The Indian government has always been committed to promoting economic growth and development in the country. In its recent efforts, the government has not only focused on domestic policies but also on encouraging foreign trade through export promotion measures. This has been evident through the implementation of the new Export Promotion Mission (EPM), which aims to provide support and assistance to exporters.
The EPM was launched by the Ministry of Commerce and Industry, with the objective of boosting exports from India and enhancing the country’s competitiveness in the global market. This mission, which is a part of the Foreign Trade Policy (FTP) 2015-2020, focuses on providing a conducive environment for exporters to thrive and expand their business.
One of the key features of the EPM is the introduction of various export incentives and schemes. These include the Merchandise Exports from India Scheme (MEIS) and the Services Exports from India Scheme (SEIS), which provide exporters with financial benefits based on their export performance. This not only encourages existing exporters to increase their exports but also motivates new entrants to the market.
The EPM also aims to reduce the cost of exporting for Indian businesses. This is achieved through the implementation of measures such as the Rebate of State and Central Taxes and Levies (RoSCTL) scheme, which provides a refund of duties and taxes paid by exporters on their inputs. Additionally, the government has also set up the Trade Infrastructure for Export Scheme (TIES) to improve export-related infrastructure, making it easier and more cost-effective for exporters to conduct their business.
Another crucial aspect of the EPM is its emphasis on diversifying exports. The mission recognizes the need for India to expand its export basket and reduce its dependence on a few traditional export products. To achieve this, the government has established the Market Access Initiative (MAI) scheme, which focuses on identifying and tapping new markets for Indian goods and services. This allows exporters to diversify their customer base, reducing their vulnerability to changes in global demand.
Additionally, the EPM also provides exporters with assistance and support in terms of market intelligence, trade fairs and exhibitions, capacity building, and skill development. This enables them to better understand the market trends and demands, improve the quality of their products, and enhance their competitiveness in the global market.
The government’s efforts to promote exports have yielded positive results. In the financial year 2019-20, India’s exports reached a record high of USD 331 billion, with the EPM playing a crucial role in this achievement. This not only boosts the economy but also creates job opportunities and brings in foreign exchange, benefiting the country as a whole.
Furthermore, the EPM has also helped in achieving a more balanced trade environment. In recent years, India’s trade deficit has been a cause for concern, with imports often exceeding exports. However, with the support and incentives provided by the EPM, the trade deficit has reduced by 25% in the financial year 2019-20. This reflects the success of the mission in creating a level playing field for Indian exporters in the global market.
In conclusion, the introduction of the Export Promotion Mission by the Indian government is a significant step towards boosting exports and strengthening the country’s position in the global market. This mission not only provides support and incentives to exporters but also focuses on diversifying the export basket, reducing the cost of exporting, and promoting a balanced trade environment. With these measures in place, India is well on its way to becoming a leading exporter in the world and achieving its goal of becoming a USD 5 trillion economy.
