Lok Sabha Question No. 1313 (UNSTARRED), answered on 2016-05-02
Subject: Promotion of Export-Import
Ministry: COMMERCE AND INDUSTRY
Asked by: RAVINDRA KUMAR PANDEY

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

## LOK SABHA UNSTARRED QUESTION NO. 1313 (H) TO BE ANSWERED ON 02 nd  MAY, 2016

## PROMOTION OF EXPORT-IMPORT

## 1313 (H). SHRI RAVINDRA KUMAR PANDEY:

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

- (a) the effective measures taken by the Government so far to promote import and export in the country during the last one year;
- (b) whether the Government has taken any concrete measures to make the farmers of the country, particularly farmers from Jharkhand and Bihar, aware of export procedures so that the crops produced by these farmers could be exported directly;
- (c) if so, the details thereof; and
- (d) the details of profits accrued and losses suffered by the Government by way of import and export of various items during the last three years?

## ANSWER

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

- (a). The following are some of the measures Government has taken recently to promote  import and exports :
- (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. ,

(b) & (c). The Government is implementing the NiryatBandhu Scheme with an  objective   to  reach  out  to  the  new  and  potential  exporters  and  mentor  them through orientation programmes, counselling sessions, individual facilitation, etc., on various aspects of foreign trade for being able to get into international trade and  boost  exports  from  India.  Outreach  programs  have  been  organized  by  the regional  offices  of  DGFT  in  Bihar   (Muzzaffarpur  and  Patna)  and  Jharkhand (Jamshedpur and Ranchi ) during the year 2015-16 for the new and prospective exporters representing different sectors to inform them about the various schemes of the Government of India for incentives on exports and the procedures involved in foreign trade. More than 300 people have attended these outreach programs.

(d). Profits / losses from time to time are a feature of   business, including the business  of  international  trade.  Measures  taken  by  Government  are  aimed  at improving the competitiveness of our exports.

India's  exports, imports and trade deficit during the last three years is as follows:

Value: USD Billion

| Period                 |   Exports |   Imports |   Trade Deficit |
|------------------------|-----------|-----------|-----------------|
| 2013-14                |    314.41 |    450.2  |         -135.79 |
| 2014-15                |    310.34 |    448.03 |         -137.69 |
| 2015-16 (Provisional ) |    261.14 |    379.6  |         -118.46 |