Key Facts & Data Points

  • Total outlay of EPM: Rs 25,060 crore (FY 2025‑26 to FY 2030‑31)
  • Duration: 6 years
  • Governance: Department of Commerce (nodal) – Directorate General of Foreign Trade (DGFT) as implementing agency; coordination with MSME Ministry, Ministry of Finance, Export Promotion Councils and State Governments.
  • Two streams:
  • Niryat Protsahan (Financial Enablers) – interest subvention of 2.75 % on export factoring, credit facilities for e‑commerce exporters, support for emerging export opportunities.
  • Niryat Disha (Non‑Financial Enablers) – TRACE (testing & certification), FLOW (overseas warehousing), LIFT (freight & transport), INSIGHT (trade intelligence).
  • Financial caps:
  • Export factoring support: Rs 50 lakh per MSME per year.
  • Direct e‑commerce credit facility: up to Rs 50 lakh with 90 % guarantee.
  • Overseas inventory credit facility: up to Rs 5 crore with 75 % guarantee, interest subvention capped at Rs 15 lakh per applicant.
  • Non‑financial reimbursement caps:
  • TRACE: 60 % (Positive List) / 75 % (Priority Positive List) up to Rs 25 lakh per IEC.
  • LIFT: up to 30 % of freight cost, ceiling Rs 20 lakh per IEC per FY.
  • FLOW: up to 30 % of project cost for a maximum of 3 years.
  • INSIGHT: up to 50 % of project cost (100 % for proposals from Central/State institutions).

Background & Context

  • India’s network of Free Trade Agreements (FTAs) now gives access to nearly 70 % of global GDP and two‑thirds of world trade. However, MSMEs often lack the credit, compliance and logistics support to leverage these preferential market accesses.
  • Earlier export‑promotion schemes were fragmented across ministries, leading to duplication and low uptake.
  • The Export Promotion Mission (EPM) consolidates these schemes into a digitally monitored umbrella framework, aiming for greater transparency, ease of access and impact measurement.

Significance for India / Governance / Policy

  • Boosts MSME exports: By addressing credit gaps (factoring, e‑commerce credit) and non‑financial barriers (testing, logistics), EPM is expected to increase MSME contribution to total exports.
  • Regional inclusivity: Targeted support for low‑export‑intensity districts under the Districts as Export Hubs initiative promotes balanced regional development.
  • Fiscal prudence: Interest subvention and partial reimbursements reduce the fiscal burden while leveraging private sector participation.
  • Alignment with Make in India & Export‑Led Growth: Strengthens labour‑intensive sectors (textiles, leather, gems & jewellery, engineering goods, marine products) that are core to the Make in India agenda.

Related Constitutional / Legal Provisions

  • Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 – defines MSME categories and mandates priority sector lending.
  • Foreign Trade Policy (FTP) 2023‑28 – provides the policy backdrop for export promotion and aligns with EPM interventions.
  • Export Promotion Councils Act, 1995 – empowers councils to assist exporters; they play a role in implementing EPM schemes.

References

  • Press Information Bureau (PIB) release, 21 Feb 2026.
  • Ministry of Commerce & Industry – Export Promotion Mission documents.

Prepared for UPSC Civil Services Examination – Current Affairs & Policy Analysis