trade policy ppt
Post on 04-Apr-2018
226 Views
Preview:
TRANSCRIPT
-
7/29/2019 Trade Policy Ppt.
1/27
Foreign Trade PolicyAka EXIM policy and Trade policyBy
Shalini Singh
-
7/29/2019 Trade Policy Ppt.
2/27
INTRODUCTION
Foreign Trade (Development and Regulation) Act,1992
As per the provisions of the Act, the Government :-
(i) may make provisions for facilitating and
controlling foreign trade
(ii) may prohibit, restrict and regulate exports andimports
(iii) is authorised to formulate and announce an
export and import policy and also amend the samefrom time to time, by notification in the OfficialGazette
(iv) is also authorized to appoint a 'Director
General of Foreign Trade'
-
7/29/2019 Trade Policy Ppt.
3/27
INTRODUCTION
Ministry of Commerce and Industry
The announcement of a new ForeignTrade Policy for a five year period of
2009-2014 replacing the hithertonomenclature of EXIM Policy byForeign Trade Policy (FTP)
-
7/29/2019 Trade Policy Ppt.
4/27
Strategies for achievingobjectives Unshackling of controls and creating an atmosphere of trustand transparency
Simplifying procedures and bringing down transaction costs
Neutralizing incidence of all levies on inputs used in exportproducts
Facilitating development of India as a global hub formanufacturing, trading and services
Identifying and nurturing special focus areas to generate
additional employment opportunities, particularly in semi-urban and rural areas
Facilitating technological and infrastructural up gradation ofthe Indian economy, especially through import of capitalgoods and equipment
-
7/29/2019 Trade Policy Ppt.
5/27
Strategies for achievingobjectives Upgrading the infrastructure network related to the
entire foreign trade chain to international standards
Revitalizing the Board of Trade by redefining its
role and inducting into it experts on trade policy
Activating Indian Embassies as key players in theexport strategy
Avoiding inverted duty structure and ensuring thatdomestic sectors are not disadvantaged in tradeagreements
-
7/29/2019 Trade Policy Ppt.
6/27
SPECIAL FOCUS INITIATIVES
Market Diversification: 26 new countries have been included
within the ambit of Focus MarketScheme.
The incentives provided under FocusMarket Scheme have been increasedfrom 2.5% to 3%.
There has been a significant increase in
the outlay under Market Linked FocusProduct Scheme by inclusion of moremarkets and products. This ensuressupport for exports to all countries in
Africa
-
7/29/2019 Trade Policy Ppt.
7/27
SPECIAL FOCUS INITIATIVES
Technological Upgradation EPCG Scheme at zero duty has been introduced
for certain engineering products, electronicproducts ,basic chemicals and pharmaceuticals,apparel and textiles, plastics, handicrafts,
chemicals and allied products and leather andleather products.
The existing 3 % EPCG Scheme has beenconsiderably simplified
A number of products including automobiles andother engineering products have been includedfor incentives under Focus Product, and MarketLinked Focus Product Schemes.
Steps to encourage Project Exports shall betaken.
-
7/29/2019 Trade Policy Ppt.
8/27
SPECIAL FOCUS INITIATIVES
Support to status holdersAdditional duty credit scrip @ 1 % of the
FOB of past export shall be granted forspecified product groups includingleather, specific sub sectors inengineering, textiles, plastics, handicraftsand jute.
This duty credit scrip can be used forimport of capital goods by these statusholders. The imported capital goods shallbe subject to actual user condition.
-
7/29/2019 Trade Policy Ppt.
9/27
Agriculture and VillageIndustry Vishesh Krishi and Gram Udyog Yojana Capital goods imported under EPCG will be
permitted to be installed anywhere in AEZ. Import of restricted items, such as panels,
are allowed under various export promotionschemes. Import of inputs such as pesticides are
permitted under Advance Authorization foragro exports.
New towns of export excellence with athreshold limit of Rs 150 crore shall benotified.
Certain specified flowers, fruits and
vegetables are entitled to a special dutycredit scrip, in addition to the normal benefit
-
7/29/2019 Trade Policy Ppt.
10/27
Handlooms
Specific funds are earmarked under MAI / MDA Schemefor promoting handloom exports. Duty free import entitlement of specified trimmings and
embellishments is 5 % of FOB value of exports duringprevious financial year.
Duty free import entitlement of hand knotted carpetsamples is 1 % of FOB value of exports during previousfinancial year.
Duty free import of old pieces of hand knotted carpetson consignment basis for re-export after repair ispermitted.
New towns of export excellence with a threshold limit ofRs 150 crore shall be notified.
Machinery and equipment for effluent treatment plantsis exempt from customs duty.
-
7/29/2019 Trade Policy Ppt.
11/27
Handicrafts
Duty free import entitlement of tools, trimmings andembellishments is 5 %of FOB value of exports duringprevious financial year
Handicraft EPC is authorized to import trimmings,embellishments and consumables on behalf of those
exporters for whom directly importing may not be viable. Specific funds are earmarked under MAI & MDA
Schemes for promoting Handicraft exports. New towns of export excellence with a reduced
threshold limit of Rs 150 crore shall be notified. Machinery and equipment for effluent treatment plants
are exempt from customs duty. All handicraft exports would be treated as special
Focus products and entitled to higher incentives.
-
7/29/2019 Trade Policy Ppt.
12/27
Gems & Jewellery
Import of gold of 8 k and above is allowed underreplenishment scheme
Duty Free Import for:1. Jewellery made out of:
(a) Precious metals (other than Gold&Platinum) 2%(b) Gold and Platinum 1%(c ) Rhodium finished Silver 3%
2. Cut and Polished Diamonds 1%
(d) Duty free import entitlement of commercialsamples shall be Rs. 300,000.
(e) Personal carriage of Gems & Jewelleryproducts in case of holding/participating in overseasexhibitions increased to US$ 5 million to US$ 1
-
7/29/2019 Trade Policy Ppt.
13/27
Leather and Footwear
Duty free import entitlement of specifieditems is 3% of FOB value of exports ofleather garments
Machinery and equipment for Effluent
Treatment Plants shall be exempt frombasic customs duty CVD is exempted on lining and
interlining material, raw, tanned and
dressed fur Re-export of unsold hides, skins and
semi finished leather shall be allowedfrom Public Bonded warehouse at 50%
of the applicable export duty
-
7/29/2019 Trade Policy Ppt.
14/27
Marine Sector
Imports for technological up gradation underEPCG in fisheries sector (except fishingtrawlers, ships) exempted from maintainingaverage export obligation.
(b) Duty free import of specified specializedinputs / chemicals and flavoring oils isallowed to the extent of 1% of FOB value ofpreceding financial years export.
(c) To allow import of monofilament long linesystem for tuna fishing at a concessional rateof duty and Bait Fish for tuna fishing at Nilduty.
(e) Marine products are considered forVKGUY
-
7/29/2019 Trade Policy Ppt.
15/27
Electronics and IT HardwareMfg Industries Expeditious clearance of approvals
required from DGFT shall be ensured
Exporters /Associations would beentitled to utilize MAI & MDA Schemesfor promoting Electronics and IT
Hardware Manufacturing industryexports.
-
7/29/2019 Trade Policy Ppt.
16/27
Sports Goods and Toys
Duty free import of specified specializedinputs allowed to the extent of 3 % of FOBvalue of preceding financial years export.
Sports goods and toys shall be treated as a
Priority sector under MDA / MAI Scheme.Specific funds would be earmarked underMAI /MDA Scheme
Applications relating to Sports Goods and
Toys shall be considered for fast trackclearance by DGFT.
Sports Goods and Toys are treated as specialfocus products and entitled to higher
incentives.
-
7/29/2019 Trade Policy Ppt.
17/27
Green products &technologies Focus would be on items relating to
transportation, solar and wind powergeneration and other products as may
be notified which will be incentivizedunder Reward Schemes
-
7/29/2019 Trade Policy Ppt.
18/27
Board of Trade- objectives
Commerce & Industry Minister will be theChairman of the Board of Trade (BOT).Government shall also nominate up to 25persons, of whom at least 1 0 will be experts intrade policy.
Objectives: To advise Government on Policy measures for
preparation and implementation of both short andlong term plans for increasing exports
To review export performance of various sectors,
identify constraints and suggest industry specificmeasures to optimize export earnings
To examine existing institutional framework forimports and exports and suggest practicalmeasures for further streamlining to achieve
desired objectives
-
7/29/2019 Trade Policy Ppt.
19/27
GENERAL PROVISIONS RDG.IMPORTS & EXPORTS Exports and Imports shall be free, except
where regulated free unless regulated byFTP or any other law in force
Import / export of arms and related
material from / to Iraq shall be prohibited Every exporter or importer shall comply
with the provisions of FT (D&R) ActAny goods, export or import of which is
restricted under ITC(HS) may beexported or imported only in accordancewith an Authorization
-
7/29/2019 Trade Policy Ppt.
20/27
PROMOTIONAL MEASURES
Scheme for Assistance to States for Developing Export forDeveloping Export Infrastructure and Allied Activities(ASIDE) :
Creation of new Export Promotion IndustrialParks/Zones (SEZs/Agri Business Zones) andaugmenting facilities in the existing ones.
Setting up of electronics and other related infrastructurein export conclave.
Equity participation in infrastructure projects includingthe setting up of SEZs.
Meeting requirements of capital outlay of EPZs/SEZs Development of complementary infrastructure such as,
roads connecting the production centers with the portsetc. & stabilizing power supply through additionaltransformers and islanding of export production
-
7/29/2019 Trade Policy Ppt.
21/27
PROMOTIONAL MEASURES
MAI scheme:Activities funded under this scheme: Market studies/surveys Setting up of showroom / warehouse Participation in international trade fairs
Displays in International departmental stores Publicity campaigns, Brand promotion Reimbursement of registration charges for
pharmaceuticals and expenses for carrying outclinical trials etc., in fulfillment of statutory
requirements in the buyer country Testing charges for engineering products abroad Assistance for contesting Anti Dumping litigations
-
7/29/2019 Trade Policy Ppt.
22/27
PROMOTIONAL MEASURES
MDA Scheme: financial assistance isprovided:
Trade Fairs and Buyer Seller meets
abroad or in India Export promotions seminars.
Financial assistance with travel grantis available to exporters traveling tofocus areas, viz., Latin America,
Africa, CIS region, ASEAN countries,Australia and New Zealand
-
7/29/2019 Trade Policy Ppt.
23/27
PROMOTIONAL MEASURES
Towns of Export Excellence (TEE) Selected towns producing goods of
Rs. 750 Crore or more will be notified
as TEE based on potential for growthin exports. However for TEE inHandloom, Handicraft, Agriculture andFisheries sector, threshold limit would
be Rs 150 Crores Common Service Providers in these
areas shall be entitled for EPCG
scheme
-
7/29/2019 Trade Policy Ppt.
24/27
PROMOTIONAL MEASURES
EXPORT AND TRADING HOUSES:
Merchant as well as ManufacturerExporters, Service and Trading Houses
Providers, Export Oriented Units (EOUs)and Units Status located in SpecialEconomic Zones (SEZs), Agri ExportZones (AEZs), Electronic Hardware
Technology Parks (EHTPs), SoftwareTechnology Parks (STPs) and Bio-Technology Parks (BTPs) shall be
eligible for status
-
7/29/2019 Trade Policy Ppt.
25/27
PROMOTIONAL MEASURES
SERVICES EXPORTS: Software exporters shall register
themselves with Membership CertificateElectronics and Software EPC
Government shall promote establishmentof Common Facility Centres for use byhome-based service providers,
particularly in areas like Engineering &Architectural Design, Multi-mediaoperations, Software developers etc., inState and District level towns
-
7/29/2019 Trade Policy Ppt.
26/27
REWARD / INCENTIVESCHEMES IN DGFTSERVED FROM INDIA SCHEME (SFIS):
Objective is to accelerate growth inexport of services so as to create a
powerful and unique Served From India'brand, instantly recognized andrespected world over.
All Indian Service Providers, of serviceslisted in Appendix 1 0, who have freeforeign exchange earning of at least Rs.10 Lakhs in preceding financial year /
current financial year shall qualify for
-
7/29/2019 Trade Policy Ppt.
27/27
DUTY EXEMPTION &REMISSION SCHEMES Duty exemption schemes enable dutyfree import of inputsrequired for export
production. Duty Exemption Schemesconsist of (a) Advance Authorization
scheme and (b) Duty Free ImportAuthorization (DFIA) scheme. A DutyRemission Scheme enables post exportreplenishment / remission of duty oninputs used in export product. DutyRemission Schemes consist of
(a) Duty Entitlement Passbook (DEPB)Scheme and
(b) Duty Drawback (DBK) Scheme
top related