RELIEF Scheme Extended to March 2027 Amid West Asia Tensions

New Delhi, October 26: The Commerce Department has extended Component-II of the RELIEF (Resilience and Logistics Interventions for Export Facilitation) scheme until March 31, 2027. Operating under the Export Promotion Mission (EPM), the scheme is designed to protect exporters from risks arising from the conflict in West Asia. The update was shared in an official statement on Monday.

The government cited ongoing geopolitical disruptions in West Asia and their effect on maritime logistics across the Gulf and neighbouring areas as the reason for the extension.

Component-II encourages exporters to take insurance cover from the Export Credit Guarantee Corporation of India (ECGC) for forthcoming shipments to specified regions. It provides 95 per cent risk coverage.

The benefit applies to individual policies and whole turnover policies taken on or after March 16, 2026. Qualifying exporters are shielded against increases in insurance premiums compared with levels that prevailed before the disruptions, during the prescribed eligibility period.

Covered cargo categories include Full Container Load (FCL), Less than Container Load (LCL), and refrigerated or temperature-controlled containers. Energy-related shipments are excluded from the scheme.

As per the statement, exporters interested in availing coverage under the RELIEF initiative must lodge claims and supporting documents via the ECGC customer portal. Video tutorials on the ECGC official YouTube channel explain how to create a user ID and password, complete registration as an exporter, and file claims under the scheme.

The RELIEF scheme, introduced on March 19, 2026, targets Indian exporters facing unusually high freight costs, higher insurance premiums, and war-related trade risks due to disruptions in the Gulf region and the wider West Asian maritime corridor.

According to the government, extending the scheme reinforces the export sector's ability to manage risks, maintain trade flows, and support Indian exporters through persistent geopolitical and maritime logistics uncertainties.

Reports have emerged of ships being hit by drone and missile attacks near the Strait of Hormuz as tensions build in the Middle East. Meanwhile, the threat of conflict has spread to the Red Sea after Houthi rebels in Yemen launched attacks aimed at taking over large parts of the coastal region.