Steps To Promote Positive Growth Rate and Manage Imports
Steps To Promote Positive Growth Rate and Manage ImportsQuestion: Government has taken numerous measures to promote positive growth rate in exports and manage imports to lower trade deficit. Elaborate.
Main important steps taken are as follows:
- Government performs import appraisal for evaluating the quantum of imports on a regular basis to control imports of gold and silver, the Government gradually increased custom duty on gold. During the month of April, GoI raised import tariff value of gold and silver
- Government has released Foreign Trade Policy 2015-2020 which has two components namely Merchandise Exports from India Scheme : Incentivising export of specified goods to certain markets
- Service Exports from India Scheme: For increasing exports of notified services from India for diversification of its export market and products and providing a fillip to the Indian exports. Goods and services from the MSME sector are also included
- FTP 2015-2020 has introduced several measures for improving ease of doing business and trade through reduction of documents needed for import and export to 3 and working on faster processing and working in 24/7 mode
CEBC has also initiated integration of Plant Quarantine and FSSAI with EDI System of Customs for purposes of import and export :-
- This reduces the cost and time of the transaction
- To provide better access for Indian exports in foreign markets, government has engaged in regional, bilateral as well as multilateral trade proceedings with numerous nations and trade blocs
To promote exports, State governments have been asked to do the following:
- Develop their export strategy,
- Appoint export commissioners,
- Address infrastructure constraints restricting movement of goods, facilitate refund of VAT/Octroi/State level cess, and
- Address numerous issues associated with various clearances etc. and building capacity of new exporters.
- Government will also persistently monitor export performance of different sectors to numerous nations and take corrective measures in the face of emerging international financial situation and global economic implications
Facts and Stats
- In the month of April, 2015, the Government raised import tariff value of gold to $388 per 10g from $375 per 10g and of silver to $524 per Kg from $512 per Kg.
- The top ten countries for exports from India are Ethiopia, Nigeria, Egypt, United States of America, United Arab Emirates, Nepal, Brazil, Malaysia, Chile and Iran for industries such as incense sticks