Guidelines for Facilitating Logistics Interventions for Freight and Transport (LIFT) under Export Promotion Mission (EPM)

Government of India Ministry of Commerce & Industry Department of Commerce Directorate General of Foreign Trade Vanijya Bhawan, New Delhi Trade Notice No. 29/2025-26 Dated: 20th February 2026 Subject: Launch of Facilitating Logistics Interventions for Freight & Transport (LIFT) under Export Promotion Mission (EPM) – NIRYAT DISHA – reg. The Support for Logistics Interventions for Freight & Transport (LIFT) under Export Promotion Mission (EPM) – NIRYAT DISHA is hereby implemented prospectively with immediate effect. 2. The intervention aims to address geographical disadvantages and logistics gaps affecting MSMEs in low export intensity areas. Under LIFT, the proposed support focuses on lowering freight and logistics costs stemming from the locational challenges faced by MSMEs in these regions. 3. The detailed Policy framework is enclosed as Annexure-I. The Operational and Procedural Guidelines is enclosed at Annexure-II. The Governance Structure is enclosed at Annexure-III. 4. The intervention shall be operationalised on a pilot basis for feedback, institutional learning, and data-driven refinements. The procedure for application is enclosed at Annexure-IV. 5. The guidelines are further submitted for stakeholder feedback in accordance with Paragraph 1.07A of the Foreign Trade Policy (FTP) 2023. Stakeholders may submit 1 | Pag ecomments and suggestions on the Guidelines within 30 days from the date of issuance of this Trade Notice, through email at epm-dgft@gov.in This is issued with the approval of the Competent Authority. Bharani VLSVSS Deputy Director General of Foreign Trade (Issued from F. No. 01/02/73/AM-26/EPM) 2 | Pag eANNEXURE-I to the TRADE NOTICE POLICY FRAMEWORK FOR LOGISTICS INTERVENTIONS FOR FREIGHT & TRANSPORT (LIFT) 1. Objective a. The objective of the initiative is to provide support to MSMEs (involved in international value chains) equitable access to export opportunities by mitigating geographical disadvantages and addressing regional logistics gaps faced while operating from hinterland areas. b. Assistance under this initiative shall be directed towards offsetting structural inefficiencies in inland connectivity affecting remote or hinterland regions, thereby creating a level playing field. c. The support extended under this initiative shall reduce freight and logistics costs arising from locational disadvantages faced by hinterland MSMEs. 2. Scope and Coverage a. The support under this initiative shall be limited to partial reimbursement of freight cost incurred by MSMEs for exporting notified products form identified districts. b. The support shall be available exclusively to eligible MSMEs and shall be subject to such ceilings, conditions, and safeguards as may be notified. c. The detailed operational and procedural guidelines including eligibility conditions, application and claim procedures, reporting and monitoring requirements, and verification mechanisms are prescribed under ANNEXURE-II enclosed. 3 | Pag eANNEXURE-II to the TRADE NOTICE OPERATIONAL AND PROCEDURAL GUIDELINES FOR LOGISTICS INTERVENTIONS FOR FREIGHT & TRANSPORT (LIFT) 1. Eligibility, Scope and Coverage a. Exports originating from the districts as per the list under Annexure-V shall be the eligible for support under the Intervention. b. MSMEs from the districts specified holding an active Importer-Exporter Code (IEC) (not in the Denied Entity List (DEL) and a valid MSME Udyam Registration Number shall be eligible to for support under this initiative. c. Partial reimbursement of freight cost incurred shall be provided for: i. Shipment of exports from MSME premises to Inland Container Depots (ICDs), Container Freight Stations (CFS), Sea Ports, Air Cargo Complex (ACC), through rail or road. ii. Additionally, shipment through air shall also be supported for districts from Northeastern regions. d. The list of eligible products is notified under the Annexure-VI. e. Given support shall be admissible only where the distance between the origin and destination is not less than 200 km for freight movements to an ICD, CFS, ACC or seaport. 2. Nature and Extent of Assistance a. Assistance shall be provided in the form of partial reimbursement of the actual freight cost (excluding applicable taxes) or the notified cost, whichever is lower. b. The level of assistance shall be uniform across all MSMEs (involved in international value chains), irrespective of classification as Micro, Small, or Medium enterprises. The maximum cumulative reimbursement admissible shall be ₹20 lakh per IEC per financial year. c. Reimbursement shall be restricted to 30% of the eligible freight expenditure, excluding applicable taxes. 4 | Pag ed. To calculate eligible freight expenditure, the freight value shall be capped at 20% of the FOB value of the goods. e. Given Support shall not be admissible in respect of deemed exports, as defined under Chapter 7 of the Foreign Trade Policy or for exports to Special Economic Zones (SEZ). f. Revised reimbursement rates, as notified from time to time, shall be applicable only to eligible transportation and logistics on or after the date of such notification. g. Eligible Entities graduating out of their existing MSME category during the financial year, due to an upward change in investment or turnover, shall continue to remain eligible for support for a period of three years from the date of such re-classification, in accordance with Ministry of MSME Notification S.O. 4926(E) dated 18.10.2022, and subject to fulfilment of all other prescribed conditions. h. For FY 2025-26, the annual ceiling on support shall apply in full and shall not be subject to pro-rata adjustment, irrespective of the date of sanction during this financial year. i. Given Support shall be admissible only in respect of transportation and logistics services availed on or after 20th February 2026. 3. Submission of Claims a. Eligible MSME shall follow a two-stage online process for availing support under LIFT. b. Stage I – Intent-to-Claim (IC): The exporter shall file an online Intent-to-Claim prior to obtaining transportation services for transporting their exports. Each declaration of intent shall remain valid until the end of the financial year or for 12 months from the date of submission, whichever is earlier. c. Stage II – Reimbursement Claim (RC): Following completion of export and generation of shipping bill, the exporter shall file the Reimbursement Claim, tagging the relevant IC(s) and enclosing: i. Copy of the Invoices for transport ii. Invoice and proof of payment 5 | Pag eiii. A self-declaration confirming that no benefit has been claimed or shall be claimed for the same expenditure under any other scheme of the Central or State Government or any other third-party assistance. d. The Intent-to-Claim shall remain valid for submission of the Reimbursement Claim for a period of six months from the date of issuance. 4. Processing of Claims a. All valid claims shall be filed on a quarterly basis with the jurisdictional DGFT Regional Authority through the online system. b. Reimbursement support shall be made directly to the bank account specified in the IEC. c. The application for availing benefits should clearly mention the description of the products ensuring it is aligned with the list of identified products as per Annexure- VI. d. The following mandatory list of attachments shall be included with application for continuous tracking: i. Copy of invoice for shipment transportation ii. Proof of payment iii. Shipping Bill iv. E-Way Bill 6 | Pag eANNEXURE-III to the TRADE NOTICE GOVERNANCE STRUCTURE FOR LOGISTICS INTERVENTIONS FOR FREIGHT & TRANSPORT (LIFT) 1. Sub-Committee on Warehousing and Logistics a. Sub-Committee on Warehousing and Logistics (hereafter referred to as the “Sub- Committee”) will be constituted for advising, recommending activities and stakeholder coordination under this intervention. b. The Sub-Committee shall advise on regulatory, procedural, or policy-related bottlenecks impacting implementation and recommend suitable remedial measures; support development of performance indicators, outcome metrics, and monitoring mechanisms to assess the impact of interventions and provide inputs for capacity building, awareness programs, and stakeholder outreach initiatives. c. The composition of the Sub-Committee shall be as follows: Sl. Officer Concerned Position No. 1 Additional DGFT, in-charge of EPM Division, DGFT Chairperson 2 Joint DGFT, EPM Division, DGFT Co-Convenor 3 Joint DGFT, Logistics Division, DGFT Co-Convenor 4 Representatives from Territorial and Commodity Divisions, Member(s) Department of Commerce (not below the rank of Deputy Secretary) 5 Representative of IFD, Department of Commerce Member 6 Representative from Logistics Division, DPIIT (not below the Member rank of Deputy Secretary) 7 | Pag e7 Representative from the Ministry of MSME (not below the rank Member of Deputy Secretary) 8 Representative from the Economic Diplomacy Division, Member Ministry of External Affairs (not below the rank of Deputy Secretary) 9 Representative from the Ministry of Road Transport and Member Highways (not below the rank of Deputy Secretary) 10 Representative from the Directorate General of Civil Aviation Member (not below the rank of Deputy Secretary) 11 Representative from Container Corporation of India Member d. The Sub-Committee may co-opt members or invite any other participants as and when required. Domain experts or industry representatives with demonstrated experience in overseas logistics, warehousing, or cross-border e-commerce may be associated for technical appraisal. e. The Sub-Committee shall, inter alia, recommend the following:  Eligible districts.  Eligible products.  Applicable rates of reimbursement; and  Annual ceiling on admissible benefits. The current lists of eligible districts and eligible products are set out in Annexure-V and Annexure-VI, respectively. 2. Operationalisation and Implementation of LIFT The Export Promotion Mission (EPM) Section, DGFT(HQ) shall be responsible for operationalisation and implementation of LIFT including convening sub-committee 8 | Pag emeetings, operationalising online systems, disbursement of funds, and other related administrative functions. 9 | Pag eANNEXURE-IV to the TRADE NOTICE Application Procedure for Logistics Interventions for Freight & Transport (LIFT) a. Applicants shall submit an online application indicating their intent to avail reimbursement on the costs incurred for availing eligible transportation and logistics services. Upon submission, a unique UIN number shall be generated. b. Each declaration of intent shall remain valid until the end of the financial year or for 12 months from the date of submission, whichever is earlier. c. After availing the eligible transportation and logistics services, applicants shall apply for claim for reimbursement on the DGFT portal referring the UIN. d. Respective jurisdictional DGFT RAs shall examine and approve the claim and disburse the reimbursement amount directly to the applicant’s bank account linked to the IEC number. 10 | Pag eANNEXURE - V to the TRADE NOTICE List of Eligible Districts Sl. No. State/UTs District 1) Assam 2) Arunachal Pradesh 3) Himachal Pradesh 4) Jammu & Kashmir 5) Ladakh 6) Manipur 7) Meghalaya All Districts 8) Mizoram 9) Nagaland 10) Sikkim 11) Tripura 12) Uttarakhand 13) Bihar 11 | Pag eANNEXURE - VI List of Eligible Products Correct ITC(HS) Sl. No. Product Description Code(s) 1. 08023100 Walnuts 2. 08043000 Pineapple 3. 08051000 Mandarin oranges 4. 08055000 Lemons 5. 08105000 Kiwi fruit 6. 08109060 Litchi 7. 08109090 Makhana (fox nuts) 8. 09083100 Large cardamom 9. 09101100 Mizo ginger 10. 09102000 Saffron 11. 09109990 Mixed spices 12. 19059000 Bakery products 13. 20079900 Jams, jellies, fruit purée 14. 33074100 Agarbatti / incense sticks 15. 46021100 Bamboo articles 16. 50079000 Silk textiles (Ryndia textile) 17. 50079000 Mizo silk fabric Kullu shawls, Pashmina shawls, Shawls 18. 62142010 (Shaphee Lanphee) 19. 08081000 / 20079940 Apples fresh & processed Chillies -King Chilli / Bhut Jolokia / Sirarakhong 20. 09042110 / 09042210 Hathei / Mizo chilli 21. 09061100 / 09061900 Cinnamon 12 | Pag e22. 10082100 / 10082900 Millet and other cereals 23. 20019000 / 20079900 Pickles, jams, preserved fruit/veg 24. 20079900 / 20089900 Fruit-based processed products 25. 44200000 / 44209090 Wooden handicrafts 50010000 / 50020000 / 26. Muga silk 50030000 27. 57010000–57050000 Handmade carpets & floor coverings 28. 61150000 / 61160000 Socks / Gloves (knitted) ******* 13 | Pag e