Chambers say thumbs up to thrust on services

Industry associations have given a unanimous thumbs up to the new Exim Policy. The emphasis on services as an engine of growth has been particularly applauded by industry. In their reactions, the chambers have expressed that the measures encapsulated in the Exim Policy will help the country achieve the target of 1% share of the global trade.
Confederation of Indian Industry president Ashok Soota said, “We welcome the policy, particularly the thrust on the services and agricultural sectors. The big picture of identifying engines of growth and building on them is one we fully endorse.�
The confederation has highlighted the proposed co-ordination between the commerce and finance ministries as it would cut down on delays in issue of notifications.
Some of the key features of the policy, according to CII, include exemption for EOUs from specific export obligations and treatment of sales from domestic tariff area to SEZ as exports.
One measure which will hurt the domestic capital goods industry is the inclusion of the second-hand capital goods import under EPCG and duty-free import of equipment for status-holders up to 10% of the growth in their exports.
According to Ficci, “The identified engines of growth in the Exim Policy will help boost Indian exports and have a ‘pull’ effect on other export sectors.�
Ficci has specifically lauded the measures announced for the entertainment sector, focus on SEZs as an important engine for export growth and the development of SME export clusters which, it feels, would play a pivotal role in export promotion.
Assocham has termed the policy as bold and pragmatic, and said that the removal of five items from the restricted list of exports would contribute to the overall export effort and help attain the goal of 1% share of world trade.
The chamber said the emphasis on services export, flexibility to the EPCG scheme and consolidation of AEZs were welcome steps. The disappointing factor was the status quo on removal of the restrictive provisions of the current transfer pricing rules.
PHDCCI president P K Jain complimented the focus on the services sector and observed that the continuation of export programmes for Africa, CIS countries and other developing nations will help diversify the market for Indian exports.
The Indian Chamber of Commerce & Industry in its statement has said that the EPCG scheme, SEZs, EOUs and continuation of DEPB will enhance exports from the country by giving a boost to merchandise and service exports.
Indo American Chamber of Commerce president Vinod Chandiok said that by extending the duty-free import facility for services sector, the policy attempts to achieve a quantum jump in the exports of services like IT-enabled services, professionals, healthcare, education etc.
Indian Chamber of Commerce, Calcutta, president Vikram Thapar said, “A bold direction has been given to unleash India’s potential in the agriculture and services sector.�