MSME Ministry appoints Export Credit Guarantee Corporation of India (ECGC) to implement CBFTE scheme for First Time MSE Exporters | The Financial Express

MSME Ministry appoints Export Credit Guarantee Corporation of India (ECGC) to implement CBFTE scheme for First Time MSE Exporters

Import, Export, Trade for MSMEs: The export credit insurance premium paid by the micro and small enterprise (MSE) exporters holding the ECGC Small Exporter’s Policy, will now be eligible for reimbursement from the Ministry of MSME as per the agreement.

MSME Ministry appoints Export Credit Guarantee Corporation of India (ECGC) to implement CBFTE scheme for First Time MSE Exporters
he Memorandum of Understanding (MoU) was signed between the MSME Ministry and ECGC on Tuesday in the presence of B.B. Swain, Secretary, Ministry of MSME. (Image: Twitter/@ecgclimited)

Import, Export, Trade for MSMEs: The Ministry of Micro, Small and Medium enterprises (MSMEs) has appointed Export Credit Guarantee Corporation of India (ECGC) as the implementing agency for the ‘Capacity Building of First Time MSE Exporters’ (CBFTE) component of the International Cooperation (IC) Scheme, as per the report from Knowledge and News Network (KNN).

The Memorandum of Understanding (MoU) was signed between the MSME Ministry and ECGC on Tuesday in the presence of B.B. Swain, Secretary, Ministry of MSME.

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The export credit insurance premium paid by the micro and small enterprise (MSE) exporters holding the ECGC Small Exporter’s Policy, will now be eligible for reimbursement from the Ministry of MSME as per the agreement. 

The MSME Ministry will release the grant amount to ECGC on reimbursement basis under the scheme on submission of the reimbursement claim in the proforma accompanied by the documents as prescribed by the Ministry.

The amount received from the Ministry of MSME, will then be transferred by ECGC to the beneficiaries, the report said. 

An exporters will be entitled to a maximum reimbursement of Rs 10,000 or actual, whichever is lower during the ongoing financial year.

To avail the benefits under the CBFTE scheme, MSEs need to have a valid Udyam Registration and the Import Export Code Number which shouldn’t be older than three years on the date of export shipment. 

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The scheme is applicable to the MSE exporters associated with the manufacturing sector. 

PM Modi had launched the CBFTE scheme in June this year to boost the quality of MSME products and services to improve their participation in the global value chain and realise their export potential.

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First published on: 22-09-2022 at 15:33 IST