OF FOREIGN TRADE
EOUs , EHTPs ,
INCENTIVES OF THE
STPs & BTPs
TOWNS OF EXPORT EXCELLENCE
Selected towns producing goods of Rs.750
crore or more will be notified as Towns
ofExport Excellence based on potential for
growth in exports.
For Towns of Export Excellence in
Handloom, Handicraft, Agriculture and
Fisheries sector, threshold limit would be
The incentives being given to these
Towns of Export Excellence are as
• 1. Recognized associations of units
will be provided financial assistance
under the Market Access Initiative
• 2. Common Service Providers in these
areas shall be entitled for Export
Promotion Capital Goods [EPCG]
• 3. The projects received from Towns
of Export Excellence shall be
accorded priority by SLEPC for
financial assistance under Assistance
to States for Developing Export
Infrastructure and Allied Activities
LIST OF TOWNS OF EXPORT EXCELLENCE
LIST OF TOWNS OF EXPORT
Town of Export Excellence
AEKK (Aroor, Ezhupunna,
Kodanthuruthu & Kuthiathodu)
Soya Meal and Soya Products
Export Promotion Capital Goods (EPCG)
• The Export Promotion Capital Goods
(EPCG) scheme was one of the several
export-promotion initiatives launched by
the Government in the early '90s.
• The basic purpose of the scheme was to
allow exporters to import machinery and
equipment at affordable prices so that
they can produce quality products for
the export market.
Zero Duty EPCG Scheme
• Zero duty EPCG scheme was introduced in
the Foreign Trade Policy 2009-14 which
allows import of capital goods for
preproduction, production and post
• The scheme will be available for exporters of
engineering & electronic products, basic
chemicals & pharmaceuticals, apparels &
textiles, plastics, handicrafts, chemicals &
allied products, leather & leather products,
paper & paperboard and articles thereof,
ceramic products, refractories, glass &
glassware, rubber & articles thereof,
plywood and allied products, marine products,
Concessional 3% Duty EPCG Scheme
(a) Export obligation (EO) shall be 8 times of
duty saved amount. The Export Obligation
Period (EOP) shall be 8 years reckoned from
(b) EO of 6 times of duty saved and EOP of 12
years is applicable to:
(i) agro units,
(ii) units in cottage or
(c) In case of EPCG Authorization with a duty
saved amount of Rs. 100 crores or more,
EOP shall be 12 years.
(d) Second hand capital goods, without any
Type of Authorisation
Zero duty EPCG Authorisation
3% Duty EPCG Authorisation
EXPORT PROMOTION COUNCILS
• The basic objective of Export Promotion
Councils is to promote and develop the
exports of the country.
• Each Council is responsible for the
promotion of a particular group of
products, projects and services.
• The main role of the EPCs is to project
India's image abroad as a reliable
supplier of high quality goods and
• In particular, the EPCs shall encourage
and monitor the observance of
international standards and specifications
The major functions of the EPCs are:
• To provide commercially useful
information and assistance to their
members in developing and increasing
• To offer professional advice to their
members in areas such as technology
upgradation, quality and design
improvement, standards and
specifications, product development,
• To organise participation in trade
fairs, exhibitions and buyer-seller
meets in India and abroad.
• To promote interaction between the
exporting community and the
Government both at the Central and
• To organise visits of delegations of its
members abroad to explore overseas
Non-profit, Autonomous and
• The EPCs are non-profit organisations
registered under the Companies Act or the
Societies Registration Act .
• The EPCs shall be autonomous and regulate
their own affairs.
• The Central Government frames uniform
bylaws for the constitution and/or for the
transaction of business for EPCs, they shall
adopt the same with such modifications as
Central Government may approve
COMMODITY BOARDS (CBs)
• CBs have been established by the
GOI for many commodities with high
• These boards are supplementary to
EPCs and function on the same line.
• All the CBs , expert central silk
board are registered authority and
(RCMC) to exports.
NINE COMMODITY BOARDS
Central Silk Board.
All India Handicrafts Board.
All India handloom Board.
FUNCTIONS PERFORMED BY CBs
• Production , Promotion and Export of certain
• Introducing new ways of cultivation.
• Supplying trade information and statistics to the
• Participating in trade fairs and exhibition.
• Providing financial assistance for trade delegation
The Federation of Indian Export
• The Federation of Indian Export Organisations
represents the Indian entrepreneurs's spirit of
enterprise in the global market. set up in October,
1965, the Federation, known popularly as "FIEO".
• Export Houses, Trading Houses, Star Trading Houses
and Super Star Trading Houses and Consultancy
exporting firms, contributes 72 % of the total exports
of India. FIEO represents directly or indirectly, over
100,000 exporters across India.
• Exports by FIEO members comprise a wide spectrum of
products including Gems & Jewellery, Textiles ,
Engineering Goods , Handicrafts , Drugs and
Pharmaceuticals , a wide range of Consultancy Services
covering Infrastructure , etc..
Agro-based Industries, Small Scale Industries etc.
How FIEO has Developed :
Today the Federation is proud of the fact that its members
accounts for an estimated exports of US$ 24.3 billion out of
the total India's export of US$ 33.0 billion.
It shows for itself an achievement which notes that
approximately 73.6 % of the total exports from India emanate
from FIEO members.
It was in the year 1965 that this Federation came into being
with the support of Ministry of Commerce. Government of India
and private trade and Industry.
It has now graduated to a level of organisation providing global
link to exporters and working as a 'nerve centre' of Indian
What FIEO does
Wider exchange of views between allied industies
in public as well as the private sectors.
• Apprising all concerned bodies of Status of
• Monitoring the effects of Government policies on
Exports - Imports.
• Interacting with the Government on behalf of the
Basically, the Federation fulfills the above needs
INDIAN INSTITUTE OF FOREIGN TRADE
• IIFT was setup in 1964 , at new
Delhi and Kolkata as a primary
institution , for providing specialised
training in export marketing.
• The institutue has been given the
UNIVERSITY” by the University
• IIFT is essentially an academic ,
research and training organisation in
FUNCTIONS OF IIFT
• Collecting and supplying information
about overseas markets to exporters.
• Arranging for seminars , workshops ,
exhibitions, etc. in export market area
such as export pricing , innovation , etc.
• Sending trade representatives in oversea
markets for studying them.
• Its “ FOREIGN TRADE LIBRARY “ is
considered as best in ASIA , it is a
EOUs , EHTPs ,STPs & BTPs
• EOUs – EXPORT ORIENTED UNIT
• EHTPS – ELETCRONIC HARDWARE
• STPs – SOFTWARE TECHNOLOGY PARK
• BTPs – BIO-TECHNOLOGY PARK
• These unit may export all kinds of goods and services
expect prohibited items.
• State Trading Regime (system) shall not apply to EOU
• Gems and Jewellery EOUs may source gold , silver ,
platinum through nominated agencies.
• Only projects having a minimum investment of Rs. 1
crore and above in plant and machinery shall be
considered for setting up of EOU.
• Units engaged in professional services acivities are also
covered by the EOU scheme.
Special Economic Zones (sez)
• The Special Economic Zones Act, 2005,
was passed by Parliament in May, 2005
which received Presidential assent on the
23rd of June, 2005.
• Around 800 suggestions were received on
the draft rules.
• SEZs have been established in several
countries, including China, India,
Jordan, Poland, Kazakhstan, Philippines
Where are SEZs located in India?
• At present there are eight functional SEZs located at
Santa Cruz (Maharashtra) , Cochin (Kerala) , Kandla
and Surat (Gujarat) , Chennai (Tamil Nadu) ,
Visakhapatnam (Andhra Pradesh) , Falta (West Bengal)
and Noida (Uttar Pradesh) in India. Further an SEZ in
Indore (Madhya Pradesh) is now ready for operation.
• In addition 18 approvals have been given for setting up
of SEZs at Positra (Gujarat) , Navi Mumbai and Kopata
(Maharashtra) , Nanguneri (Tamil Nadu) , Kulpi and
Salt Lake (West Bengal) , Paradeep and Gopalpur
(Orissa) , Bhadohi , Kanpur , Moradabad and Greater
Noida (UP) , Vishakhapatnam and Kakinada (Andhra
Pradesh) , Vallarpadam/Puthuvypeen (Kerala) , Hassan
(Karnataka) , Jaipur and Jodhpur ( Rajasthan) on the
basis of proposals received from the state
The main objectives of the SEZ Act
(a) generation of additional economic activity
(b) promotion of exports of goods and services;
(c) promotion of investment from domestic and
(d) creation of employment opportunities;
(e) development of infrastructure facilities
India Trade Promotion Organisation
• India Trade Promotion Organisation (ITPO) was
incorporated by merger of Trade Development Authority
(TDA), a Registered Society under the administrative
control of the Ministry of Commerce & Industry, with
Trade Fair Authority of India (TFAI) with effect from 1
• India Trade Promotion Organisation (ITPO),
headquartered at Pragati Maidan, is the nodal agency of
the Government of India under aegis of Ministry of
Commerce and Industry (India) for promoting country's
ITPO is a Schedule-B Miniratna Central Public Sector
Enterprise (CPSE) with 100 percent shareholding of
Government of India.
Memorandum of Understanding (MoU)
• ITPO renewed its Memorandum of Understanding (MoU) with
Ministry of Commerce & Industry for the year 2013-14 on
20 March 2013.
The major highlight of the MoU are:
• Projected surplus of ₹ 100 Crore by ITPO during FY 2013
• Investment proposal to be submitted for the redevelopment
of Pragati Maidan into a modern and state-of-the-art
integrated Exhibition-cum-Convention Centre, to the Union
Cabinet for approval.
• Other Targets: 850 man-days of training to its both senior
and other employees during FY 2013-14 and reduction of
electricity & water consumption by 5 percent and 10 percent
The Main Activities & Services of ITPO
Participating in overseas trade fairs and
• Arranging product displays for visiting overseas
• Organising seminars/conferences/workshops on
• Encouraging small and medium scale units in export
Export Credit Guarantee Corporation
of India Limited (ECGC)
• The Export Credit Guarantee Corporation of
India Limited (ECGC) is a company wholly
owned by the Government of India based in
Government of India had initially set up
Export Risks Insurance Corporation (ERIC) in
It was transformed into Export Credit and
Guarantee Corporation Limited (ECGC) in
1964 and to Export Credit Guarantee
ECGC is the fifth largest credit
insurer of the world in terms of
coverage of national exports.
The present paid-up capital of the
company is Rs.900 crores and
authorized capital Rs.1000 crores.
How does ECGC help exporters?
• Offers insurance protection to exporters against
• Provides guidance in export-related activities
• Makes available information on different countries
with it's own credit ratings
• Makes it easy to obtain export finance from
• Assists exporters in recovering bad debts
• Provides information on credit-worthiness of
Export-Import (EXIM) Bank
• The Export-Import (EXIM) Bank of
India is the principal financial
institution in India for coordinating
the working of institutions engaged in
financing export and import trade.
• It was established on January 1,
1982 for the purpose of financing,
facilitating and promoting foreign
trade of India.
• The authorised capital of the EXIM
Bank is Rs. 200 crore and paid up
capital is Rs. 100 crore.
The main functions of the EXIM Bank are
• (i) Financing of exports and imports of
goods and services, not only of India
but also of the third world countries;
• (ii) Financing of exports and imports
of machinery and equipment on lease
• (iii) Financing of joint ventures in