Our Bureau

New Delhi, April 13 Industry chambers have welcomed the annual supplement to the Foreign Trade Policy 2004-09 and said its speedy implementation is a key to the country’s economic growth.

The President of the Confederation of Indian Industry, Mr Sunil Bharti Mittal, said that the policy had helped to multiply exports and that the industry would continue to work with the Government to achieve the $200-billion export target set for the next year.

He welcomed the decision to cover the IT hardware sector under the special focus initiative and the decision to include specific items within the High Tech Product Scheme. He said that along with software exports, India’s hardware exports would get a tremendous boost.

In its reaction, FICCI said dynamic initiatives announced by the Commerce Minister will give a significant push to exports of manufactured goods, and also provide much-needed fillip to agricultural and labour-intensive exports from the country.

New measures such as duty reduction under the EPCG scheme, enhanced duty credit for promoting high value-added manufactured products, ‘special focus initiative’ for IT hardware, allocation of funds for IT hardware under MDA & MAI schemes, establishing export promotion council for telecom, will be vital for the modernisation of the manufacturing sector and accelerating its exports.

Dr L.K. Malhotra, President, PHD Chamber, said the quantum leap achieved in India’s merchandise trade during the last four years was reflective of the maturity of the economy.

He said that the relaxation in the EPCG scheme, streamlining refund of taxes relating to exports, 5 per cent additional duty credit to exports of toys and sports goods, IT hardware sector to be treated as special focus initiative, roll over of income tax benefits to 100 per cent EOUs under Section 10B of the I-T Act, among others are steps in the right direction and would help in augmenting exports.

© Copyright 2000 - 2009 The Hindu Business Line