Interim Foreign Trade Policy offers sops to exporters

Interim Foreign Trade Policy offers sops to exportersUnion Commerce Minister Kamal Nath on Thursday announced the interim Foreign Trade policy, which offers sops to exports in leather, textile, gems and jewellery and food product sectors.

The government has scaled down the export target to 175 billion dollar for this fiscal from the earlier target of 200 billion dollar.

A special package of Rs. 325 crore for the leather and textile sectors, removal of import curbs on gems and jewellery, relaxation in export obligations and a 5 percent duty credit for the export of handmade carpet under the Focus Product Scheme, against 3.5 percent given earlier.

Kamal Nath said that exports had grown to 162 billion dollar in 2008 and will touch 175 billion dollar for this Fiscal Year.

"The export sector created 14,00,000 new jobs this fiscal. India had achieved a growth of 30.9 per cent till September this year," he said.

The Minister said that the export incentives have been provided for certain items like Technical textiles, Stapling machine, Handmade carpets and Dried vegetables. In addition, incentives of Rs. 325 crores would be provided for leather and textiles for exports.

"Bhilwara in Rajasthan and Surat in Gujarat have been recognized as Towns of Export Excellence, for textiles and diamonds respectively," he added.

At present, Govt. recognizes Premier Trading Houses based on an export turnover of Rs. 10, 000 crores in the previous three years and the current year taken together. In view of the prevailing global slowdown, the threshold limit for recognition as Premier Trading Houses is now been reduced to Rs. 7500 crores.

Kamal Nath also permitted the export of blood samples without license after obtaining 'no objection certificate' from Director General of Health Services (DGHS).

Supply of an Intermediate product by the domestic supplier directly from their factory to the Port against Advance Intermediate Authorisation, for export by ultimate exporter, has been allowed.

He also announced the opening of an independent office of Directorate General of Foreign Trade (DGFT) at Srinagar.

Export through Krishnapatnam seaport has been included for the purpose of Export Promotion Scheme. (ANI)

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