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DGFT
Interest Subvention Scheme Clarifications 2026-27 | DGFT Trade Notice No. 03/2026-27
Trade Notice No. 03/2026-27
Dated: 13 May 2026
Subject: Clarifications on Interest Subvention Support for Pre- and Post-Shipment Export Credit under Export Promotion Mission – Niryat Protsahan – reg.
In reference to the guidelines for Interest Subvention Support for Pre- and Post-Shipment Export Credit under the Export Promotion Mission (EPM) issued vide Trade Notice No. 20/2025-26 dated 02.01.2026, Trade Notice No. 22/2025-26 dated 16.01.2026, Trade Notice No. 33/2025-26 dated 20.03.2026 and Trade Notice No. 01/2026-27 dated 20.04.2026.
- Representations have been received on difficulties faced regarding UIN under Equalisation Intervention Scheme stating that the implementation involved onboarding of multiple lending institutions, development of internal banking workflows and alignment of technical systems for UIN validation and claim processing. During this initial implementation period, certain practical and procedural difficulties have arisen at the operational level resulting in non-uniform implementation across banks. Specific problems faced by the industry is as below:
- UDIN was generated erstwhile IES scheme, but credit has been disbursed on or after 02.01.2026.
- Credit has been disbursed on or after 02.01.2026, but were unable to complete the UIN process prior to disbursal.
- The issue has been examined in this Directorate. In the interest of ease of doing business, it has been decided to provide a window for firms to generate a UIN in cases where credit was disbursed in FY 2025-26 (on or after 02.01.2026) using erstwhile UDIN and also for entities who were disbursed loan under EPM on or after 02.01.2026 prior to UIN generation. Hence, the following amendments are issued to the existing guidelines. These shall form part of the Interest Subvention Support for Pre- and Post-Shipment Export Credit under Export Promotion Mission (EPM) - Niryat Protsahan as issued earlier.
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Para No. |
Existing Text |
Revised/Inserted Text |
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Draft HBP Para X.4(d) |
The Entity shall furnish the applicable UIN to their lending bank, and the bank shall report interest subvention claims mapped to the corresponding UIN. A new Unique Identification Number (UIN) shall be required to be generated reflecting the revised bank details in cases where the borrower changes the lending bank. Portability of UIN shall not be permitted, and the existing UIN shall not be transferred to the new bank. The rate of interest subvention applicable shall be the rate prevailing on the date of loan disbursal. |
The Entity shall furnish the applicable UIN to their lending bank, and the bank shall report interest subvention claims mapped to the corresponding UIN. A new Unique Identification Number (UIN) shall be required to be generated reflecting the revised bank details in cases where the borrower changes the lending bank. Portability of UIN shall not be permitted, and the existing UIN shall not be transferred to the new bank. a. FY 2025-26 (02.01.2026 to 31.03.2026) - Interest subvention claims may be submitted by the lending bank in respect of a UIN generated after the date of disbursal of eligible pre-shipment or post-shipment export credit, subject to the following conditions: (i) the eligible export credit has been disbursed on or after 02.01.2026; and (ii) the UIN has been generated on or before 31.05.2026. For the purposes of yearly monitoring, the exporter shall ensure that the UIN shall be generated specifically selecting the year in which disbursal was made by the bank. In such cases, interest subvention shall be admissible from the date of loan disbursal and not merely from the date of UIN generation. b. FY 2026-27 onwards - A UIN generated within 15 (fifteen) days from the date of original disbursal of eligible pre-shipment or post-shipment export credit shall be treated as valid for the purpose of admissibility of interest subvention support. Interest subvention shall be admissible from the date of disbursal in such cases. c. The rate of interest subvention applicable shall be the rate prevailing on the date of loan disbursal. d. The banks shall also ensure the claim being filed in respect of an UIN is specific to the year in which the disbursal of credit was/is made |
- All scheduled commercial banks and other lending institutions participating in the EPM Interest Subvention Scheme are directed to implement the above amendments immediately and uniformly.
This Trade Notice is issued with the approval of the Competent Authority.
(A.G. Subramanian)
Deputy Director General of Foreign Trade
[Issued from File No. 01/02/89/AM-26/EPM]
