2025 for January 1970

Export Promotion Mission (EPM) – Strengthening India’s Export Competitiveness

November 13, 2025

Export Promotion Mission (EPM) Latest News

Amid rising global trade uncertainties and the imposition of steep 50% tariffs by the US on Indian goods, the Union Cabinet has approved a comprehensive Export Promotion Mission (EPM) worth ₹25,060 crore.
The initiative seeks to strengthen India’s export competitiveness, especially in labour-intensive sectors such as textiles, leather, gems & jewellery, engineering goods, and marine products.

Background - Tariff Pressure and Export Slowdown

The US, India’s largest export destination, imposed 50% tariffs (effective August 27, 2025), making Indian goods among the most heavily taxed globally after China.
India’s exports to the US declined 12% (in September 2025), with engineering goods down 9.4%.
Textile and apparel exports—28% of which go to the US—fell 10.34% year-on-year in September 2025.
The government’s move (EPM) is a strategic response to safeguard employment, maintain export momentum, and diversify into new markets.

Key Highlights of the Export Promotion Mission (EPM)

Outlay and duration:
- Total outlay: ₹25,060 crore
- Duration: FY 2025–26 to FY 2030–31 (6 years)
- Consolidates: Key export support schemes like Interest Equalisation Scheme (IES) and Market Access Initiative (MAI).
Objectives:
- Enhance credit availability and reduce cost of credit for exporters, particularly MSMEs.
- Address non-tariff barriers, logistics bottlenecks, branding, and market access challenges.
- Enable diversification into new and high-risk markets.
Implementation framework: The Directorate General of Foreign Trade (DGFT) will manage the mission, which will be implemented through two sub-schemes -
- Niryat Protsahan (₹10,401 crore): Focus on financial interventions, and includes interest subvention, export factoring, credit guarantees, credit cards for e-commerce exporters, and credit enhancement tools. It aims to improve trade finance access and working capital liquidity.
- Niryat Disha (₹14,659 crore): Focus on non-financial interventions, and covers international branding, packaging, trade fairs, warehousing, logistics support, inland transport reimbursement, and capacity-building initiatives.
Digital and flexible framework: The mission provides a digitally driven, comprehensive, and flexible framework to meet contemporary trade needs and align export support with dynamic global conditions.

Other Cabinet Decision - Rs 20,000-Crore Credit Guarantee Scheme for Exporters (CGSE)

Objective: To provide additional working capital and collateral-free loans up to 20% of sanctioned limits for exporters.
Coverage: 100% guarantee by National Credit Guarantee Trustee Company (NCGTC) to lending institutions.
Beneficiaries: Exporters including MSMEs.
Timeline: Scheme valid till March 2026.
Impact: Expected to enhance liquidity, support diversification, and ensure smooth business operations.

Sectoral Impact and Stakeholder Responses

Textile and apparel sector: The Confederation of Indian Textile Industry (CITI) welcomed the mission, stating it will make Indian textiles globally competitive and help leverage free trade agreements (FTAs) for market expansion.
MSME empowerment: Federation of Indian Export Organisations (FIEO) praised EPM’s unified financial and non-financial framework, stating it addresses long-term challenges such as high compliance costs, weak branding, and logistics inefficiencies.
Gems and jewellery sector: The GJEPC appreciated measures like interest subvention and expanded trade fair support, calling them crucial for first-time exporters and MSMEs.

Performance of Indian Exports

Overall growth: India's total exports (merchandise and services) grew by 5.19% in April–August 2025 compared to the same period last year.
Total value: The combined export value was USD 346.10 billion in April–August 2025.
Merchandise exports: Saw a growth of 2.31% during April–August 2025, reaching USD 183.74 billion.
Non-Petroleum and non-gems and jewellery exports: Showed strong growth of 7.76% in the same period, reaching USD 146.70 billion.
Growth drivers: Key sectors contributing to growth include engineering goods, electronics, pharmaceuticals, and chemicals.
Challenges: The merchandise trade deficit (in September 2025) widened as imports grew at a faster rate than exports.

Way Forward

Strengthen trade finance: Ensure timely and affordable credit access for MSMEs through digital platforms.
Enhance market intelligence: Build data-driven mechanisms to identify new export destinations.
Promote Brand India: Invest in global marketing, packaging, and e-commerce support.
Address structural bottlenecks: Improve logistics infrastructure and reduce compliance burdens.
Leverage FTAs: Use existing and upcoming trade agreements to expand export markets.

Conclusion

The Export Promotion Mission (EPM) and Credit Guarantee Scheme for Exporters mark a decisive step toward bolstering India’s export resilience amid rising global protectionism and tariff barriers.
Together, they signify a policy shift toward sustainable, competitive, and inclusive export growth in the post-pandemic global economy.

Source: IE | ToI

Export Promotion Mission (EPM) FAQs

Q1: What are the key objectives of the recently approved Export Promotion Mission (EPM)?

Ans: The EPM aims to enhance export competitiveness by improving credit availability, reducing trade finance costs, addressing logistics and branding challenges.

Q2: What is the structure and major components of the Export Promotion Mission (EPM)?

Ans: EPM, with an outlay of ₹25,060 crore over six years, is implemented through two sub-schemes — Niryat Protsahan and Niryat Disha.

Q3: What is the significance of the Credit Guarantee Scheme for Exporters (CGSE) in the current trade environment?

Ans: CGSE provides 100% collateral-free credit guarantees up to ₹20,000 crore for exporters, ensuring liquidity, easing working capital stress.

Q4: Why have sectors like textiles, leather, and gems & jewellery been prioritised under the new export initiative?

Ans: These labour-intensive sectors were heavily impacted by the 50% US tariffs, and are crucial for employment generation.

Q5: How does the Export Promotion Mission align with India’s broader trade policy goals?

Ans: EPM complements India’s trade diversification and FTA-driven strategy by unifying export finance and market access schemes.

Understanding Ammonium Nitrate Fuel Oil: The Explosive Used in the Red Fort Blast

November 13, 2025

Ammonium Nitrate Fuel Oil Latest News

A preliminary report indicates that the Red Fort blast was carried out using Ammonium Nitrate Fuel Oil (ANFO) combined with a detonator, likely triggered manually. The explosion killed may people, occurring just hours after a major crackdown on a Jaish-e-Mohammed terror module.
The bomb was placed inside a white Hyundai i20 with Haryana plates, a vehicle that had been resold multiple times, including to a man from Pulwama, to mislead investigators.

How Ammonium Nitrate Fuel Oil (ANFO) Triggers Powerful Explosions

Ammonium nitrate (NH₄NO₃) is a widely used fertilizer but also a strong oxidiser capable of causing intense, high-temperature explosions when combined with the right substances.
On its own, ammonium nitrate cannot explode — it must be mixed with a volatile secondary material, such as fuel oil, and then triggered by an external detonation that generates extremely high heat.
- However, if exposed to high temperatures or a strong shock, it can violently decompose and sometimes explode even without added fuel, as seen in several past industrial accidents.
The mixture, known as ANFO (Ammonium Nitrate Fuel Oil), is easy and inexpensive to produce and is commonly used in mining and construction because it is stable, safe to store, and extremely powerful when properly detonated.
- A typical ANFO charge is roughly 94% ammonium nitrate and 6% fuel oil; industrial-grade ammonium nitrate can be used to make such a mixture.
- On its own it usually will not detonate unless exposed to very high heat or a detonator.
- The stronger the initiating blast, the more intense the resulting explosion.

How Investigators Confirm Ammonium Nitrate Use After a Blast

Even after a blast site is washed, investigators can detect ammonium nitrate through residual particles left behind.
ANFO explosions release gases like nitrous oxide, carbon dioxide, and nitrogen, which disperse quickly.
But unburnt ammonium nitrate particles often settle on windows, vehicle parts, road surfaces, dust, or clothing.
Although washing removes some material, sensitive chromatographic tests can still identify trace amounts of the chemical on almost any surface, helping confirm its use in the explosion.

How Investigators Identify If Fertilizer Was Converted Into an Explosive

Ammonium nitrate used as fertilizer is generally safe, but it becomes dangerous if exposed to high heat or a strong shock, which can cause violent decomposition and even detonation.
To intentionally convert fertilizer into an explosive, fuel oil is added to create ANFO. This combination still requires a detonator to trigger the blast.
Investigators can determine misuse by checking for:
- Presence of fuel residues,
- Signs of detonator components,
- Chemical ratios matching ANFO,
- Trace elements indicating industrial-grade ammonium nitrate.
These clues reveal whether ordinary fertilizer was transformed into a powerful explosive mixture.

Legal Controls on Ammonium Nitrate in India

India strictly regulates the sale and possession of ammonium nitrate.
Under rules introduced in 2012 and updated in 2021, any mixture containing over 45% ammonium nitrate is legally classified as an explosive.
A District Magistrate may permit possession of up to 30 metric tonnes, while larger quantities need approval from Petroleum and Explosives Safety Organisation (PESO).
- PESO issues licences for the manufacture, storage, transport, and use of large quantities of ammonium nitrate.
Buyers must clearly state why they need the chemical, and all licensed transactions are tracked through the System for Explosive Tracking and Tracing (SETT).
This means that its manufacture, storage, transport, and use require licences from the Petroleum and Explosives Safety Organisation (PESO), and unauthorised individuals are prohibited from purchasing or possessing ANFO or related substances.
Given these restrictions, a key question for investigators is how the terrorists obtained such large quantities of ammonium nitrate and other explosive materials used in the Red Fort blast.

Source: IE | NDTV

Ammonium Nitrate Fuel Oil FAQs

Q1: What is Ammonium Nitrate Fuel Oil (ANFO)?

Ans: ANFO is a powerful explosive made by combining ammonium nitrate with fuel oil. It is widely used in mining due to its low cost, stability, and high explosive force.

Q2: How does ANFO create such strong explosions?

Ans: Ammonium nitrate becomes explosive only when mixed with fuel oil and triggered by a detonator. The initial blast generates high heat, causing a rapid chain reaction.

Q3: How do investigators detect ammonium nitrate after a blast?

Ans: Even after washing, tiny ammonium nitrate particles remain on surfaces. Sensitive chromatographic tests can detect trace residues on dust, vehicles, clothing, or debris.

Q4: How can investigators tell if fertilizer was turned into an explosive?

Ans: They look for fuel residues, detonator fragments, ANFO chemical ratios, and industrial-grade nitrate traces, confirming whether ordinary fertilizer was converted into an explosive.

Q5: How is ammonium nitrate regulated in India?

Ans: India classifies mixtures over 45% ammonium nitrate as explosives. PESO licences are required for manufacture, storage, transport, and use, with all transactions tracked via SETT.

Japan’s Strategy to Reduce China’s Rare Earth Dominance

November 13, 2025

Rare Earth Latest News

China’s one-year pause on export controls offers only temporary relief to global rare earth users, serving merely as a brief window to recalibrate strategies before Beijing tightens its grip again.
Japan provides a proven model for resilience. Having faced China’s coercive export tactics long before others, Japan strengthened its supply chains by diversifying sources, investing in alternatives, and preparing for disruptions — emerging as the first warning signal of China’s growing dominance in the rare earth sector.

China’s 2010 Rare Earths Blockade: A Wake-Up Call for Japan

In 2010, after a collision involving a Chinese fishing boat and Japanese coast guard vessels, China halted rare earth exports to Japan.
This created panic in Japan’s automobile industry, which relied heavily on rare earth magnets and imported nearly 90% of these minerals from China.
Though the dispute was later resolved, rare earth prices skyrocketed tenfold within a year, exposing Japan’s extreme vulnerability and triggering its long-term push for supply chain resilience.

Japan’s Multi-Pronged Strategy for Rare Earth Security

Japan responded to China’s 2010 export halt by stockpiling rare earths, boosting recycling, and rapidly diversifying supply chains.
It invested in mines in Australia and Vietnam and achieved 60% independence in critical minerals and fossil fuels by 2022.
Japan continues to import rare earths from China mainly for advanced materials but is now building resilient networks, forming global partnerships, and encouraging recycling and alternative technologies.

Japan’s Self-Reliance Package: Reducing Dependence on China

Japan’s strategy includes cutting rare earth usage through new technologies, developing alternative materials, expanding recycling infrastructure, investing in overseas mines, and maintaining strategic reserves.
This multi-layered policy approach shows that no single solution can reduce vulnerability; instead, long-term planning, diversification, and strategic stockpiles are essential.

China’s Expanding Global Control Over Rare Earths

China’s dominance is growing: its share in global rare earth mining rose from 38% (2020) to 70% (2023), supported by investments in Africa and Latin America.
It also controls processing capacity in Malaysia and stakes in Australia’s Lynas.
This consolidation threatens global supply chains, especially in energy transition technologies and defence applications.

Implications for India: Limited Immediate Impact but Long-Term Challenges

China’s restrictions will not severely affect India now, but India needs a refreshed strategy as demand rises.
India possesses significant rare earth reserves of about 6.9 million tonnes, mainly in Odisha, Andhra Pradesh, Tamil Nadu and Rajasthan.
Despite being among the world’s top five holders, India’s output remains very small — only 2,700 tonnes of rare earth oxides in 2023, compared to China’s 2,24,000 tonnes.
Although India has strong potential, especially for mineral and defence applications, exploration has been slow and conservative.
Recent reforms now aim to boost private sector participation in exploring and extracting critical minerals, signalling scope for future expansion.
Production has begun to rise, reaching 2,900 tonnes in 2023–24 and projected to grow to around 5,000 tonnes in coming years, a sharp increase from earlier years producing under 1,000 tonnes.
However, risks persist as China tightens its global control over rare earth mining and supply chains, posing potential supply crunch challenges.

Global Response: US and EU Push for Self-Sufficiency

The US is stockpiling magnets and rare earths while investing in processing facilities.
The EU is expanding its list of critical minerals and aiming for higher domestic production.
Germany is stockpiling deep-sea metals, and companies like Solvay are scaling up processing in Europe.
Together, these efforts aim to reduce long-term dependence on China.

Source: IE | LM

Rare earth FAQs

Q1: How did Japan respond to China’s 2010 rare earth blockade?

Ans: Japan diversified rare earth sources, increased recycling, invested in mines abroad, built strategic reserves, and reduced dependence on China after the 2010 export halt.

Q2: Why is China’s dominance in rare earths a global concern?

Ans: China controls most rare earth mining and processing, creating risks for global supply chains in energy transition, defence systems, electronics, and semiconductor manufacturing.

Q3: What makes Japan’s rare earth strategy effective?

Ans: Japan uses a multi-pronged approach—stockpiling, recycling, technology innovation, alternative materials, and overseas mining investments—to ensure long-term supply chain resilience.

Q4: What challenges does India face in rare earth production?

Ans: India has large reserves but limited output due to slow exploration. Production is rising, but dependence risks remain as China tightens global rare earth control.

Q5: How are the US and EU reducing reliance on China’s rare earth supply?

Ans: The US and EU are stockpiling rare earths, expanding critical mineral lists, boosting domestic processing, and investing in alternative supply chains to ensure long-term security.

Mandatory Public Asset Disclosure for Top Officials – SEBI

November 13, 2025

Asset Disclosure Latest News

A SEBI-appointed High-Level Committee has recommended public disclosure of assets, investment restrictions, and post-retirement curbs for senior officials to prevent conflicts of interest and enhance institutional transparency.

Background

The Securities and Exchange Board of India (SEBI) is set to introduce a new era of transparency and accountability within the organisation.
A High-Level Committee (HLC) formed by SEBI to review conflict-of-interest policies has recommended significant reforms, including mandatory public disclosure of assets and liabilities by its chairperson, whole-time members (WTMs), and senior officials at the chief general manager (CGM) level and above.
The panel, led by former Chief Vigilance Commissioner Pratyush Sinha, has presented 10 recommendations.

Need for Reforms

The creation of the committee in March 2025 followed allegations by Hindenburg Research against former SEBI Chairperson Madhabi Puri Buch and her husband, involving potential conflicts of interest in offshore investments.
Although the couple denied all allegations, the episode triggered a public debate on ethical standards and transparency within financial regulators.
To address these concerns, SEBI constituted the six-member HLC to overhaul its internal ethics framework, drawing inspiration from global best practices in regulatory governance, such as those followed by the U.S. SEC and the U.K. Financial Conduct Authority.

Key Recommendations of the High-Level Committee

Public Disclosure of Assets and Liabilities
- The panel proposed that the chairperson, whole-time members (WTMs), and SEBI officers at the CGM level and above should publicly disclose their assets and liabilities.
- This includes movable and immovable properties, investments, and liabilities.
- All other SEBI employees, including contractual staff, must file internal disclosures of their assets, relatives’ relationships (as defined under the Companies Act, 2013), and any professional or financial interests that may pose potential conflicts.
Mandatory Conflict-of-Interest Declarations
- Applicants for top SEBI positions must declare all actual, potential, or perceived conflicts of interest, both financial and non-financial, during the appointment process.
- These disclosures will enable the appointing authority to assess ethical suitability and mitigate risk before the appointment is finalised.
Investment Restrictions and Trading Controls
- The committee recommended uniform restrictions on personal investments and trading by the SEBI chairperson, WTMs, and employees.
- New investments can be made only in professionally managed pooled funds regulated by the Indian financial sector authorities.
- At the time of joining, senior officials must choose from four options for existing investments:
  - Liquidate the investment
  - Freeze the investment
  - Sell under a pre-approved trading plan
  - Sell without a trading plan after obtaining SEBI approval
- Additionally, the chairperson and WTMs should be classified as “insiders” under the SEBI (Prohibition of Insider Trading) Regulations, 2015, making them subject to strict disclosure and trading restrictions.
Expanded Definition of ‘Family’
- To ensure consistency between the SEBI Code of Conduct (2008) and the SEBI Employees’ Service Regulations (2001), the HLC proposed a broader definition of ‘family’. The term would now include:
  - Spouse and dependent children,
  - Individuals for whom the official acts as a legal guardian, and
  - Any person related by blood or marriage who is substantially dependent on the employee
- This change aims to eliminate ambiguity in assessing conflicts arising from family-linked financial interests.
Gift and Recusal Policy
- The panel recommended a blanket prohibition on accepting gifts, directly or indirectly, from individuals or organisations having or likely to have official dealings with SEBI.
- Further, a robust recusal mechanism was proposed to ensure that officials abstain from decision-making in cases involving any real or perceived conflict.
- A summary of recusals by the chairperson, WTMs, part-time members, and senior staff should be published annually in SEBI’s annual report.

Strengthening Post-Retirement Ethics and Whistle-Blower Mechanism

Post-retirement restrictions: Former SEBI officials, including contractual employees, advisors, and consultants, will be barred from appearing before or against SEBI in any adjudication or settlement matter for two years after leaving the organisation.
Whistle-blower protection: A secure, confidential, and anonymous whistle-blower mechanism should be instituted to report potential or perceived conflicts of interest.
This mechanism will extend to external stakeholders such as market intermediaries, infrastructure institutions, and participants.

Ensuring International Alignment

The proposed reforms are designed to align SEBI’s internal governance with global standards of regulatory integrity.
Similar frameworks exist in institutions like the U.S. SEC, where commissioners are required to make public financial disclosures, and the European Securities and Markets Authority (ESMA), which enforces recusal and conflict-prevention protocols.
By adopting such practices, SEBI seeks to strengthen its institutional credibility at a time when public confidence in regulatory independence is essential for market stability and foreign investor confidence.

Implementation and Next Steps

The HLC’s recommendations, once finalised and approved by the SEBI Board and the Ministry of Finance, will form part of SEBI’s revised Code of Conduct and Ethics Policy, applicable prospectively.
To ensure smooth adoption, SEBI may implement a phased rollout, starting with senior officials and expanding to all employees.
Public disclosure of assets by top officials could be integrated into SEBI’s annual report or website.

Source: IE

Asset Disclosure FAQs

Q1: What prompted SEBI to form the High-Level Committee on conflicts of interest?

Ans: The committee was formed following allegations of conflict of interest against former SEBI chairperson Madhabi Puri Buch.

Q2: Who chaired the SEBI High-Level Committee?

Ans: The panel was headed by Pratyush Sinha, former Chief Vigilance Commissioner and IAS officer.

Q3: What is the major recommendation of the committee?

Ans: Mandatory public disclosure of assets and liabilities by the SEBI chairperson, whole-time members, and senior officials.

Q4: What post-retirement restriction has been proposed for SEBI officials?

Ans: Former officials cannot appear before or against SEBI in any matter for two years after leaving the organization.

Q5: How does the committee propose to handle whistle-blower complaints?

Ans: It recommends a secure and anonymous whistle-blower system for internal and external reporting of conflicts of interest.