Professional Documents
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Exim Policy
The foreign trade of India is guided by the Export-
Import policy of the Government of India.
Regulated by The Foreign Trade Development and
Regulation Act 1992.
Exim policy contain various policy decisions with
respect to import and exports from the country.
Exim Policy is prepared and announced by the central
government.
Exim Policy of India aims to developing export
potential, improving export performance, encouraging
foreign trade and creating favorable balance of payment
position.
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General Objectives of Exim Policy
To establish the framework for globalization.
To promote the productivity competitiveness of Indian
Industry.
To Encourage the attainment of high and internationally
accepted standards of quality.
To augment export by facilitating access to raw
material,intermediate, components, consumables and
capital goods from the international market.
To promote internationally competitive import
substitution and self-reliance.
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Exim Policy of India 2004-2009
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Objectives of Exim Policy 2004-2009
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Highlights of the New Foreign Trade Policy
2004-2009
Special Focus Initiatives: Semi-urban and Rural Area
Agriculture : Vishesh Krishi Upaj Yojana and Agri Export
Zones
Handlooms and Handicrafts: Mark under Market Access
Initiatives Scheme and Proposed to Start new SEZ.
Gems and Jewellery: Import of gold of 18 carat and above has
been permitted under the replenishment scheme
Leather and Footwear : Duty free import entitlement of
specified items shall be 5% of FOB value of exports during the
preceding year
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Export Promotion Schemes
– Assistance to States for Infrastructure Development of
Exports [ASIDE]
– Market Access Initiative [MAI]
– Marketing Development Assistance [MDA]
– Towns of Export Excellence
– Target Plus Scheme.
– Served from India Scheme
– Service Export Promotion Council
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New Status Holder Categorization
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Board of Trade: The role is to advising government on
relevant issues connected with Foreign Trade Policy.
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Implications of The Foreign Trade 2004-09
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Implications on Gem and Jewellery Sector :
– This is special thrust area in this policy.
– Duty free imports of other inputs would give a further boost
to this sector
Implications on Leather and Footwear Industry :
– Duty free import as a specified percentage of exports.
– Exemption on customs duty on equipment for effluent
treatment plants would help promoting export form this
sector.
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Implications on Service Industry :
– An exclusive service promotion council has been set up in
order to map the opportunities for key services in key market.
– Develop strategic market access programmes like brand
building in co-ordination with sectoral players and recognize
nodal bodies of the service industry.
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Annual Supplement to Foreign Trade
Policy 2004-09
Minister for Commerce and Industry, Government of
India has announced Annual Supplement 2005, to the
Foreign Trade Policy 2004-09 on the 8th April 2005.
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Highlights of the Supplement
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Agri Export : Benefits under ‘Vishesh Krishi Upaj Yojana’
have been extended to exports of poultry and dairy products in
addition to export of flowers, fruits, vegetables and their value
added products.
Package for Marine Sector : Duty free import of specified
specialized chemicals and flavoring oils as per a defined list shall
be allowed to the extent of 1% of FOB value of preceding
financial years export.
Advance Licensing Scheme : The Scope of Advance
License for annual requirement has been extended to all
categories of exporters having past export performance.
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Duty Free Replenishment Certificate : Brass scrap,
Additives, paper board, and dye stuff have been removed from
the list of items prescribed for import under DFRC.
Procedural Simplification : Proposed to simplify
procedures and reduce the documentation requirements so as to
reduce the transaction cost of the exporters and thereby increase
their competitiveness.
EDI Initiatives : DGFT shall introduce an automated
electronic system for filing, retrieval and authentication of
documents based on agreed protocols and message exchange
with other authorities such including Customs and banks.
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Negative List of Exports 2002-07
The negative list consists of goods, the import or export of which
is ether prohibited, restricted through licensing or otherwise to be
canalized through a designate government agency.
The negative list of exports, as per the EXIM Policy 2002-07
Prohibited Items : Which items completely banned from the
exports.
– All forms of wild animals including their parts and products.
– Special Chemicals as notified by the DGFT.
– Exotic birds as notified by the DGFT.
– Beef.
– Sea Shells, as specified
– Human Skeleton.
– Peacock Tail
– Red sanders wood in any form.
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Restricted Items : which items allowed for exports under
special license issued by the DGFT.
– Dress materials, ready-made garments, fabrics or textile items
with imprints of excerpts or verses of the Holy Quran.
– Horses – Kathiawadi, Marwari, and Manipuri breeds.
– Fresh and frozen silver prom frets of weight less than 300gm.
– Paddy (Rice in husk).
– Seaweeds of all types.
– Chemical Fertilizer all types.
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Canalized Items : can be exported without an export license
through designated State Trading Enterprise
Items Canalizing Agency
Onions (Except Bangalore Rose onion Export Permitted through Specified
and Krishnapuram Onion) STEs
Niger Seeds Tribal Cooperative Marketing
Federation of India (TRIFED) New
Delhi
National Agricultural Cooperative
Marketing Federation of
Gum Karaya India(NAFED)
Tribal Cooperative Marketing
Federation of India(TRIFED), New
Delhi
Iron ore, Manganese ore, and Chrome Metals and Minearals Trading
ore. Corporation (MMTC).
Crude Oil Indian Oil Corporation Limited
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Freely Exportable Items : can be exported without an export
license from DGFT. However export of such items is subject to
certain procedures or conditions.
Item Description Procedures or Conditions
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