Seeking to hand-hold exporters braving global headwinds, the Finance Minister has announced an `export promotion mission’ with an outlay of ₹2,250 crore which will provide assistance in areas such as accessing  export credit and tackling non-tariff barriers in foreign markets. 

“We will set up an export promotion mission, with sectoral and ministerial targets, driven jointly by the ministries of commerce, MSME, and finance. It will facilitate easy access to export credit, cross-border factoring support, and assistance for MSMEs in tackling non-tariff measures in overseas markets,” Finance Minister Nirmala Sitharaman said in her Union Budget 2025-26 speech on Saturday.

The FM also announced the government’s intention to launch a National Manufacturing Mission, to promote `make in India’. The focus areas include ease and cost of doing business; future ready workforce for in-demand jobs; a vibrant and dynamic MSME sector; availability of technology; and quality products.

The budget, however, was silent on some key demand from exporters including extension of the interest equalisation scheme for MSMEs and other key sectors, marketing assistance, including a scheme focussing on the US, and support for Research & Development.

“More specific support for the export sector such as interest subvention and marketing assistance can be provided separately through independent notifications,” a source tracking the matter told businessline.

The FM also announced setting up of `BharatTradeNet’ (BTN), a unified platform for trade documentation and financing solutions for international trade.

“This will complement the Unified Logistics Interface Platform. The BTN will be aligned with international practices,” Sitharaman said.

Other initiatives to promote exports, include a national framework for Global Capacity Centres to provide guidance to States to promote such centres in emerging two-tier cities. Warehousing facility for air cargo to facilitate upgradation of infrastructure and warehousing for air cargo including high value perishable horticulture produce was also announced.

“Facilitation of shipbuilding clusters to increase the range, categories and capacity of ships with additional infrastructure facilities, skilling and technology to develop the entire ecosystem will not only improve overall infrastructure and logistical support for the export sector, but will also help the country in saving a huge amount of forex remitted in US dollar to foreign shipping lines.,” according to Aswani Kumar, President, FIEO.

India’s goods exports posted a nominal growth of 1.6 per cent in the April-December 2024 period (year-on-year) with shipments valued at $321.37 billion. The lacklustre performance could be attributed to low global demand and continued geo-political risks, per the government.

The Economic Survey for 2024-25, tabled in Parliament on Friday, highlighted the need for a new strategic trade roadmap focussing on improved export competitiveness to meet the challenges of rising protectionism in global trade and increased geo-political risks and uncertainty.

Published on February 1, 2025