The document provides an overview of India's Export-Import (EXIM) Policy, which governs exports from and imports into the country. It discusses the objectives and history of the EXIM Policy, as well as highlights of policies from 1992-1997, 1997-2002, 2002-2007, 2004-2009, 2009-2014, and the new 2015-2020 policy. The EXIM Policy aims to boost exports, support domestic industry, increase employment and trade. It focuses on trade liberalization, import/export facilitation, and promoting sectors like gems, textiles and electronics through various incentives and schemes.

1. Presented by
HARSHITHA.S and
IMRAN PASHA

2. INTRODUCTION
 Trade policy governs exports from and imports into
a country.
 Guided by the Export-Import (EXIM) Policy of the
government of India
 Regulated by the Foreign Trade (Development and
Regulation) Act, 1992
 Contains various policy with respect to imports and
exports i.e. export promotional measures, policies
and procedures related thereof
 Prepared and announced
by the Central Government (Ministry of Commerce
and Industry) for every 5 years of span.

3. HISTORY
• Directorate General of Foreign Trade (DGFT) is the main
governing body related to Exim Policy.
• Foreign Trade Act replaced the earlier law known as the
“Imports and Exports (Control) Act 1947”.
• In the year 1962, the Government of India appointed a
Special Exim Policy Committee to review the government
previous export import policies.
• The committee was later approved by the Government of
India.
• Mr. V. P. Singh, the then Commerce Minister, announced
the Exim Policy on the 12th of April, 1985.
• Initially the EXIM Policy was introduced for the period of
three years.
• The main objective to boost the export business in India.

4. OBJECTIVES
 Sustained growth in exports to attain a share of global trade
 Providing access to essential raw materials, intermediates,
components, consumables and capital goods required for
augmenting production and providing services
 To enhance the technological strength and efficiency of all
sectors of the economy
 To generate new employment.
 To provide consumers with good quality goods and services at
internationally competitive prices
 Making a market space for domestic produce
 To accelerate the economy from low level of economic
activities to high level of economic activities.

5. Key Strategies to achieve these objectives
a. Unshackling of controls
b. Simplifying Procedures
c. Neutralizing Incidence
d. Facilitating development of India
e. Identifying special focus areas
f. Facilitating technological upgradation
g. Avoiding inverted duty structure
h. Upgrading the Infrastructure
i. Revitalizing the Board ofTrade
j. Activating Indian Embassies

6. 1. Exim Policy 1992-1997
2. Exim Policy 1997-2002
3. Exim Policy 2002-2007
4. Exim Policy 2004-2009
5. Exim Policy(Interim) 2009-2010
6. Exim Policy 2010-2015
7. New Exim Policy 2015-2020

7. Exim Policy 1992-1997
 Liberalize imports and boost exports
 Bring stability and continuity
 The Central Government reserves the right to make
any amendments to the trade Policy under Section-5
of the Act in the Gazette of India.
 Export Import Policy is believed to be an important
step towards the economic reforms of India.
 542 items have been removed from restricted list
 Out of which 392 items have been placed on the free
list and other 150 items on Special Import License
(SIL) list
 60 items have been transferred from SIL list to free
list.

8. Exim Policy 1997-2002
The Government of India introduced a New Exim Policy for the year 1997-2002.
This policy has further simplified the procedures and reduced the interface
between exporters and the Director General of ForeignTrade (DGFT) by
reducing the number of documents required for export by half. Import has been
further liberalized and better efforts have been made to promote Indian exports
in international trade.
Objectives of the Exim Policy 1997 -2002
To accelerate the economy from low level of economic activities
to high level of economic activities
To motivate sustained economic and to improve the
technological strength
To create new employment
To give quality consumer products at reasonable prices.

9. Highlights of the EximPolicy1997-2002
 Liberalization
 Eliminated licensing, quantitative restrictions and other regulatory and
discretionary controls
 All goods, except those coming under negative list, may be freely imported or
exported.
 Imports Liberalization
 Of 542 items from the restricted list
 150 items have been transferred to Special Import Licence (SIL) list
 Remaining 392 items have been transferred to Open General Licence (OGL)
List.
 Export Promotion Capital Goods (EPCG) Scheme
 The duty on imported capital goods under EPCG Scheme has been reduced
from 15% to 10%
 Under the zero duty EPCG Scheme, the limit has been reduced from Rs. 20
crore to Rs. 5 crore for agricultural and allied Sectors.

10.  Advance Licence Scheme
 The period for export obligation has been extended
from 12 months to 18 months.
 A further extension for six months can be given on
payment of 1 % of the value of unfulfilled exports.
 Duty Entitlement Pass Book (DEPB) Scheme
 An exporter may apply for credit, as a specified
percentage of FOB(Free on Board) value of exports,
made in freely convertible currency.
 Such credit can be can be utilized for import of raw
materials, intermediates, components, parts,
packaging materials, etc. for export purpose.

11. Impact of EximPolicy 1997 –2002
1. Globalization of Indian Economy
To accelerate the economy from low level of economic
activities to- high level of economic activities by making it a
globally oriented vibrant economy and to derive maximum
benefits from expanding global market opportunities.
2. Impact on the Indian Industry
a. To boost India's industrial growth and generate employment
opportunities in non-agricultural sector.
b. Reduction of duty from 15% to 10% under EPCG scheme
c. Enables Indian firms to import capital goods
d. Improve quality and productivity of the Indian industry.
3. Impact on Agriculture
Allowing EOU’s and other units in EPZs in agriculture sectors
to 50% of their output in the domestic tariff area (DTA) on
payment of duty.

12. 4. Impact on Foreign Investment
Policy permitted 100% foreign equity participation in
the case of 100% Export oriented Unit(EOUs), and
units set up in Export Promotion Zones(EPZs).
5. Impact on Quality up gradation
It encouraged Indian industries to undertake research
and development programmers and upgrade the
quality of their products.
6. Impact on Self-Reliance
Encouraging domestic sourcing of raw materials, in
order to build up a strong domestic production base.
New incentives added in the Exim Policy have also
added benefits to the exporters.

13. Exim Policy 2002-2007
 It deals with both the export and import of merchandise and
services.
 Exim Policy: 1997 - 2002 had accorded a status of exporter to
the business firm and exporting services with effect from
1.04.1991. Such business firms are known as Service Providers.
Objectives of the Exim Policy: 2002 – 2007
 Augmenting exports of farm goods, the small scale sector,
textiles, gems and jewellery, electronic hardware etc.
 Reduce transaction cost to trade through a number of measures
to bring about procedural simplifications.
 Removal of quantitative restrictions (QRs) on exports, except a
few sensitive items.

14. Highlights of EximPolicy 2002-2007
Special
Economics
Zones
Cottage Sector
and Handicrafts
Small Scale
Industry
Leather
Textiles
Gem and
Jewellery
Employmentoriented
Electronic
Hardware
Projects
Chemicals
and Pharmac
euticals
TECHNOLOGYORIENTED
Directorate General of
Foreign Trade
Customs
Banks
Procedural
Reforms
Strategic Package for
Status Holders
Diversification of Markets
North Eastern States,
Sikkim and Jammu and
Kashmir
Neutralising High Fuel
Cost
GROWTHORIENTED

15. Logo of EximPolicy 2004-2009

16. Exim Policy 2004-2009
 Preamble
 Legal Framework
 Board OfTrade
 Promotional Measures
 Export Promotion Capital Goods Scheme
 Export Oriented Units (EOUs) and Special Economic Zones(SEZ)
 Electronics HardwareTechnology Parks (EHTPS)
 SoftwareTechnology Parks (STPs)
 Bio-Technology Parks (BTPs)
 FreeTrade & Warehousing Zones
 Deemed Exports

17. Promotional Measures of EximPolicy 2004-2009
1. Export Promotion Councils
2. Marine Products Export Development Authority
3. Agricultural & Processed Food Products Export
Development Authority
4. Indian Institute of Foreign Trade
5. India Trade Promotion Organization (ITPO)
6. National Centre for Trade Information (NCTI)
7. Export Credit Guarantee Corporation (ECGC)
8. Export-Import Bank
9. Export Inspection Council
10. Indian Council of Arbitration
11. Federation of Indian Export
12. Department of Commercial Intelligence and Statistics
13. Directorate General of Shipping
14. Freight Investigation Bureau

18. Special Economic Zones
Zones Location
Export Processing
Zones (EPZ)
Free Zones (FZ)
Industrial Estates (IE)
FreeTrade Zones (FTZ)
Free Ports
Urban Enterprise Zones
and others
Santa Cruz (Maharashtra)
Cochin (Kerala)
Kandla and Surat (Gujarat)
Chennai (Tamil Nadu)
Visakhapatnam (Andhra
Pradesh)
Falta (West Bengal)
Noida (Uttar Pradesh)
Indore ( Madhya Pradesh )

19. STAR EXPORT HOUSES
One Star Export House 15 crore
Two Star Export House 100 crore
Three Star Export House 500 crore
Four Star Export House 1500 crore
Five Star Export House 5000 crore

20. EximPolicy 2004-2009
1. Agricultural sector
2. Gems and Jewelers sector
3. Handloom and Handicraft sector
4. Leather and footwear
5. FreeTrade and Warehousing Zones(FTWZ)
6. DEPB SCHEME
7. EPCG SCHEME
8. Export Oriented Schemes
9. Board ofTrade(BOT)
10.Star Export Houses

21. EximPolicy 2009-2014
 To arrest and reverse declining trend of exports.
 Reviewed for two years
To double India's share in global merchandise trade by 2020
 Simplification of the application procedure for availing various
benefits
To set in motion the strategies and policy measures which
catalyze the growth of exports
To encourage exports through a “mix of measures” including
fiscal incentives, institutional changes, procedural
rationalization
 Efforts for enhance market access across the world
 Diversification of export markets
Objectives of Exim Policy 2009-2014

22. EximPolicy 2009-2014
Additional announcements in the policy
1. Tea
2. Automobile sector
3. Pharmacy
4. Marine Sector
5. Horticulture products
6. Nuclear
7. Ships

23. EximPolicy 2009-2010 (Interim)
Supplement To ForeignTrade Policy 2004-09 for the year 2009-10 was announced by Commerce
Minister Kamal Nath on February 26, 2009.
1. Promotional Schemes for Leather,Textile etc. for exports made effective
2. Benefit of 5% under FPS has been notified for export of Handmade carpets
3.Technical textiles and stapling machine have been added under Focus Product Scheme
4. Simplification of DEPB and EPCG schemes
5. Gem & Jewellery Export Promotion Council and StarTrading Houses (for gem and jewellery sector)
have been added under the list of nominated agencies for the purpose of import of precious
metals.
6. Import restrictions on worked corals have been removed to address the grievance of gem and
jewellery exporters.
7. Bhilwara in Rajasthan and Surat in Gujarat have been recognized asTowns of Export Excellence,
for textiles and diamonds respectively.
8. Export of blood samples is now permitted without license after obtaining ‘no objection certificate’
from Director General of Health Services (DGHS).
9. Simplified export procedure for issue of Free Sale Certificate.
10. Independent office of DGFT being opened at Srinagar.
11. Krishnapatnam seaport included for the purpose of Export Promotion Scheme.
12. Electronic MessageTransfer facility for Advance Authorization and EPCG Scheme established for
shipments from EDI ports. Requirement of hard copy of Shipping Bills dispensed with for Export
Obligation discharge.

25. New EximPolicy 2015-2020
 DGFT as a facilitator of exports/imports
 Niryat Bandhu - Hand Holding Scheme for new export / import
entrepreneurs
 OnlineComplaint Registration and Monitoring System
 Exporter Importer Profile
 Reduction in mandatory documents required for Export and Import
 Electronic Data Interchange (EDI)
 Message Exchange with Community partners Customs, Banks, Export
PromotionCouncils (EPCs) are major community partners of DGFT for
message exchange.
 24 X 7 Customs clearance
 SingleWindow in Customs
 Self-Assessment of Customs Duty
 Export of perishable agricultural Products
 Importer-Exporter Code (IEC)

26. Conclusion
• India needs to try diversify the exports
• But also have a perceptible share in the top items of the
world trade
• As the entire world is unprecedented economic
slowdown
• But if the industry and government work is tandem, we
will be able to ensure that the Indian exports become
globally competitive and we are able to achieve a target
which we have set for ourselves
• Thus, we can say that India is trying to be more liberal in
its foreign trade policy

27. PRESENTEDBY TheYoungIndianEconomists.wordpress.com