The Directorate General of Foreign Trade (DGFT) has issued Trade Notice No. 32/2026-27 dated 26 October 2026, introducing amendments and clarifications to the guidelines for Support for Alternative Trade Instruments under the Export Promotion Mission (EPM) – Niryat Protsahan.
These changes simplify the claim process and clarify the eligibility and documentation requirements for exporters, including eligible MSMEs.
DGFT Trade Notice: Key Changes in Export Factoring
1. UIN Requirement Discontinued
Exporters no longer need to submit a declaration of intent or obtain a Unique Identification Number (UIN) before using the factoring facility. DGFT will use the Importer Exporter Code (IEC) to identify exporters throughout the application, claim and disbursement process.
2. DGFT Trade Notice: Export Factoring Claim Process
Factoring service providers, known as Factors, must register on the DGFT portal before uploading transaction data. Exporters can review the transactions linked to their IEC and submit eligible claims online.
Once the claim is approved by the competent authority, the sanctioned support amount will be credited to the bank account linked to the exporter’s IEC.
3. DGFT Trade Notice: Important Claim Filing Deadlin
Exporters and factoring service providers should follow these timelines:
- Factor’s data upload: The Factor must upload transaction data within one month of the applicable filing trigger.
- Exporter’s claim submission: Exporters must file consolidated claims every month and within two months of the date the Factor uploads the relevant transaction data.
For transactions that took place before this Trade Notice, the prescribed timelines start from 26 October 2026, as specified in the notice.
4. Export Eligibility Date Clarified
The export date determines eligibility, and the filing date of the Export General Manifest (EGM) containing the relevant shipping bill serves as evidence of that date.
Exporters can claim support for eligible export factoring transactions relating to exports made on or after 20 February 2026, once the portal becomes operational. Exporters must follow the claim filing timelines specified in the Trade Notice.
5. Export Factoring and Interest Subvention Can Be Availed Together
Eligible MSME exporters can access support under export factoring and the Interest Subvention Scheme for Pre- and Post-Shipment Export Credit at the same time, subject to the applicable conditions.
However, exporters must not claim the same invoice or export receivable under both schemes. DGFT may recover duplicate or excess claims with interest and take penal action under the applicable provisions.
What Should Exporters Do?
Exporters should coordinate with their factoring service providers and verify all transaction records linked to their IEC on the DGFT portal. Additionally, they should submit their claims within the prescribed timelines to avoid delays.
Furthermore, exporters must check each invoice or export receivable carefully before submitting a claim. This is because they cannot claim the same invoice or export receivable under both support schemes. Therefore, exporters should review their records thoroughly to avoid duplicate claims and possible penalties.
Conclusion
DGFT Trade Notice No. 32/2026-27 provides greater clarity and simplifies the process for eligible exporters seeking support under EPM – Niryat Protsahan. Exporters and MSMEs should review the revised guidelines and ensure accurate transaction reporting and timely claim submission.