In light of rising tensions in the Strait of Hormuz and the worsening global geopolitical climate from the West Asia conflict, the government on Thursday unveiled a ₹497 crore relief package for exporters to cushion the short-term effects of logistics disruptions and protect jobs. Exporters to receive ₹497-cr package to counter war-related disruptions. The RELIEF (Resilience & Logistics Intervention for Export Facilitation) initiative includes three complementary components that apply to consignments headed to West Asian countries like the UAE, Saudi Arabia, Kuwait, Israel, Qatar, Oman, Bahrain, Iraq, Iran, and Yemen—whether for direct delivery or transshipment—the commerce ministry stated. The first component targets exporters who already hold ECGC credit insurance coverage. They will enjoy up to 100% risk coverage on top of the current protection during the eligible period (February 14 to March 15), offering added security at no extra cost, it stated. The second option targets exporters scheduling shipments over the coming three months. They will be incentivized to secure ECGC cover backed by government support for up to 95% risk coverage, in addition to the current ECGC cover, which will bolster exporter confidence and support ongoing shipment flows, it stated. The third measure targets micro, small, and medium enterprises (MSMEs). Acknowledging that certain MSME exporters did not obtain credit insurance from February 14 to March 15 and are grappling with exceptional freight and insurance surcharges, RELIEF introduces a partial reimbursement option, it stated. “This assistance will be offered based on specified conditions, document checks, and set limits (up to ₹50 lakhs per exporter),” it added. These measures form part of the ₹25,060 crore Export Promotion Mission (EPM) 2026-31, designed to “alleviate short-term logistics disruptions, bolster exporter morale, avert order losses, and preserve jobs in export-related industries,” while underscoring India’s resolve to uphold “resilience and competitiveness” in international trade amid uncertainties, the ministry noted. “RELIEF is designed to deliver aid throughout the export process, encompassing shipments dispatched amid disruptions and future exports to the impacted areas,” the release explained. ECGC Ltd (previously Export Credit Guarantee Corporation of India Ltd) has been appointed as the central agency for verification, claim handling, payments, and oversight under the endorsed scheme. ECGC Ltd, a state-owned entity, falls under the administrative oversight of the Ministry of Commerce & Industry.
