Sops to exporters in view of "fragile" global economy: govt

All recovery stimulus-fed and stimulus-led, says industries minister, justifying continuing sops to industries

PTI | August 23, 2010



The government today said the sops would continue for exporters in sectors like capital goods and textiles to help them mitigate the impact of "fragile" recovery of global economy.

Announcing the annual Foreign Trade Policy, commerce and industry minister Anand Sharma said that recovery in global economy so far has been fragile and uneven.

"Whatever recovery has been there is stimulus-fed and stimulus-led," Sharma said, adding that it was posing challenges to Indian exporters.

Aiming to provide some relief to exporters hurt by global slowdown, Sharma announced extending DEPB (Duty Entitlement Pass Book) scheme for six months or till June 30, 2011.

Under this scheme, the government reimburses duties on imported inputs used in exports.

Sharma also announced extension of zero duty EPCG (Export Promotion for Capital Goods) for one more year, that is till March 31, 2011, and SHI (Status Holders Incentive) scheme for one more year till March 31, 2011.

At the same time, Sharma also said that India remained committed to successful completion of Doha round of WTO talks.

He noted that the efforts were continuing to cut down the export transaction costs and discussions were on for various trade agreements with Malaysia, Japan, European Union and Asean nations.


Sharma said that the country is on course to achieving USD 200 billion export target for 2010-11.

During April-July 2010-11, exports grew by 30.1 per cent to USD 68.63 billion. In the last fiscal, India's exports were at USD 182 billion.

Also, interest subvention of two per cent has been extended to textiles, jute, leather and engineering goods sectors, Sharma said.

Currently, the scheme is for sectors like handicrafts, handlooms, carpets and small and medium enterprises. The scheme is to expire on March 31, 2011.

Under the scheme, banks provide loans at a rate lower by two per cent than the market rate.

"A bonus incentive scheme is being introduced for those sectors whose exports are not doing well. This specially covers labour intensive sectors like handicrafts, handlooms, leather and leather manufacturers, carpets, sports goods, toys and some bicycle parts," Sharma said.

Comments

 

Other News

Cabinet approves Dearness Allowance, Dearness Relief

The union cabinet chaired by prime minister Narendra Modi on Wednesday approved the release of an additional instalment of Dearness Allowance (DA) to central government employees and Dearness Relief (DR) to pensioners with effect from 01.07.2026 representing an increase of 3% over the existing rates of 6

Cyclone Arnab strikes Andhra as warming oceans amplify storm risks

Cyclone Arnab made landfall along the Andhra Pradesh and Yanam coasts in the early hours of Wednesday as a very severe cyclonic storm, with maximum sustained wind speeds of 125–135 kmph and gusts reaching 150 kmph. Its rapid intensification has raised concerns about how warmer oceans, global warmin

Counting matters but which ones?

The first instinct of public policy is to count. Its harder task is to count what counts. We have become remarkably good at measuring the reach of the welfare state vis-à-vis beneficiaries covered, rupees transferred, houses built, connections installed and services delivered. But some of the most

Inching closer to a trade deal with America

The cooperation between India and the United States goes back quite a time. We need to relegate that era to the backburner when Pandit Jawaharlal Nehru visited US in the times of president Dwight Eisenhower and called the American let-off of 10 million dollars in defence aid to Pakistan as a “gun w

Manch vs Musk: Forty people and a foreign billionaire

About forty people walked the roundabout on Teen Murti Marg to the gate of Chanakyapuri police station, a distance you could cover in under a minute, on Friday to protest against Elon Musk’s Starlink. The walk was called by the Swadeshi Jagaran Manch. Nobody joined them on the way, and nobody seeme

Master sculptor recalls the making of the Shankaracharya statue

The Golden Chisel: The Story Behind the Making of Ram Lalla  By Seethalakshmi S. and Rahul Nandan Rupa Publications, 168 pages, Rs 395  

Upcoming Conferences



-->

Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter