E-commerce export hubs to support Indian SMEs with cost-effective logistics and streamlined regulatory processes

The E-Commerce Export Hubs (ECEHs) initiative aims to support small and medium-sized exporters, artisans, and businesses by providing dedicated zones for cross-border e-commerce. These hubs are designed to streamline logistics, customs, packaging, warehousing, and certification at a single location, helping reduce the cost and time involved in exporting. Five ECEH pilot projects are under development, with proposals invited by the Directorate General of Foreign Trade (DGFT) via Trade Notice No. 14/2025 dated August 22, 2024. The initiative aligns with Chapter Nine of the Foreign Trade Policy (FTP) 2023, which promotes cross-border digital trade. Measures such as increasing the courier export limit to Rs. 10,00,000 (US$ 11,382), extending Duty Drawback and Remission of Duties and Taxes on Exported Products (RoDTEP) benefits to courier-mode exports, and establishing over 1,000 Dak Ghar Niryat Kendras (DNKs) reflect the Government’s efforts to ease compliance and boost small-scale e-commerce exports. 

To further facilitate e-commerce trade, the Government has partnered with logistics service providers, global e-commerce platforms, and domestic stakeholders through Memoranda of Understanding (MoUs) and Letters of Intent (LoIs). These partnerships aim to improve awareness, onboarding, and export readiness among Micro, Small and Medium Enterprises (MSMEs). The Trade Connect ePlatform also supports small exporters by offering access to trade information, integrating inputs from Indian Missions and export promotion bodies. Additionally, a draft circular by the Reserve Bank of India (RBI) proposes procedural relaxations for small-value exports under the Export Data Processing and Monitoring System (EDPMS), allowing Authorised Dealer (AD) banks to close shipping bills up to Rs. 10,00,000 (US$ 11,382) with quarterly declarations. These comprehensive measures are intended to build an enabling ecosystem for India’s small exporters in the global e-commerce space.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.