India Intends To Implement New Export Stimulus Policies For Leather Goods

To help export enterprises across European and American markets India is planning to provide new export incentives for leather products, handicrafts, carpets and some engineering equipment. Earlier expansion during the financial crisis Exit The policy expired in March 31st this year.

According to reports, Sharma, Minister of Commerce and industry in India, is expected to announce a new policy of encouraging exports in the August 23rd Annual Review Conference on foreign trade policies, such as the value of 2% of the export tax value for specific commodities sold to specific areas. However, the Ministry of Commerce and industry has not yet made a decision on whether the textile industry will apply the new policy. Because of the huge export volume of the textile industry, the industry will take up a lot of government resources.

Reported that the new policy will further simplify the export process, allowing more Exporter Carry out "self verification" (self-certification). At present, only large exporters in some industries allow themselves to verify their exports without having to accept the certification of customs officials. Transaction costs account for 7% of the total cost of exporters, according to a study by the India Federation of export organizations (FIEO). Simplified procedures and cost reduction policies will give exporters an economic gain of $5 billion.

In the first quarter of this year (4-6 months), India's exports increased by 32% to 50 billion 700 million US dollars over the same period, but exports of handicrafts, leather products and carpets remained low.