Sub: Interest Subvention for Pre- and Post- Shipment Export Credit under EXPORT PROMOTION MISSION – NIRYAT PROTHSAHAN

Dear Sir/Madam,

DGFT (Directorate General of Foreign Trade) has issued Trade Notice No. 20/2025–26 dated 02 January 2026, announcing the launch of Interest Subvention for Pre- and Post-Shipment Export Credit under the Export Promotion Mission – Niryat Protsahan, with immediate effect.

Key Objective

The objective of the Scheme is to reduce the cost of export credit for MSME exporters, improve liquidity, and enable efficient management of working capital requirements through a transparent, rules-based interest relief mechanism.

Key Benefits to Exporters are as follows:

• Interest subvention of 2.75% per annum on Pre-shipment Rupee Export Credit and Post-shipment Rupee Export Credit for Micro, Small Enterprises, and Medium Enterprises
• An MSME exporter may receive a maximum subvention benefit of Rs 50 lakh per financial year.
• Support is limited to export credit extended by lending institutions in accordance with the Reserve Bank of India’s Master Directions on Pre- and Post-Shipment Export Credit
• Applicable to MSME manufacturer exporters and merchant exporters under the notified positive list of HSN six-digit tariff lines.

A Copy of Trade Notice No. 20/2025–26 dated 02 January 2026 is enclosed herewith which includes Annexure I (Draft Provisions for Foreign Trade Policy), Annexure II (List of Tariff Lines Eligible for Interest Subvention for Pre and Post Shipment and Export Credit), Annexure III (Intent Procedure for Support for Interest Subvention Component)- (Click to Download).

The Positive List of HS Codes also includes Manmade Fiber Textiles such as Yarn, Fabrics, Madeups (including Home Textiles) and Technical Textiles.

The scheme is being rolled out on a pilot basis to allow early benefit to exporters and to seek stakeholder feedback. DGFT has also invited comments and suggestions on the draft Guidelines within 30 days which may be submitted to epm-dgft@gov.in

Based on feedback and pilot experience, the Guidelines may be revised and formally notified.

This is for your kind information and necessary action.

In case, you need any further clarification please get in touch with us.

Thanking You,

A. Ravi Kumar
Executive Director