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DGFT Unveils RELIEF Scheme To Shield Exporters From West Asia Disruptions

Directorate General of Foreign Trade (DGFT) has launched the RELIEF (Resilience & Logistics Intervention for Export Facilitation) scheme to protect Indian exporters from escalating logistics disruptions linked to tensions in the Middle East.

The initiative, part of the Export Promotion Mission, addresses supply chain stress triggered by rerouting of vessels and rising risks around the Strait of Hormuz. Freight rates on key Asia Europe routes have surged over 30% in recent weeks, while insurance premiums have risen sharply, squeezing exporter margins.

RELIEF introduces enhanced risk coverage through ECGC Ltd., offering up to 100% additional protection on existing insured shipments and 95% coverage on upcoming consignments. Eligible MSME exporters will receive up to 50% reimbursement on extraordinary freight and insurance costs, capped at ₹50 lakh.

The ₹497 crore programme aims to stabilise export flows in a sector that contributes over US$ 450 billion annually to India’s merchandise trade. Policymakers expect the move to prevent order cancellations and sustain global competitiveness.

RELIEF introduces enhanced risk coverage through ECGC Ltd., offering up to 100% additional protection on existing insured shipments and 95% coverage on upcoming consignments. Eligible MSME exporters will receive up to 50% reimbursement on extraordinary freight and insurance costs, capped at ₹50 lakh.

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