DGFT Unveils RELIEF Scheme to Shield Indian Exporters from West Asia Maritime Disruptions
The landscape of international trade is frequently subjected to the volatile shifts of global geopolitics. Recently, the maritime corridors traversing the Gulf and West Asia have witnessed unprecedented disturbances, severely impacting the supply chain dynamics for Indian businesses. To combat these severe logistical hurdles, the Central Government has officially launched the Resilience & Logistics Intervention for Export Facilitation (RELIEF) program. Promulgated by the Directorate General of Foreign Trade (DGFT) via Notification No. 65/2025-26 on 19 March 2026, this strategic initiative operates under the broader umbrella of the Export Promotion Mission (EPM).
This comprehensive intervention is meticulously designed to insulate the Indian assessee from the cascading financial burdens of vessel rerouting, inflated war risk premiums, and extraordinary freight levies. By deploying targeted financial assistance and enhanced insurance coverage, the government aims to sustain export momentum and protect the profit margins of vulnerable enterprises.
The Geopolitical Catalyst and Economic Repercussions
The Middle East, particularly the maritime zones surrounding the Strait of Hormuz, serves as a critical artery for India's outbound merchandise. Escalating hostilities involving Iran and neighboring territories have destabilized this crucial transit route. Consequently, global shipping conglomerates and maritime insurance providers have aggressively hiked their tariffs to offset the heightened security threats.
Indian assessee-exporters are currently grappling with a barrage of unforeseen expenses, including:
- Emergency Conflict Surcharges (ECS)
- Additional War Risk Premiums (AWRP)
- War Risk Surcharges (WRS)
- Extraordinary freight levies triggered by prolonged navigational diversions and severe congestion at regional transshipment ports.
These inflated outbound logistics costs threaten the global competitiveness of Indian goods, prompting the Ministry of Commerce & Industry to engineer a calibrated, time-bound financial shield.
Statutory Framework and Nodal Implementation
The legal foundation for the RELIEF initiative is deeply rooted in the statutory powers vested in the central administration. The DGFT has operationalized this scheme by invoking Section 3 and Section 5 of the Foreign Trade (Development and Regulation) Act, 1992. Furthermore, the intervention aligns perfectly with the strategic objectives outlined in paragraphs 1.02 and 2.01 of the Foreign Trade Policy 2023, which mandate the government to proactively facilitate trade and mitigate external shocks.