Foreign Trade Policy may focus on job creation, improving trade logistics

Awaiting push Containers stacked at a terminal at the Cochin Port. The
ambitious export target of $900 billion fixed for 2020 is a problem since
shipments have moved sluggishly over the last two years

Awaiting push Containers stacked at a terminal at the Cochin Port. The ambitious export target of $900 billion fixed for 2020 is a problem since shipments have moved sluggishly over the last two years

There is fear that it could fall further in November with exporters finding it hard to comply with GST.

However the exporters demanded more measures to improve market access and cost competitiveness.

The increase in annual incentive by 34 per cent to Rs 8,450 crore will benefit leather, handicraft, carpets, sports goods, agriculture, marine, electronic components and project exports, the minister said.

They further said the FTP review may build upon the GST related reforms, with the trade analytics division under the Directorate General of Foreign Trade (DGFT) helping with policy inputs.

He also offered solace that issues related to the implementation of the Goods and Services Tax (GST) would ease soon.

The revised FTP provides for across-the-board increase of 2 per cent in the existing Merchandise Exports from India Scheme (MEIS) for the shipments by MSMEs/labour intensive industries, involving an additional outgo of Rs 4,567 crore.

He said that after the soon the process will be completely automated which will reduce processing and time required for refund.

Fresh export incentives to labour intensive sectors and services that will cost the exchequer Rs8,450 crore annually were announced as part of a mid-term review of foreign trade policy for 2015-2020.

Speaking at the conference, Finance Secretary Hasmukh Adhia said Rs 8,500 crore is amount of "extra monetary benefits that will go to the exporters" as a result of the policy.

The additional incentives have been provided for exports by small and medium enterprises, labour-intensive and agriculture-based exports among others.

It also has a goal of increasing India's share of world exports to 3.5 per cent, from two per cent. The trust based system for the grant of Advance Authorization for no norms cases for exporters registered as Authorised Economic Operators (AEO) marks a new beginning of reliance on trade and will encourage exporters to apply for AEO Scheme which facilitate customs clearance both in India as well as overseas, he said.

The review of the FTP (2015-2020) was due earlier this year but got delayed due to the implementation of the GST in July and the problems faced by exporters under the new dispensation taking centerstage.

Adhia said the export (incentive) package was approved by the GST Council to resolve the exporters' problem of blockage of working capital.

"Increasing the validity period of duty credit scrips from 18 months to 24 months besides increase in the export incentives (both for MEIS and SEIS schemes) should benefit the export sector in general", Deloitte India Senior Director R Muralidharan said.

Recommended News

  • Selena Gomez Makes Instagram Private After Posting Upset Instagram Story

    Selena Gomez Makes Instagram Private After Posting Upset Instagram Story

    The source said, "but at the end of the day she isn't at all anxious about him reverting back to his old ways". This time previous year , Selena was in rehab due to anxiety and exhaustion.
    Google is Pulling YouTube From The Fire TV

    Google is Pulling YouTube From The Fire TV

    In a statement, a spokesperson for Google said the company blocked YouTube due to failed negotiations with Amazon . Users of the Fire TV streaming devices will see a warning notification beginning today.
    JuJu Smith-Schuster blindsides Vontaze Burfict with vicious block

    JuJu Smith-Schuster blindsides Vontaze Burfict with vicious block

    He ended up receiving two penalties on the play, one for the hit against a defenseless player, and the other for taunting. The hit happened on a short pass to Le'Veon Bell, and resulted in Burfict leaving the field on a stretcher .
  • Pizza Hut is delivering beer and wine

    Pizza Hut is delivering beer and wine

    In Phoenix, the initial beer selection will be six-packs of Budweiser, Bud Light, Shock Top and Kilt Lifter, a local favorite. In November, parent company Yum Brands reported that Pizza Hut's same-store sales were flat in the most recent quarter.
    Terry Crews Sues Male Agent Who Grabbed His Crotch, Allegedly

    Terry Crews Sues Male Agent Who Grabbed His Crotch, Allegedly

    The amount of damages Crews seeks is not known but he also cited psychological suffering as one of his issues in the suit. Crews parted ways with the agency last month after making his allegations against Venit public.
    Taylor Swift Makes 'Bomb' Cornbread, Says New BFF Tiffany Haddish

    Taylor Swift Makes 'Bomb' Cornbread, Says New BFF Tiffany Haddish

    I go to all these different places and get greens, and they're never good. Fear not, Tiffany Haddish and Oprah got you.
  • US Forces Participate in Military Maneuvers in South Korea

    US Forces Participate in Military Maneuvers in South Korea

    China's Air Force war gaming in the region involves surface-to-air missile forces, fighter jets and early warning aircraft. Like the F-16, it is also an air superiority fighter jet meant to take out enemy aircraft and achieve air dominance.
    United Parcel Service, Inc. (UPS) — Recommendation Trends for

    United Parcel Service, Inc. (UPS) — Recommendation Trends for

    The transportation company reported $1.45 earnings per share for the quarter, meeting analysts' consensus estimates of $1.45. In the most updated research from a number of analysts on Wall Street, the company gets 6 Buys and 2 Sell among 27 analysts.
    Sex toys were to help Lauer's marriage: therapist

    Sex toys were to help Lauer's marriage: therapist

    I'm heartbroken for Matt - he is my dear, dear friend and my partner, and he has been loved by many , many people here. "He confided in me about some of the struggles he was having in his married relationship".
  • Philippines' Duterte brings back police in his anti-drug war

    Philippines' Duterte brings back police in his anti-drug war

    Meanwhile, a Human Rights Watch official said the resumption of police anti-drug operations was not wholly unexpected. Police say almost 4,000 people have been killed in their anti-drug operations.
    Instagram cracks down on wild animal selfies

    Instagram cracks down on wild animal selfies

    But Instagram is cracking down on the trend after warnings that the animals subjected to photoshoots are the victims of cruelty. More than 3,000 posts with #koalaselfie already exist on the platform, but Instagram won't be banning the photos.

    Kinder Morgan Canada down 2.4 pct after more potential pipe delay

    It turned negative, as 70 investors sold KMI shares while 349 reduced holdings. 74 funds opened positions while 87 raised stakes. Several other institutional investors have also sold shares of the company. 49 funds opened positions while 128 raised stakes.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.