New Delhi, May 2 (KNN) The Commerce Ministry’s Export Promotion Mission (EPM) is set to launch with up to 12 distinct components designed to enhance India’s export capabilities, according to an industry official.
The initiative, which was presented to export promotion councils and stakeholders on April 30 by the Directorate General of Foreign Trade (DGFT), aims to capitalise on emerging export opportunities while strengthening trade tools specifically for small businesses, reported ET.
The EPM framework is structured into two major categories: ‘Providing Trade Finance Support’ (NIRYAT PROTSAHAN) and ‘Driving International Holistic Market Access’ (NIRYAT DISHA). Each category comprises six specialised sub-schemes designed to address various aspects of export promotion.
Under the NIRYAT PROTSAHAN category, the government is considering the Niryat Rin Vikas (NIRVIK) Sub-Scheme for MSMEs and new exporters, Support for Emerging Export Opportunities, Support for Trade Instruments for MSMEs, Collateral Support for Export Credit for MSME exporters, E-commerce Export Credit Card Sub-Scheme, and BharatTradeNET.
The NIRYAT DISHA initiative includes Technical Regulations and Compliance Enablement (TRACE), Focused Market Access Initiative (FMAI), Facilitating Export Logistics and Overseas Warehousing (FLOW), Global Outreach for Branding Exports (GLOBE), Export Planning and Development for Districts and Clusters (EXPAND), and R&D Support Sub-Scheme for India Centre for Lab Grown Diamond (InCent-LGD) at IIT Madras, Chennai.
Implementation of these sub-schemes will utilise a digitally enabled application and monitoring system, centred around an online ‘intent to claim’ process.
The NIRVIK sub-scheme specifically aims to establish a responsive interest equalisation support framework enabling MSMEs to access export credit in Indian rupees at globally competitive rates.
The NIRVIK rates will be benchmarked against prevailing interest rates offered to exporters in countries competing with India in international trade. The scheme applies to MSME exporters accessing export credit, subject to a specified cap limit for interest subvention that will undergo periodic review based on actual uptake.
A negative list of export items will be maintained under the scheme, with no interest subvention provided for items on this list.
The negative list is formulated based on criteria including low-value addition and high outgo, raw materials and primary products, high-value and potential items for misuse, and other sensitive items.
The collateral support sub-scheme for MSME exporters aims to provide back-up collateral of 80 percent or more, as determined by the collateral support agency, to MSMEs and e-commerce exporters based on the exporter’s composite track record.
The Export Promotion Mission was announced by the government on February 1 with an allocated outlay of Rs 2,250 crore to boost the country’s outbound shipments.
Finance Minister Nirmala Sitharaman stated that through this mission, the government will facilitate exporters’ access to credit, provide cross-border factoring support, and assist MSMEs in addressing non-tariff measures in overseas markets.
(KNN Bureau)
