NAME: MOHAMMAD ZAID AKRAM

ROLL NO: 30
SUBJECT: FOREIGN TRADE AND POLICY.

ASSIGNMENT UNIT-3
ANS 1.
The New Foreign Trade Policy 2015-20 has made many new measures for the promotion of
India’s foreign trade. First is that the government simplified numerous existing export promotion
measures into two new basic schemes. These schemes are “Merchandise Exports from India
Scheme (MEIS)” and “Services Exports from India Scheme (SEIS)”. The ‘Services Exports from
India Scheme’ (SEIS) is for increasing exports of notified services. These schemes (MEIS and
SEIS) replace multiple schemes earlier in place, each with different conditions for eligibility and
usage. Another notable feature is that the various incentives (MEIS & SEIS) are available for
SEZs also.
Earlier there were 5 different schemes under Foreign Trade Policy 2009-14 such as Focus
Product Scheme, Market Linked Focus Product Scheme, Focus Market Scheme, Agriculture
Infrastructure Incentive Scrip, VKGUY Vishesh Krishi and Gram Udyog Yojana) for rewarding
merchandise exports with different kinds of duty scrip with varying conditions (sector specific or
actual user only) attached to their use.
Now all these schemes have been merged into a single scheme, namely Merchandise Export
from India Scheme (MEIS) under Foreign Trade Policy 2015-2020, including details of various
groups of products supported under MEIS.
Agricultural and Village industry products, presently covered under VKGUY
Value added and packaged products.
Eco-friendly and green products
Labor intensive Products.
Industrial Products from potential winning sectors.
Hi-tech products with high export earning potential
Industrial products to be supported in major markets at rates ranging from 2% to 3%. Defence
and technology-oriented products were given incentives under the MEIS Scheme.

Classification of countries for focus market scheme

The focus market scheme has been restructured under the new FTP 2015. Different
categories will be given incentives based upon the importance of the export market.

Category A: Traditional Markets (30) – European Union (28), USA, Canada.

Category B: Emerging & Focus Markets (139), Africa (55), Latin America and Mexico (45), CIS
countries (12), Turkey and West Asian countries (13), ASEAN countries (10), Japan, South
Korea, China, Taiwan,

Category C: Other Markets (70).

(ii) Service Export Promotion Scheme: Service Exports from India Scheme (SEIS)

Served from India Scheme (SFIS) has been replaced with Service Exports from India Scheme
(SEIS). SEIS shall apply to ‘Service Providers located in India’ instead of ‘Indian Service
Providers’. Thus, SEIS provides for rewards to all Service providers of notified services, who are
providing services from India, regardless of the constitution or profile of the service provider.

The rate of reward under SEIS would be based on net foreign exchange earned. The present rates
of reward are 3% and 5%. The list of services and the rates of rewards would be reviewed later.

Incentives (MEIS & SEIS) to be available for SEZs

A major feature of the FTP 2015 is that it extends the merchandize and service Incentives (MEIS
& SEIS) to be available for units located in SEZs also.

All duty credit scrips issued under MEIS and SEIS would be fully transferable. They can be used
for payment of custom duty, excise duty and service tax.

Business services, hotel and restaurants to get rewards scrips under SEIS at 3% and other
specified services at 5%.

Duty credit scrips to be freely transferable and usable for payment of customs duty, excise duty
and service tax.

Debits against scrips would be eligible for CENVAT credit or drawback also.

Nomenclature of Export House, Star Export House, Trading House, Premier Trading House
certificate changed to 1,2,3,4,5 Star Export.

The criteria for export performance for recognition of status holder have been changed from
Rupees to US dollar earnings.

Manufacturers who are also status holders will be enabled to self-certify their manufactured
goods as originating from India.
Reduced Export Obligation (EO) (75%) for domestic procurement under EPCG s

Online procedure to upload digitally signed document by Chartered Accountant/Company

Secretary/Cost Accountant to be developed.

Inter-ministerial consultations to be held online for issue of various licences.

No need to repeatedly submit physical copies of documents available on Exporter Importer

Profile.

Validity period of SCOMET export authorisation extended from present 12 months to 24

months.

Export obligation period for export items related to defence, military store, aerospace and
nuclear energy to be 24 months instead of 18 months.

Calicut Airport, Kerala and Arakonam ICDS, Tamil Nadu notified as registered ports for import
and export.

Vishakhapatnam and Bhimavarm added as Towns of Export Excellence.

Certificate from independent chartered engineer for redemption of EPCG authorization no longer
required.

ANSWER 2
India has moved 14 places to be 63rd among 190 nations in the World Bank’s ease of doing
business ranking released on Thursday on the back of multiple economic reforms by the
Narendra Modi government. However, it failed to achieve government's target of being at 50th
place.

The country was 77th among 190 countries in the previous ranking last year, an improvement by
23 places. The report assess improvement in ease of doing business environment in Delhi and
Mumbai.

Sustained business reforms over the past several years has helped India jump 14 places to move
to 63rd position in this year’s global ease of Doing Business rankings. India put in place four
new business reforms during the past year and earned a place in among the world’s top ten
improvers for the third consecutive year

The latest reforms are in the Doing Business areas of Starting a Business, Dealing with
Construction Permits, Trading Across Borders and Resolving Insolvency. 
In Doing Business 2020, India along with other top improvers implemented a total of 59
regulatory reforms in 2018/19—accounting for one-fifth of all the reforms recorded worldwide.

India’s impressive progression in the Doing Business rankings over the past few years is a
tremendous achievement, especially for an economy that is as large and complex as India’s.
Special focus given by the top leadership of the country, and the persistent efforts made to drive
the business reforms agenda, not only at the central level but also at the state level, helped India
make significant improvements 

India’s successful implementation of the Insolvency And Bankruptcy Code (IBC), introduced in
2016, has worked in its favor, the World Bank said in its latest report. “Before the
implementation of the reform (IBC), it was very burdensome for secured creditors to seize
companies in default of their loans,” the report said. “Since its implementation, more than 2,000
companies have used the new law. Of these, about 470 have commenced liquidation and more
than 120 have approved reorganization plans, while the remaining cases are still pending.”

Additionally, India made starting a business easier by abolishing filing fees for simplified
proforma for incorporating a company electronically in 2018.

Next, exporting and importing is now comparatively easier following the integration of several
government agencies into an online system. "India made trading across borders easier by
enabling post-clearance audits, integrating trade stakeholders in a single electronic platform,
upgrading port infrastructures, and enhancing the electronic submission of documents. This
reform applies to both Delhi and Mumbai.

ANSWER 3

1) Broadband Highways

• This covers three sub components, namely Broadband for All Rural, Broadband for All Urban
and National Information Infrastructure.
• Under Broadband for All Urban, Virtual Network Operators would be leveraged for service
delivery and communication infrastructure in new urban development and buildings would be
mandated.
• National Information Infrastructure would integrate the networks like SWAN, NKN and NOFN
along with cloud enabled National and State Data Centers. It will also have provision for
horizontal connectivity to 100, 50, 20 and 5 government offices/ service outlets at state, district,
block and panchayat levels respectively.
2. Universal Access to Mobile Connectivity

The initiative is to focus on network penetration and fill the gaps in connectivity in the country,
and make sure that there is better network coverage in the country. All together 42,300
uncovered villages will be covered for providing universal mobile connectivity in the country..

3. Public Internet Access Program

The two main sub components of Public Internet Access Programme are Common Service
Centers and Post Offices as multi-service centers.
Increase the number of Common Service from approximately 135,000 operational at present to
250,000 i.e. one CSC in each Gram Panchayat. CSCs would be made viable, multi-functional
end-points for delivery of government and business services.

4. E-Governance: Reforming Government through Technology

The guiding principles for reforming government through technology are:

Form simplification and field reduction – Forms should be made simple and easy to read and
only minimum and necessary information should be collected.
Online applications, tracking of their status and interface between departments should be
provided.
Use of online repositories like school certificates, voter ID cards, etc. should be made mandatory,
so that citizens don’t have to submit these documents in physical form.
Electronic Databases – all databases and information should be electronic and not manual.

5. E-Kranti – Electronic Delivery of Services

There are 31 Mission Mode Projects under different stages of e-governance project lifecycle.
Further, 10 new MMPs have been added to e-Kranti by the Apex Committee on National e-
Governance Plan (NeGP) headed by the Cabinet Secretary in its meeting held on 18th March
2014. Some of the important modes are: –
Technology for Education – e-Education
Technology for Health – e-Healthcare
Technology for Security
Technology for Financial Inclusion
Technology for Justice
Technology for Planning
Technology for Cyber Security
6. Information for All

The focus will be on online internet website hosting service of data and realistic participation
through social media and web-based systems like MyGov. The aim of this program is to provide
easy access of information for citizens. Government shall pro-actively engage through social
media and web-based platforms to inform citizens.

7. Electronics manufacturing

This focuses on VSAT, mobile, consumer electronics, technology, medical electronic devices,
intelligent energy meters, Smart cards and micro ATMs. For this the government is coordinating
on many fronts be it taxes, rewards, financial systems of range and offering cost benefits to local
producers.

8. IT for Jobs

The government is planning on training one crore learners from small towns and villages for IT
industry. Plans are also to exercise 300,000 assistance distribution providers in 2 years to run
practical companies offering IT services and telecoms companies to train 500,000 rural workers
in 5 years.

9. Early Harvest

The government is planning to set up Aadhaar Allowed Fingerprint Presence Program in all
central government workplaces situated at Delhi. To provide Wi-Fi in all colleges on NKN by
Dec, 2015. All guides will be e-books and SMS based climate information and disaster alerts.