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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Government Targets:
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.