The Government of India released the updated Foreign Trade Policy 2025 in March, introducing several significant changes that directly impact exporters across industries. Here's what you need to know.
What Changed in FTP 2025?
The revised policy focuses on four key pillars: ease of doing business, export incentives, digital integration, and dispute resolution. The Ministry of Commerce has taken a consultative approach this time, incorporating feedback from industry bodies including the United Exporters Forum.
1. Simplified SEIS and MEIS Replacement
The Services Exports from India Scheme (SEIS) has been restructured to cover a broader range of service categories. The old MEIS has been replaced with a more targeted incentive structure linked to specific product categories and destination markets.
"The new framework rewards actual export performance, not just registration — a step in the right direction for serious exporters."
2. Enhanced EPCG Norms
The Export Promotion Capital Goods (EPCG) scheme now allows import of capital goods at zero customs duty with a revised export obligation linked to 6x the duty saved over 6 years (previously 7 years). This is particularly beneficial for:
- Textile and garment manufacturers
- Engineering goods exporters
- Pharmaceutical and healthcare equipment makers
- Food processing units
3. District Export Hubs
The government plans to create dedicated export infrastructure in 100 identified districts with high export potential. Each hub will have a dedicated team from DGFT to assist exporters with documentation, logistics, and market linkages.
What Should Exporters Do Now?
- Review your RCMC — Ensure your Registration Cum Membership Certificate is current and aligned with your export categories.
- Map your incentive entitlements — Check the new benefit schedules on the DGFT portal to see what you qualify for.
- Attend our upcoming seminar — United Exporters Forum is organising a detailed policy walkthrough session. Check our events page for details.
Our Take
The FTP 2025 signals a clear intent to move towards a more performance-driven export ecosystem. While some legacy incentives have been trimmed, the overall direction — simplification, digitisation, and district-level support — aligns well with the needs of emerging exporters.
We at United Exporters Forum will be publishing detailed sector-specific analyses over the next few weeks. Stay tuned, and do not hesitate to reach out if you have specific questions.