Government Prepares Launch of Export Promotion Mission to Boost MSME Trade Finance and Logistics

Summary

The commerce ministry is preparing to roll out eight components of a ₹25,060-crore Export Promotion Mission (EPM), with the announcement expected next week. The EPM — approved by the Union Cabinet alongside a separate ₹20,000-crore Credit Guarantee Scheme (taking combined support above ₹45,000 crore) — targets long-standing financial and operational constraints for exporters, particularly MSMEs.

The mission has two integrated sub-schemes: Niryat Protsahan (financial measures) and Niryat Disha (non-financial support). Niryat Protsahan proposes expanded trade finance through interest subvention on pre- and post-shipment credit, export factoring, deep-tier financing, credit cards for e-commerce exporters, collateral support and credit enhancements for higher-risk markets. Niryat Disha focuses on quality testing, certification and compliance, international branding and packaging, trade fairs and buyer-seller engagement, plus investments in export warehousing, inland transport reimbursements for remote districts and capacity building at cluster and district levels.

The rollout builds on recent schemes: December 2025’s ₹4,531-crore Market Access Support and January’s ₹7,295-crore export support (₹5,181 crore for interest subvention; ₹2,114 crore for collateral assistance). Implementation is planned over six years from 2025–2031. The mission also aims to expand underused instruments such as export factoring — global cross-border factoring is about USD 758 billion while India currently accounts for roughly USD 1 billion.

Key Points

Eight components of a ₹25,060-crore Export Promotion Mission (EPM) will be rolled out imminently.
Combined with a ₹20,000-crore Credit Guarantee Scheme, total support exceeds ₹45,000 crore for exporters.
EPM is split into two sub-schemes: Niryat Protsahan (financial enablers) and Niryat Disha (non-financial support).
Niryat Protsahan includes interest subvention, export factoring, deep-tier financing, e‑commerce credit cards, collateral support and credit enhancement for risky markets.
Niryat Disha covers quality testing, certification, branding, participation in trade fairs, export warehousing, inland transport reimbursements and capacity building for clusters and districts.
The mission follows other recent measures (Market Access Support and a January export support package) and will run from 2025–2031.
An explicit aim is to scale under‑utilised instruments such as factoring to plug finance gaps for MSMEs and new exporters.

Context and relevance

This is a major policy push to address two persistent barriers for Indian exporters: access to affordable trade finance and weak logistics/infrastructure support. For MSMEs in particular, the combination of subvention, collateral support and targeted operational assistance (warehousing, testing, trade fairs) could materially reduce the cost and risk of exporting and help diversify markets. The multi-year implementation window signals sustained government commitment rather than a one-off package.

Why should I read this?

Because if you work with MSMEs, run an export business or sit in logistics/finance for trade, this is the kind of government move that changes the playing field. Big pots of cash, credit guarantees and practical logistics measures are coming together — which means cheaper finance, new routes to market and real support for export readiness. Read it now to spot opportunities (or risks) before your competitors do.