EXIM

POLICY
PRESENTED TO:
proff. khurana

PRESENTED BY:
Aastha jain
5924

EXIM POLICY
The foreign trade of India is guided by the Export

Import policy of govt. of India.

Regulated by the foreign trade development and
regulatory Act 1992.
Exim policy contain various policy decission with
respect to import and export from the country.
It is prepared and announced by the central
government.

EXIM Policy is the export import policy of the

government that is announced every five years.
It is also known as the Foreign Trade Policy.
This policy consists of general provisions
regarding exports and imports, promotional
measures, duty exemption schemes, export
promotion schemes, special economic zone
programs and other details for different sectors.
Every year the government announces a
supplement to this policy.

GENERAL OBJECTVE OF
EXIM
POLICY

It aims to developing export potential, improving

export performance, encourage foreign trade &
creating favourable balance of payment position.
To establish the framework for globalization.
To promote internationally competitive import
subsitution and self reliance
To encourage the attainment of high & internationally
accepted standards of quality.

EXIM POLICY- 2009-2014

The Foreign Trade Policy for the period 2009-2014
was announced on 27th August 2009 at a time when
the world was emerging from the shadow of a
challenging economic period, the worst we have seen
in the last 7 decades.
Economies and markets across the world were in
turmoil, causing sharp contraction in international
trade, adversely impacting global investment flows,
rendering over 50 million people jobless.
The world trade witnessed an unprecedented
contraction of over 12%.

OBJECTIVES OF 2009-14
The key objective for the Foreign Trade Policy was to

arrest the declining exports and reverse the trend.

To double Indias exports of goods and services by
2014.
To double Indias share in global merchandise trade
by 2020 as long term aim of this policy. Indias
share in global merchandise export was 1.45% in
2008.
Simplification of the application procedure for
availing various benefits.

To set in motion the strategies and policy measures

which catalyse the growth of exports.

To incourage exports through a mix of measures

including fiscal incentives, institutional charges,

procedural rationalisation and efforts for enhance
market access around the world and
diversification of export markets.

AIMS IN GENERAL
The policy aims at developing export potential ,

improving export performance, boosting foreign

trade and earning valuable foreign
exchange.FTP assumes great significance this
year as Indais export have battered by the global
recession.
A fall in exports have led to the closure of several

small and medium-scale export oriented units,

resulting in large scale unemployment.

TARGET
Export target : $ 200 billions for 2010-2011.

Export growth rate :15% for next two years and 25%

there after.

In an endeavour to make India a diamond

international trading hub, it is planned to establish

Diamond Bourse(s).

EPCG SCHEME
Obligation under EPCG scheme relaxed.

To aid technological up gradation of export sector ,

EPCG scheme at Zero Duty has been introduced.

Export obligation on import of spares , mould etc.

under EPCG Scheme has reduced by 50%.

Announcements for
FPS,FMS,MLFPS
26 new market s added in this scheme.
Incentives under FMS raised from 2.5% to 3%.
Incentives available under Focus Product

Scheme(FPS) Raised from 1.25% to 2%.

Extra products included in the scope of benefits

under
FPS.

ANNOUNCEMENT FOR MARINE SECTOR

Fisheries exempted from maintenance of

average EO under EPCG Scheme (along with 7

sectors) however Fishing Trawlers, boats, ships,
and other similar items shall not be allowed for
this exemption.

Additional flexibility under Target Plus Scheme /

Duty free certificate of Entitlement Scheme for

the marine sector.

GEMS AND JEWELLERY

SECTOR

Duty Drawbacks is allowed on Gold Jewellery

Exports to neutralize duty incidence.

Plan to establish Diamond Bourse (s ) with an aim

to make India an International Trading Hub

announced.
Introduction of a new facility to allow import on

consignment basis of cut and polished diamonds

for the purpose of grading / certification.

ANNOUNCEMENTS FOR
AGRO
EXPORTS

Introduction to a single window system to facilitate

export of perishable agricultural produce with an
aim to reduce transaction and handling costing.

This system will involve creation of multi-functional

nodal agencies .These agencies will be accredited

by APEDA.

ANNOUNCEMENT FOR
LEATHER
EXPORT

On the payment of 50% applicable export duty,

Leather sector shall be allowed re-export of
unsold imported raw hides and skins and semi
finished leather from public bounded
warehouse.

ANNOUNCEMENTS FOR TEA

EXPORTS

The existing minimum value addition under

advance authorisation scheme for export of tea is
100%. To 50%.
DTA (domestic tarriff area) sales limit to instant
tea by EOU units increased from 30% to 50 %.
Export of tea has been included under VKGUY
Scheme benefits.

ANNOUNCEMENT FOR
PHARMA
EXPORT

Export Obligation Period for advance

authorization issued increased from existing 6
months to 36 months.

Pharma sector included under MLFPS for

countries in Africa and Latin America and some

countries in Oceania and Far East.

ANNOUNCEMENT FOR HANDLOOM EXPORTS

The claim under Focus Product Scheme, the

requirement of Handloom mark was required

earlier. This has been removed.

ANNOUNCEMENT FOR AUTOMOBILE

INDUSTRY
Those automobile industry which have R & D
establishment will be allowed free import of
reference fuels upto a maximum of 5
kl/annum,which are not manufactured in India.
Simplification in EPCG for automobile
industry.

SET UP OF DIRECTORATE OF
TRADE REMEDY MEASURE
A Directorate of Trade Remedy Measure shall be

set up , which will enable support to Indian

industry and exporters , especially the Micro
Small & medium Enterprises MSMEs in availing
their rights through trade remedy instruments.
Restricted items can be imported now against
transferred DFIAs as the present DFRC scheme.
There is provision for state run banks to provide
dollar credits.