Executive Summary:
The Government of India has implemented measures to boost exports and enhance the global competitiveness of Indian products. The Foreign Trade Policy (FTP) 2023 shifts from incentives to a remission-based framework. The policy includes support for MSMEs through schemes like RoDTEP and RoSCTL, expansion of Towns of Export Excellence, and identification of new international markets.
Key Points / Main Content:
Foreign Trade Policy (FTP) 2023:
* Shifts from incentive-based to remission-based framework for WTO compliance.
* Supports merchanting trade and digitization of approvals.
* Simplifies customs procedures for e-commerce exports.
* Promotes development of new Towns of Export Excellence and District-Level Export Hubs.
Support for Exporters (Especially MSMEs):
* **RoDTEP Scheme:** Operational since April 1, 2021, covers 10,642 tariff lines, with a budget allocation of 18,232.50 crore for FY 2025-26; applies to DTA exports until September 30, 2025.
* **RoSCTL Scheme:** Operational since March 2019, supports labour-intensive textile exports.
* **Export Promotion Mission:** Proposed in Union Budget 2025-26, aims to improve MSME participation in global trade.
* **Trade Connect e-Platform:** Provides trade-related information and integrates support from various organizations.
* **Districts as Export Hubs (DEH) Initiative:** Promotes district-specific products and builds export capacity.
* Expansion of Towns of Export Excellence (TEE): Increased to boost MSME-led clusters.
International Market Expansion:
* Identified 20 countries and 6 focus sectors for prioritized export promotion.
* Actively engaged in negotiating Free Trade Agreements (FTAs) with key global partners.
* FTAs operationalized include India-Mauritius CECPA (2021), India-UAE CEPA (2022), and India-Australia ECTA (2022).
* Recently concluded FTAs with the United Kingdom and the European Free Trade Association (EFTA).
* Ongoing trade agreement negotiations with the EU, USA, Peru, Chile, Oman, and New Zealand.
Export Performance:
* 31 major product sectors contributed to export performance in the last two financial years.
* Key contributors include Petroleum Products, Engineering Goods, Drugs and Pharmaceuticals, and Gems and Jewellery.
Impact Analysis:
Exporters (including MSMEs):
* Impact: Benefit from enhanced policy support, simplified procedures, and improved market access.
* Action Required: Utilize available schemes (RoDTEP, RoSCTL), engage with Trade Connect e-Platform, and leverage DEH initiative.
Government Agencies:
* Impact: Required to implement and manage the new policies and initiatives, including the FTP 2023 and Export Promotion Mission.
* Action Required: Streamline approval processes, monitor export performance, and engage with stakeholders to address challenges.
Indian Missions Abroad:
* Impact: Play a key role in promoting exports in identified countries and supporting FTA negotiations.
* Action Required: Develop strategies for expanding exports in target markets and provide support to Indian exporters.
Key Entities Referenced
Foreign Trade Policy FTP 2023: A policy by the Government of India outlining a shift from an incentive-based approach to a remission-based framework to promote WTO-compliant export competitiveness.
MSME: Micro, Small and Medium Enterprises, a sector receiving special attention under the Foreign Trade Policy to support exporters.
RoDTEP Scheme: Remission of Duties and Taxes on Exported Products Scheme, operational since April 1, 2021, covering 10,642 tariff lines with a budget allocation of 18,232.50 crore for FY 202526.
RoSCTL Scheme: Rebate of State and Central Taxes and Levies Scheme, operational since March 2019, supporting labour-intensive textile sector exports through reimbursement of central and state levies and taxes.
Districts as Export Hubs DEH Initiative: An initiative to identify and promote district-specific products and build capacity in export logistics and infrastructure at the local level.
Towns of Export Excellence TEE: Areas recognized for their export potential, with the number of TEEs being increased to boost MSME-led clusters with policy support.
India-United Kingdom Free Trade Agreement: A recently concluded trade agreement between India and the United Kingdom to enhance market access and boost export competitiveness.
India-European Free Trade Association EFTA Trade Economic Partnership Agreement TEPA: A recently concluded trade agreement between India and the European Free Trade Association to enhance market access and boost export competitiveness.
GOVERNMENT OF INDIA
MINISTRY OF COMMERCE AND INDUSTRY
(DEPARTMENT OF COMMERCE)
LOK SABHA
UNSTARRED QUESTION NO. 1417
ANSWERED ON 29/07/2025
BOOSTING INDIA’S EXPORTS
1417. SMT. GENIBEN NAGAJI THAKOR:
Will the Minister of COMMERCE AND INDUSTRY (वाणिज्य एवं उद्योग मंत्री) be pleased to
state:
(a) whether the Government has implemented any recent schemes to boost India's exports
and make Indian products globally competitive;
(b) if so, the key initiatives taken under the Foreign Trade Policy to support exporters,
especially in the MSME sector;
(c) whether the Government has identified new international markets for Indian goods and
services; and
(d) if so, the details thereof along with the export performance including major sectors
contributing to export growth during the last two years?
ANSWER
वाणिज्य एवं उद्योग मंत्रालय में राज्यमंत्री (श्री णिणिन प्रसाद)
THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY
(SHRI JITIN PRASADA)
(a) The Government has introduced various policy measures and initiatives aimed at
strengthening India's export ecosystem and enhancing the global competitiveness of Indian
products. The Foreign Trade Policy (FTP) 2023 has outlined a shift from an incentive-based
approach to a remission-based framework to promote WTO-compliant export competitiveness.
The policy supports merchanting trade, encourages digitisation of approvals, simplifies customs
1procedures for e-commerce exports, and promotes development of new Towns of Export
Excellence and District-Level Export Hubs.
Further, the Niryat Bandhu Scheme continues to guide and mentor emerging exporters,
especially MSMEs, through capacity building and awareness initiatives. These efforts are part of
a broader strategy to support sustained and inclusive growth in India's goods and services
exports.
(b) Under the new Foreign Trade Policy, several targeted measures are being taken to
benefit exporters, with special attention to MSMEs. These include:
RoDTEP Scheme: Operational since April 1, 2021, it covers 10,642 tariff lines with a
budget allocation of ₹ 18,232.50 crore for FY 2025-26, and applies to DTA exports till
September 30, 2025.
RoSCTL Scheme: Operational since March 2019, this scheme supports labour-intensive
textile sector exports through reimbursement of central and state levies and taxes.
Export Promotion Mission: Announced in the Union Budget 2025–26 and presently
under inter-ministerial consultation, the proposed Export Promotion Mission seeks to
address key challenges faced by MSME exporters. The draft framework places emphasis
on enabling MSMEs to better participate in global trade by improving cash flow,
reducing transactional hurdles, and expanding market access.
Trade Connect ePlatform has been launched to provide trade-related information to
Indian exporters particularly MSMEs. This platform also serves as an online hub for
integrating efforts from the Department of Commerce, Indian Missions abroad, Export
Promotion Councils, Commodity Boards, and other organisations to deliver
comprehensive support to Indian exporters, in the form of information, answering queries
and online services such as issuance of Certificate of Origin.
Districts as Export Hubs (DEH) Initiative: It helps identify and promote district-specific
products and build capacity in export logistics and infrastructure at the local level.
Expansion of Towns of Export Excellence(TEE): The number of TEEs has been
increased to boost MSME-led clusters with suitable policy support.
(c) The Government has identified 20 countries of significance and 6 focus sectors each in
goods and services to prioritise export promotion. A meeting with officers of Indian Missions in
these countries was held in January 2025 to discuss strategies for expanding exports. These
countries include Australia, Bangladesh, Brazil, China, France, Germany, Indonesia, Italy, Japan,
Netherlands, Russia, Singapore, South Africa, Saudi Arabia, Republic of Korea, Türkiye, UAE,
UK, USA and Vietnam. India is actively engaged in negotiating and concluding comprehensive
and balanced Free Trade Agreements (FTAs) with key global partners to enhance market access,
strengthen supply chains, and boost export competitiveness. Through these regular and strategic
trade agreements, India is emerging as a reliable and resilient partner in the evolving global trade
2architecture. Recent Free Trade Agreements (FTAs) operationalised include the India–Mauritius
Comprehensive Economic Cooperation and Partnership Agreement (CECPA) (2021), India–
UAE Comprehensive Economic Partnership Agreement (CEPA) (2022) and the India–Australia
Economic Cooperation and Trade Agreement (ECTA) (2022). Further, two major trade
agreements have been recently concluded: the India–United Kingdom Free Trade Agreement and
the India–European Free Trade Association (EFTA) Trade & Economic Partnership Agreement
(TEPA). Trade agreement negotiations are also ongoing with several global partners, including
the EU, USA, Peru, Chile, Oman and New Zealand, to facilitate market access for Indian goods
and services.
(d) Over the past two financial years, 31 major product sectors have contributed significantly
to India's export performance. Key contributors include: Petroleum Products, Engineering
Goods, Drugs and Pharmaceuticals, Gems and Jewellery, Organic and Inorganic Chemicals,
Rice, Cotton Yarn/Fabrics/Made-ups, Handloom Products, Marine Products, Meat, Dairy and
Poultry Products, Spices, Leather Goods, Iron Ore, Tea, Handicrafts, Cashew, and others.
A detailed sector-wise export performance report for the financial years 2023-24 and 2024-25 is
enclosed as Annexure-1.
*****
3Annexure-1
Sl. no. Major Commodity 2023-24 2024-25
1 Engineering Goods 109,301 116,637
2 Petroleum Products 84,157 63,341
3 Electronic Goods 29,123 38,578
4 Drugs & Pharmaceuticals 27,852 30,467
5 Gems & Jewellery 32,707 29,814
6 Organic & Inorganic Chemical 29,382 28,699
7 RMG of all Textiles 14,532 15,989
8 Rice 10,417 12,472
9 Cotton Yarn/Fabs./Made-ups, Handloom Products Etc. 11,684 12,056
10 Plastic And Linoleum 8,092 8,919
11 Marine Products 7,372 7,405
12 Meat, Dairy And Poultry Products 4,527 5,096
13 Mica, Coal And Other Ores, Minerals Including Process 4,682 5,042
14 Man-Made Yarn/Fabs./Made-ups etc. 4,679 4,869
15 Spices 4,249 4,452
16 Leather And Leather Manufactures 4,283 4,371
17 Ceramic Products And Glassware 4,277 3,988
18 Fruits And Vegetables 3,662 3,871
19 Cereal Preparations & Misc. Processed Item 2,853 3,102
20 Iron Ore 3,914 2,083
21 Tobacco 1,450 1,979
22 Coffee 1,286 1,806
23 Handicrafts Excl. Hand Made Carpets 1,802 1,767
24 Carpets 1,395 1,541
25 Oil Meals 1,714 1,344
26 Oil Seeds 1,437 1,344
27 Tea 826 924
28 Jute Mfg. including Floor Covering 339 384
29 Cashew 339 338
30 Other Cereals 518 271
31 Others 24,223 24,465
Total Exports 437,072 437,416
Source: DGCIS (Sorted on the basis of figures of 2024-25 - placing "Others" at the end)
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