The Modi authorities's transfer to approve an Export Promotion Mission aimed toward countering the impression of the worldwide commerce state of affairs could also be laced with implementation challenges, says Ajay Srivastava, founding father of World Commerce and Analysis Initiative (GTRI).The Union Cupboard on Wednesday accepted the Export Promotion Mission (EPM) to ascertain a construction for enhancing India's export capabilities. The transfer holds significance for its timing, given how India's exporters are going through a success from the Donald Trump administration's 50% tariffs. Nevertheless, in response to GTRI, the initiative at present exists as a broad idea requiring detailed implementation plans, while its yearly allocation seems inadequate for its bold goals. The programme's effectiveness will depend on fast implementation, enhanced interdepartmental collaboration, and extra monetary sources, it says.Additionally Learn | Countering Trump tariffs impression! Modi authorities approves new Export Promotion Mission & credit score assure scheme for exporters; test particulars
What's the Export Promotion Mission?
- The Union Cupboard sanctioned ₹25,060 crore spanning 6 years (FY 2025-26 to FY 2030-31) for the EPM.
- The mission seeks to ascertain a unified framework to reinforce India's export competitiveness.
- The EPM was beforehand introduced within the 2025-26 Finances.
The EPM includes two major elements:NIRYAT PROTSAHAN, which goals to cut back commerce financing prices for MSMEs by way of numerous measures together with curiosity help, export factoring, collateral ensures, credit score enhancement, and e-commerce export bank cards. Precedence consideration shall be given to sectors affected by current international tariff will increase, together with textiles, leather-based, gems and jewelry, engineering items, and marine merchandise.NIRYAT DISHA, the second element, affords non-financial help encompassing export high quality and compliance assist, improved branding and packaging, worldwide commerce honest participation alternatives, export warehousing amenities, logistics assist, and inland transport reimbursement provisions.The EPM incorporates earlier programmes such because the Curiosity Equalisation Scheme (IES) and the Market Entry Initiative (MAI).Additionally Learn | Trump tariffs: Why India ought to push for rollback of Russian oil penalty earlier than commerce cope with US; 3-point technique defined
Export Promotion Mission: What are the challenges?
GTRI cautions that the Export Promotion Mission has notable shortcomings, regardless of its potential.
- Since its February announcement, EPM stays at a conceptual stage, requiring detailed scheme tips masking eligibility standards, operational procedures and disbursement protocols.
- Growth of the digital platform is pending, probably inflicting months of delay earlier than advantages attain exporters.
- Monetary constraints current further hurdles. The allotted funds of ₹25,060 crore unfold throughout six years quantities to underneath ₹4200 crore yearly. Contemplating the Curiosity Equalisation Scheme alone utilised over ₹3,500 crore final 12 months, minimal funds stay for essential actions together with branding, packaging, exhibition participation, compliance and logistics assist. The monetary allocation seems inadequate for the Export Promotion Mission's scope, says GTRI.
- Organisational hurdles additionally exist. Whereas DGFT holds implementation authority, monetary programmes like curiosity subvention beforehand operated by way of banks underneath RBI oversight.
- These disbursements are historically linked with export financing. DGFT requires further experience for this accountability, probably leading to slower processing and operational bottlenecks.
