SDG 8: Decent Work and Economic Growth | SDG 9: Industry, Innovation and Infrastructure | SDG 17: Partnerships for the Goals
Ministry of Commerce & Industry | Ministry of MSME | CGTMSE
Union Minister Shri Piyush Goyal has launched seven additional interventions under the Export Promotion Mission (EPM), operationalizing 10 out of 11 proposed measures to boost MSME global competitiveness. The EPM adopts a dual-framework approach: Niryat Protsahan provides financial enablers like export factoring and e-commerce credit, while Niryat Disha offers ecosystem support including compliance enablement and overseas warehousing.
These interventions are designed to address the high cost of capital and logistics disadvantages faced by small exporters, especially in low export-intensity districts. By integrating digital monitoring and streamlining access to global trade through nine concluded Free Trade Agreements (FTAs), the Mission aims to position India as a globally competitive export powerhouse while ensuring inclusive growth at the bottom of the pyramid.
Key Pillars of the Export Promotion Mission (EPM)
Niryat Protsahan (Financial Enablers): Introducing Export Factoring and dedicated E-Commerce Credit with interest subventions of 2.75% to reduce working capital costs.
Niryat Disha (Ecosystem Support): Launching the TRACE program for compliance reimbursement and FLOW for supporting overseas warehousing/fulfillment hubs.
Logistics & Freight Mitigation (LIFT): Providing up to 30% reimbursement of freight expenditure for exporters in low export intensity districts.
Trade Intelligence (INSIGHT): Strengthening district and cluster-level facilitation through “Districts as Export Hubs” and global trade intelligence systems.
FTA Utilization & Market Access: Leveraging India’s access to 70% of global GDP through 38 economies to expand export horizons for MSMEs.
What is “Export Factoring”? Export factoring is an alternative trade finance instrument that provides MSMEs with immediate working capital by allowing them to “sell” their international invoices to a third party (factor) at a discount. This is particularly useful for small exporters who face long payment cycles from overseas buyers. Under the EPM’s Niryat Protsahan intervention, the government provides an interest subvention of 2.75% on factoring costs, capped at ₹50 lakh annually. By utilizing RBI/IFSCA-recognized entities, MSMEs can maintain liquidity and reduce the risk of non-payment without needing to provide the heavy collateral typically required for traditional bank loans.
Policy Relevance
For India, the EPM represents a transition from “Generalized Export Support” to “Precision Ecosystem Enablement,” focusing on the specific structural constraints of small enterprises.
Standardizing Digital Compliance: The TRACE intervention acts as a “Standard Maker” move, reimbursing up to 75% of testing and certification costs to ensure Indian products meet the “Quality Standards” of developed markets.
Bypassing Logistics Disadvantage: The LIFT scheme is critical for land-locked or “low-intensity” districts, ensuring that a startup’s location does not prevent its entry into the global supply chain.
Operationalizing “Bharat Mart” (Dubai): The FLOW intervention supports strategic overseas warehousing, allowing Indian MSMEs to maintain a “ready stock” for the GCC, Africa, and Europe, effectively competing with global e-commerce giants.
Federal Economic Sovereignty: By reducing the cost of capital via 2.75% interest subvention, India builds a “Sovereign Exporter Base” that is resilient to global interest rate fluctuations.
Implementation Fidelity via Unified Digital Monitoring: The mission’s “unified and digitally monitored framework” ensures that credit guarantees and subventions reach the last person at the bottom of the pyramid without administrative friction.
Relevant Question for Policy Stakeholders: What techno-legal standards are required to integrate Indian e-commerce export hubs with global logistics networks under the FLOW intervention?
Follow the full update here: Export Promotion Mission for MSMEs - February 20, 2026