Parliament Question: Impact of Cheap Imports

GOVERNMENT OF INDIA MINISTRY OF COMMERCE AND INDUSTRY DEPARTMENT OF COMMERCE LOK SABHA UNSTARRED QUESTION NO. 2824 ANSWERED ON 10/03/2026 IMPACT OF CHEAP IMPORTS 2824. ADV. CHANDRA SHEKHAR : Will the Minister of COMMERCE AND INDUSTRY ¼okf.kT; ,oa m|kxs ea=h½ be pleased to state: (a) the protective measures made to safeguard small-scale domestic industries from the impact of cheap imports; (b) whether the benefits of export promotion schemes are reaching micro and small- scale industries in an equitable manner, if so, the details thereof; (c) whether there is a separate scheme or budgetary provision specifically intended to promote rural and cottage industries, if so, the State and district-wise details of such provisions; (d) whether any special financial package has been earmarked for the revival of closed industrial units; and (e) if so, the details thereof, State and district-wise? ANSWER okf.kT; ,o a m|ksx ea=ky; es a jkT;ea=h ¼Jh ftfru izlkn½ THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI JITIN PRASADA) (a) Government has been implementing several protective measures to safeguard and promote small-scale domestic industries (SSIs) through trade remedial measures. The measures include imposing anti-dumping duties on below-cost imports, safeguard duties to manage sudden surges in imports, countervailing duties to neutralize subsidies provided by foreign governments, Quality Control Orders to prevent the dumping of substandard, cheap goods, and strict enforcement of rules of origin to prevent the misuse of FTAs for cheap imports. Monitoring of imports is also conducted through import licensing/registration mechanisms in sensitive sectors wherever required. (b) to (e) The Directorate General of Foreign Trade (DGFT) administers several key export promotion schemes, i.e. Export Promotion Capital Goods Scheme (EPCG), Advance Authorisation (AA), Duty Free Import Authorisation (DFIA), Remission of Duties & Taxes on Exported Products (RoDTEP) that are uniformly available to stakeholders, including micro and small-scale industries, across all States and Union Territories of India. 1These schemes are accessible to exporters, manufacturers, merchant exporters, and other eligible stakeholders across States/Union Territories, ensuring equitable policy implementation and equal opportunities for trade throughout the country. Union Cabinet has approved the Export Promotion Mission (EPM) on 12th November 2025 with the objective of strengthening India’s export competitiveness and providing targeted support to exporters in global markets, with a particular focus on Micro, Small and Medium Enterprises (MSMEs) across the country. The Export Promotion Mission is structured around two integrated sub-schemes:  Niryat Protsahan: focuses on improving access to trade finance through instruments such as interest subvention, export factoring, collateral guarantee for export credit, credit for e-commerce exporters, and credit enhancement support for export diversification; and  Niryat Disha: focuses on other trade enablers such as export quality and compliance support, international branding and packaging, market access initiatives, export logistics & warehousing, inland transportation support and trade intelligence. Further, initiatives for exporters' capacity building, such as the Niryat Bandhu Scheme and the development of Districts as Export Hubs, are also implemented across States/UTs. Government of India has also initiated multiple measures specifically aimed at promoting rural and cottage industries, primarily managed by the Ministry of Micro, Small and Medium Enterprises (MSME) and the Khadi and Village Industries Commission (KVIC). The measures include:  Prime Minister’s Employment Generation Programme (PMEGP): A major credit- linked subsidy scheme for setting up new micro-enterprises in rural (and urban) areas. It offers higher subsidies (up to 35% in rural areas) for special categories.  Scheme of Fund for Regeneration of Traditional Industries (SFURTI): Organizes traditional artisans into clusters to make them more competitive, providing support for technology, training, and raw materials.  A Scheme for Promoting Innovation, Rural Industry and Entrepreneurship (ASPIRE): Focuses on creating an ecosystem for startups in the agro-industry, establishing Technology Business Incubators (TBIs) and Livelihood Business Incubators (LBIs). 2 Gramodyog Vikas Yojana (GVY): Aims to revive traditional rural industries through skill development and distribution of modern tools.  Coir Vikas Yojana (CVY) & Mahila Coir Yojana: Focuses on the development of the coir industry, with a specific sub-scheme for providing motorised equipment to rural women artisans.  Mahatma Gandhi Gram Swaraj Initiative (2026): Launched to focus on global market linkage, branding, and modernization of khadi, handloom, and handicrafts.  One District One Product (ODOP) initiative for the promotion of district-specific products, including rural and cottage industries. The revival of closed industrial units is primarily undertaken through financial restructuring, revival packages, and support measures implemented by various Ministries, financial institutions, and State Governments. Support mechanisms include assistance under MSME support programmes of the Ministry of MSME, financial restructuring mechanisms for stressed units through banks and financial institutions. ***** 3