MADURAI: The Tamil Nadu Chamber of Commerce and Industry hailed the Foreign Trade Policy (FTP) recently announced by the union government as comprehensive and inclusive. In a release, chamber president Dr N Jegatheesan the new trade policy, which comprises guidelines governing and regulating the import and export of goods and services, will help achieve better export promotion by fostering partnerships between exporters, states, districts and India missions.
The key approach of this policy is based on four pillars, incentive to remission, export promotion through collaboration, ease of doing business and e-initiatives. The FTP will play a pivotal role in realising the US $2 trillion exports for goods and services target by 2030.
"As the new policy will have no sunset clause and end period, it will allay apprehensions of exporters and importers, and ensure stability, continuity and certainty amidst the changing geo-political environment. The introduction of new elements in the policy, e-commerce, internationalization of the Indian Rupee, district export hub, merchanting trade, reform and special one-time amnesty schemes are welcome steps.
These measures will strengthen the trade ecosystem, help MSMEs integrate into global value chains, unleash India's export potential, and establish India's traditional products as global brands, thus augmenting exporters' outbound shipments in the near future," the release read.
Services sector disappointed
As the new policy did not contain an incentive rate for Covid-19 hit sectors such as hospitality, aviation and tourism under a new scheme to replace the Services Export from India Scheme (SEIS), the stakeholders expressed disappointment.
"If the govt is handling out Production Linked Incentive Scheme to other production sectors, why should the services sector be sidelined, as the sector has also exported to the tune of $325-350 billion dollars in 2022-23," they said.