INSTITUTIONAL INFRASTRUCTURE FOR

EXPORT PROMOTION IN INDIA

Consultative and deliberative body-board of
trade
The board of Trade has been set up to ensure that
the collective advice of the commercial interests is
available to the government of India for framing and
formulating export promotion and import policies
and for successful implementation thereof.
The board of trade is the highest forum for governmental
industry interface on trade policy issues. It has as its
members presidents of FICCI , Assocham , CII , FASSI
and FIEO, in addition to several other leading
industrialists. It also has representatives from the
Ministries of Finance Industry and textiles as also from
the Prime Ministers office. The chairman of the state
bank of India and EXIM Bank and Director general
Foreign Trade , are also its members. The board of
Trade is presided over by the commerce Minister.
It deliberates on the policy and major bottle necks faced
by trade and industry on foreign trade and makes
recommendations for governments consideration and
implementation.

The broad terms of reference of Board of Trade are as follows:
To advice the govt. on policy measures for the preparation and
implementation of both short and long-term plans.
To review export performance of various sectors, identify
constraints, and suggest measures to be taken.
To examine the existing institutional framework for exports
and suggest practical measures for reorganization.
To review the policy instrument, package of incentives, and
procedures for exports, and suggest steps to rationalize and
channelize incentives to areas where they are most needed
To commence studies for promoting trade.
This , the Board of trade ensures a continuous dialogue with
trade and industry in order to advise the government on policy
measures , to review export performance of various sectors ,
identify constraints and suggest industry specific measures to
optimize export specific earnings.

COMMODITY ORGANIZATIONS
In order to focus on the commodity/product specific
exports , there are various commodity organizations
such as export promotion councils , commodity
boards and autonomous. These organizations look
after sector specific exports right from product
development to export marketing.

EXPORT PROMOTION COUNCILS :
Export promotion councils are non-profit
organizations. They are provided by financial
assistance by the central government.
At present there are 21 export promotion councils.
Their basic objective is to promote and develop
exports in the country.
The main role of the EPCs is to project India as a
reliable supplier of high quality goods and services
in the international market.
Each council is responsible for the promotion of a
particular group of products, projects and services
COMMODITY BOARDS:
Along with export promotion councils commodity boards
have been established by the government of India for
many commodities with high export potential. These
boards are supple-mentary to EPCs and function on the
same lines.
The CBs are for promoting exports of specific commodities
particularly the traditional commodities including tea,
coffee, etc. The commodity boards look after the export
promotion of primary and traditional items of exports while
the EPCs look after the export promotion of non-traditional
items.
In order to look after the issues related to production,
marketing and development of commodities.


The commodities which follows,
Tea board
Coffee board
Coir board
Central silk board
All India handlooms and handicraft board
Rubber board
Cardamom board
Tobacco board
Spices board

SERVICE INSTITUTIONS
A number of institutions and organizations have
been established to meet the requirements of
industry and trade. The fields in which these
institutions are engaged include development of
export management personnel , a market research
, export credit insurance , export publicity ,
organization of trade fairs and exhibitions ,
collection and dissemination of export related
information , inspections and quality control,
development in packaging etc. A brief review of the
activities and functions of some of these institutes is
given below.

INDIAN TRADE PROMOTION ORGANISATION (ITPO)
Indian trade promotion organisation was set up by the
Ministry of Commerce, Government of India, on 1st
January, 1992 with its headquarters at New Delhi after
the merger of Trade Development Authority (TDA) and
Trade Fair Authority of India (TFAI).
It has five regional offices in India at Mumbai,
Bangalore, Kolkata, Kanpur and Chennai and four in
Germany, Japan, UAE and USA. As a premier trade
promotion agency of the government of India, the ITPO
provides a broad spectrum of services to trade and
industry so as to catalyse the growth of bilateral trade,
particularly Indias exports and technological up
gradation and modernisaiton of different industry
segments.

FUNCTION OF INDIAN TRADE PROMOTION ORGANISATION
The following are the functions or activities of Indian trade promotion
organisation
(a) Organising Trade Fairs and Exhibitions
ITPO organizes trade fairs and exhibitions in India and abroad and to
book stalls/space for Indian exporters to participate in overseas trade fair
and exhibitions. ITPO acts as a publicity wing of government of India for
organizing trade fair and exhibitions in India and abroad.
(b) Publicity
It gives publicity in connection with the organisation of trade fairs and
exhibitions in India, so that foreign parties may visit India to visit in such
trade fairs and exhibitions.
(c) Collections of Information
ITPO collects information of various trade fairs and exhibitions to be
held abroad. The information is collected in respect of place or venue of
exhibition, date and duration, products to be displayed, booking of space
formalities, etc.

(d) Supply of Information
ITPO provides information to Indian parties regarding
overseas trade fairs and exhibitions. Such information
may be useful to Indian parties or exporters to take
proper decisions in respect of participation in overseas
trade fairs, and exhibitions.
(e) Delegations
Inviting trade delegations from abroad and sending
Indian trade delegation abroad. ITPO book orders for
Indian goods. In addition, to send Indian trade
delegations abroad for market survey and for signing
contracts for the supply for Indian goods.
(f) Booking of Space in Overseas Trade Fairs
ITPO books necessary space/stalls for Indian exporters.
This enables Indian exporters to participate in overseas
trade fairs and exhibitions.

(g) Consultancy Services
It provides consultancy services to Indian exporters
to participate and display their product in trade fairs
and exhibition in India and abroad.
(h) Seminars and Workshops
ITPO organizes seminars/workshops for giving
information/guidance to exporters about fairs and
exhibitions arranged in India and abroad. ITPO has
set up a trade information centre at its headquarters
in New Delhi. It is considered as the best source of
information on import and export trade

NATIONAL CENTRE FOR TRADE INFORMATION
(NCTI)
National centre for trade information (NCTI) is as joint
venture of ITPO and national information centre. Its
activities mainly relate to supply of trade, business and
economic information NCTI was established in
October,1994 to provide latest, trade business and
economic information to help India and foreign
enterprises in the promotion of trade from and to India.
In this sense, it acts as an export promotion
organisation.
The NCTI uses high speed NICNET national information
highway for collection and dissemination of trade
information.

FUNCTIONS OF NCTI
Following are the important functions/activities of NCTI.
To create databases at national and international levels for promotion of exports.
To collect information on various aspects of trade and commerce in different
countries.
To disseminate information of countries and products to trade and industry.
To establish linkages with trade promotion bodies, regulatory bodies, chambers
and associations among others.
To establish linkages with commercial wings of Indian missions abroad and foreign
missions in India.
To publish papers, periodicals and other literature relating to trade and commerce.
To maintain liaison with trade and commercial bodies different countries.
To organize training, seminars and conferences on matters relating to trade and
commerce.
To create information base for all types of marketing intelligence on trade aspects.

EXPORT CREDIT GUARANTEE CORPORATION OF INDIA LIMITED
(ECGC)
The Corporation was established in 1957 as the Export Risk Insurance
Corporation of India Ltd. Keeping in view the wider role played by the
Corporation, the name was changed to Export Credit Guarantee
Corporation of India Ltd. (ECGC).
The ECGC is the premier organization in the country, which offers credit
risk insurance cover to exporters, banks, etc. The primary objective of
the Corporation is to promote the countrys exports by covering the risk
of export on credit. It provides
(a) a range of insurance covers to a Indian exporters against the risk of
non-realization of export proceeds due to commercial or political causes
and
(b) different types of guarantees to banks and other financial institutions
to enable them to extend credit facilities to exporters on liberal basis.
Export Credit Guarantee Corporation of India Limited, was established to
strengthen the export promotion drive by covering the risk of exporting
on credit.


Being essentially an export promotion organization,
it functions under the administrative control of the
Ministry of Commerce & Industry, Department of
Commerce, and Government of India. It is
managed by a Board of Directors comprising
representatives of the Government, Reserve Bank
of India, banking, insurance and exporting
community.
ECGC is the fifth largest credit insurer of the world
in terms of coverage of national exports. The
present paid-up capital of the company is Rs.800
crores and authorized capital Rs.1000 crores.

Functions of Export Credit Guarantee
Corporation of India Limited:
Provides a range of credit risk insurance covers
to exporters against loss in export of goods and
services
Offers guarantees to banks and financial
institutions to enable exporters to obtain better
facilities from them
Provides Overseas Investment Insurance to
Indian companies investing in joint ventures
abroad in the form of equity or loan

It provides support to exporters in following ways:
Offers insurance protection to exporters against
payment risks
Provides guidance in export-related activities
Makes available information on different
countries with its own credit ratings
Makes it easy to obtain export finance from
banks/financial institutions
Assists exporters in recovering bad debts
Provides information on credit-worthiness of
overseas buyers

EXPORT INSPECTION COUNCIL
The Export Inspection Council was set up as a
Statutory Body on 1st January, 1964 under Section
3 of the Export (Quality Control and Inspection) Act,
1963 to ensure sound development of export trade
of India through quality control and inspection and
for matters connected therewith.

EIC is responsible for the enforcement of quality
control and compulsory pre shipment inspection of
various commodities meant for exports notified
under export (Quality control and inspection) Act,
1963. The Council is an advisory body to the
Central Government, with its office located at New
Delhi and is headed by a Chairman.
The Council is assisted in its functions by the
Export Inspection Agencies (EIAs), which are field
organizations located at Chennai, Delhi, Kochi,
Kolkata and Mumbai and have state-of-art and
accredited laboratories with the required logistic
support for quality certification activities. These
Agencies have a network of thirty six sub-offices
and laboratories located at different ports or major
industrial centres to back up the pre-shipment
inspection and certification activities.

INDIAN INSTITUTE OF PACKAGING (IIP) MUMBAI
MEANING
The Indian Institute of packaging was set up in Mumbai
on 14th may, 1966 with an objective to giving guidance
and training to Indian exporters, in regard to packaging
techniques. It was set up by the government of India in
collaboration with the industry for removing the
deficiencies in the field of packages. Indian institute of
packing is a registered body under the Societies
Registration Act, and undertakes research activities on
raw materials for packaging industry. It keeps India in
line with the international developments in packaging. It
is a service organization.

FUNCTIONS OF IIP
The following are the important functions of Indian institute of packaging.
(a) Training Programme
It is primarily engaged in training programmes relating to packaging industry. This
institute makes the trainees familiar with packaging technology, packaging
materials, and current trends in packaging in the world markets.


(b) Improvement in Quality of Packaging
IIP makes constant efforts to upgrade and improve the design and quality of
packaging, so as to promote Indian products abroad. Undertake research on raw
material used of the packaging industry and to bring improvement in the quality of
packaging.
(c) Collection of Information
IIP collects information on latest trends in the packaging in respect of raw
materials, design etc. To keep abreast of international developments in packaging
and to collect information on new trends in packaging .

(d) Testing Facilities
It also undertakes testing of packaging materials and
packages to ensure export quality.
(e) U N Certification
All dangerous goods packages need a UN certification mark
before they can be dispatched IIP is the only authorized body
in India to give this certification.
(f) Environmental Cell
The institute has an environment cell, which guides exporters
as to what type of material can be used or incorporated in the
packaging of their products so as to reduce environmental
threats.
(g) Research and Development
It undertakes research and development programmes for
creating and improving overall infrastructural facilities for
achieving packaging improvement so as to prevent losses
during transportation.

(h) Develops Packaging Consciousness
Export packaging is vital as it not only protects and
preserves the product, but also promotes the
product in international markets. Therefore, IIP
develop consciousness of the need for good
packaging among Indian exporters.
(i) Publications
It publishes two quarterly magazines, one devoted
to the technological aspect of packaging and the
other to techno-economic aspects of packaging.

FEDERATION OF INDIAN EXPORT ORGANISATIONS
(FIEO)
MEANING
Federation of Indian Export Organizations (FIEO) is an
apex body of various export promotion oragnisations. It
was set up in October 1965. It represents the Indian
entrepreneurs spirit of enterprise in the global market. It
has kept pace with the countrys evolving economic and
trade policies and has provided the content, direction
and thrust to Indias expanding international trade. As
the apex body of all Indian export promotion
organisations, FIEO works as a partner of the
government of India to promote Indian exports.

FUNCTIONS OF FEDERATION OF INDIAN EXPORT ORGANISATION
The following are the important functions of federation of Indian export
organisation.
(a) International linkage
It has forged strong links with counterpart organizations in several
countries as well as international agencies to enable direct
communication and interaction between India and world businessmen. It
is registered with UNCTAD as a national non-government organisation,
and has direct access to information and data origination form UN bodies
and world agencies like the IMF, ADB, ESCAP, World Bank, FAO, UNIDO
and others.
(b) Dissemination of Information
It has bilateral arrangements for exchange of information as well as for
liaisoning with several overseas chambers of commerce and trade and
industry associations.
(c) Liaisoning with Government
It sends representations on policy matters to Central and State
(regional) governments. It helps in establishing contacts between the
government and commercial bodies both in India and overseas.

(d) Market Development Assistance (MDA)
The ministry of commerce, government of India, through FIEO, reimburses certain
percentage of the expenditure incurred by the recognized exporters, such as all
types of export houses, on sales cum study tours, participation in exhibition and
fairs abroad, advertisements in foreign media etc.
(e) Market Research and Development Department
The market research and development department offers the following services to
the exporters community i.e.- Arranging meeting with diplomats, incoming
delegations and buying missions, inviting delegations, organizing trade fairs and
exhibitions in India as well abroad opening foreign offices and warehouses,
organizing seminars for promotion of international trade, opening new FIEO offices
abroad.
(f) Publicity Department
The publicity department of FIEO performs the following functions-
Bringing out various special supplements in Indian and overseas dailies in order to
project the selected finished products in India and abroad. Creating and telecasting
episodes in NEPC channel to promote Indias prominent brands in various
countries covered by the channel. It has published directory of foreign buyers and
dictionary of Indian exporters. It publisher a fortnightly magazine, FIEO NEWS, to
cover development in the field of international trade concerning India.

GENERAL OF COMMERCIAL INTELLIGENCE AND
STATISTICS (DGCI&S)
The Directorate General of Commercial Intelligence &
Statistics (DGCI&S) is the premier organization of Govt.
of India for collection, compilation and dissemination of
Indias Trade Statistics and Commercial Information.
This Directorate, with its office located at Kolkata, is
headed by the Director General. It is entrusted with the
work of collecting, compiling and
publishing/disseminating trade statistics and various
types of commercial information required by the policy
makers, researchers, importers, exporters, traders as
well as overseas buyers.
DGCI&S collects the basic data from different customs
formations in the form of DTR (Daily Trade Return) and
then processes and compiles it using state-of-the-art
technology.

DIRECTORATE GENERAL OF SHIPPING

The Directorate General of Shipping, India deals
with implementation of shipping policy and
legislation so as to ensure the safety of life and
ships at sea, prevention of marine pollution,
promotion of maritime education and training in co-
ordination with the International Maritime
Organization, regulation of employment and welfare
of seamen, development of coastal shipping,
augmentation of shipping tonnage, examination and
certification of Merchant Navy Officers, Supervision
and Control of the allied offices under its
administrative jurisdiction.