EXIM POLICY OF INDIA ( Export -Import) Presentation.pptx

EXIM POLICY OF INDIA ( Export -Import) Presentation.pptx

1. EXIM Policy (Export-Import Policy of India) COURSE ASSIGNMENT PRESENTATION: FOREIGN TRADE LAW Presented by, Mariya P S , BBA LLB (Hons) - Roll No.21 School of Legal Studies , CUSAT

2. WHAT IT IS? The EXIM (Export-Import) Policy contains guidelines governing the imports and exports of products and services in and out of India. EXIM Policy’s primary objective is to regulate and develop foreign trade by facilitating imports into and exports from India. The Foreign Trade Development and Regulation Act, 1992, provides for the Indian government to announce the EXIM Policy every five years. Each EXIM Policy announced by the Indian Government is valid for five years, and they can amend, enhance or add new provisions to the policy every year on 31 March, taking effect from 1 April. The Ministry of Finance, in collaboration with the DGFT, its network of regional offices and the Union Minister of Commerce and Industry, announces amendments or changes to the EXIM Policy of India. In 2004, the EXIM Policy was renamed the Foreign Trade Policy to provide a comprehensive approach to foreign trade in India. The Ministry of Commerce announced the recent FTP, which came into effect on 1 April 2023. FTP 2023-2028 seeks to make India an export hub and to integrate India further into global value chains. It creates an enabling ecosystem for exporters, which aligns with India’s vision of becoming ‘ Atmanirbhar ’.

3. THE OBJECTIVES To increase growth in exports and imports in India. To stimulate long-term economic growth by expanding access to components, intermediates, essential raw materials, consumables and capital goods. To improve agriculture service and industry competitiveness, create new employment opportunities and encourage attaining internationally accepted quality standards. To supply high-quality goods and services at an affordable cost.  To encourage economic expansion by providing access to necessary raw materials, capital goods, installations, consumables, intermediate products and essential elements for expanding production and providing services. To improve the technological productivity and potency of Indian agriculture, services and companies, thus enhancing competitive power while creating employment possibilities, and to accomplish globally acknowledged quality norms. To supply consumers with fine-condition services and goods at globally competitive rates.

4. Features of EXIM Policy Process Re-Engineering and Automation Towns of Export Excellence  Recognition of Exporters  Promoting Export From the Districts  Streamlining SCOMET Policy  Facilitating e-Commerce Exports  Rationalization of the Export Promotion of Capital Goods (EPCG) Scheme Dairy Sector Exempted From Maintaining Average Export Obligation Facilitation Under the Advance Authorisation Scheme Merchanting Trade Amnesty Scheme

5. IMPORTANCE It emphasizes trade facilitation through digitization and technology, promotes e-commerce, and facilitates exports through various measures and schemes. It significantly accelerates the economic flow of trade activities from a country to India by making the Indian economy globally oriented. It plays a critical role in expanding global market opportunities . It helps to increase India’s gross domestic product . It facilitates the flow of the economy from a country to India and increases foreign exchange in India. It aids in facilitating liberalization and free trade and improves the overall market for domestic consumers. It plays a role in supplying quality goods at cost-effective prices to domestic consumers and diversifying the market .

6. EVOLUTION Initial Phase (1947 onwards):  Protectionism and import substitution were emphasized to protect the infant economy and manage limited foreign exchange reserves judiciously. Mid-1980s:  The import substitution policy gave way to economic reforms aimed at easing trade restrictions, enhancing competitiveness, and promoting economic growth. The annual Exim policy was replaced by a 3-year foreign trade policy to provide continuity and promote investment. 1990s:  Real momentum in India’s external trade policy and practices began in the 1990s with a series of reforms launched in 1991 as part of liberalization and globalization efforts. Reforms:  Reforms included a devaluation of the rupee, structural changes like the convertibility of the rupee, liberalization of imports, and long-term Exim policies. Current Scenario:  Presently, most goods can be imported without licenses or restrictions, except for a few items disallowed on environmental, health, and safety grounds. Tariff reforms focused on reducing peak rates to make the domestic economy competitive.

7. EXIM Bank of India The  EXIM Bank , effective from 1 January 1982, was established to be  responsible for the business of the IDBI  (Industrial Development Bank of India)  global finance branch  and to deliver monetary support to exporters and importers. It serves as a chief financial foundation for collaborating with the functioning of other organisations involved in the financing of exports and imports of services and products. The EXIM Bank is a growth engine for a range of services and products of Indian businesses. This includes export production, import of technology and export product development, pre-shipment and post-shipment, export marketing and overseas investment. It is a catalyst and key player in promoting cross-border investment and trade. 

8. EXIM Bank - Functions The EXIM bank offers immediate monetary assistance to exporters of equipment, plant and corresponding services through medium-term credit. It provides a guarantee to the issuance of bonds, stocks, debentures and shares of export organisations . It puts forward a rediscount of export bills for a period not more than 90 days against the short-period usage export invoices depreciated by commercial banks. It provides foreign buyers credit to overseas importers for the import of Indian industrial products and related services. It creates and funds export-oriented enterprises. It accumulates and assembles the credit and market particulars about foreign trade.

9. BENEFITS Promotes international trade. Facilitates technology transfer. Improves balance of payments. Enhances competitiveness. Boosts economic development and growth. Creates employment opportunities. Helps in enforcing liberalisation policy.  Increases foreign investment value.  Increases healthy competition between domestic traders and the international market. Creates diversified market development for consumers and manufacturers.  Availability of commodities at a lower cost.

10. CONCLUSION India’s EXIM Policy or Foreign Trade Policy aids in enhancing the performance of the manufacturing industry and trading system to compete in the international market, leading to an increase in foreign exchange and capital flow in India through Foreign Direct Investment (FDI). It aims at increasing the country’s trade for employment generation and economic growth.

11. THANK YOU!