Exporting is one of the best ways for a small manufacturer to grow, and the government runs several schemes to make it cheaper. Many of them changed in 2025 and 2026, so a lot of advice online is out of date. Here is what applies as of 11 October 2026, with official sources.
Before anything else: your IEC
To export or import goods you need an Importer Exporter Code (IEC) from the Directorate General of Foreign Trade (DGFT). You apply online on the DGFT portal. Most export schemes, including the interest subvention below, are linked to your IEC, so keep its details consistent with your PAN, bank account and Udyam registration.
1. Export Promotion Mission (EPM)
The Union Cabinet approved the Export Promotion Mission on 12 November 2025, with an outlay of ₹25,060 crore for FY 2025-26 to FY 2030-31. It focuses on MSMEs, first-time exporters and labour-intensive sectors, and it brings older schemes such as the Interest Equalisation Scheme (IES) and the Market Access Initiative (MAI) under one roof (PIB).
It has two parts (PIB):
- Niryat Protsahan for trade finance: interest subvention, export factoring, collateral guarantees, credit cards for e-commerce exporters and credit support for new markets.
- Niryat Disha for non-financial support: export quality and compliance, international branding and packaging, trade fairs, export warehousing and logistics, inland transport reimbursement, and trade intelligence.
2. Interest subvention on export credit
Launched on 2 January 2026 under Niryat Protsahan, this cuts the cost of pre-shipment and post-shipment rupee export credit for MSMEs (PIB):
- A base interest subvention of 2.75% a year, with a possible extra incentive for exports to notified under-represented or emerging markets.
- Only for products on a notified positive list of HS six-digit tariff lines, which covers about 75% of India's tariff lines.
- A cap of ₹50 lakh per IEC per year (set for FY 2025-26). The rates are reviewed every March and September.
It started as a pilot through RBI. DGFT later moved implementation to the Export-Import Bank of India (EXIM Bank) from 1 April 2026 (DGFT Trade Notice 17/2026-27). Your bank claims the subvention, so ask your export credit branch whether your product is on the list.
3. Collateral guarantee for export credit
The second Niryat Protsahan intervention, run with CGTMSE, guarantees export credit for exporters who lack collateral. PIB says coverage is up to 85% for micro and small exporters and up to 65% for medium exporters, with a maximum guaranteed exposure of ₹10 crore per exporter in a financial year. It started as a pilot (PIB). For the domestic version of this guarantee, see our CGTMSE guide.
4. RoDTEP: refund of embedded taxes
The Remission of Duties and Taxes on Exported Products (RoDTEP) scheme refunds embedded central, state and local duties, taxes and levies on exported products that are not refunded any other way. Notification 41/2026-27 of 30 September 2026 extended it up to 31 December 2026 for exports by DTA units, Advance Authorisation holders, SEZ units and EOUs. The rates and value caps in Appendix 4R and 4RE that applied on 30 September 2026 continue unchanged (PIB).
The extension runs only to the end of December 2026, so check DGFT for what happens after that before you price long-term orders.
5. Advance Authorisation: duty-free inputs
The Advance Authorisation scheme allows duty-free import of inputs that are physically incorporated in an export product. Packaging material, fuel, oil and catalysts used in production can also be allowed (DGFT). In return, you take on an export obligation. Apply on the DGFT portal.
6. EPCG: duty-free machinery
The Export Promotion Capital Goods (EPCG) scheme lets you import capital goods without paying customs duty. In return, your export obligation is six times the duties, taxes and cess saved, to be fulfilled within six years from the date the authorisation is issued (DGFT EPCG FAQ). This suits exporters planning to buy new machinery. Work out carefully whether you can meet the obligation, because failing to do so has a cost.
7. State export incentives
States add their own support. For example, Maharashtra reimburses the premium MSMEs pay for ECGC export credit insurance on eligible consignments, under its Export Promotion Policy 2023 (Commissionerate of MSME, Maharashtra). See our Maharashtra schemes page, and check your own state's industries department.
A starter checklist for small exporters
- Get your IEC, Udyam registration and GST in order.
- Find your product's HS code and check it against the interest subvention positive list and the RoDTEP rates.
- Talk to your bank's export credit desk about subvention and guarantee cover.
- Use DGFT and PIB as your sources. Ignore WhatsApp forwards about new export subsidies until you can find them there (see spotting scams).
Last checked 11 Oct 2026 against the official sources linked in this guide.
Disclaimer: This guide is general information in plain English. It is not legal, tax or financial advice. Scheme rules, limits and portals change, so always check the official source linked above, and talk to your bank or a qualified professional before you apply or bid. OpportunityRaider is independent and is not a government website.
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