New Delhi, Nov 13 (IANS) The government’s approval of Export Promotion Mission (EPM) and credit guarantee scheme is set to boost India’s export competitiveness and significantly help MSMEs and first-time exporters, industry associations said on Thursday.

The mission will help exporters identify new markets and introduce new products. It will also significantly improve ease of doing business. The credit guarantee scheme would ensure affordable trade finance for MSMEs, said EEPC India.

“The global trade policy landscape has been fast evolving, necessitating swift policy actions to counter the emerging challenges. The Government of India under the dynamic leadership of Prime Minister Narendra Modi has always been in action mode and come up with bold reforms, often pre-empting potential problems. The latest policy measures are forward-looking and would pave way for India’s strong position in global trade,” said Adhip Mitra, Executive Director and Secretary, EEPC India.

In continuation with various measures to support the country’s exports sector, the government has approved Rs 25,060 crore EPM and a Rs 20,000 crore credit guarantee scheme. The EPM has given priority to the engineering goods sector along with other sectors which have been hit hard by the disruptive global trade policy, especially the high 50 per cent tariff imposed by the US on most items of India’s trade basket.

“At a time when the exporting community is facing challenges on multiple fronts, the latest intervention provides much-needed support. It will significantly contribute towards export-led growth of the economy,” said EEPC India.

On the back of measures to facilitate trade, the engineering goods sector hopes to maintain positive growth in the current fiscal 2025-26. The high US tariff which took effect in the last week of August added to the pains of the sector but “we are hopeful that an interim trade deal with the US would be signed soon,” it added.

Rajeev Juneja, President of PHD Chamber of Commerce and Industry (PHDCCI), said that this visionary initiative with a five-year implementation horizon, announced in the Union Budget 2025–26, ensures greater policy stability, enabling businesses to make sustained investments in capacity building, market expansion, and export diversification.

The Mission’s twin sub-schemes, Niryat Protsahan and Niryat Disha — create a comprehensive support framework catalysing export growth and employment creation, he said.

Niryat Protsahan focuses on improving financial enablers strengthening MSMEs and exporters to compete globally through interest subvention, collateral guarantees, and credit enhancement facilities, while Niryat Disha lays thrust on non-financial enablers like export quality certification, branding, logistics support, and participation in international trade fairs.

By addressing key structural bottlenecks, including limited trade finance, high compliance costs, and inadequate export infrastructure, the Mission is poised to enhance India’s share in global trade and increase the exports-to-GDP, said Juneja.

Going forward, PHDCCI believes that the Export Promotion Mission aligns with India’s vision of achieving $2 trillion in exports by 2030, thereby contributing to Viksit Bharat at 2047.

–IANS

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