Lok Sabha Question No. 1679 (UNSTARRED), answered on 2022-07-27
Subject: Promotion of Export
Ministry: COMMERCE AND INDUSTRY
Asked by: Sujay Radhakrishna Vikhepatil, Krishna Pal Singh Yadav, Rita Bahuguna Joshi, Shrikant Eknath Shinde, Heena Vijaykumar Gavit

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

## LOK SABHA UNSTARRED QUESTION NO. 1679 TO BE ANSWERED ON 27 th  JULY, 2022

## PROMOTION OF EXPORT

1679.   DR. SUJAY RADHAKRISHNA VIKHE PATIL:

DR. KRISHNA PAL SINGH YADAV:

PROF. RITA BAHUGUNA JOSHI:

DR. SHRIKANT EKNATH SHINDE:

DR. HEENA GAVIT:

Will the Minister of COMMERCE & INDUSTRY ( वाणिज्य एवं उद्योग मंत्री ) be pleased to state:

- (a) whether the Government has any scheme to assist the States in promotion of exports and if so, the details thereof;
- (b) the  details  of  total  funds  allocated  to  various  States  including  Uttar  Pradesh, Maharashtra  and  Madhya  Pradesh  for  export  promotion,  sector  and  State-wise during each of the last three years and the current year along with the steps taken by the Government to engage the States in export promotion;
- (c) the  measures  taken  by  the  Government  to  improve  the  logistic  constraints  to achieve the export target of the country; and
- (d) whether the Government has also made provisions for tax rebate for promotion of exports and if so, the details thereof?

## ANSWER

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## THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SMT. ANUPRIYA PATEL)

- (a) &  (b):    The  Department  of  Commerce,  Government  of  India  is  implementing  the  Trade Infrastructure  for  Export  Scheme  (TIES)  w.e.f.  FY  2017-18  with  the  objective  of  assisting Central and State Government agencies in the creation of appropriate infrastructure for growth of exports. Under the scheme, financial assistance in the form of grant-in-aid is provided to Central/State Government owned agencies (or their Joint Ventures with major stake-holding by them)  for  setting  up  or  up-grading  export  infrastructure  in  States/UTs.  The  scheme  can  be

availed  by  States  through  their  implementing  agencies,  for  infrastructure  projects  with significant  export  linkages  like  Border  Haats,  Land  customs  stations,  quality  testing  and certification  labs,  cold  chains,  trade  promotion  centres,  export  warehousing  and  packaging, SEZs and ports/airports cargo terminuses. The Scheme guidelines are available at https://commerce.gov.in/trade-promotion/trade-promotion-assistance/ .

Under the TIES, financial assistance for a total of 27 export infrastructure projects have been approved  during  FY  2019-20  to  2022-23  (till  22 nd July,  2022).  The  State/UT-wise  details, including Uttar Pradesh, Maharashtra and Madhya Pradesh, of funds released during last three years are given at Annexure-I.

Further,  under  "Districts  as  Export  Hubs  Initiative"  (DEH)  of  Department  of  Commerce implemented  through  Directorate  General  of  Foreign  Trade  (DGFT),  DGFT  Regional Authorities  work  with  the  States/UTs  and  the  District directly to create institutional mechanisms at the State and District level to facilitate exports of identified products/services from the Districts. District specific Export Promotion Committees have been constituted in all States.

(c) :  To overcome the infrastructural constraints in logistics, a GIS-based technology platform called  PM  Gati  Shakti  National  Master  Plan(NMP)  has  been  launched  with  the  objective  to holistically  integrate  all  multi-modal  connectivity  infrastructure  projects  and  remove  gaps  for seamless movement of people and goods including export consignments.

Government has undertaken various measures to mitigate shortage of containers for facilitating export cargo:

- (i) Tracking and tracing mechanism for containers has been enabled through development of a portal by NICDC Logistics Data Services(NLDS) for improving turnaround of containers for increased availability, which is visualized through a dashboard for monitoring
- (ii) FIEO has launched a portal on its website for advance planning and better visibility of realtime  demand  and  supply  position  of  containers  and  to  enable  re-positioning  of  empty containers from locations of surplus to locations of demand
- (iii) CBIC had launched special drive to release abandoned/detained/seized containers through tracking  and  monitoring  of  dwell  times  so  as  to  effectively  enhance  availability  of containers

(d): The duty drawback scheme provides rebate on the incidence of Customs duties on imported inputs and Central Excise duties on domestic inputs that are used in the manufacture of export goods.

The amount disbursed under Duty drawback scheme during the last three years is as   below:

| Financial Year   | Duty drawback disbursed (Rs. in Crore)*   |
|------------------|-------------------------------------------|
| 2019-20          | 17,902.71                                 |
| 2020-21          | 18,128.05                                 |
| 2021-22          | 23,920.00                                 |

Source: *CBIC, Department of Revenue

Further,  there  is  no  provision  of  tax  rebate  on  exports  under  GST.  However,  exporters  are eligible to claim refund of either (i) tax paid on export of goods or services or both; or (ii) unutilized input tax credit in respect of goods or services or both exported without payment of tax.

The amount of refund under GST provided to exporters on account of export of services with payment of IGST and export of goods and services without payment of IGST is as follows:

| Financial Year   |   Amount (in Rs. Crores)** |
|------------------|----------------------------|
| 2019-20          |                    31632.6 |
| 2020-21          |                    52050.2 |
| 2021-22          |                    66781.9 |

Source: **CBIC, Department of Revenue

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## ANNEXURE-I

ANNEXURE  REFERRED  TO  IN  REPLY  OF  PART  (a)  TO  (b)  OF  LOK  SABHA UNSTARRED QUESTION NO. 1679 FOR ANSWER ON 27.07.2022.

## Details of projects approved under TIES {FY 2019-20 to FY 2022-23 (till 22.07.2022)}

|   Sl. No. | Name of State/UT, where project(s) located   | Year    |   Number of New projects approved | TIES fund released (In Rs. Cr.)   |
|-----------|----------------------------------------------|---------|-----------------------------------|-----------------------------------|
|         1 | Karnataka                                    | 2019-20 |                                 0 | 2.65*                             |
|         1 | Karnataka                                    | 2020-21 |                                 0 | 0                                 |
|         1 | Karnataka                                    | 2021-22 |                                 0 | 0.35*                             |
|         1 | Karnataka                                    | 2022-23 |                                 1 | 5.46**                            |
|         1 | Karnataka                                    | Total   |                                 1 | 8.46                              |
|         2 | Kerala                                       | 2019-20 |                                 1 | 10                                |
|         2 | Kerala                                       | 2020-21 |                                 0 | 0                                 |
|         2 | Kerala                                       | 2021-22 |                                 1 | 18.09*                            |
|         2 | Kerala                                       | 2022-23 |                                 0 | 0                                 |
|         2 | Kerala                                       | Total   |                                 2 | 28.09                             |
|         3 | Manipur                                      | 2019-20 |                                 0 | 0                                 |
|         3 | Manipur                                      | 2020-21 |                                 0 | 5.63*                             |
|         3 | Manipur                                      | 2021-22 |                                 0 | 0                                 |
|         3 | Manipur                                      | 2022-23 |                                 0 | 0                                 |
|         3 | Manipur                                      | Total   |                                 0 | 5.63                              |
|         4 | Andhra Pradesh                               | 2019-20 |                                 0 | 9.9856*                           |
|         4 | Andhra Pradesh                               | 2020-21 |                                 2 | 13                                |
|         4 | Andhra Pradesh                               | 2021-22 |                                 0 | 0                                 |
|         4 | Andhra Pradesh                               | 2022-23 |                                 0 | 0                                 |
|         4 | Andhra Pradesh                               | Total   |                                 2 | 22.9856                           |
|         5 | Tamil Nadu                                   | 2019-20 |                                 5 | 15.91                             |
|         5 | Tamil Nadu                                   | 2020-21 |                                 1 | 14.4584*                          |
|         5 | Tamil Nadu                                   | 2021-22 |                                 4 | 22.94                             |
|         5 | Tamil Nadu                                   | 2022-23 |                                 0 | 2.82**                            |
|         5 | Tamil Nadu                                   | Total   |                                10 | 56.1284                           |
|         6 | Madhya Pradesh                               | 2019-20 |                                 0 | 8.04*                             |
|         6 | Madhya Pradesh                               | 2020-21 |                                 0 | 0                                 |
|         6 | Madhya Pradesh                               | 2021-22 |                                 0 | 0                                 |
|         6 | Madhya Pradesh                               | 2022-23 |                                 0 | 0                                 |
|         6 | Madhya Pradesh                               | Total   |                                 0 | 8.04                              |
|         7 | Uttar Pradesh                                | 2019-20 |                                 0 | 0.48                              |

|    |                  | 2020-21   | 0   | 0       |
|----|------------------|-----------|-----|---------|
|    |                  | 2021-22   | 0   | 0       |
|    |                  | 2022-23   | 0   | 0       |
|    |                  | Total     | 0   | 0.48    |
| 8  | Maharashtra      | 2019-20   | 0   | 1.52*   |
|    |                  | 2020-21   | 1** | 0       |
|    |                  | 2021-22   | 0   | 0       |
|    |                  | 2022-23   | 0   | 0       |
|    |                  | Total     | 1   | 1.52    |
| 9  | Tripura          | 2019-20   | 0   | 0       |
|    |                  | 2020-21   | 2** | 0       |
|    |                  | 2021-22   | 0   | 0       |
|    |                  | 2022-23   | 0   | 0       |
|    |                  | Total     | 2   | 0       |
| 10 | West Bengal      | 2019-20   | 0   | 0       |
|    |                  | 2020-21   | 0   | 0       |
|    |                  | 2021-22   | 0   | 6.83*   |
|    |                  | 2022-23   | 0   | 0       |
|    |                  | Total     | 0   | 6.83    |
| 11 | Himachal Pradesh | 2019-20   | 0   | 0       |
|    |                  | 2020-21   | 0   | 0       |
|    |                  | 2021-22   | 1   | 10      |
|    |                  | 2022-23   | 0   | 0       |
|    |                  | Total     | 1   | 10      |
| 12 | Haryana          | 2019-20   | 1   | 0       |
|    |                  | 2020-21   | 0   | 6.06*   |
|    |                  | 2021-22   | 0   | 0       |
|    |                  | 2022-23   | 0   | 0       |
|    |                  | Total     | 1   | 6.06    |
| 13 | Chandigarh       | 2019-20   | 0   | 0       |
|    |                  | 2020-21   | 0   | 0       |
|    |                  | 2021-22   | 0   | 2.82*   |
|    |                  | 2022-23   | 0   | 0       |
|    |                  | Total     | 0   | 2.82    |
| 14 | Assam            | 2019-20   | 2   | 5.7725  |
|    |                  | 2020-21   | 0   | 5.6875* |
|    |                  | 2021-22   | 0   | 3.96*   |
|    |                  | 2022-23   | 0   | 0       |
|    |                  | Total     | 2   | 15.42   |
| 15 | Punjab           | 2019-20   | 2   | 0       |

|     |                                                                                                                                        | 2020-21                                                                                                                                | 0                                                                                                                                      | 5.77*                                                                                                                                  |
|-----|----------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------|
|     |                                                                                                                                        | 2021-22                                                                                                                                | 1                                                                                                                                      | 10                                                                                                                                     |
|     |                                                                                                                                        | 2022-23                                                                                                                                | 0                                                                                                                                      | 0                                                                                                                                      |
|     |                                                                                                                                        | Total                                                                                                                                  | 3                                                                                                                                      | 15.77                                                                                                                                  |
| 16  | Jharkhand                                                                                                                              | 2019-20                                                                                                                                | 1                                                                                                                                      | 9.80                                                                                                                                   |
|     |                                                                                                                                        | 2020-21                                                                                                                                | 0                                                                                                                                      | 0                                                                                                                                      |
|     |                                                                                                                                        | 2021-22                                                                                                                                | 0                                                                                                                                      | 0                                                                                                                                      |
|     |                                                                                                                                        | 2022-23                                                                                                                                | 0                                                                                                                                      | 0                                                                                                                                      |
|     |                                                                                                                                        | Total                                                                                                                                  | 1                                                                                                                                      | 9.80                                                                                                                                   |
| 17. | Sikkim                                                                                                                                 | 2019-20                                                                                                                                | 0                                                                                                                                      | 0                                                                                                                                      |
|     |                                                                                                                                        | 2020-21                                                                                                                                | 1                                                                                                                                      | 8.87                                                                                                                                   |
|     |                                                                                                                                        | 2021-22                                                                                                                                | 0                                                                                                                                      | 0                                                                                                                                      |
|     |                                                                                                                                        | 2022-23                                                                                                                                | 0                                                                                                                                      | 0                                                                                                                                      |
|     |                                                                                                                                        | Total                                                                                                                                  | 1                                                                                                                                      | 8.87                                                                                                                                   |
|     | Grand Total                                                                                                                            |                                                                                                                                        | 27                                                                                                                                     | 206.904                                                                                                                                |
|     | *Includes disbursement of subsequent installments for a previously sanctioned project/new project approved in previous financial year. | *Includes disbursement of subsequent installments for a previously sanctioned project/new project approved in previous financial year. | *Includes disbursement of subsequent installments for a previously sanctioned project/new project approved in previous financial year. | *Includes disbursement of subsequent installments for a previously sanctioned project/new project approved in previous financial year. |

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