SME Times News Bureau | 22 Jun, 2017
Indian exports has been on an upward trend in last few
months with export of USD 275 billion in last fiscal and a target of USD 325
billion to achieve in 2017-18. The export sector welcomes the introduction of
GST as its spin off effect would benefit both the manufacturing and export
sector.
At this juncture, with an objective to dovetail India’s Foreign Trade Policy (FTP)
with the upcoming GST implementation, Rita Teaotia, Commerce Secretary,
Ministry of Commerce & Industry, Govt of India interacted with the EXIM
fraternity at Kolkata, seeking policy inputs and suggestions, at an Mid Term
Review of Foreign Trade Policy interactive session on June 21, 2017, organized
by Federation of Indian Export Organisations in association with EEPC
(Engineering Export Promotion Council) & GJEPC (Gems & Jewellery Export
Promotion Council).
A K Bhalla, DGFT, Department of Commerce, Govt of India was also present at the
meeting.
Commerce Secretary in her address stated that GST is a well needed reform and
the transition will require some time and calibrated process of FTP will be
continuous. Responding to exporters queries she stated that direct delivery of
MEIS scrips will be possible once the interface between ICEGATE and DGFT is
seamless and that e-Bank guarantees are also in the pipeline.
"With regard to shipping lines overcharging, she stated that the DG
shipping has been informed and they are waiting for a response from them. Other
points covered were Bangladesh exports, SEZ electricity duty refunds and issues
related to non EDI land ports."
FIEO President, Ganesh Kumar Gupta, in his welcome address stated that while
India did show a positive trend on exports since the last 9 months there is a
bit of anxiety in the business with regard to GST.
While India's share in global exports has increased from 1.6 percent to1.64
percent in 2016, presently it is 1.84 percent on a target of 2.4 percent in
global trade as per WTO. A growth of .2 percent share in one year is very
encouraging. Pointing out that the cost of capital to export sector is still
much above the international benchmark and has urged the same be decreased.
Arun Garodia, Regional Chairman, EEPC and Mr P C Pincha, Regional Chairman,
GJEPC & shared their inputs on the Engineering sector & Gems and
Jewellery sector respectively.
A presentation on GST presented by Dr Ajay Sahai, DG & CEO, FIEO was a very
insightful overview of the impact of GST on EXIM trade.
A K Bhalla, DGFT responded to the issues of the export sector some of which
were relating to EDI system, caution list by RBI, and GST.
Nari Kalwani, Regional Chairman, FIEO ER, highlighted the issues specific to
Eastern region specially exports to Bangladesh considering the exponential
trade to Bangladesh from this region. Stressing on the fact that West Bengal is
the interface for neighboring states and countries, he stated that the EXIM
fraternity could look at developing this into an export hub in the future.
The meeting received an overwhelming response from the EXIM
fraternity and other stakeholders, said FIEO in press release on Thursday.