New Delhi, Jan 13 Commerce and Industry Minister Piyush Goyal on Tuesday listed the trade talks with the EU in Brussels and the rollout of the Export Promotion Mission in a roundup of "major highlights" from his Ministry in the last 10 days.
"Held a productive dialogue with the European Union Trade and Economic Security Commissioner, Mr Maros Sefcovic, in Brussels. We conducted detailed deliberations on key areas of the proposed India-EU FTA. Also emphasised the strategic importance of concluding a fair, balanced, and ambitious agreement that aligns with their shared values, economic priorities, and commitment to a rules-based trading framework," the minister said.
He further stated that he visited Liechtenstein and reviewed the implementation of the India–EFTA Trade and Economic Partnership Agreement. "Also met H.S.H. Hereditary Prince Alois and the top political leadership. Encouraged greater participation of EFTA companies in key trade and investment events in India and invited closer collaboration through business dialogues and delegations."
Besides, the minister highlighted that as part of the initial rollout of the Export Promotion Mission, two key interventions under the NIRYAT PROTSAHAN sub-scheme have been launched to strengthen MSME exports and improve access to trade finance. These interventions will lower the cost of exporting for MSMEs, give them improved cash flow and liquidity, encourage them to explore new export markets, give easier access to bank loans to MSME exporters, make them less dependent on property or asset collateral and boost export growth, especially among small firms.
The first intervention under the scheme relates to interest subvention for pre- and post-shipment export credit, aimed at reducing the cost of export credit and easing working-capital constraints faced by MSME exporters. Under this intervention, interest subvention will be provided on pre- and post-shipment rupee export credit extended by eligible lending institutions. A base interest subvention of 2.75 per cent has been provided, with a provision for additional incentive for exports to notified under-represented or emerging markets, subject to operational readiness.
The second intervention under Niryat Protsahan relates to collateral support for export credit, aimed at addressing constraints faced by MSME exporters and improving access to bank finance. Guarantee coverage of up to 85 per cent will be provided for Micro and Small exporters and up to 65 per cent for Medium exporters, with a maximum outstanding guaranteed exposure of Rs 10 crore per exporter in a financial year.
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