Export-boosting trade policy on the cards, expected soon…

The new Foreign Trade Policy will take effect on September 30th, and it has been designed with the next five years in mind. The policy will lay out the ‘Amritkaal’ road map. The policy will boost Indian exports. Here are some of the most important facts about the policy;

• The policy is expected to be announced on September 30.
•  It will include provisions concerning the One District One Product (ODOP)
•  Ecommerce and new export hubs will be established as a result of the policy.
• The policy will encourage competitive and high-quality export promotion.
•  A separate export promotion council will be established.
•  Special Economic Zones (SEZs) will be upgraded and renamed DESH – Development of Enterprise and Services Hubs.
•  The consultation work is finished.
•  The new foreign trade policy could be unveiled before September 30th.
•  The policy is being implemented after a two-year hiatus.
•  In the aftermath of the Coronavirus Pandemic, the government extended the existing policy.
• The previous policy was set to expire in 2020.

ODOP

• The scheme’s first phase will cost between Rs 2200 and Rs 2500 crore.
• The Ministry of Commerce and Industry has prepared a plan for ODOP implementation.
•  Every district will have an export hub.
•  All districts have a level of potential that is unrivaled in many countries.
• Each district has an export promotion committee set up by the Commerce Ministry.
• Work on constructing the required infrastructure is ongoing.
• An exhaustive list of exports has been compiled.

The domestic business will benefit from the FTAs (Free Trade Arrangements)

• This will significantly increase exports.
• There will be changes that will benefit MSMEs.
•  The government has signed trade treaties with a number of countries.
•  Trade agreements with the United Kingdom are expected to be signed this month.
•  An FTA with Canada is likely to be signed by Diwali.
• A comprehensive list of exports has been compiled.

Restructuring of Commerce department

• Changes are being made to help India become a developed economy.
• People from the business world will be included.
• For policy formulation, experts from various sectors will be present.