Exim Policy The foreign trade of India is guided by the Export- Import policy of the Government of India Exim policy contain various policy decisions with respect to import and exports from the country Exim Policy is prepared and announced by the central government Exim Policy of India aims to developing export potential, improving export performance, encouraging foreign trade and creating favorable balance of payment position
EXIM Policy of India Hon. Anand Sharma minister for commerce and industry has announced on 31 st Aug 2009, India’s first Exim policy. It takes an integrated view of the overall development of India’s foreign trade. Aim of the policy is to double the global merchandise trade within the policy time period of 5 years. Mr.Anand Sharma
General Objectives of Exim Policy To establish the framework for globalization. To promote the productivity competitiveness of Indian Industry. To Encourage the attainment of high and internationally accepted standards of quality. To augment export by facilitating access to raw material, intermediate, components, consumable sand capital goods from the international market. To promote internationally competitive import substitution and self- reliance
Unshackling of controls Simplifying Procedures Neutralizing Incidence Facilitating development of India Identifying special focus areas Key Strategies to achieve these objectives
Key Strategies cont…………… Avoiding inverted duty structure Upgrading the Infrastructure Revitalizing the Board of Trade
Provisions of New Exim Policy
Agricultural Sector: Agriculture has the potential to bring prosperity in rural areas, and also has the largest potential for promoting employment. Some special provisions for the agricultural sector under the EXIM policy are as follows: a) Vishesh Krishi Upaj Yojana b) Import of Capital Goods c) Agri Export Zones d) Import of seeds
Gems and Jewellery Industry To provide employment among artisans and to develop their skills, special package has been announced for this sector. Some of them are: a) Duty Free Import b) Commercial Samples c) Import of gold
Handloom and Handicraft sector: Specific funds are earmarked under MAI / MDA Scheme for promoting handloom exports. Duty free import entitlement of hand knotted carpet samples is 1 % of FOB value of exports during previous financial year. Duty free import of old pieces of hand knotted carpets on consignment basis for re-export after repair is permitted. New towns of export excellence with a limit of Rs 150 crore shall be notified. Machinery and equipment for effluent treatment plants is exempt from customs duty.
Leather & Footwear: Duty free entitlements of import trimmings, embellishments and footwear components for leather industry increased to 3% of FOB value of exports. Duty free import of specified items for leather sector increased to 5% of FOB value of exports. Machinery and equipment for Effluent Treatment Plants for leather industry shall be exempt from Customs Duty.
SEZ (Special economic zone): A scheme for setting up special economic zones(Sezs)in the country to promote exports was announced by the government in the export and Import Policy on March 31st, During , exports from functioning Sezs were Rs. 34,615 crores. Main Objectives of SEZs Act: 1. Generation of additional economic activity 2. Promotion of exports of goods and services 3. Promotion of investments from Domestic and Foreign sources 4.Creation of employment opportunities and 5.Development of infrastructure facilities
What is always new in new FTP of Govt. Of India ? This policy comes at a time when India's foreign trade is growing robustly. The FTP hopes to double the country’s percentage share of global trade within next five years and also generate substantial employment