India’s Foreign

India’s ForeignTrade Policy

Trade Policy
UNIT-III
UNIT-III

SUBMITTED TO Submitted by
Dr. Sunil Shukla Iphan Ansari
Abdul Wahid
Export promotion council of india
What is export promotion “The export promotion is basically
promoting, supporting and assisting firms in entering international
markets and achieving optimum opportunities from their international
business activities and thereby encouraging exports in India”In order to
provide guidance and assistance to an exporter, the Government of
India has setup several institutions, one of them is Export promotion
council(EPC)
 EPCs
 The EPCs are non-profit organizations
Registered under the Indian Companies Act or the Societies Registration
Act
These Councils are also the registering authorities under the Export Import
Policy,1997-2002
They are supported by financial assistance from the Government of India.
These Councils have been assigned the role and functions under the said
Policy.
The Export Promotion Councils perform both advisory and executive
functions
 Each council is responsible for the promotion of a particular group of
products, projects and services
 EPCs are Under
EPCs

Commerce Textile Commodity Autonomous

Industry Industry Board Bodies
 EPCs Under Commerce Industry
1. Engineering Export Promotion Council.
2. Project Export Promotion Council Of india
3. Basic chemicals, Pharmaceuticals and Cosmetics export Promotion Council
4. Chemicals and Allied Products Exports Promotion Council
5. Council for leather Exports Promotion
6. Sports Goods Export Promotion council
7. Gem and Jewellery Export Promotion Council
8. Shellac Export Promotion Council
9. Plastic Export Promotion Council
10. Export Promotion Council for EOUs, SEZ Units
11. Pharmaceutical Export Promotion coumcil
 EPCs Under Textile Industry
1. Apparel Export Promotion Council
2. Carpet Export Promotion Council
3. Cotton Textile Export Promotion Council
4. Export Promotion Council for Handicrafts
5. Handloom Export Promotion Council
6. The Indian Silk Export Promotion Council
7. Synthetic & Rayon Textile Export Promotion Council
8. Wool & Woolens Export Promotion Council
9. Powerloom Development & Export Promotion Council
 EPCs UNDER COMMODITY BOARD
1. Rubber Board
2. Cofee Board
3. Tea Board
4. Tobacco Board
5. Spices Board
6. Central Silk Board under Ministry of textile
7. Coir Board under Ministry of Agro & Rural Industries
8. All India Handlooms and Handicrafts Boards under Ministry of
Textile
Autonomous Bodies of EPC
Export Development Authorities.
1. Marine Products Export Development Authority
2. Agricultural and Processed Food Products Export
3. Development Authority
4. National Agricultural Cooperative Federation of India Ltd. (NAFED)
 Export Incentive
EPCG[ Export Promotion Capital Goods Scheme]

Introduced in 1992-97 EXIM policy. To enable exporter to import

capital goods. Export obligation !! i.e EXPORTER required to
guarantee exports of certain minimum value, which is multiple of
the value of capital goods imported.
 Duty free import authorization[DFIA]
DFIA is issued to allow duty free imports of inputs, fuel, oil, energy
sources, catalyst which are required in export production. • This is
given based on the SION

-Standard INPUT OUTPUT norms]

 Export Promotions
Export development is important to the firm and
to the economy as a whole. Government
measures aim, normally at the general
improvement of the export of the nation for the
general benefit of the economy. The benefits of
exports to the economy are many.
Principle Objectives Of Export Promotion Measures
In India
1. Compensate the exporters for the high domestic cost of
production.
2. 2. Provide necessary assistance to the new and infant
exporters to develop the export business.
3. Increase the relative profitability of the export business
vis-e-vis the domestic business.
Ministry Of Commerce
The ministry of Commerce, Government of India,
is the most important organ concerned with the
promotion and regulation of the foreign trade of
the country. Matters related to foreign trade are
dealt with by eight divisions in the Department of
Commerce, namely,1. Administrative an General
Division
Ministry Of Commerce
1. Administrative an General Division
2. Finance Division
3. Economic Division
4. Trade Policy Division
5. Foreign Trade Territorial Division
6. Exports Products Division
7. Services Division
8. Industries Division
 Incentives
Export incentives are a widely
employedstrategy of export promotion.The
main aim of these incentives is toincrease
the profitability of export business.Important
export incentives in India includerebate of
duties, cash compensatory support,income
tax concession, interest subsidies,freight
subsidy etc.
Exim bank of india
 Export import bank of India is the premier export finance institution
in India, established in 1982 under Export- Import Bank of India Act
1981.
 Since its inception, Exim Bank of India has been both a catalyst and a
key player in the promotion of cross border trade and investment.
 Exim bank of India, over the period, evolved into an institution that
plays an important role in partnering Indian industries, particularly
the Small and Medium Enterprises
Headquarters :- Mumbai, India
Objectives OF EXIM Bank
For providing financial assistance to exporters
and for functioning as the principal financial
institution for coordinating the working of
institutions engaged in financing export and
import of goods and services with a view to
promote the country’s international trade.
Functions of EXIM Bank
 Corporate Banking Group :- This group handles variety of financing
programmes for Export Oriented Units (EOU’s), Importers, and
overseas investment by Indian companies.
 Project Finance/ Trade Finance :- This group handles the entire
range of export credit services such as suppliers credit, pre-shipment
Agri-business Group etc. The group handles projects and export
transactions in the agricultural sector for financing.
 Export Services Group :- This group offers variety of advisory and
value-added information services aimed at investment promotion.
 Export Marketing Group :- This group offers assistance to Indian
companies, to enable them to establish their products in overseas
markets.