  • Interest Subvention for Pre- and Post-Shipment Export Credit: Provides interest subvention of 2.75% (as base rate) on rupee export credit.
    • Additional incentive for exports to notified under-represented or emerging markets.
    • Annual cap: ₹50 lakh for FY 2025–26.
    • Eligibility: restricted to exports under a notified positive list of tariff lines (at HS 6-digit level), covering ~75% of India's tariff lines.
  • Collateral Support for Export Credit: Implemented in partnership with the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE). 
    • It provides guarantee coverage:
      • Up to 85% for Micro and Small exporters.
      • Up to 65% for Medium exporters.
    • Maximum limit: ₹10 crore outstanding guaranteed exposure per exporter in a financial year.
    • Eligibility: same as above.

About Export Promotion Mission (EPM)

  • Launched: In November 2025, for 6 years (FY 2025-26 to 2030-31) with financial outlay of ₹25,060 crore.
  • Objective: Providing affordable trade finance, specifically for MSMEs, labour-intensive sectors (e.g. Textile), etc.
  • Mission Architecture: Two distinct but integrated pillars:
    • Niryat Protsahan (Financial Support): through instruments like interest subvention, collateral guarantees, and credit cards for e-commerce exporters.
    • Niryat Disha (Non-Financial Support): support for export quality, compliance, international branding, and logistics.

Significance of EPM

  • Enhancing Indian exporters’ global competitiveness through
    • Lowering the cost of exporting and expand access to finance
    • Strengthening India’s export brand and diversify export markets through compliance, certification, and international branding.
  • Boosting job creation by supporting labour intensive industries and first time exporters.
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RELATED TERMS

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Niryat Disha

A pillar of the Export Promotion Mission that offers non-financial support to exporters, including assistance with export quality, compliance with international standards, international branding, and logistics.

Export Promotion Mission (EPM)

A government initiative launched to boost exports, comprising various schemes aimed at easing credit access and reducing costs for exporters, particularly MSMEs. It was announced in Budget 2025 and approved by the Cabinet.

Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)

A trust established to provide collateral support to micro and small enterprises for their credit requirements. It plays a key role in the Collateral Support for Export Credit scheme under the EPM.

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