Lok Sabha Question No. 391 (UNSTARRED), answered on 2025-12-02
Subject: Foreign Trade Policy
Ministry: COMMERCE AND INDUSTRY
Asked by: Shri Murasoli S

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

## LOK SABHA UNSTARRED QUESTION No.391

TO BE ANSWERED ON 02 nd  DECEMBER, 2025

## Foreign Trade Policy

## 391     Shri Murasoli S:

## Will the Minister of Commerce and Industry ( वाणिज्य एवं उद्योग मंत्री ) be pleased to state:

- a. Whether the  Government  is  aware  that  several  national  trade-promotion  and  industrialdevelopment initiatives, including the Foreign Trade Policy (FTP), the Export Promotion Capital Goods (EPCG) Scheme, and the Special Economic Zones (SEZ) framework, have not  yielded the expected outcomes in terms of export diversification and manufacturing competitiveness, if so, the details thereof;
- b. The details of the reasons for delays in operational reforms, procedural rationalization, and digital  integration  under  these  Union-administered  policies  and  schemes  and  the  details thereof;
- c. The  details  of  the  exports,  investments,  and  employment  generated  under  the  SEZ framework  and  major  export-promotion  schemes  during  the  last  five  years,  State-wise; and
- d. The steps  taken  or  proposed  by  the  Government  to  ensure  predictable  policy  timelines, simplified  compliance,  efficient  central  approvals,  and  transparent  monitoring,  so  that exporters, manufacturing units, and workers are not affected by procedural uncertainties or administrative delays at the national level?

## ANSWER

वाणिज्य एवं उद्योग मंत्रालय में राज्यमंत्री ( श्री णिणिन प्रसादा ) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI JITIN PRASADA)

- (a)    The  government  is  implementing  several  development  initiatives,  under  the  Foreign  Trade Policy (FTP) and Special Economic Zones (SEZ) framework to facilitate export diversification and manufacturing competitiveness including the below:

Advance Authorisation (AA)/Duty Free Import Authorisation (DFIA) Schemes: AA is issued to allow  duty  free  import  of  input,  which  is  physically  incorporated  in  export  product  (making normal allowance for wastage). In addition, fuel, oil, catalyst which is consumed / utilized in the process of production of export product, may also be allowed. DFIA is a post export Scheme and is  issued  to  allow  duty  free  import  entitlement  of  inputs  which  have  been  used  in  the  export products.  In  addition,  import  of  oil  and  catalyst  which  is  consumed/  utilised  in  the  process  of production of export product, may also be allowed.

Export  Promotion  Capital  Goods  Scheme  (EPCG):  The  objective  of  the  EPCG  Scheme  is  to facilitate  import  of  capital  goods  for  producing  quality  goods  and  services  and  enhance  India's manufacturing competitiveness. Under this Scheme, duty exemption is provided on capital goods required in the manufacture of the export products/export services at pre-production, production and post-production stages.

Refund of Duties and Taxes on Export Products Scheme (RoDTEP): The Scheme's objective is to refund, currently un-refunded Duties/ taxes / levies, at the Central, State and local level, borne on the exported product, including prior stage cumulative indirect taxes on goods and services used in the production of the exported product.

EXPORT  ORIENTED  UNITS  (EOUs),  ELECTRONICS  HARDWARE  TECHNOLOGY PARKS  (EHTPs),  SOFTWARE  TECHNOLOGY  PARKS  (STPs)  AND  BIO-TECHNOLOGY PARKS (BTPs) :  Units undertaking to export their entire production of goods and services may be set up under the EOU Scheme, EHTP Scheme, STP Scheme or BTP Scheme for manufacture of  goods,  including  repair,  re-making,  reconditioning,  re-engineering,  rendering  of  services, development of software, agriculture including agro-processing, aquaculture, animal husbandry, bio-technology, floriculture, horticulture, pisciculture, viticulture, poultry and sericulture.

Capacity Building and Outreach Programs: Niryat Bandhu Scheme has been under implementation  for  mentoring  new  and  potential  exporter  on  the  intricacies  of  foreign  trade through counselling, training and outreach programmes.

Export Promotion Mission (EPM): The EPM was approved by Union Cabinet on 12.11.2025 to strengthen  India's  export  competitiveness,  particularly  for  MSMEs,  first-time  exporters,  and labour-intensive sectors with a total outlay of Rs. 25,060 crore for FY 2025-26 to FY 2030-31. EPM marks a strategic shift from multiple fragmented schemes to a single, outcome-based, and adaptive  mechanism  that  can  respond  swiftly  to  global  trade  challenges  and  evolving  exporter needs. EPM is anchored in a collaborative framework involving the Department of Commerce, Ministry  of  MSME,  Ministry  of  Finance,  and  other  key  stakeholders  including  Financial Institutions,  Export  Promotion  Councils,  Commodity  Boards,  industry  associations,  and  state governments. The Mission proposes to operate through two integrated sub-schemes: (1) NIRYAT PROTSAHAN with focus on improving access to affordable trade finance for MSMEs through a range  of  instruments  such  as  interest  subvention,  export  factoring,  collateral  guarantees,  credit cards  for  e-commerce  exporters,  and  credit  enhancement  support  for  diversification  into  new markets. (2) NIRYAT DISHA with focus on non-financial enablers that enhance market readiness and competitiveness, including export quality and compliance support, assistance for international branding,  packaging,  and  participation  in  trade  fairs,  export  warehousing  and  logistics,  inland transport reimbursements, and trade intelligence and capacity-building initiatives.

Special  Economic  Zones  (SEZs)  set  up  under  the  SEZ  Act,  2005  and  SEZ  Rules,  2006  are primarily  private  investment  driven  initiatives.  The  implementation  of  SEZ  reforms  is  a continuous  process  and  inherent  in  the  administration  of  SEZ.  Many  SEZ  reforms  have  been undertaken at regular intervals on the basis of the feedback received from the industry and other stakeholders. These reforms are focussed to address the operational and procedural bottlenecks and streamline the functioning of SEZs in order to improve their efficiency as a premier engine of exports in lndia.

(b)    The  Government  has  consistently  undertaken  timely  and  substantive  initiatives  aimed  at operational  reforms,  procedural  rationalization,  and  digital  integration  across  Departments  and agencies,  including  Customs,  MSME,  and  Banks  in  the  implementation  of  developmental initiatives under the FTP and the SEZ Framework. Key initiatives include :

Significant  reforms  have  been  undertaken  to  promote  digital-first  governance  and  simplify compliance  for  exporters  with  objective  of  comprehensive  digitization,  process  re-engineering and automation to facilitate ease of doing business for exporters and improving data integration and  data  exchange  with  agencies  like  Customs,  Banks,  etc    resulting  in  improved  processing speed,  enhanced  transparency,  and  reduced  transaction  time..  An  end-to-end  digital  approval system has been implemented for key export-related authorisations and certificates, including the Importer Exporter Code (IEC), Advance Authorisation/DFIA/EPCG/RoDTEP Schemes, electronic Bank  Realisation Certificates (eBRC),  and Certificates of Origin (CoO).  The introduction of self-certified eBRC has eliminated paperwork, resulting in substantial cost savings for exporters. Real-time API integrations have been established with multiple government bodies such  as  the  Central  Board  of  Indirect  Taxes  and  Customs  (CBIC),  Goods  and  Services  Tax Network (GSTN), Public Financial Management System (PFMS), Ministry of Corporate Affairs (MCA),  and  banks,  simplifying over 50 trade processes and removing  redundant  rules. Additionally, QR and UDIN-based document verification mechanisms have been introduced to ensure authenticity.

The Trade Connect e-platform now integrates exporters with Export Promotion Councils (EPCs), Indian Missions and the Directorate General of Foreign Trade (DGFT) offering a unified system for  issuance  of  Registration  Cum  Membership  Certificate  (RCMC)  and  CoO  issuance  and  a single-window  interface  for  exporters.  Mobile  applications  have  been  developed  to  support exporters with policy updates and status tracking, while officers can use mobile tools for efficient monitoring. Global alignment and future readiness have been prioritized with the issuance of over 40 lakh electronic Certificates of Origin (e-CoO) across 122 agencies, reinforcing India's position in international trade.

ln  order  to  enhance  ease  of  doing  business,  empowering exporters, streamlining processes, and promoting economic growth through innovative solutions, SEZ operations are digitally integrated through ICEGATE and SEZ Online platforms.

(c)    The  State-wise  details  of  Exports,  Investment  and  Employment  generated  under  the  SEZs during the last five years are at Annexure.

(d)   FTP with its Handbook of Procedures (HBP) and SEZ Rules prescribe timelines for each of the  processes  to  ensure  predictable  policy.      Further  all  measures  are  granted  in  EDI  mode through  simplified  processes,  EDI  exchange  of  data  with  all  stakeholders.    Based  on  the feedback  from  trade  and  industry,  Government  has  been  taking  several  measures  aimed  at simplifying processes, reducing transaction costs and promoting automation to benefit exporters by amending FTP/HBP from time to time.

## Annexure

| States/UTs-wise details of Exports from SEZs during the last 5 years   | States/UTs-wise details of Exports from SEZs during the last 5 years   | States/UTs-wise details of Exports from SEZs during the last 5 years   | States/UTs-wise details of Exports from SEZs during the last 5 years   | States/UTs-wise details of Exports from SEZs during the last 5 years   | States/UTs-wise details of Exports from SEZs during the last 5 years   | States/UTs-wise details of Exports from SEZs during the last 5 years   |
|------------------------------------------------------------------------|------------------------------------------------------------------------|------------------------------------------------------------------------|------------------------------------------------------------------------|------------------------------------------------------------------------|------------------------------------------------------------------------|------------------------------------------------------------------------|
| Sl. No.                                                                | State                                                                  | 2020-21                                                                | 2021-22                                                                | 2022-23                                                                | 2023-24                                                                | 2024-25                                                                |
| 1                                                                      | Andhra Pradesh                                                         | 28111.87                                                               | 31028.90                                                               | 40420.34                                                               | 44984.45                                                               | 55247.04                                                               |
| 2                                                                      | Chandigarh                                                             | 2575.13                                                                | 2605.38                                                                | 3021.80                                                                | 3200.03                                                                | 3084.75                                                                |
| 3                                                                      | Chhattisgarh                                                           | 0.00                                                                   | 0.00                                                                   | 0.00                                                                   | 0.00                                                                   | 0.00                                                                   |
| 4                                                                      | Gujarat                                                                | 137228.75                                                              | 239190.01                                                              | 335835.73                                                              | 310283.13                                                              | 332891.81                                                              |
| 5                                                                      | Haryana                                                                | 25030.03                                                               | 25907.14                                                               | 32739.98                                                               | 36774.15                                                               | 43198.79                                                               |
| 6                                                                      | Jharkhand                                                              | 0                                                                      | 0                                                                      | 363.75                                                                 | 6326.29                                                                | 6856.28                                                                |
| 7                                                                      | Karnataka                                                              | 132110.23                                                              | 167311.30                                                              | 218772.87                                                              | 228952.07                                                              | 248838.73                                                              |
| 8                                                                      | Kerala                                                                 | 19278.99                                                               | 21972.23                                                               | 21501.13                                                               | 25774.17                                                               | 28799.83                                                               |
| 9                                                                      | Madhya Pradesh                                                         | 11175.90                                                               | 12571.26                                                               | 12859.28                                                               | 16026.96                                                               | 14847.01                                                               |
| 10                                                                     | Maharashtra                                                            | 138788.97                                                              | 160051.78                                                              | 186786.75                                                              | 210756.46                                                              | 224250.91                                                              |
| 11                                                                     | Odisha                                                                 | 13453.63                                                               | 26366.94                                                               | 27165.58                                                               | 31331.66                                                               | 29694.50                                                               |
| 12                                                                     | Punjab                                                                 | 1844.67                                                                | 2127.41                                                                | 2685.01                                                                | 3131.50                                                                | 2361.22                                                                |
| 13                                                                     | Rajasthan                                                              | 3534.11                                                                | 4578.34                                                                | 5507.32                                                                | 7141.28                                                                | 13636.43                                                               |
| 14                                                                     | Tamil Nadu                                                             | 116843.71                                                              | 136328.71                                                              | 172580.41                                                              | 177930.39                                                              | 203303.56                                                              |
| 15                                                                     | Telangana                                                              | 84696.34                                                               | 105523.98                                                              | 140373.43                                                              | 178086.41                                                              | 173701.12                                                              |
| 16                                                                     | Uttar Pradesh                                                          | 26579.72                                                               | 33014.90                                                               | 39835.68                                                               | 47703.94                                                               | 51137.58                                                               |
| 17                                                                     | West Bengal                                                            | 18271.69                                                               | 22168.80                                                               | 23129.18                                                               | 26817.34                                                               | 31819.85                                                               |
|                                                                        | TOTAL                                                                  | 759524                                                                 | 990747                                                                 | 1263578                                                                | 1355220                                                                | 1463669                                                                |

| States/UTs-wise details of Investment from SEZs during the last 5 years   | States/UTs-wise details of Investment from SEZs during the last 5 years   | States/UTs-wise details of Investment from SEZs during the last 5 years   | States/UTs-wise details of Investment from SEZs during the last 5 years   | States/UTs-wise details of Investment from SEZs during the last 5 years   | States/UTs-wise details of Investment from SEZs during the last 5 years   | States/UTs-wise details of Investment from SEZs during the last 5 years   |
|---------------------------------------------------------------------------|---------------------------------------------------------------------------|---------------------------------------------------------------------------|---------------------------------------------------------------------------|---------------------------------------------------------------------------|---------------------------------------------------------------------------|---------------------------------------------------------------------------|
| Sl. No.                                                                   | States/UTs                                                                | 2020-21                                                                   | 2021-22                                                                   | 2022-23                                                                   | 2023-24                                                                   | (Rs. in Crore) 2024-25                                                    |
| 1                                                                         | Andhra Pradesh                                                            | 31174                                                                     | 39470                                                                     | 41738                                                                     | 42363                                                                     | 42742                                                                     |
| 2                                                                         | Chandigarh                                                                | 398                                                                       | 438                                                                       | 552                                                                       | 513                                                                       | 530                                                                       |
| 3                                                                         | Chhattisgarh                                                              | 1635                                                                      | 1635                                                                      | 1635                                                                      | 1635                                                                      | 1635                                                                      |
| 4                                                                         | Goa                                                                       | 297                                                                       | 0                                                                         | 0                                                                         | 0                                                                         | 0                                                                         |
| 5                                                                         | Gujarat                                                                   | 208067                                                                    | 219565                                                                    | 223398                                                                    | 209204                                                                    | 265120                                                                    |
| 6                                                                         | Haryana                                                                   | 14319                                                                     | 14287                                                                     | 14616                                                                     | 15579                                                                     | 16858                                                                     |
| 7                                                                         | Jharkhand                                                                 | 0                                                                         | 0                                                                         | 0                                                                         | 13622                                                                     | 13676                                                                     |
| 8                                                                         | Karnataka                                                                 | 104489                                                                    | 105911                                                                    | 106650                                                                    | 107159                                                                    | 108776                                                                    |
| 9                                                                         | Kerala                                                                    | 17034                                                                     | 17192                                                                     | 17984                                                                     | 18020                                                                     | 18020                                                                     |
| 10                                                                        | Madhya Pradesh                                                            | 7291                                                                      | 7350                                                                      | 7612                                                                      | 7658                                                                      | 7724                                                                      |
| 11                                                                        | Maharashtra                                                               | 72235                                                                     | 75571                                                                     | 79718                                                                     | 88520                                                                     | 90301                                                                     |
| 12                                                                        | Odisha                                                                    | 20434                                                                     | 20444                                                                     | 20444                                                                     | 20444                                                                     | 22829                                                                     |
| 13                                                                        | Punjab                                                                    | 940                                                                       | 961                                                                       | 983                                                                       | 1022                                                                      | 662                                                                       |
| 14                                                                        | Rajasthan                                                                 | 2315                                                                      | 2505                                                                      | 2611                                                                      | 2899                                                                      | 2978                                                                      |
| 15                                                                        | Tamil Nadu                                                                | 66157                                                                     | 64903                                                                     | 54908                                                                     | 77439                                                                     | 72041                                                                     |
| 16                                                                        | Telangana                                                                 | 42658                                                                     | 48100                                                                     | 52610                                                                     | 60540                                                                     | 76587                                                                     |
| 17                                                                        | Uttar Pradesh                                                             | 22105                                                                     | 24408                                                                     | 27759                                                                     | 33760                                                                     | 34191                                                                     |
| 18                                                                        | West Bengal                                                               | 5951                                                                      | 6966                                                                      | 6966                                                                      | 6966                                                                      | 7521                                                                      |
| TOTAL                                                                     | TOTAL                                                                     | 617499                                                                    | 649705                                                                    | 660184                                                                    | 707342                                                                    | 782192                                                                    |

Note: Calculated on cumulative basis .

| States/UTs-wise details of Employment from SEZs during the last 5 years   | States/UTs-wise details of Employment from SEZs during the last 5 years   | States/UTs-wise details of Employment from SEZs during the last 5 years   | States/UTs-wise details of Employment from SEZs during the last 5 years   | States/UTs-wise details of Employment from SEZs during the last 5 years   | States/UTs-wise details of Employment from SEZs during the last 5 years   | States/UTs-wise details of Employment from SEZs during the last 5 years   |
|---------------------------------------------------------------------------|---------------------------------------------------------------------------|---------------------------------------------------------------------------|---------------------------------------------------------------------------|---------------------------------------------------------------------------|---------------------------------------------------------------------------|---------------------------------------------------------------------------|
| Sl. No.                                                                   | States/UTs                                                                | 2020-21                                                                   | 2021-22                                                                   | 2022-23                                                                   | 2023-24                                                                   | (In person) 2024-25                                                       |
| 1                                                                         | Andhra Pradesh                                                            | 70121                                                                     | 75907                                                                     | 78866                                                                     | 79831                                                                     | 79523                                                                     |
| 2                                                                         | Chandigarh                                                                | 7883                                                                      | 8972                                                                      | 10784                                                                     | 9475                                                                      | 8562                                                                      |
| 3                                                                         | Chhattisgarh                                                              | 6                                                                         | 6                                                                         | 6                                                                         | 6                                                                         | 6                                                                         |
| 4                                                                         | Goa                                                                       | 0                                                                         | 0                                                                         | 0                                                                         | 0                                                                         | 0                                                                         |
| 5                                                                         | Gujarat                                                                   | 96689                                                                     | 105922                                                                    | 112899                                                                    | 126658                                                                    | 174545                                                                    |
| 6                                                                         | Haryana                                                                   | 135092                                                                    | 150482                                                                    | 178413                                                                    | 182783                                                                    | 198668                                                                    |
| 7                                                                         | Jharkhand                                                                 | 0                                                                         | 0                                                                         | 0                                                                         | 79                                                                        | 69                                                                        |
| 8                                                                         | Karnataka                                                                 | 374890                                                                    | 398580                                                                    | 401232                                                                    | 424497                                                                    | 424715                                                                    |
| 9                                                                         | Kerala                                                                    | 79294                                                                     | 82640                                                                     | 86484                                                                     | 89189                                                                     | 89106                                                                     |
| 10                                                                        | Madhya Pradesh                                                            | 27354                                                                     | 31127                                                                     | 36401                                                                     | 35955                                                                     | 35316                                                                     |
| 11                                                                        | Maharashtra                                                               | 474690                                                                    | 560052                                                                    | 589971                                                                    | 635373                                                                    | 643898                                                                    |
| 12                                                                        | Odisha                                                                    | 8261                                                                      | 8222                                                                      | 13538                                                                     | 14513                                                                     | 13133                                                                     |
| 13                                                                        | Punjab                                                                    | 8187                                                                      | 9545                                                                      | 12079                                                                     | 11216                                                                     | 11801                                                                     |
| 14                                                                        | Rajasthan                                                                 | 22341                                                                     | 23402                                                                     | 24581                                                                     | 35469                                                                     | 48886                                                                     |
| 15                                                                        | Tamil Nadu                                                                | 479674                                                                    | 523807                                                                    | 591517                                                                    | 728493                                                                    | 607812                                                                    |
| 16                                                                        | Telangana                                                                 | 362797                                                                    | 469781                                                                    | 500415                                                                    | 538714                                                                    | 527246                                                                    |
| 17                                                                        | Uttar Pradesh                                                             | 137480                                                                    | 161712                                                                    | 184871                                                                    | 196662                                                                    | 223306                                                                    |
| 18                                                                        | West Bengal                                                               | 73377                                                                     | 86023                                                                     | 73555                                                                     | 85191                                                                     | 91301                                                                     |
| TOTAL                                                                     | TOTAL                                                                     | 2358136                                                                   | 2696180                                                                   | 2895612                                                                   | 3194104                                                                   | 3177893                                                                   |

Note: Calculated on cumulative basis .

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