Exporters get six more months of risk cover amid West Asia turmoil

Amid geopolitical disruptions in West Asia, the Centre extended a scheme offering risk coverage to exporters facing higher shipping and insurance costs by six months.

Component II of the RELIEF (Resilience & Logistics Intervention for Export Facilitation) initiative will now remain in force until March 31, 2027, the Department of Commerce said on Monday.

The initiative is aimed at encouraging exporters to obtain insurance cover from the Export Credit Guarantee Corporation of India (ECGC) for eligible shipments to specified regions.


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Under the scheme, eligible exporters can receive 95 per cent risk coverage, and protection against increases in insurance premiums beyond pre-disruption levels is available during the eligible period, the department said in a notification dated September 30.

The extension comes as continuing geopolitical tensions in West Asia disrupt maritime logistics across the Gulf and surrounding regions, raising freight costs, insurance premiums and war-related risks for Indian exporters.

What does the scheme cover?

Component II covers standalone and whole-turnover ECGC policies obtained on or after March 16, 2026. Eligible cargo includes full container load (FCL), less than container load (LCL) and refrigerated containers, while energy shipments are excluded.

Exporters seeking benefits must submit claims and supporting documents through ECGC's customer portal. The corporation has also published video tutorials on its official YouTube channel to guide exporters through registration and claim submission.

Launched on March 19, 2026, RELIEF is part of the government's Export Promotion Mission and is intended to help Indian exporters manage exceptional increases in logistics costs and export risks arising from disruptions along the Gulf and wider West Asian maritime corridor.

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The extension is intended to sustain trade flows and reduce exporters' exposure to elevated shipping and insurance costs while geopolitical uncertainty persists. Its impact will depend on the extent of eligible exporters' participation and the costs and risks covered under the scheme.

(With inputs from PTI)