The foreign trade of India is guided by the

Export Import policy of the govt. of india

Regulated by the foreign trade development and

regulatory Act 1992.

Exim policy contain various policy decissions

with respect to import and exports from the

country

Exim policy is prepared and announced by the

central govt.

To establish the framework for globalisation.

To promote the productivity competitiveness of

Indian industry.

To encourage the attainment of high &

internationally accepted standards of quality.

To augment export by facilitating access to raw

materials, intermediate components, consumables

and capital goods from the international market.

To generate new employment.

To provide quality consumer products at

reasonable prices.

Diversification of Indian exports to other markets. (a) 27 new countries have been included within

the ambit of Focus Market Scheme. (b) The incentives provided under Focus

Market Scheme have been increased from 2.5% to 3%.

(c) There has been a significant increase in the outlay under ‘Market Linked Focus Product Scheme’ by inclusion of more markets and products.

Zero duty has been introduced for certain engineering

products, electronic products, basic chemicals and

pharmaceuticals, apparel and

textile, plastics, handicrafts, chemicals and allied products

and leather and leather products.

The existing 3% EPCG Scheme has been considerably

simplified.

A number of products including automobiles and other

engineering products have been included for incentives

under Focus Product, and Market Linked Focus Product

Schemes.

Steps to encourage Project Exports shall be taken.

The Government recognized ‘Status

Holders’ contribute approx. 60% of India’s

goods exports.

Additional duty credit scrip can be used for

import of capital goods by these status

holders.

The status holder incentive scrip scheme is

being expanded to cover more export

product groups.

In the year 1962, the Government of India

appointed a special Exim Policy Committee

The committee was later on approved by

the Government of India. Mr. V. P.

Singh, the then Commerce Minister and

announced the Exim Policy on the 12th of

April, 1985

Interim New Exim Policy 2009 - 2010

Exim Policy: 2004- 2009

Handbook of Procedures Volume I

Handbook of Procedures Volume II

ITC(HS) Classification of Export- Import

Items

1. To arrest and reverse declining

trend of exports which will be

reviewed after every two years.

2. To Double India's exports of

goods and services by 2014.

3. To double India's share in global

merchandise trade by 2020 (long

term aim). India's share in Global

merchandise exports was 1.45% in

2008.

Objectives:

4. Simplification of the application procedure for

availing various benefits.

5. To set in motion the strategies and policy

measures which catalyze the growth of exports.

6. To encourage exports through a "mix of measures

including fiscal incentives, institutional

changes, procedural rationalization and efforts

for enhance market access across the world and

diversification of export markets.

Aims at developing export

potential, improving export

performance, boosting foreign trade and

earning valuable foreign exchange(as

India's exports have been battered by the

global recession).

A fall in exports has led to the closure of

several small- and medium-scale export-

oriented units, resulting in large-scale

unemployment.

Targets:

Export Target : $ 200

Billion for 2010-11

Export Growth Target:

15 % for next two year

and 25 % thereafter.

The Union Commerce

Ministry, Government of India announces

the integrated FTP in every five year.

This is also called EXIM policy. This

policy is updated every year with some

modifications and new schemes. New

schemes come into effect on the first day

of financial year i.e. April 1, every year.

The Foreign trade Policy which was

announced on August 28, 2009 is an

integrated policy for the period 2009-14.

Fisheries exempted from

maintenance of average EO

under EPCG Scheme (along

with 7 sectors) however Fishing

Trawlers, boats, ships and

other similar items shall not be

allowed for this exemption.

Additional flexibility under

Target Plus Scheme (TPS) /

Duty Free Certificate of

Entitlement (DFCE) Scheme

for the marine sector.

Duty Drawback is allowed on Gold

Jewellery.

Plan to establish "Diamond Bourse

(s) with an aim to make India and

International Trading Hub .

Introduction of a new facility to

allow import on consignment basis of

cut & polished diamonds for the

purpose of grading/ certification.

Introduction of a single

window system to facilitate

export of perishable

agricultural product with an

aim to reduce transaction and

handling cost.

This system will involve

creation of multi-functional

nodal agencies. These agencies

will be accredited by APEDA.

On the payment of 50 %

applicable export

duty, Leather sector shall

be allowed re-export of

unsold imported raw hides

and skins and semi finished

leather from public bonded

ware houses.

The existing Minimum value addition

under advance authorization scheme

for export of tea is 100 %. It has been

reduced from the existing 100% to

50%.

DTA (Domestic Tariff Area) sale limit

of instant tea by EOU(Export

oriented units) increased from 30% to

50%.

Export of tea has been included under

VKGUY(Vishesh Krishi & Gram

Udyog Yojana)) Scheme benefits.

Export Obligation Period for

advance authorizations increased

from existing 6 months to 36

months.

Pharma sector included under

MLFPS for countries in Africa

and Latin America & some

countries in Oceania and Far

East.

The claims under Focus

Product Scheme, the

requirement of "

Handloom mark" was

required earlier. This

has been removed.