In its annual supplement to the country’s foreign trade policy, India’s government today (23 August) unveiled a number of new stimulus measures intended to boost exports.
Included in the review is a six-month extension of the Duty Entitlement Pass Book scheme (DEPB) – where the government reimburses duties on imported inputs used in exports – which will now expire on 30 June 2011.
And zero duties under the Export Promotion Capital Goods Scheme (EPCG) scheme have been extended by a year, until 31 March 2011.
The government has also extended the interest subvention plan of 2% each for leather, jute and textiles. This means these sectors will now benefit from bank loans at an interest rate that is 2% below the market rate.
Commerce Minister Anand Sharma said he was confident the amendments will help “achieve our export target of US$200bn in the fiscal year 2010-11 and over the remaining three years of the policy.”
He added: “We should be able to come back on the high export growth trajectory of 25% per annum and by 2014, we expect to double India’s exports of goods and services.
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By GlobalDataThe policy review is part of the Foreign Trade Policy for 2009-14, which was launched in August 2009.
Click here for more details on the foreign trade policy supplement.
