UPSC Exam   »   Foreign Trade Policy Extended

Foreign Trade Policy Extended

 

Foreign Trade Policy UPSC: Relevance

  • GS 2: Government policies and interventions for development in various sectors and issues arising out of their design and implementation.

 

Foreign Trade Policy : Context

  • Recently, the Ministry of Commerce and Industry has further extended the existing Foreign Trade Policy (FTP) till September 30, 2022.
  • Read about record export growth from India.

 

Foreign Trade Policy 2015: Key points

  • On March 2020, the government had extended the Foreign Trade Policy 2015-20 for one year till March 2021, amid the coronavirus outbreak and the lockdown.
  • The FTP 2015-2020, which came into force on 1 April 2015, was originally meant for 5 years.

विदेश व्यापार नीति विस्तारित

What is Foreign Trade Policy?

  • Foreign Trade Policy is a set of guidelines and instructions established by the DGFT (Director General of Foreign Trade) in matters related to the import and export of goods in India.
  • The foreign trade policy is regulated by foreign trade (development and regulation), Act 1992.
  • Focus area: FTP primarily focuses on adopting a twin strategy of promoting traditional and sunrise sectors of exports including services.

 

Foreign Trade Policy Extended_40.1

 

Objectives of foreign trade policy

  • To boost the economy by facilitating international trade of India.
  • To improve the balance of payment and trade of India.
  • To enhance the trading activities and generate a workforce environment to increase employment in the country.
  • To provide consumers with goods and services of utmost quality and with effective cost.
  • To raise the infrastructure of small-scale industries to reduce the trade imbalance in the country.
  • To establish an advance licensing system to allow duty-free imports.
  • To remove the restrictions on goods and services, and allow them to be freely imported.
  • Digitalization of all the documents to reduce conflict between exporters and DGFT.
  • Ease of access to credits by the start-ups and increasing limits.
  • Canalization of import goods to diversifying market opportunities.

 

Foreign Trade Policy Extended_50.1

 

Features of FTP 2015-20

  • It introduced a new scheme, “Merchandise Exports from Indian Scheme (MEIS)” and “Services exports from India scheme (SEIS)”.
  • Merchandise exports from India (MEIS) to promote specific services for specific FTP.
  • The ‘Services Exports from India Scheme’ (SEIS) is for increasing exports of notified services.
  • The MEIS scheme provides rewards to exporters to offset infrastructural inefficiencies and associated costs.
  • Reduced export obligation to 75% under the EPCG (Export Promotion Capital Goods) scheme.
  • Duty credit scrips are freely transferable and usable for payment of customs duty, excise duty and service tax.

 

 

Read current affairs for UPSC

Imran Khan No-Trust Vote | Imran Khan dismissed as the PM of Pakistan EXERCISE VARUNA 2022 Impact of Russia-Ukraine Conflict on Shipping Sector Exercise Lamitiye 2022 | India- Seychelles Joint Military Exercise
IMEX 22: IONS Maritime Exercise 2022 Genome Editing and CRISPR-CAS9: Definition | Working | Advantages | Challenges Rules Relaxed for Some Genetically Modified Plants and Organisms SC Strikes Down T.N. Vanniyar Quota
NETRA Project and Space Debris Raising and Accelerating MSME Performance’ Scheme Prime Minister’s Yoga Awards 2022 5th BIMSTEC Summit
PMGDISHA Scheme- Steps Taken to ensure Village Connectivity Criminal Procedure Identification Bill 2022 Implementation of PM-Kisan Samman Nidhi Yojana Massive Fire in Sariska Tiger Reserve

Sharing is caring!

Thank You, Your details have been submitted we will get back to you.

Leave a comment

Your email address will not be published.