News >> AEPC, SIMA welcome new measures under FTP 2015-20

AEPC, SIMA welcome new measures under FTP 2015-20

The Apparel Export Promotion Council (AEPC) and The Southern India Mills’ Association (SIMA) have welcomed the new measures announced by the Indian government in its mid-term review of Foreign Trade Policy (FTP) 2015-20. Incentives worth Rs 8,000 crore, focus on MSMEs, labour intensive segments and agriculture sector are among the highlights of the review.

 “The mid-term review of the FTP 2015-20 has made provisions which will boost trade facilitation and ease of doing business. The extension of validity of scrips from 18 months to 24 months along with the provision of zero GST on sale of scrips are surely going to help the industry in a big way,” commented AEPC chairman Ashok Rajani.

“The other initiatives like the doing away with the testing of samples for drawback purpose and the introduction of e-sealing facility for exporters will lead to quick clearances of the consignment. This will not only help in easing the port congestion but will also aid in quick movement of the cargo. However, the exporters were hoping for measures which improve market access and cost competitiveness,” he added.

The mid-term review of FTP, released by the ministry of commerce and industry, has given thrust on ease of doing business, ease of trading across borders, exploring new export markets, new export products, simplification of procedures and processes and establishing National Trade Facilitation Committee headed by Cabinet Secretary to boost exports.

SIMA chairman P Nataraj has also appreciated the formation of National Trade Facilitation Committee (NTFC) under Cabinet Secretary to focus on transparency, technology, simplification of procedures, infrastructure augmentation, etc. In a press release, he said that the 24x7 customs clearance extended to 19 sea ports and 17 air cargo complexes would help exporters.

“The Government is yet to consider the long pending demand of including cotton yarn exports under MEIS and IES schemes and also to consider fabric exports under RoSL—that are essential to utilise the highly capital and labour intensive surplus production capacities in the spinning, weaving, knitting and processing segments,” said Nataraj.

He also stated the Government could have considered the industry’s demand of GST free domestic procurement against EPCG and Advance Authorization Scheme to boost exports under mid-term review. He hoped that the Government would soon announce the enhanced duty drawback rates for all textiles taking into account all the embedded/blocked levies and enable the exporters to continue to have the level of export competitiveness that they had under pre-GST era.

(Source: Fibre2fashion.com, December 6, 2017)