Context: The Centre has notified a scheme for Transport and Marketing Assistance (TMA) for specified agriculture products that will provide assistance for the international component of freight and marketing of agricultural produce.

Highlights:

1. The scheme will be available for exports effected from March 1, 2019 to March 31, 2020.
2. Eligibility: All exporters, duly registered with relevant Export Promotion Council as per Foreign Trade Policy, of eligible agriculture products shall be covered under this scheme.
3. Exceptions: The assistance is available for most agricultural product exports with some exceptions such as live animals, products of animal origin, milk, cream, curd, butter, buttermilk, whey, rice, wheat, tobacco and garlic.
4. The assistance, at notified rates, will be available for export of eligible agriculture products to the permissible countries, as specified from time to time. The assistance shall be admissible only if payments for the exports are received in Free Foreign Exchange through normal banking channels.
5. The scheme shall be admissible for exports made through EDI (Electronic Data Interchange) ports only.
6. The scheme covers freight and marketing assistance for export by air as well as by sea.

Impact of the scheme:

This scheme is likely to mitigate the disadvantage of higher cost of transportation of export of specified agriculture products due to trans-shipment and to promote brand recognition for Indian agricultural products in the specified overseas markets.