By IANS,
New Delhi: To support the export sector, the foreign trade policy (FTP) to be announced later this month is likely to contain stimulus packages, Commerce Minister Anand Sharma said here Monday.
“We will talk to the finance ministry on export sector stimulus. We will announce more stimulus in the trade policy this month,” Sharma said after a meeting of the Board of Trade (BoT), the government’s highest advisory body on export and import-related issues.
“It is my intention to use the opportunity of announcing the FTP to outline the contours of policy instruments available with the government for strengthening exports, especially the labour intensive industry,” he said.
The minister said he was “working on a long-term policy which will be reflected in the upcoming FTP.”
For the labour-intensive industry exports, especially agriculture, textiles, leather, gems and jewellery sectors, the government would announce specific measures, “which would underline the sensitivity of the government towards issues of employment”, Sharma said.
The meeting was also attended by Harsh Pati Singhania, president of Federation of Indian Chambers of Commerce and Industry (FICCI), Venu Srinivasan, president of Confederation of Indian Industry, and A. Sakthivel, president of Federation of Indian Export Organisation (FIEO) – all ex-officio members of the board – apart from representatives of export promotion councils.
The minister, who received various suggestions from the industry representatives, said: “Steps have been taken, steps will be taken and those will get clearly reflected in the new policy.”
“I would like to establish an inter-ministerial task force which oversees its implementation also discussed with the members about the global economic slowdown and possible measures required to enhance India’s export competitiveness,” he added.
At the meting, FICCI chief Singhania called for special emphasis on services exports, and suggested the creation of a technology upgrade fund scheme for engineering goods, which constitute around a quarter of India’s total exports.
Exporters also asked for extension of interest subsidy to additional sectors such as granite, marble and rubber products; income tax benefit for export profits for a temporary period; compensation for inland freight cost; reimbursement of state taxes and levies, and extension of the duty entitlement pass book (DEPB) scheme – an export incentive scheme – beyond Dec 31.