The government on Friday announced a Rs 7,295-crore export support package, comprising a Rs 5,181-crore interest subvention scheme along with a Rs 2,114-crore collateral support, to improve exporters’ access to credit. Both measures will be rolled out over a period of six years (2025-31).
Additional Secretary in the Commerce Ministry Ajay Bhadoo said these interventions would address the trade finance issues of exporters.
Under the interest subvention scheme, which has been resumed after a gap of one year, exporters will get a subsidy on pre- and post-shipment export credit. It will help cut the cost of credit for exporters.
MSMEs (micro, small and medium enterprises) currently pay anywhere between 9.5 per cent and 12.5 per cent for export credit, and the subsidy will make their goods competitive in the tough global market, which has been disrupted due to high tariffs imposed by the US.
This is the second component of the Rs 25,060-crore export promotion mission (EPM) approved in November 2025. The first component — market access support with an outlay of Rs 4,531 crore — was rolled out on December 31, 2025.
The subvention scheme will help exporters from identified sectors to avail of rupee export credit at competitive rates at a time when global trade is facing headwinds.
Under the scheme, the government will provide subsidy benefits in the range of 2.75 per cent to eligible MSME exporters.
