Why in News?
The Union Cabinet approved a six-year Export Promotion Mission (₹25,060 crore) and an additional ₹20,000-crore collateral-free credit facility for exporters, aiming to counter the impact of steep 50% US tariffs and support stressed sectors like textiles, engineering goods, leather, and gems & jewellery.
Description:
- A Union Cabinet–approved mission to boost India’s export competitiveness.
- Total Outlay: ₹25,060 crore
- Duration: FY 2025–26 to 2030–31 (6 years)
- Managed by: Directorate General of Foreign Trade (DGFT)
- Purpose: Counter global trade uncertainties + US’s 50% tariffs on Indian goods.
Why was EPM Launched? (Background):
- The US imposed 50% tariffs (Aug 2025) on Indian exports → major impact.
- Exports to the US declined:
- Overall: –12%
- Engineering goods: –9.4%
- Textiles/apparel: –10.34% (28% of India’s textile exports go to the US)
- Needed to:
- Protect labour-intensive sectors
- Prevent job losses
- Diversify markets
- Maintain export momentum
Structure of EPM:
EPM has two sub-schemes: Niryat Protsahan, Niryat Disha
Key Objectives:
- Reduce cost of credit for exporters.
- Improve access to trade finance (especially MSMEs).
- Overcome non-tariff barriers.
- Enhance global branding of Indian products.
- Boost exports in labour-intensive sectors:
- Textiles
- Leather
- Gems & Jewellery
- Engineering goods
- Marine products
Digital & Flexible Framework:
- Full digital implementation through DGFT systems.
- Embassy-based, real-time market intelligence.
- Dynamic revision based on global trade shifts.
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