Parliament Question: MSME Exports

GOVERNMENT OF INDIA MINISTRY OF COMMERCE AND INDUSTRY DEPARTMENT OF COMMERCE RAJYA SABHA UNSTARRED QUESTION No. 1637 ANSWERED ON 13/02/2026 MSME EXPORTS 1637. SMT. RANJEET RANJAN: Will the Minister of COMMERCE AND INDUSTRY be pleased to state: (a) the total value of Micro, Small, and Medium Enterprises (MSME) exports in financial year 2025-26,sector-wise and the sectors that registered the highest and lowest export growth in the post five years; (b) details of financial and logistical support extended to MSMEs for export promotion, including the number of beneficiaries under various Government schemes, year-wise since 2015; (c) details of any bilateral or multilateral collaborations initiated or being discussed with global trade bodies or partner countries to enhance MSME exports; and (d) whether Government has assessed the impact of rising global protectionism and tariff barriers and India’s MSME exporters? ANSWER THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI JITIN PRASADA) (a) The Micro, Small and Medium Enterprises (MSME) sector continues to be a vital contributor to India’s export basket. The export data, based on the information declared by exporters on shipping bills and received from the Customs Department, is available on the NIRYAT portal https://niryat.gov.in/and https://www.dgciskol.gov.in/. (b) The Government has undertaken various initiatives to support Micro, Small and Medium Enterprises (MSMEs) for export promotion. Some of the key initiatives are as follows: i. Export Promotion Mission (EPM): The Government has approved the EPM with a budgetary outlay of ₹25,060 crores (FY 2025–26 to FY 2030–31). It operates through Niryat Protsahan (focusing on trade finance and credit enhancement) and Niryat Disha (focusing on export logistics, warehousing, and market access), specifically targeting MSME competitiveness. ii. Credit Support: To ensure adequate and affordable credit, the Export Credit Guarantee Corporation (ECGC) has increased its insurance cover for banks to 90% (up from 70%) under the Whole Turnover-Export Credit Insurance for Banks (WT-ECIB) for loans up to ₹80 crore. Additionally, a Collateral-Free Cover has been introduced for Micro and Small Enterprises (MSEs) for working capital limits up to ₹10 crore. iii. Districts as Export Hubs (DEH): This initiative identifies products with export potential in every district to address bottlenecks and link local MSMEs with global value chains. 1iv. Trade Connect e-Platform: Trade Connect e-Platform 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. v. In addition, several other MSME - focused schemes contribute to strengthening the competitiveness of enterprises engaged in exports. These include the Prime Minister’s Employment Generation Programme (PMEGP), Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), Micro and Small Enterprises –Cluster Development Programme (MSE-CDP), Scheme of Fund for Regeneration of Traditional Industries (SFURTI), Zero Defect Zero Effect (ZED) Certification Scheme, LEAN Manufacturing Competitiveness Scheme, Intellectual Property Rights (IPR) Scheme, and the Procurement and Marketing Support (PMS) Scheme, which collectively enhance productivity, quality, market access, and institutional capacity of MSMEs. vi. To strengthen exporters, particularly Micro, Small and Medium Enterprises (MSMEs), and improve their integration into global value chains, the Government has implemented a range of measures aimed at improving access to export credit, risk mitigation and trade finance support. These include: • Provision of 90% insurance cover under the Short-Term Whole Turnover – Export Credit Insurance for Banks (WT-ECIB) scheme for exporters or exporter groups with aggregate export working capital limits up to ₹80 crore, to facilitate availability of affordable export credit. Enhanced insurance cover of up to 100% for exporters obtaining policies directly without intermediaries, which may be considered by banks as risk mitigation, thereby easing collateral requirements for MSME exporters. • Simplification of procedures for settlement of Short-Term ECIB claims with net principal outstanding up to ₹10 crore, enabling faster processing and reduced documentation. • Introduction of a non-recourse Export Factoring Facility designed for manufacturing MSMEs, providing working capital support, credit risk protection and receivables management. • Provision of Exports Receivables Insurance Cover (ERIC) in Indian Rupees and foreign currency to support Non-Banking Financial Companies (NBFCs) in expanding factoring services for exporters. (c) The Government actively engages in bilateral and multilateral collaborations to enhance market access for MSMEs. A key pillar of this strategy is leveraging Free Trade Agreements (FTAs) and Preferential Trade Agreements (PTAs). The Government is actively working with all stakeholders to enable exporters to better utilize the benefits of existing agreements and effectively seize opportunities created by recent trade deals, such as with Mauritius, United Arab Emirates, Australia, EFTA, Oman, United Kingdom, New Zealand, the European Union. (d) The Government closely monitors global trade developments as well as its impact on India's international trade. Issues related to market access and tariff barriers are taken up bilaterally or multilaterally with trading partners to ensure that Indian MSMEs remain competitive in the global market. ***** 2