MONTHLY NEWSLETTER
July, 2026
Dear Readers,
July turned out to be an eventful month for the Indian MSMEs. Trade doors opened wider with the UK and Oman, DGFT rolled out changes that make exporting easier for small businesses, GSTN tightened the e-Way Bill system to close a long-standing loophole, and the Income Tax Department quietly renumbered every TDS and TCS form. On top of that, we hosted a live session on selling to the government through GeM, and this month, we’re introducing something new: the Business Health Report, our answer to a question we hear from many MSMEs, “why did my loan get rejected and how to act on it?”
Here’s a look at all of it.
Until next time,
Team IRIS MSME
Trade & Export Movements
India–UK Tariff Quotas Now Open for Applications
DGFT has opened applications for Tariff Rate Quotas (TRQs) under the India–UK trade agreement. This lets a fixed quantity of specific goods move between India and the UK at a lower import duty than usual. Since these quotas are limited and given out on a first-come, first-served basis, businesses dealing in the covered product lines should apply without delay.
🔗 Read more: DGFT Opens India–UK CETA TRQ Applications
Certificate of Origin for UK Shipments Goes Fully Digital
Exporters shipping goods to the United Kingdom under the India–UK trade agreement can now generate their Certificate of Origin (eCoO) electronically, eliminating the physical paperwork and manual stamping process previously required. This speeds up customs verification at UK ports and shortens the time it takes for shipments to clear.
🔗 Read more: India–UK CETA eCoO: Digital Export Certificate for MSMEs
India–Oman CEPA: Import Quota Mechanism Notified
DGFT has notified the Tariff Rate Quota mechanism governing eligible imports from Oman under the India–Oman Comprehensive Economic Partnership Agreement. This gives MSMEs that import raw materials or intermediate goods from Oman a clear framework to plan procurement around.
🔗 Read more: India–Oman CEPA TRQ: DGFT Notifies Import Mechanism
RCMC Exemption Proposed for Small Exporters
To support first-time exporters and small online sellers, DGFT has proposed removing the Registration-cum-Membership Certificate (RCMC) requirement for export shipments valued up to ₹10,000, mainly covering courier, postal, and e-commerce shipments. If approved, this removes an upfront fee and a registration delay that has long added cost and friction to small-value exports, making it considerably easier for micro-enterprises and first-time exporters to enter international markets.
🔗 Read more: DGFT Proposes RCMC Exemption for Small Exporters
Building Global Brands with Niryat Disha
DGFT has launched Niryat Disha, an initiative to help Indian exporters build brands that are recognised internationally, rather than competing only on price as unbranded suppliers. This is especially relevant for MSMEs that manufacture quality goods but have not yet had the support to build a global identity around them.
🔗 Read more: Niryat Disha: Helping Indian MSMEs Build Global Brands
Export Credit Interest Subsidy Clarified
DGFT has issued operational clarifications on the Interest Subvention Scheme under the Export Credit framework, making it easier for exporters to understand how the interest subsidy applies to their pre-shipment and post-shipment credit. This is useful for businesses that regularly draw working capital against export orders.
🔗 Read more: DGFT Update: Export Credit Interest Subsidy Clarified
India Joins the WTO Fisheries Subsidies Agreement
India has officially become a party to the WTO Agreement on Fisheries Subsidies, reinforcing sustainable fishing practices. For MSMEs in fisheries and seafood processing, this aligns India’s subsidy framework with global norms and keeps export channels for marine products on stable footing.
🔗 Read more: India Joins WTO Fisheries Subsidies Agreement: Supporting Sustainable Fisheries
Global Partnerships in Focus
India and Estonia Deepen Business and Innovation Ties
Commerce Minister Piyush Goyal addressed the India–Estonia Business Forum in Tallinn, highlighting opportunities for closer business and innovation cooperation between the two countries. Estonia’s strength in digital governance and IT services makes this a space worth tracking for technology-focused Indian MSMEs.
🔗 Read more: India & Estonia Deepen Business and Innovation Ties
India–Finland Talks Open Doors for Manufacturing MSMEs
Commerce Minister Piyush Goyal held strategic discussions with Nokia, VTT, KONE, and Kemppi, aimed at deepening India–Finland cooperation in manufacturing and technology. Engineering and component manufacturing MSMEs with an interest in European supply chains should follow this closely.
🔗 Read more: India–Finland Talks Open Doors for Manufacturing MSMEs
Government Schemes Rolled Out in July
MSSIDC Rent Subsidy Scheme for Maharashtra MSMEs
The Maharashtra Small Scale Industries Development Corporation (MSSIDC) has opened applications for a rent subsidy programme for small industries in the state. Udyam-registered MSMEs renting built-up industrial galas in Maharashtra can claim a rent subsidy of up to 30 percent, capped at ₹30,000 a month, providing direct relief on fixed operating costs. Maharashtra-based MSMEs should review the eligibility criteria and apply within the given window.
🔗 Read more: MSSIDC Rent Subsidy Scheme for Maharashtra MSMEs
Lakhpati Didi Mission Expanded to 6 Crore Rural Entrepreneurs
The Ministry of Rural Development has approved a roadmap to expand the Lakhpati Didi Mission from 3 crore to 6 crore rural women entrepreneurs. As millions of new women-led micro-enterprises emerge in food processing, packaging, and rural manufacturing, established MSMEs gain fresh opportunities to work with self-help groups as suppliers, buyers, or distribution partners.
🔗 Read more: 6 Crore Lakhpati Didis: New Opportunities for MSMEs
Shipbuilding Development Scheme: New Cluster Approved in Gujarat
Under the Shipbuilding Development Scheme (SbDS), the government has granted in-principle approval for a shipbuilding cluster in Porbandar, Gujarat, along with financial support for a ₹1,570 crore ship repair facility at Vadinar. This maritime push creates direct opportunities for MSMEs in heavy engineering, precision fabrication, marine electricals, and component manufacturing, as India builds out its shipbuilding and ship-repair supply chain.
🔗 Read more: India’s Shipbuilding Development Scheme: Key Updates for MSMEs
Compliance & Tax Changes
TDS and TCS Forms Renumbered on the E-filing Portal
The Income Tax Department has enabled updated standard form numbers on the e-filing portal under the Income-tax Act provisions:
- Form 24Q (TDS on Salary) is now Form 138
- Form 26Q (TDS on Non-Salary Payments) is now Form 140
- Form 27Q (TDS on Non-Resident Payments) is now Form 144
- Form 27EQ (TCS Collection) is now Form 143
There is no new compliance obligation attached to this change, but businesses should update their accounting software and internal templates to the new form numbers before their next quarterly filing, so returns are not rejected for citing an outdated form.
🔗 Read more: Quarterly Income-tax Forms Go Live on E-filing Portal
AATO Correction Window Reopened for FY 2025–26
GSTN has upgraded the portal and opened a window from 1 to 31 July 2026 for taxpayers to correct their Aggregate Annual Turnover (AATO) for FY 2025–26. Tax officers will review these corrections between 1 and 15 August 2026. Since your recorded AATO determines your e-invoicing threshold and applicable return filings, keeping this figure accurate helps avoid discrepancies on the portal.
🔗 Read more: GSTN Revises AATO Amendment Timeline
👉 Get the latest MSME news, developments, and insights here: MSME Updates
Expert Session: Selling on GeM
Government procurement remains one of the most overlooked opportunities for small businesses, largely because the process feels unfamiliar rather than actually difficult. That is the gap this month’s webinar, “Selling on GeM: How MSMEs Can Get Started and Win Orders,” set out to close.
The session covered how to register correctly on the Government e-Marketplace using Udyam and GST details so onboarding does not stall, the advantages MSMEs receive on the platform such as EMD waivers and preference in bidding, how to list products so buyers can find them, and what happens after winning an order, including how GeM’s payment system is structured to help sellers get paid on time.
If public procurement has been sitting on your to-do list, this is a good place to start.
▶️ Missed the live session? Watch it here: Selling on GeM: How MSMEs Can Get Started and Win Orders
Spotlight: The Business Health Report
Your business has a story, and the Business Health Report reads it before your lender does. It is built on three independent checks:
- Personal Credit Bureau – bureau score, active tradelines, repayment (DPD) history, and enquiry footprint, explained in plain language
- GST Health Analysis – filing compliance, revenue spread, customer concentration, and ITC utilisation, scored out of 1000 points
- Bank Triangulation – declared GST sales checked against actual bank credits
What you get:
✔️ A detailed report covering every tradeline, flag, and score, explained the way a lender’s underwriter would read it
✔️ The reasons behind any past loan rejection
✔️ A twelve-month, month-by-month repair plan
✔️ A map of which lender categories you qualify for today, and which open up as your profile improves
✔️ A dedicated Key Account Manager to guide you through the report and the plan
How it works: Your Business Health Report is prepared → a kickoff call walks you through every finding → you work through the twelve-month plan with monthly check-ins.
To request your Business Health Report, email us at hello@irismsme.com or contact us at +91 22 6723 1000.
IRIS Peridot Business Loans, Now Open to All
IRIS Peridot Business Loans are now available to everyone. Eligible businesses can access collateral-free loans of up to ₹75 Lakhs, facilitated through a network of RBI-registered lending partners.
The process is built to be straightforward. A single application allows a business to be considered by multiple lending partners at once, rather than submitting separate applications and repeating the same documentation with each bank or NBFC individually. Every applicable fee is disclosed upfront during the eligibility check, with no charges added later in the process.
Eligibility can be checked instantly through the Loan Eligibility Calculator, after which businesses can compare the offers received and proceed with the lender of their choice.
To check your eligibility, use the Loan Eligibility Calculator or download the IRIS Peridot app to begin your application.
August 2026 | Compliance Calendar
Here is what to plan around as you move into August.
Two more things to note for August: the mandatory Ship-to GSTIN requirement and the voluntary e-Way Bill closure facility both go live from 1 August, and any AATO amendments submitted in July will be under review by tax officers until 15 August.
📌 Due dates reflect statutory timelines as of publication. Please confirm applicability for your business with a tax professional, as government extensions can occur.
Quick Steps for August
To wrap up this month’s edition, here are three quick things you can act on right away:
- Check Your Loan Eligibility: Use the IRIS Loan Eligibility Calculator before you apply for a business loan.
- Set up your GeM profile: Watch the webinar to understand how to list your products correctly and start bidding on government orders.
- Mark your deadlines: Save the August compliance calendar so every filing is on time.
Signing Off
July gave MSMEs a great deal to take note of: new trade quotas to apply for, fresh schemes to explore, compliance changes that call for timely action, and a clearer way to understand exactly where a business stands with lenders. Each of these developments carries the potential to shape how your business plans, funds, and grows in the months ahead.
We will return next month with the updates, opportunities, and insights that matter most to your business.
Thank you for being part of our community!
