|
ALL MEMBERS OF THE COUNCIL
Dear Members,
As you are aware, that Commerce and Industry Minister Smt. Nirmala Sitharaman has unveiled the new Foreign Trade Policy (2015-2020) today at 3.30.pm.
The new policy would boost exports and create jobs while supporting the Centre’s 'Make In India' and 'Digital India' programmes. The broad objective is to focus on support to services and merchandise exports, number of very important initiatives such as focus on export of high value addition products, Focussed on improving ease of doing business, debottlenecking, to make services globally competitive and Market diversification.
Moreover, FTP would focus on defence, pharma, environment-friendly products and value-added exports. The govt. will continue to incentivise units located in special economic zones, with a focus on employment-creating sectors and also promote e-commerce.
The key highlights of FTP-2015-20 are as under :-
1. Chapter 3 of FTP i.e. Promotion measures is now EXPORTS FROM INDIA SCHEMES. For simplification, the chapter 3-schemes are now merged in to only two new schemes — "Merchandise Exports from India Scheme (MEIS)” and "Services Exports from India Scheme (SEIS)”. Under MEIS, a higher level of support would be provided to processed and packaged agricultural and food items. And, agricultural and village industry products would be supported across the globe at the rates of 3 per cent and 5 per cent.
2. It is now proposed to extend Chapter -3 Incentives (MEIS & SEIS) to units located in SEZs also.
3. Duty credit scrips to be freely transferable and usable for payment of custom duty, excise duty and service tax.
4. Status Holders:- The nomenclature of Export House, Star Export House, Trading House, Star Trading House, Premier Trading House certificate has been changed to One, Two, Three, Four, Five Star Export House. Also the criteria is revised.
5.New initiatives for EOUs, EHTPs and STPs:- EOUs, EHTPs, STPs have been allowed to share infrastructural facilities among themselves. This will enable units to utilize their infrastructural facilities in an optimum way and avoid duplication of efforts and cost to create separate infrastructural facilities in different units. Moreover Inter unit transfer of goods and services have been allowed among EOUs, EHTPs, STPs, and BTPs. This will facilitate group of those units which source inputs centrally in order to obtain bulk discount. This will reduce cost of transportation, other logistic costs and result in maintaining effective supply chain. Further EOUs have been allowed facility to set up Warehouses near the port of export. This will help in reducing lead time for delivery of goods and will also address the issue of un-predictability of supply orders., etc.
6. BOOST TO "MAKE IN INDIA":- Reduced Export Obligation (EO) for domestic procurement under EPCG scheme, Higher level of rewards under MEIS for export items with high domestic content and value addition.
7. TRADE FACILITATION & EASE OF DOING BUSINESS:- Online filing of documents/ applications and Paperless trade in 24x7 environment, As a measure of ease of doing business, landing documents of export consignment as proofs for notified market can be digitally uploaded such as scan copy of B/E.
8. Other initiatives such as :-
a. Online inter-ministerial consultation.
b. Facilitating & Encouraging Export of dual use items (SCOMET).
c. Facilitating & Encouraging Export of Defence Exports
d. Encouraging e-Commerce Exports of Goods falling in the category of handloom products, books / periodicals, leather footwear, toys and customized fashion garments.
e. Simplification of procedures/processes, digitisation and e-governance
f. Additional Ports allowed for Export and import:-Calicut Airport, Kerala and Arakonam ICD, Tamil Nadu have been notified as registered ports for import and export.
9. Additional chapter no. 8 QUALITY COMPLAINTS AND TRADE DISPUTES is added in new FTP with an objective In an endeavour to resolve such complaints or trade disputes and to create confidence in the business environment of the country, a mechanism is being laid down to address such complaints and disputes in an amicable way.
10. The five-year foreign trade policy will be reviewed after two-and-a-half years.
11. DGFT in his speech has informed that Board of Trade will be replaced by “Council for Trade Promotion and Development”.
Members are requested to take note of above highlights and may refer to attached FTP-2015-2020.
Finally chemexcil organising seminar on FTP-2015-2020 shortly. Detailed circular will be sent to member soon.
Thanking You,
Yours faithfully,
(S.G.BHARADI)
ACTG.EXECUTIVE DIRECTOR
|
