Lok Sabha Question No. 2039 (UNSTARRED), answered on 2018-07-30
Subject: Comprehensive Export Strategy
Ministry: COMMERCE AND INDUSTRY
Asked by: CH. MALLA REDDY

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

## LOK SABHA UNSTARRED QUESTION NO. 2039 TO BE ANSWERED ON 30 th  JULY,2018

## COMPREHENSIVE EXPORT STRATEGY

## 2039. SHRI CH. MALLA REDDY

Will  the  Minister  of COMMERCE & INDUSTRY ( वाͨणÏय  एवं  उɮयोग  मंğी ) be pleased to state:

- (a) whether  the  Government  is  formulating  a  strategy  for  increasing  exports  by  USD  100 billion in the next few years and if so, the details thereof;
- (b) whether  the  Government  is  preparing  Sectoral  Export  Strategies/State  Specific  Export Strategies and if so, the details thereof;
- (c) whether EXIM Bank has submitted its report about market research for exports and if so, the details thereof;
- (d) whether  exporters  have  raised  concerns  about  uncertainties  in  international  trade  like tariff increases, volatilities in currencies and review of GSP regime by the US and if so, the details thereof; and
- (e) whether the Government is planning to provide branding assistance in existing and new export  markets,  using  Lines  of  Credit  as  marketing  tool,  support  for  Research  & Development, and promoting e-commerce and if so, the details thereof?

## ANSWER

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THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI C. R. CHAUDHARY)

- a) The strategies to increase exports by $100 billion is an ongoing process. The Product Specific and Market  Specific  strategies/suggested  steps  are  being  adopted  for  achieving  an  accelerated  growth  in exports, both Merchandise and Services.

Steps taken by DOC to promote exports:

-  Foreign Trade Policy 2015-20 and Mid-term review notified in December 2017. FTP was aligned with the GST regime.
-  Consequent to the effort of DOC, GST Council meeting was held on October 6 2017, which allowed exemption from payment of GST on inputs sourced using the Advance authorizations, EPCG and 100% EOU schemes of DGFT.
-  Interest  Equalization  scheme  on  Pre  and  Post  Shipment  Rupee  Export  Credit  which  helped  in accessing credit at reduced rates was introduced.
-  A new logistic division was created in DOC to focus on improving logistics efficiency and enhancing growth.
-  A new scheme namely TIES was launched which provided matching assistance for setting up and up-gradation  of  infrastructure  projects  with  overwhelming  export  linkages:  Border  Haats,  Land customs stations, quality testing, certification labs and cold chains etc.
-  Facilitating Transparency through Ease of Doing Business and IT initiatives
- o DGFT and SEZ online integrated with customs ICEGATE.
- o Import  Export  Code(IEC)  integrated  with  PAN  and  MoU  signed  with  GSTN  for  complete registration.
- o State Governments provided access to DGCI&S export data in real time.

b) State/UT Governments have been requested to formulate State export strategy. State of Gujarat, Tamil  Nadu,  Karnataka,  Maharashtra,  U.P.,  Haryana,  Rajasthan,  Telangana,  Odisha,  Uttarakhand,  Bihar, Chhattisgarh,  Pondicherry,  Assam,  J&K,  Arunachal  Pradesh,  Tripura  and  Manipur  have  formulated  the export  strategy  on  its  own  and  the  States  of  Andhra  Pradesh,  West  Bengal,  Punjab,  Madhya  Pradesh, Kerala and Chhattisgarh have engaged agencies like IIFT, FIEO etc. to prepare the export strategy. For this, financial assistance is also being provided under MAI Scheme of Department. So far, on the request of the State/UT  Governments,  FIEO  has  been  entrusted  with  the  task  of  preparation  of  Export  Strategy  of  11 States/UTs  viz.  Chandigarh,  Andhra  Pradesh,  Odisha,  Mizoram,  Meghalaya,  Nagaland,  Uttarakhand, Karnataka, Bihar, Goa and Delhi.

c), d) & e) Inputs  have  been  received  from  various  stakeholders  including  EXIM  Bank  and  other Export  Promotion  Councils.  Suggestions  have  been  made  for  devising  steps  for  accelerated  growth  in Exports, with focus on New Markets and New Products.

Some of the current focus areas of DOC are:

-  Encouraging exports by MSMEs and Labour Intensive Industries.
-  Exploring new export markets and new export products
-  Focus on agricultural exports for increasing farmers' income
-  Greater participation in the global and regional value chains
-  Leveraging services for increasing exports
-  Trade facilitation in Indian context - This is a priority area for the Government for cutting down the transaction cost and time and thereby making Indian exports more competitive.
-  Harnessing potential of E-commerce
-  Special Economic Zones (SEZs)
-  Focus on Export Credit Related Issues
-  Improving product quality
-  Market Diversification
-  Promoting the India Brand

Appropriate  adoption  of  the  suggested  measures/strategies  and  their  rightful  implementation  would ensure increase in India's exports.

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