Hi AmitLoh,
Please check the drop down button on the top right corner on PowerApps.com. Before, I have environment 1(default) and environment2(always used environment). In environment2, when I select an Entity to export it as a template, I would get the same issue with you.

Then I change the environment to Environment1(default), and when I click the Entities on the left navigation pane, I would be asked to create a new environment. In this case, I create environment3(Mable’s Common Data Model) for a test. In environment3(Mable’s Common Data Model), I would be able to use Export template button to export the entity.

Please try if you could create a new environment to export entities as templates. Please try if this works for you.
Best regards,
Mabel Mao