Budget 2024: 25% share by Indian liners could save $50 billion annually, says FIEO

New Delhi: Exporters sought the creation of an Indian shipping line, duty cuts on import of products like wet blue leather, extension of a key scheme for small exporters to avail pre- and post-shipment rupee export credit, and duty drawback for platinum jewellery at their pre-budget meeting with finance minister Nirmala Sitharaman on Tuesday.

Highlighting the need for an Indian shipping line, the Federation of Indian Export Organisations president Ashwani Kumar said that India's outward remittance on transport services is increasing with rising exports. "We remitted over $109 billion as transport service charge in 2022. As the country moves towards the goal of $1 trillion, this will touch $200 billion by 2030. A 25% share by the Indian shipping line can save $50 billion on a year-on-year basis," he said.

The apex association of exporters also sought an extension of the interest equalisation scheme with higher incentives. At present, manufacturers and merchants exporting specified 410 products get 2% subsidy and all exporters from MSMEs get 3%. The scheme is valid till June 30. Senior officials of the ministries of commerce and industry, and finance were present at the meeting.

Software services industry body Nasscom has asked for an easier transfer pricing regime for ease of doing business, clarity on the proposed deep tech policy and enhancing the scope of the safe harbour regime by increasing the threshold limit to ₹2,000 crore from ₹200 crore in international transactions for the benefit of global capability centres. "We have presented a study on safe harbour rules to the finance ministry and made a case for allowing more companies to opt for it and make it competitive. On advance pricing agreements, we want that renewals should be done on a fast-track," said Nasscom's head of public policy, Ashish Aggarwal.