New Export Promotion Mission Measures Tackle Structural Barriers To MSME Export Growth: FIEO

New Delhi, Feb 20 (KNN) The Federation of Indian Export Organisations (FIEO) has welcomed the launch of new interventions under the Export Promotion Mission (EPM), calling it a major structural reform to boost MSME competitiveness and expand India’s global market presence.

FIEO President S C Ralhan said, “The Mission addresses the fundamental constraints that limit MSME export growth — high cost of credit, limited access to diversified trade finance, compliance burdens, logistics inefficiencies, and information gaps. The newly launched interventions under ‘Niryat Protsahan’ and ‘Niryat Disha’ aim to move beyond traditional incentives and focus on systemic competitiveness enhancement.”

Under the scheme, support for alternative trade instruments such as export factoring with 2.75 per cent interest subvention, structured credit for e-commerce exporters, and expanded guarantee mechanisms will ease working capital pressures. 

Improved liquidity and lower finance costs will help MSMEs price competitively, take larger orders, and build overseas credibility, while shared-risk credit tools will encourage first-time exporters and diversification.

On compliance, TRACE (Trade Regulations, Accreditation & Compliance Enablement) will partially reimburse testing and certification costs, helping firms access regulated markets. 

FLOW (Facilitating Logistics, Overseas Warehousing & Fulfilment), including overseas warehousing support such as Bharat Mart in Dubai, will reduce delivery timelines and improve competitiveness. 

LIFT (Logistics Interventions for Freight & Transport) will offset freight disadvantages for exporters in remote regions, supporting balanced regional growth. INSIGHT (Integrated Support for Trade Intelligence & Facilitation) is aimed at strengthening district and cluster ecosystems through improved market intelligence and demand mapping.

Ralhan noted that three interventions — Market Access Support, Interest Subvention for Pre- and Post-Shipment Credit, and Collateral Support for Export Credit — are already operational, taking the total to 10 active measures. 

He expressed confidence that the Mission will reduce transaction costs, improve finance access, strengthen compliance readiness, and deepen MSME integration into global value chains.

“The Export Promotion Mission represents a decisive shift towards building long-term export capability. It empowers MSMEs not only to participate in global trade but to compete, scale and sustain their presence in international markets,” Ralhan said.

(KNN Bureau)