|HOME | BUSINESS | REPORT|
|March 31, 1999||
Exim policy focuses on cutting transaction costs of exports, adds 894 items to free list of imports
The government today announced a major policy package, incorporating a series of measures aimed at cutting transaction costs for exports.
Commerce Minister Ramakrishna Hegde said in New Delhi that the duty exemption scheme has been made flexible and the benefit of zero-duty Export Promotion Capital Goods Scheme extended to other sectors.
The government also added 894 items to the free list of imports.
In another major decision, the government further rationalised the rules for export-oriented units / export processing zones.
Unveiling the policy, Hegde said a major package of trade reforms, which incorporates a series of measures aimed at cutting transaction costs for exporters, including those allowing electronic filing of applications, will be allowed on pilot basis for the issue of advance licences at Delhi.
Among the other measures announced are: issue of annual advance licences to avoid unnecessary interface between the government and exporters, reduction of threshold limit for zero-duty imports under the EPCG Scheme for many sectors, creation of additional facilities for gem and jewellery exports, issue of special import licences to promote branded exports and creation of the concept of free trade zones without value addition. A new institutional mechanism of ombudsman would be created for on-the-spot solutions to the problems faced by exporters.
The policy will be effective from April 1, 1999.
The advance licence facility will provide necessary flexibility in the import of duty-free inputs required for export production.
The licence would be issued without stipulating a minimum value addition. In such cases where input-output norms have not been fixed, licences can be obtained from all the port offices on the basis of self-declaration.
Electronic filing of applications is being started on a pilot basis for the issue of advance licence at Delhi. The applicants could expect an email reply. This facility will be gradually extended to all other ports within a prescribed timeframe, Hegde announced.
The Duty Entitlement Pass Book Scheme is being continued. Pre-export DEPB credit entitlement is being increased from five per cent to 10 per cent of the previous year's export performance. A number of ports have been added for availing facilities under the duty exemption scheme, including DEPB. Rationalisation of DEPB rates has been done to account for revisions in the customs duty and surcharge thereon.
|Tell us what you think of this report|
BOOK SHOP | MUSIC SHOP | HOTEL RESERVATIONS | WORLD CUP 99
EDUCATION | PERSONAL HOMEPAGES | FREE EMAIL | FEEDBACK