India Rolls Out Export Promotion Mission Amid Budget Cuts

The Indian government cuts export promotion budgets by 17%, allocating Rs 2,250 crore for 2025-26. A new Export Promotion Mission aims to enhance export competitiveness. Despite financial cuts, allocations for tea, coffee, rubber, and spices boards increased. December exports contracted, widening the trade deficit to USD 210.77 billion.

The Indian government has announced a significant reduction in its export promotion budget, reducing it by 17% for the year 2025-26. The new allocation now stands at Rs 2,250 crore, down from Rs 2,718.73 crore in the revised budget estimates for 2024-25.

In a move to enhance the country's export competitiveness, the government has unveiled a new initiative, the Export Promotion Mission. This initiative was highlighted in Finance Minister Nirmala Sitharaman's budget speech. The mission aims to provide exporters with easier access to credit and support for MSMEs facing non-tariff barriers in international markets.

Amid these budget reductions, funding for tea, coffee, rubber, and spices has increased, aligning with initiatives like the Pradhan Mantri Cha Shramik Protsahan Yojana. This comes as India faces a growing trade deficit, reaching USD 210.77 billion from April to December, driven by a contraction in exports.

(With inputs from agencies.)