Earlier on 8th March, 2022, RBI has extended interest equalization scheme (IEC) on pre shipment and post shipment credit to the exporter from up to 31.03.2024 or till further review, whichever is earlier. Currently, MSME manufacturer exporters are eligible for 3% interest benefit and other exporters are eligible for 2% interest benefit on their export loans taken. Eligible product is products covered under 410 HS lines (after excluding 6 HS lines pertaining to telecom sector). Exporters who were talking benefit of Production Linked Incentive Scheme (PLI) were not eligible to take the benefit of this interest subventions.
On 31st May, 2022, RBI has come with new notification and allow some relief to the beneficiaries of PLI scheme. Now, PLI beneficiaries can take benefit of interest subvention for segments for which they have not taken PLI benefit. This means PLI beneficiaries needs to categorized their segments into two parts to available benefit on non PLI segments