The Hindu Business Line : Corporate India lauds mini-Exim Policy

THE captains of Indian industry and trade have hailed the Exim Policy initiatives announced by the Government as enhancing the country's export competitiveness, both in manufactured goods and in services export sectors.

Commending the measure, Mr M. Rafeeque Ahmed, President, Federation of Indian Export Organisations (FIEO), said that these are going to provide an impetus to export growth. Measures such as the Gold Card Scheme for exporters with proven track record for easy availability of export credit, launching of National Export Insurance Account (NEIA) for underwriting high value projects and increase in equity base of ECGC for better risk management of exports are laudable, he said. The FIEO President opined that allowing free import of gold and silver would boost jewellery exports.

The Federation of Indian Chambers of Commerce and Industry (FICCI) President, Mr Y.K. Modi, said, "For the proposed creation of NEIA, we would request the Government to work out necessary modalities so that projects valued at more than $1 billion can also be underwritten. The modalities of NEIA should be finalised at the earliest so that Indian companies can go for bidding/sub-contracting of upcoming international projects in different countries, including countries like Iraq and Afghanistan."

Mr Modi said that the digital signature and electronic fund transfer facility launched by the Commerce Ministry would reduce transaction costs and time for Indian exporters. It would serve as an additional factor in attracting international companies looking at India as a manufacturing exporting base, he said.

Mr Anand Mahindra, President, Confederation of Indian Industry (CII), said that the simplification of sampling procedures for edible oils and food products under the Prevention of Food Adulteration (PFA) Act was welcome. These would benefit companies that comply with regulations and enable the quick movement of perishable items, he added.

According to Mr Mahendra K. Sanghi, President of the Associated Chambers of Commerce and Industry (Assocham), especially noteworthy are the announcement with regard to service sector, where all types of capital goods including office and professional equipments will be allowed under the Duty Free Entitlement Scheme.

"It is also heartening to see that a few amendments have been made under deemed export scheme especially the decentralisation at Director General of Foreign Trade offices for fixation of drawback rates," he said.

While complimenting the Government on various announcements, Mr Ravi Wig, President, PHD Chamber of Commerce and Industry (Phdcci), said that the move to allow import of duty free fuel with actual user condition under the Duty Free Replenishment Certificate Scheme will help in reducing the power cost faced by the manufacturing sector.

In a statement, the Indian Chamber of Commerce & Industry (ICCI) said that the flexibility introduced in the EPCG scheme by expanding the scope of the scheme by including export of products/services by group companies is a welcome step. This will help many companies, particularly small and medium enterprises, to leverage the advantage and export more, ICCI said.

Removal of quantitative restrictions on certain goods, extension of deemed export facility to more areas and sectors, extension of duty free imports in the case of certain segment of hotels, etc., are positive measures, which will help augmenting the exports, said Mr V. Rangaraj, President, Indo-American Chamber of Commerce.