Lok Sabha Question No. 1510 (UNSTARRED), answered on 2019-11-27
Subject: Indian Global Trade Share
Ministry: COMMERCE AND INDUSTRY
Asked by: Ravneet Singh

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 1510 TO BE ANSWERED ON 27 th NOVEMBER, 2019

## INDIAN GLOBAL TRADE SHARE

## 1510.  SHRI RAVNEET SINGH BITTU:

Will the Minister of COMMERCE & INDUSTRY ( वािण�य एवं उ�ोग मं�ी ) be pleased to state:

- (a) whether the Government is on track to raise its share in world trade from 2.52 per cent at present to 3.5 per cent by 2020;
- (b) if so, the details thereof along with the steps taken by the Government in this regard;
- (c) whether Indian goods are less competitive in the world market as logistics cost of exports is very high in the country and if so, the details thereof;
- (d) whether the Government is planning to form a separate logistics department to deal with the issues such as rising cost in the sector which impacts global competitiveness of exporters;
- (e) if so, the details thereof along with the time by which a final decision is likely to be taken in this regard; and
- (f) whether the Government has taken steps to create trade zone in Kartarpur Sahib and if so, the details thereof?

## ANSWER

okf.kT; ,oa m|ksx ea=h ( Jh ih;w'k xks;y ) THE MINISTER OF  COMMERCE AND INDUSTRY (SHRI PIYUSH GOYAL)

(a) & (b) As per the WTO data released on April 2019, for the year 2018, India's share in global exports for merchandise was 1.7 % and in global imports was 2.6 %. For the year 2018 for service sector, India's share in global exports was 3.5 % and imports was 3.2 %.

Government of India is always proactively taking a number of steps to boost exports, which inter-alia includes the following:

1. Merger of Council of Trade and Development and Board of Trade providing a common platform for addressing stakeholder concerns : This common platform, comprising of representatives from industry, export promotion councils, Government of India and state governments and representatives from banking and finance Sector

is  playing  a  critical  role  in  addressing  export  related  concerns,  with  a  focus  on addressing these on a priority basis.

2. Infusion of funds for Export Support: A capital of Rs. 389 crore has been infused into Export Credit Guarantee Corporation (ECGC) on 21st June 2019. A Grant-inaid (corpus) of Rs. 300 crore has been contributed to National Export Insurance Account (NEIA) trust on 21st June 2019, thereby, enhancing its risk taking capacity to support project exports in challenging markets.
3. Agriculture Export Policy: A new Agriculture Export Policy (AEP) was approved in December 2018 to increase agriculture exports from present US$ 30 Billion to US$ 60+ Billion by 2022. Outlay of Rs. 206 Crores for 2019-20 has been approved for its implementation.
4. Boost to Gem and Jewellery exporters resolution of various issues which inter alia includes removal of the requirement of paying IGST on re-import of goods which were  exported  earlier  for  exhibition  purpose/consignment  basis.  Allowing  partial discharge of bonds executed by nominated agencies/banks for import of gold to be supplied  to  jewellery  exporters,  thereby  enabling  nominated  agencies/banks  to release  bank  guarantee  of  jewellery  exporters  who  have  fulfilled  their  export obligation.

## 5. Promoting Ease of Doing Business

- a. Common Digital  Platform  for  Issuance  of  electronic  Certificates  of  Origin (CoO) for  the  exporters  was launched  on  16.09.2019  to  improve  ease  of doing business for exporters.

## b. The first legislation to be passed by newly formed GovernmentSpecial Economic Zone (Amendment) Bill, 2019

- i. SEZ (Amendment) Bill 2019 became the first legislation of the newly formed Government to be passed by the Parliament. It will enable any entity to set up a unit in SEZs, including Trusts . This would help boost investments and create new export and job opportunities .
- ii. Better facilities  for  employees: SEZ  units  allowed to create facilities/amenities  like  crèche,  gymnasium,  cafeteria  etc. for  their exclusive use as a measure towards ease of doing business.
3. (c) There is no official study to estimate the logistics costs in India.  Some private agencies have estimated logistics costs in various countries including India.
4. (d) There  is  no  such  proposal  at  present  under  consideration  of  the  Government.    A separate Division under a Special Secretary has been created in the Department of Commerce to look at integrated development of the logistics sector.
5. (e) Does not arise.
6. (f) There is no such proposal at present under consideration of the Government.

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