Highlights of Foreign Trade Policy 2009-2014
Following are some of the highlights of Foreign Trade Policy 2009-2014.
Higher Support for Market and Product Diversification
- Incentive schemes under Chapter 3 have been expanded by way of the addition of new products and markets.
- 26 new markets have been added under Focus Market Scheme. These include 16 new markets in Latin America and 10 in Asia-Oceania.
- The incentive available under the Focus Market Scheme (FMS) has been increased to 3% from 2.5%
- The incentive available under Focus Product Scheme (FPS) has been increased to 2% from 1.25%
Technological Upgradation
To aid technological up-gradation of our export sector, EPCG Scheme at Zero Duty has been introduced. This Scheme will be available for engineering & electronic products, basic chemicals & pharmaceuticals, apparel & textiles, plastics, handicrafts, chemicals & allied products and leather & leather products (subject to exclusions of current beneficiaries under Technological Upgradation www. allindiantaxes.com10Fund Schemes (TUFS), administered by the Ministry of Textiles and beneficiaries of Status Holder Incentive Scheme in that particular year).
EPCG Scheme Relaxations
- To increase the life of existing plant and machinery, export obligation on import of spares, molds, etc. under the EPCG Scheme has been reduced to 50% of the normal specific export obligation.
- Taking into account the decline in exports, the facility of Re-fixation of Annual Average Export Obligation for a particular financial year in which there is the decline in exports from the country has been extended for the 5 year Policy period 2009-14.
