3rd September, 2021 Economy
- India’s merchandise exports in August touched $33.14 billion. This marks a significant rise as compared to even the pre-pandemic phase as well.
- In the first five months of 2021-22, India’s merchandise exports have now touched $163.67 billion, nearly 67% higher than that of the corresponding period last year and 22.9% higher than 2019. The steady recovery in global trade seems to be aiding the uptick in exports from India.
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- The government has set a target of merchandise exports worth $400 billion for the current fiscal year. Subsequently, the government also aims to reach a merchandise exports target of $500 billion for FY23 and $1 trillion in 2027-28.
- The government is aiming to target $2 trillion exports by 2030, with $1 trillion from merchandise exports and $1 trillion from services exports.
Export Promotion Schemes:
Duty Drawback Schemes:
- Under this scheme, custom/excise duty paid by exporters of selected products is partially or wholly reimbursed.
Export Promotion Capital Goods (EPCG)
- Under this scheme, exporters can import capital goods at zero or concessional custom duty subject to an export obligation.
Focus Market Scheme
- Exporters are provided duty credit scripts equivalent to 3% of Free on Board (FOB) value of exports if they are exporting to selected destinations/countries.
Focus Product Scheme
- Under this exporter of selected labour intensive product (e.g. handicraft) are provided duty credit script equivalent to 2% of FOB value of exports.