DGFT sets up panel to improve uptake of ₹497-crore export relief scheme

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The Directorate General of Foreign Trade (DGFT) has constituted a six-member sub-committee to review the implementation of the Resilience & Logistics Intervention for Export Facilitation (RELIEF) scheme and recommend measures to improve exporter participation and fund utilisation.

Established through Trade Notice No. 33/2026-27 dated 30 October 2026, the panel takes effect immediately under the Export Promotion Mission (EPM). Its review will cover all three components of the intervention, including claims processed and funds remaining with ECGC, the implementing agency.

What will the RELIEF review panel examine?

The sub-committee will assess implementation progress, identify factors affecting uptake and recommend ways to improve the use of approved funds.

Its recommendations will go to the EPM Steering Committee, which is responsible for considering changes to the intervention. The panel can also invite stakeholders or co-opt members when required.

The announcement establishes a review mechanism but does not disclose current disbursements, the number of beneficiaries or a quantified shortfall in utilisation. Its formation therefore should not be read as evidence of a particular level of unspent funds.

Who will oversee the review?

Additional Directors General of Foreign Trade from DGFT’s Logistics Division and EPM Division will jointly chair the panel.

Other members include the Director of the Department of Commerce’s Trade Finance Division, a functional director of ECGC and a representative of the Department of Financial Services.

A Joint DGFT from the EPM Section will serve as convenor, while the section will provide secretariat support. The composition brings together officials responsible for trade facilitation, export finance and insurance implementation.

Why was the RELIEF scheme introduced?

Launched on 19 March 2026, RELIEF was designed to support Indian exporters facing exceptional freight increases, higher insurance premiums and war-related risks arising from disruptions in the Gulf and wider West Asian maritime corridor.

The government approved an outlay of ₹497 crore under the Export Promotion Mission. ECGC was designated the nodal agency for verification, claims processing, disbursement and monitoring.

The original framework covered eligible consignments destined for delivery or transshipment through specified countries in the affected region. It sought to address both shipments already exposed to disruption and prospective exports.

What assistance do the three components provide?

Component I provides enhanced risk protection for eligible exporters already holding ECGC insurance, with coverage up to 100% under the applicable conditions.

Component II encourages insurance coverage for upcoming shipments, offering up to 95% risk coverage and protecting eligible exporters against premium increases beyond pre-disruption levels.

Component III provides partial reimbursement of extraordinary freight and insurance surcharges for eligible uninsured micro, small and medium enterprise (MSME) exporters. Support is limited to 50% of eligible costs, subject to a ceiling of ₹50 lakh per exporter and documentary verification. Each component has its own eligibility requirements and shipment periods.

What is the latest deadline for Component II?

The Department of Commerce has extended Component II until 31 March 2027 through a notification dated 30 September 2026.

An official clarification issued on 26 October confirmed that benefits cover eligible standalone and whole-turnover policies obtained on or after 16 March 2026. Eligible cargo includes full container loads, less-than-container loads and refrigerated containers, excluding energy shipments.

Exporters must submit claims and supporting documents through ECGC’s customer portal.

The extension and implementation review address separate issues: the former prolongs the eligible period for Component II, while the new panel will examine delivery across the broader scheme. Any subsequent changes to benefits or procedures will depend on decisions by the EPM Steering Committee.

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