2 months ago
1
The authorities connected Thursday (March 19, 2026) launched the ₹497 crore Resilience & Logistics Intervention for Export Facilitation (RELIEF) strategy to supply recognition security screen for exporters whose goods are stranded owed to the West Asia crisis, oregon who are readying to export to the Gulf implicit the adjacent fewer months. The security premia nether this strategy would beryllium astatine pre-conflict rates and the absorption would beryllium MSME beneficiaries.
While announcing the scheme, the officials of the Ministry of Commerce and Industry acknowledged the hardship being faced by Indian exporters owed to the constraints created by the warfare successful West Asia, and said that the RELIEF strategy was aimed astatine alleviating this and providing them with surety astir their exports.
“Our exporters who person been exporting to the Middle East are facing definite challenges,” Commerce Secretary Rajesh Agrawal said astatine a property briefing. “There person been instances wherever exports that were meant for immoderate of the countries successful the portion person not been capable to scope their destination. There is simply a consciousness of interest among the exporters, particularly those who person got vulnerability to the Middle East countries. Their aboriginal exports are besides getting impacted.”
In a abstracted inter-ministerial briefing, Special Secretary astatine the Ministry of Ports, Shipping and Waterways Rajesh Kumar Sinha said that determination are 2 instrumentality ships presently successful the Eastern portion of the Strait of Hormuz, headed from India to Oman and the UAE.
“Both are instrumentality vessels [operating successful the Eastern part], the archetypal is CMA CGM Vitoria which is astatine the Sohar larboard successful Oman which has 24 Indian seafarers connected board,” Mr. Sinha said. “The 2nd is SSL Godavari, which is connected its mode to Khor Fakkan Port successful the United Arab Emirates (UAE), and has 23 Indian seafarers connected board.”
In bid to assistance exporters affected by stuck shipments, the authorities announced the RELIEF scheme, which would beryllium a portion of the Export Promotion Mission that was announced successful Budget 2025 and that was implemented implicit the people of 2025-26.
Contours of the scheme
The RELIEF strategy is to beryllium successful 3 parts, the Director General of Foreign Trade Lav Agarwal explained successful the briefing.
The archetypal component, comprising ₹56 crore, is aimed astatine exporters who already person recognition security screen from ECGC Ltd. (formerly Export Credit Guarantee Corporation of India), which is wholly owned by the Ministry of Commerce & Industry.
Under this scheme, specified exporters would beryllium capable to avail of security premiums astatine pre-disruption rates, and the screen would widen to consignments wherever the Onboard Bill of Lading oregon airway measure is issued during February 14 to March 15, 2026. It would besides lone use to consignments bound for UAE, Saudi Arabia, Kuwait, Qatar, Oman, Bahrain, Iraq, Iran, Israel and Yemen.
“ECGC covers nonaccomplishment owed to war-related risks and associated governmental risks successful the affected countries,” Mr. Agarwal said. “It besides provides enhanced screen up to 100% of loss, taxable to immoderate conditions and verification.”
The Government would reimburse ECGC for compensation paid successful excess of the magnitude payable nether the existing ECGC argumentation cover.
Future exports besides covered
The 2nd constituent of the scheme, comprising ₹159 crore, is aimed astatine those exporters who person not yet opted for ECGC screen and are looking to export to the affected countries implicit the adjacent 3 months. The screen would widen to those consignments for which the Onboard Bill of Lading oregon airway measure has been granted betwixt March 16 and June 15, 2026. Energy shipments are, however, excluded from this.
“The intent is to promote exporters to opt for ECGC recognition security screen for consignments to the specified countries,” Mr. Agarwal said, adding that the premium paid by the exporters nether this constituent besides would not transcend the pre-distruption rates.
Under this 2nd component, ECGC would supply screen up to 95% of losses faced, taxable to verification.
The 3rd and largest component, accounting for ₹282 crore, is aimed astatine lone MSME exporters that person been affected truthful far, and that person not availed of ECGC screen truthful far, and applies to consignments betwixt February 14 and March 15, 2026.
In bid to guarantee that lone MSMEs avail of this 3rd component, the enactment is capped astatine ₹50 lakh per exporter.
Protection and indemnity security club
Apart from the ECGC security cover, the authorities is besides successful talks to make a extortion and indemnity security (P&I) nine to trim dependence connected overseas insurers.
“At present, the state does not person a P&I club, we indispensable institute it and it is an important taxable for us,” Mr. Sinha stated. “It volition instrumentality time, but we volition make one. Presently, it is astatine a matured deliberation level. Further, whenever it is formed it would beryllium successful gradual levels, that is, covering 1 conception and with maturity, scaling it further.”
P&I security is the argumentation shipowners usage to support themselves against liability claims from crew, passengers and/or 3rd parties that extends beyond the purview of accepted maritime insurance.
