The Ministry of Commerce and Industry on January 2 launched two additional components of its Export Promotion Mission, including an interest subvention scheme for pre- and post-shipment export credit under the Niryat Protsahan initiative, aimed at improving access to affordable trade finance for MSMEs. The interest subvention scheme has a tentative outlay of Rs 51.81 billion over a six-year period from 2025 to 2031. Under the programme, eligible MSME exporters will initially receive an interest subvention of 2.75 per cent, structured as a floating rate linked to the repo rate. The ministry said additional incentives for exporters targeting new and emerging markets will be notified subsequently, reflecting the government’s focus on diversifying export destinations. The interest benefit will apply only to selected export items included in a notified positive list, which accounts for around 75 per cent of India’s tariff lines and sectors with high MSME participation. For 2025–26, the annual benefit has been capped at Rs 5 million per Importer Exporter Code. The applicable rates will be reviewed twice a year, in March and September, based on domestic and global benchmarks. Detailed operational guidelines for the scheme will be issued by the Reserve Bank of India. The second component under the Niryat Protsahan initiative focuses on collateral support for export credit to address financing constraints faced by MSME exporters. Under this measure, a collateral guarantee facility is being introduced in partnership with the Credit Guarantee Fund Trust for Micro and Small Enterprises. As per the framework, guarantee coverage of up to 85 per cent will be available for micro and small exporters and up to 65 per cent for medium exporters, with a maximum outstanding guaranteed exposure of Rs 100 million per exporter in a financial year. The scheme is intended to complement existing credit guarantee mechanisms and encourage banks to expand lending to export-oriented MSMEs. The ministry said both interventions will be implemented on a pilot basis, with continuous monitoring and data-driven refinements. Through the Export Promotion Mission, the government aims to lower export costs, expand access to finance, strengthen India’s export brand and diversify markets, enabling MSMEs to integrate more deeply into global value chains. The initiatives form part of the broader Export Promotion Mission approved by the Union Cabinet in November 2025, with a total outlay of Rs 250.6 billion for the period from 2025–26 to 2030–31. The Mission comprises two sub-schemes: Niryat Protsahan, focused on trade finance and credit access, and Niryat Disha, which addresses non-financial enablers such as competitiveness, market access and export readiness.