MSME Export Boost: Piyush Goyal Launches 7 New Export Promotion Mission (EPM) Interventions to Improve Global Competitiveness
Union Minister of Commerce & Industry Piyush Goyal has launched seven additional interventions under the Export Promotion Mission (EPM) to help Indian MSMEs expand into global markets and improve competitiveness through easier finance, better compliance support, and logistics enablement. The EPM works through two integrated pillars—Niryat Protsahan (financial enablers) and Niryat Disha (trade ecosystem support)—implemented via a unified, digitally monitored framework led by the Department of Commerce and coordinated with multiple ministries, institutions, and stakeholders.
Why this matters for MSMEs (UPSC relevance)
MSMEs often face structural export barriers such as high cost of capital, limited access to diversified trade finance, heavy compliance requirements in international markets, and logistics disadvantages—especially for firms located in interior or low-export-intensity regions. The newly launched EPM interventions aim to directly address these frictions so that export growth becomes broader, more inclusive, and not limited to large firms or major port cities.
Export Promotion Mission (EPM): The big picture
EPM is a six-year mission with a total outlay of ₹25,060 crore for FY 2025–26 to FY 2030–31, announced in the Union Budget 2025–26 as a structural reform that merges fragmented export-support initiatives into a single outcome-based, digitally enabled framework. It explicitly targets MSMEs, first-time exporters and labour-intensive value chains, while prioritising sectors impacted by global tariff escalations such as textiles, leather, gems & jewellery, engineering goods and marine products.
A key design feature is a dedicated digital platform through which DGFT manages processes end-to-end (application to approval to disbursal) in a paperless manner and enables outcome-linked monitoring.
Two pillars: Niryat Protsahan & Niryat Disha
EPM is structured around two integrated sub-schemes.
- Niryat Protsahan focuses on improving access to affordable trade finance via instruments such as interest subvention, export factoring, credit cards for e-commerce exporters, collateral support and credit enhancement for new/high-risk markets.
- Niryat Disha focuses on non-financial enablers like testing/certification support, branding & packaging assistance, trade fairs, warehousing and logistics, inland transport reimbursement for remote exporters, and district/cluster capacity building.
The 7 new EPM interventions (what was launched)
The Commerce Ministry launched 7 additional interventions—3 under Niryat Protsahan and 4 under Niryat Disha—to strengthen MSME exports and global competitiveness.
A) Niryat Protsahan (Financial enablers)
1) Support for Alternative Trade Instruments (Export Factoring)
This promotes export factoring as a working-capital solution for MSMEs, with interest subvention of 2.75% on factoring cost for eligible transactions via RBI/IFSCA-recognised entities, capped at ₹50 lakh per MSME annually, using a digital claim mechanism.
2) Credit Assistance for E-Commerce Exporters
Structured credit facilities are introduced with interest subvention and partial credit guarantees, including: Direct E-Commerce Credit Facility up to ₹50 lakh with 90% guarantee coverage, and Overseas Inventory Credit Facility up to ₹5 crore with 75% guarantee coverage. Interest subvention of 2.75% is available subject to an annual ceiling of ₹15 lakh per applicant.
3) Support for Emerging Export Opportunities
This intervention enables exporters to access new or high-risk markets through shared-risk and credit instruments, intended to strengthen exporter confidence and liquidity flows.
B) Niryat Disha (Trade ecosystem enablers)
4) TRACE (Trade Regulations, Accreditation & Compliance Enablement)
TRACE supports exporters in meeting international testing, inspection, certification and conformity requirements, with partial reimbursement of 60% under the Positive List and 75% under the Priority Positive List, capped at ₹25 lakh per IEC annually.
5) FLOW (Facilitating Logistics, Overseas Warehousing & Fulfilment)
FLOW supports access to overseas warehousing and fulfilment infrastructure, including e-commerce export hubs linked to global distribution networks, with assistance up to 30% of approved project cost for up to three years (subject to ceilings and MSME participation norms).
6) LIFT (Logistics Interventions for Freight & Transport)
LIFT aims to mitigate geographical disadvantages in low export intensity districts by reimbursing up to 30% of eligible freight expenditure, capped at ₹20 lakh per IEC per financial year.
7) INSIGHT (Integrated Support for Trade Intelligence & Facilitation)
INSIGHT strengthens exporter capacity-building, district/cluster facilitation under Districts as Export Hubs, and development of trade intelligence systems; assistance is up to 50% of project cost, with up to 100% support for proposals from Central/State government institutions and Indian Missions abroad (subject to ceilings).
Implementation status and institutional coordination
According to PIB, three EPM interventions—Market Access Support, Interest Subvention for Pre- and Post-Shipment Export Credit, and Collateral Support for Export Credit—were already under implementation, and with the launch of these seven, 10 out of 11 proposed interventions under EPM are operational. The mission is implemented by the Department of Commerce in coordination with the Ministry of MSME, Ministry of Finance, EXIM Bank, CGTMSE, NCGTC, regulated lending institutions, Indian Missions abroad, Export Promotion Councils (EPCs) and industry stakeholders.
FAQs
Q1. What is the Export Promotion Mission (EPM)?
EPM is a flagship initiative to strengthen India’s export ecosystem and improve global competitiveness, especially for MSMEs, using a unified, digitally enabled framework under two pillars: Niryat Protsahan and Niryat Disha.
Q2. What are Niryat Protsahan and Niryat Disha?
Niryat Protsahan focuses on export finance tools like interest subvention and factoring, while Niryat Disha supports compliance, logistics, warehousing, and district/cluster capability building.
Q3. What is export factoring and why is it important for MSMEs?
Export factoring provides working capital by enabling exporters to receive funds against export receivables, and under EPM it is supported through 2.75% interest subvention with an annual cap for MSMEs.
Q4. How does EPM support e-commerce exporters specifically?
EPM provides credit assistance through a Direct E-Commerce Credit Facility (up to ₹50 lakh with 90% guarantee) and an Overseas Inventory Credit Facility (up to ₹5 crore with 75% guarantee), plus 2.75% interest subvention subject to a cap.
Q5. Which interventions help with export compliance and standards?
TRACE supports testing, inspection, certification and conformity requirements through partial reimbursement (60%/75% depending on list) with an annual ceiling per IEC.
Q6. Which interventions address logistics disadvantages for interior districts?
LIFT reimburses a part of eligible freight expenditure (up to 30%) to mitigate geographical disadvantages in low export intensity districts, within a yearly ceiling per IEC.
Q7. What should aspirants remember for Prelims/Mains?
Remember the two pillars (finance vs ecosystem), the names/abbreviations of the four Niryat Disha interventions (TRACE, FLOW, LIFT, INSIGHT), and the core intent: reducing cost of capital, easing compliance, and improving logistics/market integration for MSMEs.
