INDIAS FOREIGN TRADE POLICY 2009-14

INDIAS FOREIGN TRADE POLICY 2009-14 What is Foreign Trade Policy? The Union Commerce Ministry, Government of India announces the integrated Foreign Trade Policy FTP in every five year. This is also called EXIM policy. This policy is updated every year with some modifications and new schemes. New schemes come into effect on the first day of financial year i.e. April 1, every year. The Foreign trade Policy which was announced on August 28, 2009 is an integrated policy for the period 2009Er. Vikas Yadav (Lecturer) K.P. College Of Management 14.

INDIAS FOREIGN TRADE POLICY 2009-14

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 Er. Vikas Yadav (Lecturer) K.P. College Of Management foreign trade and creating

INDIAS FOREIGN TRADE POLICY 2009-14 Objectives of Foreign Trade Policy 2009-14
OBJECTIVES

To double our percentage of share of global merchandise trade within the five year

To act as an effective instrument of economic growth by giving a thrust to employment generation

Er. Vikas Yadav (Lecturer) K.P. College Of Management

INDIAS FOREIGN TRADE POLICY 2009-14 Objectives of Foreign Trade Policy 2009-14 To arrest and reverse declining trend of exports is the main aim of the policy. This aim will be reviewed after two years. To Double India's exports of goods and services by 2014. To double India's share in global merchandise trade by 2020 as a long term aim of this policy. India's shareEr.in GlobalK.P. College Of Management merchandise exports Vikas Yadav (Lecturer) was 1.45% in 2008.

INDIAS FOREIGN TRADE POLICY 2009-14 Objectives of Foreign Trade Policy 2009-14 Simplification of the application procedure for availing various benefits To set in motion the strategies and policy measures which catalyze the growth of exports To encourage exports through a "mix of measures including fiscal incentives, institutional changes, procedural rationalization and efforts for enhance market access across the world and diversification of export markets.
Er. Vikas Yadav (Lecturer) K.P. College Of Management

INDIAS FOREIGN TRADE POLICY 2009-14 Aim in General The policy aims at developing export potential, improving export performance, boosting foreign trade and earning valuable foreign exchange. FTP assumes great significance this year as India's exports have been battered by the global recession. A fall in exports has led to the closure of several small- and medium-scale export-oriented units, resulting in large-scale unemployment. Er. Vikas Yadav (Lecturer) K.P. College Of Management

INDIAS FOREIGN TRADE POLICY 2009-14 Targets

Export Target : $ 200 Billion for 2010-11 Export Growth Target: 15 % for next two year and 25 % thereafter.

Er. Vikas Yadav (Lecturer) K.P. College Of Management

INDIAS FOREIGN TRADE POLICY 2009-14

EPCG Scheme: Obligation under EPCG scheme relaxed. To aid technological up gradation of export sector, EPCG Scheme at Zero Duty has been introduced. Export obligation on import of spares, moulds etc. under EPCG Scheme has been reduced by 50%.

Er. Vikas Yadav (Lecturer) K.P. College Of Management

INDIAS FOREIGN TRADE POLICY 2009-14

Announcements for FPS, FMS, MLFPS:

26 new markets added in this scheme. Incentives under FMS raised from 2.5 % to 3 % Incentive available under Focus Product Scheme (FPS) raised from 1.25% to 2%. Extra products included in the scope of benefits under FPS

Er. Vikas Yadav (Lecturer) K.P. College Of Management

INDIAS FOREIGN TRADE POLICY 2009-14

Announcements
Market Linked Focus Product Scheme (MLFPS) expanded by inclusion of products like pharmaceuticals, textile fabrics, rubber products, glass products,auto components, motor cars, bicycle and its parts.etc. (However , benefits to these products will be provided, if exports are made to 13 identified markets (Algeria, Egypt, Kenya, Nigeria,South Africa, Tanzania, Brazil, Mexico, Ukraine, Vietnam, Cambodia, Australia and New Zealand). Focus Product Scheme benefit extended for export of green productsand some products from the North East. A common simplified application form has been introduced to apply Yadav (Lecturer) K.P. College Of Management Er. Vikas for the benefits under FPS, FMS,

INDIAS FOREIGN TRADE POLICY 2009-14

Announcements for MDA & MAI:
Higher allocation for Market Development Assistance (MDA) and Market Access Initiative (MAI) has been announced.

Towns of Export Excellence (TEE)

The following cities have been recognized as towns of export excellence (TEE) Handicrafts : Jaipur, Srinagar and Anantnag Leather Products : Kanpur,Dewas and Ambur Horticultural Products: Malihabad

Er. Vikas Yadav (Lecturer) K.P. College Of Management

INDIAS FOREIGN TRADE POLICY 2009-14

Provisions of Exim Policy 2010-11

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:
Vishesh Krishi Upaj Yojana Import of Capital Goods Agri Export Zones Import of seeds
Er. Vikas Yadav (Lecturer) K.P. College Of Management

INDIAS FOREIGN TRADE POLICY 2009-14

Agriculture and Plantation

Instant Tea and CSNL Cardinal included for benefits under VKGUY @ 5% of FOB value of exports. Oil Meals (Cotton, rape seed, groundnut), Castor Oil derivatives, Packed Coconut Water and Coconut Shell worked items shall be entitled for benefits @ 2% of FOB value of exports to all markets under FPS.

Er. Vikas Yadav (Lecturer) K.P. College Of Management

INDIAS FOREIGN TRADE POLICY 2009-14

Gems and Jewellery SECTOR 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

Er. Vikas Yadav (Lecturer) K.P. College Of Management

INDIAS FOREIGN TRADE POLICY 2009-14

Handloom and Handicraft Sector Increased exports from this sector will benefit the workers at grass root level. a) Handicraft Export Promotion Council b) Leather and footwear industry c) Towns of Export Excellence d) Status holder exporter e) Vishesh Krishi Upaj and Gram Udyog Yojana

Er. Vikas Yadav (Lecturer) K.P. College Of Management