6 Government Schemes for Exporters in India You Probably Don’t Know About

Government schemes for exporters in India provide financial support, duty benefits, and marketing assistance to help businesses grow globally. From MEIS and SEIS to EPCG, IES, MAI, and Duty Drawback, these 6 schemes make exporting easier and more profitable. Even small businesses and first-time exporters can take advantage of these programs to save costs, increase competitiveness, and expand into international markets efficiently.

✅ Why Government Schemes Are Important for Exporters

Exporting involves costs like shipping, insurance, documentation, and marketing. Such schemes help you:

• Reduce export costs
• Get duty or tax benefits
• Improve competitiveness in global markets
• Encourage small businesses and startups

According to DGFT data, over 40% of small exporters use schemes, but many miss out simply because they don’t know the programs exist.

✅ 1. Merchandise Exports from India Scheme (MEIS)

MEIS is one of the most popular schemes for exporters. It provides duty credit scrips as incentives for exporting specific goods to designated countries.

• Benefits: Exporters get 2%–5% of the product value as a credit
• Products: Spices, textiles, leather, and handicrafts
• Who can apply: All registered exporters with IEC
• Validity: Credit can be used to pay customs duties, excise, and service taxes

Tip: Check the updated MEIS list every year as eligible products may change.

✅ 2. Service Exports from India Scheme (SEIS)

If you are exporting services like IT, education, tourism, or consultancy, SEIS gives you duty credit incentives.

• Benefits: Up to 5% of net foreign exchange earned
• Products: IT services, legal services, consultancy, hospitality services
• Who can apply: Indian service providers with IEC
• Purpose: Helps make Indian services competitive globally

✅ 3. Duty Drawback Scheme

The Duty Drawback Scheme refunds customs duties, excise, and other levies paid on imported inputs used to manufacture export goods.

• Benefits: Exporters get cash refund or scrip
• Applies to: Spices, garments, handicrafts, chemicals, and machinery
• Tip: Maintain proper documentation to claim refunds quickly

✅ 4. Export Promotion Capital Goods Scheme (EPCG)

EPCG helps exporters import capital goods at zero or reduced duty. Capital goods are machines or equipment used to produce exported products.

• Benefits: Save customs duty on imported machines
• Requirement: Exporters must fulfill export obligation within 6 years
• Ideal for: Manufacturers and startups scaling production

Tip: Plan carefully to meet the export obligations and avoid penalties.

✅ 5. Market Access Initiative (MAI) Scheme

MAI helps exporters promote products internationally. It funds trade fairs, buyer-seller meets, and overseas marketing activities.

• Benefits: Financial support for marketing campaigns abroad
• Who can apply: Exporters, trade associations, and clusters
• Tip: Use MAI for participating in exhibitions in UAE, Europe, or the US

✅ 6. Interest Equalization Scheme (IES)

IES provides subsidy on pre- and post-shipment export credit to make financing cheaper.

• Benefits: Reduces interest cost by 3%–5% depending on product
• Applies to: MSME exporters and eligible products like textiles, leather, handicrafts
• Tip: Work with your bank to avail the interest equalization

📊 Quick Export Incentive Facts

• India offers over 10 major export incentive schemes for goods and services
• MSME exporters benefit most from MEIS, SEIS, and IES
• Proper use of these schemes can increase profitability by 5%–15%
• Exporting with incentives improves global competitiveness

❓ 10 FAQs – Government Schemes for Exporters

Q1. Who can apply for MEIS?
Any registered exporter with IEC can apply for eligible products.

Q2. What is SEIS?
It is a scheme for service exporters that provides duty credit incentives.

Q3. How does Duty Drawback Scheme work?
It refunds duties paid on imported raw materials used to make export products.

Q4. What is EPCG?
It allows importing capital goods at zero or reduced duty for export production.

Q5. Can I use MAI for trade fairs abroad?
Yes, MAI funds overseas exhibitions and marketing events.

Q6. What is the Interest Equalization Scheme?
It provides subsidy on export credit to reduce financing costs.

Q7. Are these schemes only for big exporters?
No, MSMEs and small exporters benefit the most.

Q8. How do I check eligibility for MEIS or SEIS?
Visit DGFT or EPCG portal for updated lists.

Q9. Can I combine multiple schemes?
Yes, some schemes like Duty Drawback + MEIS can be used together.

Q10. How do I apply for these schemes?
Applications are usually online through DGFT, RBI, or Export Promotion Council portals.

✅ Final Thoughts

Government schemes for exporters in India can reduce costs, improve profits, and help businesses grow globally. Many small and medium exporters miss these benefits simply due to lack of awareness. By using MEIS, SEIS, EPCG, MAI, IES, and Duty Drawback schemes effectively, you can boost your export business and compete internationally in 2025.