The primary goal of the Export Promotion Mission (EPM) is to provide hassle-free loans to domestic exporters at low interest rates to mitigate the impacts of Trump tariffs on Indian goods exports.
Trump Tariffs: The Narendra Modi government is mulling a Rs 25,000 crore relief for exporters over the next six year to protect from enduring losses due to the heavy tariffs imposed on Indian exports by US President Donald Trump. As per media reports, the Centre’s Export Promotion Mission (EPM) will lend financial support to exporters from FY2025 to 2031.
How EPM could help Indian exporters?
According to officials, the primary goal of the EPM scheme is to provide hassle-free loans to domestic exporters at low interest rates to mitigate the impacts of Trump tariffs on Indian goods exports. The Union Commerce Ministry has sent the EPM proposal to Expenditure Finance Committee (EFC) of the Finance Ministry, and will send to the Union Cabinet for final approval after its approved by the EFC.
What is Export Promotion Mission (EPM)?
The Export Promotion Mission (EPM) was announced by the Central government in the 2025-26 Union budget, with an aim to increase exports in over the next six years (FY2025-31). The EPM will be jointly implemented by the Department of Commerce, Ministry of MSME, Ministry of Finance and other related ministries.
Additionally, Exim Bank, Export Credit Guarantee Corporation (ECGC), Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), National Credit Guarantee Trustee Company Limited (NCGTC), Export Promotion Council, Commodity Boards, Industry Organizations and State Governments are also involved in the mission.
When will EPM be implemented?
As per officials, the Export Promotion Mission (EPM) will be implemented via two distinct but connected schemes, the ‘Niyarat Protsahan’ (over Rs 10,000 crore), and the ‘Niyarat Disha’ (over Rs 14,500 crore), scheme.
Under the first scheme, the government is considering several methods to lessen the impact of Trump’s tariff war on India, including interest waiver of over Rs 5,000 crore for the next six years, support for alternative trade finance instruments, credit cards for e-commerce exporters and other financial assistance.
Similarly, several proposals are being considered under the ‘Niyarat Disha’ scheme, include support for export quality compliance (about Rs 4,000 crore), overseas market development (over Rs 4,000 crore), branding, export warehousing and logistics, and capacity building to integrate Indian enterprises into global value chains.
HIGHLIGHTS
- The Central govt has announced the Export Promotion Mission (EPM) to lend support to domestic exporters.
- EPM will be implemented via two distinct but connected schemes worth a total of Rs 25,000 crore.
- The schemes are designed to protect Indian exporters from Trump tariffs, and ensure their financial stability.
- The Commerce Ministry has sent the EPM proposal to Expenditure Finance Committee (EFC) of the Finance Ministry.
Earlier this month, Donald Trump signed an executive order imposing an additional 25 percent tariffs on Indian goods, raising the total levy to 50%. The US President called the additional tariffs on India as a “punishment” for purchasing Russian oil and weapons, as he accused New Delhi of “funding” Moscow’s war on Ukraine.
