The government is especially creating new schemes to help small exporters to provide them loans without any bars. This will help them meet the needs of non-fee measures applicable in developed countries. It will be considered, among other things, promoting the vacant means of finance through cross -border factoring support and providing assistance for risky markets.
An inter -ministry committee is working on these schemes to be launched under the Export Promotion Mission of Rs 2,250 crore in the budget. This includes the Ministry of Commerce, Ministry of Finance and Micro, Small and Medium Enterprises (MSME) Ministry. The Finance Ministry has not approved a major export incentive scheme- Interest Committee Scheme (IES)- to continue further from 31 December. Therefore, a new amount has been made as an independent under this mission so that MSME exporters can be helped by considering the situation of export loan afresh. Its broad objective is to change the format of help for exporters. It is not necessary to help exporters only through interest grant like IES.
Director General of External Affairs (DGFT) Santosh Kumar Sarangi told reporters today, ‘It was not clear from the manner in which IES was operated, whether a large number of MSME concerns were removed or not. Hence the focus on export loan assistance has been focused which is necessary to combat non-fee measures in major markets like the European Union or America.
If the approval is received, some of these schemes will be implemented in about four months. The Export Promotion Mission will also include Rs 200 crore allocated for the Market Access Initiative (My) Scheme.
According to Sarangi, export loans for MSME have been a major challenge. Repeated surveys show that 4 out of 5 MSMEs have to deal with renovation problems while taking loans. Therefore, the government is preparing a scheme in which the loan for MSME exporters will be kept completely or partially free from renna. He said, ‘We are considering putting a limit on individual exporters so that a large number of MSMEs can get help. Our goal will be to help 1 lakh exporters.
The government is working to launch a business assistance program (TAP) scheme for the Khim Khim Bazaar. Banks often do not want to involve business related financial transactions connected to foreign banks due to limited information about the risk assessment. However, A Gzim (Import Export) Bank has already been working on the TAP scheme in a limited manner. But with the cooperation of the Center, it is being considered to increase it so that more and more exporters can be brought under its purview. This will be done in association with the government through the establishment of a risk partnership fund.