Govt to Release Guidelines for Interest Equalisation Scheme and MAI to promote Exports

The government will release detailed guidelines next week for the Interest Equalisation Scheme and the Market Access Initiative (MAI). These guidelines are part of the ₹25,060 crore Export Promotion Mission, which aims to support exporters at a time when global tariffs are rising and shipments are under pressure.

After a Board of Trade meeting in New Delhi, Director General of Foreign Trade Ajay Bhadoo said that all remaining components of the mission will be notified by 15 January 2026. The first set of guidelines—covering the Interest Equalisation Scheme and the MAI—will be issued next week.

This clarity is crucial because exporters are currently operating with tight profit margins, higher borrowing costs, and the impact of global tariff disruptions. Timely guidance will help industries plan their operations better.

The Interest Equalisation Scheme offers exporters subsidised interest rates on pre-shipment and post-shipment credit, easing financial stress during periods of high working capital requirements.
The Market Access Initiative, on the other hand, provides financial assistance to help exporters enter new markets or strengthen India’s position in existing ones.

Both schemes form the backbone of the Export Promotion Mission. They are especially important for sectors such as textiles, leather, gems and jewellery, engineering goods, and marine products, which are facing severe challenges due to rising global duties.

Approved on 12 November, the Export Promotion Mission has an outlay of ₹25,060 crore for six financial years starting from 2025–26. The funds are divided into two components:

• Niryat Protsahan: ₹10,401 crore
• Niryat Disha: ₹14,659 crore

Priority support will be provided to industries affected by steep tariff hikes—particularly in the United States, which imposed a 50% import tariff from 27 August on several Indian products.

As a result, India’s merchandise exports to the US fell 8.58% to USD 6.3 billion in October, signalling stress in key export categories.

Overall, India’s merchandise exports declined 11.8% to USD 34.38 billion in October. Meanwhile, the trade deficit widened to a record USD 41.68 billion, driven largely by higher gold imports.

Between April and October this financial year, exports grew 0.63% to USD 254.25 billion, while imports rose 6.37% to USD 451.08 billion.

As India continues trade negotiations with the US, the upcoming guidelines are expected to help exporters manage changing tariff conditions more effectively.

The release of detailed guidance for the Interest Equalisation Scheme and the Market Access Initiative will give exporters clearer information on financial assistance and market access under the ₹25,060 crore Export Promotion Mission. These measures are intended to help businesses cope with ongoing global tariff challenges.