Lok Sabha Question No. 211 (UNSTARRED), answered on 2016-04-25
Subject: India's Share in Global Trade
Ministry: COMMERCE AND INDUSTRY
Asked by: NISHIKANT  DUBEY

## MINISTRY OF COMMERCE & INDUSTRY

## GOVERNMENT OF INDIA (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO.211

## TO BE ANSWERED ON 25 th  APRIL, 2016

## INDIA'S SHARE IN GLOBAL TRADE

## 211.  SHRI NISHIKANT DUBEY:

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

- (a) the details of India's share in global trade at present;
- (b) whether the Government proposes to increase India's share in global trade;
- (c) if so, the details thereof along with the steps taken by the Government in this regard; and
- (d) the details of sectors and new markets identified by the Government in this regard?

## ANSWER

वािणÏ य एवं उɮयोग राÏ य मंत्री ) Įीमती िनमर्ला सीतारमण ( ( èवतंत्र प्रभार )

## THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (INDEPENDENT CHARGE) (SMT. NIRMALA SITHARAMAN)

- (a) India's share in global merchandise trade during the calendar year 2015 was 1.99%. Source: WTO
- (b) & (c) Details of some key steps taken by Government to increase India's share in global trade are as follows:-
- (i) The Merchandise Exports  from India  Scheme  (MEIS)  was  introduced  in   the Foreign  Trade  Policy  (FTP)  2015-20  on  April  1,  2015.MEIS  aims  to  incentivize export  of  merchandise    which  are  produced/manufactured  in  India.  At  the  time  of introduction of MEIS on April 1, 2015, the scheme covered 4914 tariff lines at 8 digit level. Countries of the globe were grouped into 3 market categories (Country Group A, Country Group B & Country Group C) for grant of incentives under MEIS. Slight changes in lines covered etc. were made on 14.07.2015 and 15.7.2015. Thereafter on 29.10.2015, 110 new Tariff Lines at 8 digit level were added under the scheme. The rates/country coverage for 2228 lines at 8 digit level were enhanced. As on date, 5012 Tariff Lines at 8 digit level are eligible for rewards under MEIS. The annual resource

allocation  under  MEIS  was  enhanced  from  Rs.  18000  crore  to  Rs.  21000  crore  in October 2015.

- (ii) The  Government  has  introduced  the  Interest  Equalisation  Scheme  on  Pre  &  Post Shipment Rupee Export Credit with effect from 1.4.2015. The scheme is available to all exports under 416 tariff lines [at ITC (HS) code of 4 digit] and exports made by Micro, Small & Medium Enterprises (MSMEs) across all ITC (HS) codes. The rate of interest equalisation is 3% per annum.
- (iii) In addition the Government continues to provide the facility of access to duty free raw materials and capital goods for exports through schemes like Advance Authorisation, Duty  Free  Import  Authorisation  (DFIA),  Export  Promotion  Capital  Goods  (EPCG) and Drawback/Refund of Duties.
- (d) (i)  The details of Sectors covered under MEIS are given below:
- (ii) Markets/countries  of  the  globe    are  grouped  into  3  categories  for  grant  of incentives under MEIS :-
- Category A: Traditional Markets (34) Include European Union (28), European Free Trade Association(EFTA) (Switzerland, Norway, Iceland and Lichtenstein4), USA and Canada (2).
- Category B: Emerging & Focus Markets (140) Include  Africa  (55),  Latin  America  and  Mexico  (45),  CIS  countries (12),  Turkey  and  West  Asian  countries  (13),  ASEAN  countries  (10), Japan, South Korea, China, Hongkong and Taiwan (5).

|   S.No. | Product Category                                                                            |
|---------|---------------------------------------------------------------------------------------------|
|       1 | Fruits, Flowers and Vegetables                                                              |
|       2 | Tea, Coffee, Spices and Cashew                                                              |
|       3 | Cereals preparation, Seeds, Shellac and Essential oils                                      |
|       4 | Processed foods, Cocoa products and Beverages                                               |
|       5 | Eco Friendly products that add value to waste                                               |
|       6 | Remaining Agriculture and Animal Products                                                   |
|       7 | Poultry &Dairy Products                                                                     |
|       8 | Marine Products                                                                             |
|       9 | Wines and Beer &Liqueur                                                                     |
|      10 | Pharmaceuticals, Surgical and Herbal Products                                               |
|      11 | Chemicals                                                                                   |
|      12 | Plastic Articles                                                                            |
|      13 | Moulded and Extruded goods, Rubber, Ceramic and Glass                                       |
|      14 | Auto Tyres and Tubes                                                                        |
|      15 | Wood , Paper and Stationary Products                                                        |
|      16 | Handloom, Coir, Jute products and Technical Textiles                                        |
|      17 | Carpets                                                                                     |
|      18 | Handicrafts                                                                                 |
|      19 | Textile and Garments                                                                        |
|      20 | Sports Goods                                                                                |
|      21 | Finished leather, Leather Garments and Goods, Saddlery Items and Footwear                   |
|      22 | Misc Manufactured articles, Auto seats, Steel furniture, Prefabs, Lighters, Mattresses etc. |
|      23 | Furniture and Wood Articles                                                                 |
|      24 | Iron, Steel and Base Metal Products                                                         |
|      25 | Industrial Machinery, Engineering items, IC Engines, Machine tools and Parts                |
|      26 | Hand Tools, Cutting Tools and Implements Made of Metals                                     |
|      27 | Pumps of All Types                                                                          |
|      28 | Automobiles, Two wheelers, Bicycles, Ships and Planes                                       |
|      29 | Auto Components/Parts                                                                       |
|      30 | Telecom, Computer and Electronics Products                                                  |

Category C: Other Markets (65).

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