Government Proposes Rs 25,000 Crore Export Assistance to Counter US Tariffs
The Indian government plans to provide Rs 25,000 crore in financial support to exporters from 2025 to 2031, aiming to mitigate the impact of US-imposed tariffs and global trade disruptions.
Export AssistanceUs TariffsMsme SectorFinancial SupportGlobal TradeReal Estate PuneAug 25, 2025
Sources said the main objective of the mission is to offer easy and affordable loans to exporters, particularly benefiting the MSME sector, which faces significant challenges in international trade. The Commerce Ministry has reportedly sent the proposal to the Expenditure Finance Committee (EFC) of the Finance Ministry, and after approval, it will be presented to the Union Cabinet for final clearance.
The six-year mission is designed to foster broad, inclusive, and sustainable export growth. It will focus on overcoming hurdles faced by exporters beyond traditional measures.
The mission is expected to be implemented through two sub-schemes:
Export Promotion Scheme – Allocation of over ₹10,000 crore, including interest equalization of more than ₹5,000 crore over six financial years to make loans more affordable for exporters.
Export Direction Scheme – Allocation of over ₹14,500 crore, including around ₹4,000 crore for compliance with quality standards and more than ₹4,000 crore for developing foreign markets.
Officials believe that these measures could help protect Indian exporters from global trade uncertainties and enhance their competitiveness, especially in the MSME sector, which forms a critical part of India’s export ecosystem.
If approved, the initiative is expected to strengthen India’s export performance over the next six years while providing much-needed support to small and medium enterprises navigating international markets.
Frequently Asked Questions
What is the total financial support proposed by the government for exporters?
The government plans to provide financial support of around ₹25,000 crore to Indian exporters from 2025 to 2031.
What is the main objective of the Export Promotion Mission?
The main objective is to offer easy and affordable loans to exporters, particularly benefiting the MSME sector, which faces significant challenges in international trade.
How is the mission expected to be implemented?
The mission is expected to be implemented through two sub-schemes: the Export Promotion Scheme and the Export Direction Scheme.
What are the key components of the Export Promotion Scheme?
The Export Promotion Scheme includes an allocation of over ₹10,000 crore, with more than ₹5,000 crore for interest equalization to make loans more affordable for exporters.
What are the key components of the Export Direction Scheme?
The Export Direction Scheme includes an allocation of over ₹14,500 crore, with around ₹4,000 crore for compliance with quality standards and more than ₹4,000 crore for developing foreign markets.
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