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Development of Imported Foods Monitoring and Guidance Plan for FY 2006
Progress of MAI project on Medicinal and Aromatic plants by BIFT
India and WTO Newsletter
Report on Conference of Head of Indian Missions/Commercial Representatives in Sub-Saharan African Countries
Final report on Conference of Commercial Representatives of India based in select W A N A countries
Report of the India Russia Joint Study Group
Report of the Task Force on Pharmaceuticals
India and Australia Joint Free Trade Agreement Feasibility Study
Statement of Activities 2013 and 2014
Guidelines issued by PESB ACC for Board Level appointments in CPSEs Appointment of a Nodal Officer in the Department of Commerce
 
 
Annual Report 2012-2013
 
 
 
Annual Report 2012-2013
 
 

Export Promotion Measures

The primary responsibility of the Department of Commerce is to facilitate creation of an enabling environment and infrastructure for accelerated growth of external trade. The core functions include regulation, development and promotion of India’s international trade and commerce through formulation and implementation of appropriate trade and commercial policies. Creation of an international standard infrastructure for rapid growth of trade is an integral part of the overall long-term policy being pursued by the department.

The department implements the following export promotion measures at micro level to embark upon the short term and long term problems faced by the trade and industry related to external sector :-

  1. Assistance to States for Developing Export Infrastructure and Allied Activities (ASIDE) Scheme
  2. Infrastructure Support (Air, Sea and Road Transport)
  3. Market Access Initiative (MAI) Scheme
  4. Marketing Development Assistance (MDA) Scheme
  5. Export Credit Guarantee Corporation of India Limited (ECGC)
  6. National Export Insurance Account (NEIA)
  7. India Brand Equity Foundation (IBEF)
  8. E-TRADE Project
  9. Major Initiatives undertaken by Export Promotion Councils (EPCs)

A. Gem & Jewellery Export Promotion Council (GJEPC)

B. Electronics and Computer Software Export Promotion Council (ESC)

C. Council for Leather Exports (CLE)

D. Chemicals Export Promotion Council (CHEMEXIL)

E. The Plastics Export Promotion Council (PLEXCONCIL)

F. Chemicals and Allied Products Export Promotion Council (CAPEXIL)

G. Shellac and Forest Products Export Promotion Council (SHEFEXIL)

H. Sports Goods Export Promotion Council (SGEPC)

I. Engineering Export Promotion Council

j. Services Export Promotion Council

k. Project Exports Promotion Council of India (PEPC)

l. The Cashew Export Promotion Council of India (CEPC)

m. Indian Oilseeds and Produce Export Promotion Council (IOPEPC)

N. Export Promotion Council for EOUs and SEZs

O. Pharmaceutical Export Promotion Council (PHARMEXCIL)

I. Assistance to States for Developing Export Infrastructure and Allied Activities (ASIDE) Scheme

The ASIDE scheme was launched on 13.3.2002. During the 10th Five Year Plan (2002-07) and the 11th Five Year Plan (2007-12) Rs. 2050 Cr and Rs. 3048 Cr respectively were spent under this scheme. The allocation for financial year 2012-13 is Rs. 800 Crore and the allocation as per RE (Revised Estimates) is Rs 655 Crore.

Prior to the ASIDE scheme, the Department had been implementing four infrastructure development schemes viz. the Export Promotion Industrial Park Scheme (EPIP), Export Promotion Zones Scheme (EPZ), the Critical Infrastructure Balancing Scheme (CIB) and the Export Development Fund (EDF) for the North-East and Sikkim etc. The new Scheme subsumed the aforementioned Central Schemes in order to develop export related infrastructure. After merger of above schemes in the ASIDE scheme, the on-going projects under these Schemes have also been funded by the States / UTs from the resources provided under the ASIDE scheme.

The implementation of the scheme by States / UTs has been encouraging. The salient findings of a mid-term appraisal of scheme during 11th Five Year Plan commissioned to IL&FS are asunder:-

  • It has now been established that there has been an upswing in exports from States and in concomitance, there has been an upswing in allocation, sanction and utilization and number of projects being implemented.
  • Exports have more than doubled in the last four years. Although the increase in exports cannot be attributed solely to ASIDE, the scheme has contributed substantially and handsomely to export efforts. In fact, most of the states are now warming up to the scheme having understood and grasped benefits of leveraging ASIDE funds.
  • A quantum jump in allocation of funds is imperative if substantial improvements are to be expected in infrastructure, and therefore, exports.

The mandate of the Department is regulation, development and promotion of India’s international trade and commerce through formulation of appropriate international trade and commercial policy and its implementation. One of the key objectives is to involve States in export efforts by providing assistance to States for creating appropriate infrastructure under Assistance to States for Development of Export Infrastructure and other Allied Activities (ASIDE) Scheme.

The Vision of Department is to make India a major player in the world trade by 2020 and assuming a role of leadership in the international trade bodies commensurate with India’s importance in contemporary world. Besides, the Mission is to double India’s exports of goods and services by 2013-14 over the level of 2008-09 with a long-term objective of doubling India’s share in Global trade by the end of 2020 through appropriate policy support. In this context, several studies (Annexure-I) were made thereafter and in light of studies and their findings, ASIDE guidelines have been accordingly realigned.

Salient Features of the Scheme

The objective of the scheme is to involve States / UTs in export effort by providing assistance to the State Governments / UT Administrations for creating appropriate infrastructure for development and growth of exports. Such involvement will be based on projects to be prioritized by States / UTs to address the critical link both at the point of production and the point of evacuation in the industrial cluster, largely within the contour of the first mile and the last mile consideration.

The scheme will provide an outlay for development of export infrastructure which will be distributed to the States / UTs according to a pre-defined criteria.

The activities aimed at development of infrastructure for exports can be funded from the scheme, provided such activities have an overwhelming export content and their linkage with exports is fully established. The scheme shall be exclusively used for creating infrastructure which does not get reflected either in the State / UT plan or in the plans of the Central Ministries or its organization(s), yet such infrastructure is critical for growth of exports.

The outlay of the scheme has two components: State Component (80% of the total outlay) and Central Component (20% of the total outlay). 90% of total outlay under State Component of ASIDE i.e. ASIDE (State Component--General) is earmarked for allocation to States / UTs on the basis of the approved criteria to be utilized for the approved purposes. The balance 10% of State Component of ASIDE i.e. ASIDE (State Component-Incentive ONER) will be allocated by DoC for incentivizing the better performance of ONER States / UTs ( States / UTs other than NER including Sikkim) as per Incentive guidelines. At the State Level, a State Level Export Promotion Committee (SLEPC) headed by Chief Secretary of the State and consisting of States Secretaries of concerned Departments, a representative of the States Cell of Department of Commerce (DoC), Joint Director General of Foreign Trade posted in that State/ region and Development Commissioner of SEZs in the State scrutinizes and approves specific projects and oversees its implementation.

90% of total outlay under Central Component of ASIDE i.e. ASIDE (Central Component-General) shall be earmarked at the central level to cater to projects emanating from Central SEZs, other sector specific central agencies like spices Board, Tea Board, Gems and Jewellery Export Promotion Councils, Airports, Ports etc and any other activity considered important by the Central Government from the regional or the national perspective.

At the Central Level, an Empowered Committee under chairmanship of Commerce Secretary with representatives of other Departments, approves and monitors the projects under the Central Sector. This Empowered Committee also periodically reviews progress of projects and takes steps to ensure achievement of objectives of the scheme.

The balance 10% of Central Component of ASIDE i.e. ASIDE (Central Component-Incentive NER) is allocated by DOC for incentivizing the better performance of NER States including Sikkim as per Incentive guidelines of Scheme.

For current financial year (2012-13), a budget of Rs. 800.00 crore (BE) has been allocated under ASIDE scheme. Details of funds released under ASIDE from 2002-03 to 2012-13 to various States, the North- Eastern Region and the Central Sector is indicated below:-

Table 5.1
Outlay and sanctions/releases under ASIDE

(Rs.Crore)

Year

Total Outlay

Sanction/Release to States (including N.E. Region)

Sanction/ Release in the Central Sector

Total Sanction/Release under ASIDE

2002-03

325.46

241.00

84.46

325.46

2003-04

350.00

252.00

98.00

350.00

2004-05

424.88

313.84

111.04

424.88

2005-06

500.99

383.00

117.99

500.99

2006-07

450.00

358.92

90.25

449.17

2007-08

569.00

439.99

129.01

569.00

2008-09

570.00

437.84

131.40

569.24

2009-10

570.00

433.93

136.07

570.00

2010-11

662.98

530.00

132.98

662.98

2011-12

707.16

560.32

116.62

676.94

2012-13*

800.00

490.92

82.30

573.22

Table- 5.2
Year-wise releases of funds to the States / UTs under state Component of ASIDE Scheme

(Rs. Crore)

 

State

02-03

03-04

04-05

05-06

06-07

07-08

08-09

09-10

10-11

11-12

12-13*

1

Andhra Pradesh

12.00

13.00

13.85

15.45

17.00

21.20

19.20

20.41

31.21

40.82

36.44

2

A & N Islands

2.00

1.00

0.00

0.00

0.00

0.00

1.20

57.00

0.00

0.00

0.00

3

Bihar

3.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

4

Chandigarh

1.00

0.00

0.00

3.20

1.75

0

2.50

0.00

0.00

0.00

0.00

5

Chhattisgarh

4.00

4.00

5.00

5.00

5.50

4.35

0.00

5.22

5.22

6.66

2.92

6

Dadra & Nagar Haveli

1.50

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

 

0.00

 

0.00

7

Daman & Diu

1.50

0.00

0.00

0.00

0.00

0.00

0.00

2.42

2.42

0.00

0.00

8

Delhi

1.00

0.00

0.00

2.65

1.45

2.90

0.00

0.00

0.00

0.00

0.00

9

Goa

6.00

6.00

3.73

6.09

0

6.70

5.70

5.41

5.41

7.13

3.06

10

Gujarat

14.00

15.00

35.78

43.38

47.70

59.725

58.35

59.57

59.57

55.28

64.00

11

Haryana

6.00

6.00

8.49

14.05

7.725

15.45

15.45

14.68

34.68

20.85

21.10

12

Himachal Pradesh

7.00

7.50

5.00

 

5.53

6.00

6.00

6.00

5.70

5.70

5.10

5.27

13

Jammu & Kashmir

6.00

6.00

5.00

5.25

5.80

5.80

5.80

5.51

5.51

0.00

0.00

14

Jharkhand

4.00

4.00

0.00

0.00

2.75

2.75

5.50

5.22

0.00

0.00

0.00

15

Karnataka

18.00

19.00

24.14

33.99

37.40

42.62

41.62

39.54

70.34

52.39

45.77

16

Kerala

11.00

12.00

9.30

10.69

11.75

11.75

9.75

9.26

9.26

18.52

16.62

17

Lakshadweep

2.00

2.00

0.00

0.00

0.00

0.00

0.00

0.00

1.0173

0.00

0.00

18

Madhya Pradesh

20.00

11.00

14.35

14.35

7.90

15.80

14.80

14.06

14.06

22.16

19.40

19

Maharashtra

16.00

34.00

57.09

65.52

72.10

82.00

80.00

81.22

81.22

68.00

64.00

20

Orissa

4.50

10.00

6.05

6.93

7.65

8.92

7.92

9.14

14.14

17.90

18.00

21

Pondichery

3.00

1.50

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

22

Punjab

9.00

10.00

9.68

12.17

6.0

6.70

13.40

12.73

12.73

16.26

14.28

23

Rajasthan

12.00

13.00

13.20

13.20

7.265

14.53

13.53

12.85

29.39

24.42

21.58

24

Tamil Nadu

28.00

30.00

39.19

39.19

43.12

49.88

47.88

49.10

49.10

67.27

59.77

25

Uttar Pradesh

20.00

21.00

12.59

21.00

11.55

23.10

22.10

20.99

20.99

34.13

0.00

26

Uttaranchal

4.00

2.00

5.00

5.27

0.00

0.00

5.80

0.00

5.51

6.02

2.54

27

West Bengal

10.00

11.00

14.91

20.09

22.10

22.10

20.10

19.09

29.89

35.91

31.53

 

Total

226.50

239.00

282.35

343.00

322.51

402.27

396.60

449.12

487.38

498.82

426.28

North Eastern Region

1

Arunachal Pradesh

1.00

1.25

0.00

2.51

1.38

2.76

0.00

0.00

1.38

0.00

0.00

2

Assam

4.00

5.00

11.49

12.57

6.915

13.83

13.83

13.83

13.83

27.66

29.41

3

Manipur

2.00

0.00

2.00

2.06

2.27

2.27

2.27

2.27

2.27

4.54

4.56

4

Mizoram

1.00

0.00

2.00

3.24

3.56

3.56

3.56

3.57

3.56

3.50

4.30

5

Meghalya

2.00

2.50

5.72

8.34

9.17

2.99

9.17

9.17

9.17

9.44

11.61

6

Nagaland

1.00

0.50

2.00

2.00

2.20

2.20

2.20

2.20

2.20

3.63

1.815

7

Sikkim

0.50

0

0.00

2.00

2.20

2.20

2.20

2.20

2.20

2.69

2.70

8

Tripura

3.00

3.75

8.28

7.28

8.01

8.01

8.01

8.01

8.01

10.04

10.25

 

Total

14.50

13.00

31.49

40.00

35.705

37.82

41.24

41.24

42.62

61.50

64.64

 

Grand Total

241.00

252.00

313.84

383.00

358.21

440.09

437.84

490.36

530.00

560.32

490.92

* As on 21.12.2012

Funds are disbursed directly to a Nodal Agency nominated by the State Government where it is kept in a separate financial account-head of Nodal Agency. In order to minimize delay in submission of reports, utilization certificates, and for updating of project related information, a web–enabled monitoring system(WEMS) on the website of the Department of Commerce has been developed. As a result, monitoring of utilization of funds released under ASIDE has been streamlined.

Changes brought in ASIDE Guidelines:

ASIDE guidelines for 12th FYP (2012-17) have been revised. The revised ASIDE guidelines may be seen at http:// www.commerce.nic.in or http://www.commerce.gov.in under Head-National Trade, Subhead--Trade Promotion Assistance as “ Revised ASIDE guidelines 12th FYP(2012-17)”.

  • Projectised Basket Approach : In view of doubling of exports envisaged in FTP 2009-14 , involvement of States / UTs is now based on the projectised basket approach. Herein a general basket of 500-600 critical export infrastructure projects with visible and tangible impact for implementation during 12th FYP (2012-17) is being prepared. The basket shall form the basic boundary of the Scheme. The list shall serve as the benchmark for the type and size of the projects. Such basket will consists of shelf of projects (20-40 in number) received from all States / UTs and States are to implement these ASIDE projects during 12th FYP(2012-17) on priority basis.
  • Four Category of States / UTs: All States/ UTs have been grouped in four category: Large, Medium, Small and North Eastern States. Punjab and Haryana fall in Medium Category States.
  • The project size should be such that tangible infrastructural projects are taken up. For this the ASIDE contribution shall be a minimum of Rs 5 Crores for large States and Rs 2.5 Crores for Medium / Small / North Eastern States including Sikkim. In case the State wishes to take projects outside the list of the basket of the projects, mandatory concurrence of the DoC will have to be obtained to ascertain the relevance of the project for export. In such a case the State would also need to co-finance the project where ASIDE contribution would be limited to 50%.
  • 10 % of ASIDE outlay is reserved for incentivizing States / UTs for their better performance under ASIDE as per Incentive guidelines.

Other Activities

  • Land free from all encumbrances is prerequisite for consideration of projects for assistance under ASIDE.
  • The assistance covered under ASIDE is only for capital infrastructure.
  • The estimated total project works cost to be taken for consideration for assistance under ASIDE Scheme should be vetted (both technical and financial aspects) by the competent authority either of the State Governments/ UT Administration or Local Bodies like municipalities etc or other statutory bodies etc on the basis of prevailing Schedule of Rates (SOR) in the State / UT concerned at that point of time of Competent Authority of Central Public Works Department (CPWD) as per Delhi Schedule of Rates (DSR).

Achievement of Objectives of ASIDE scheme

Basic objective of the scheme is to involve the States / UTs in export efforts by providing incentive-linked assistance to concerned Governments and to create appropriate infrastructure for development and growth of exports. It has been possible to achieve this in spite of various constraints, as is evident from active participation of States/UTs in sponsoring a large number of export related projects for assistance from ASIDE Scheme. Efforts have also been made by them to leverage ASIDE funds for taking up several projects. Demands received far outweigh availability of funds.

Under the state component of the said scheme, a total number of 1509 projects worth Rs. 17619.98 crore have been approved by the State Level Export Promotion Committees (SLEPCs) from 2002-03 to 2012-13 (end of Jan.2013). Out of this Rs. 5430.12 crore only has been proposed by State Govt./UTs to be met from the ASIDE funds released to them under the state component, and the balance of Rs. 12189.86 crore have been/are being leveraged from State Govt/UTs contribution and other sources identified by the State Govt./UTs. Similarly in the Central Component a total of number 428 projects worth Rs. 2522.92 crore have been approved so far and out of that Rs. 1484.02 crore has been/ is to be funded from the central component of ASIDE scheme. Balance Rs. 1038.90 crore has been/is being leveraged from other sources including states, private partnership and agencies of states. Thus in the project under central component of the said scheme also it has been possible to involve states/central agencies.

During 2011-12, 151 projects were approved by the State Level Export Promotion Committees (SLEPCs) under ASIDE amounting to Rs. 1381.27 crore. Out of this, only Rs. 843.52 crore has been proposed by State Govt./UTs to be met from the ASIDE funds and the balance have been/are being leveraged from State Govt/UTs and other sources identified by the them. Similarly, in the Central Component, 33 projects amounting to Rs. 209.47 crore have been approved so far and out of that, Rs. 126.99 crore has been / is to be funded from the central component of ASIDE scheme. Balance has been/is being leveraged from other sources including states, private partnership and agencies of states.

Best Projects identified under ASIDE

The projects taken under ASIDE by States / UTs since inception of ASIDE scheme has been documented and shared with all States / UTs for their benefit. The list of projects is as under:

Table 5.3
The projects taken under ASIDE by States / UTs since inception

( Rs. Crore)

S. No

Project

State

State
Category

CompletionYear

Total Cost

Cost ASIDE

Cost State Government

 

Cost Pvt. Sector/ Others

 

No. of Projects Clubbed Together

1

Strengthening of R & D center for Bicycles and
Sewing Machines
at Ludhiana

Punjab

Medium

2008

8.35

8.15

0.2

0

1

2

Strengthening of Institute for Auto-parts and Hand Tools Technology

Punjab

Medium

2004

5.18

5.18

0

0

1

3

Floriculture Park Project , Chaffi

Uttrakhand

Medium

2010

10

10

0

0

1

4

Infrastructure
Development at Baddi Barotiwala Industrial Area

Himachal Pradesh

Medium

2002-2009

35.13

34.93

0.2

0

80

S. No

Project

State

State Category

Completion

Year

Total Cost

Cost ASIDE

Cost State Government

 

Cost Pvt. Sector/ Others

 

No. of Projects Clubbed Together

5

Infrastructure Augmentation at EPIP Kochi

Kerala

Medium

2009

11.5

7.52

3.982

0

1

6

Kottyam Port and Container Terminal

Kerala

Medium

2011

9.52

5.66

0

3.86

1

7

Truck Terminal at Kochi port

Kerala

Medium

2010

4.15

2.45

0

1.70

1

8

Aditya Pur Toll Bridge

Jharkhand

Medium

2011

74.4

6

2

66.40

1

9

Advance Jewellery Design Technology Center

Karnataka

Large

2008

4.18

2.28

0

1.90

1

10

International Flower Auction Yard

Karnataka

Large

2009

12.74

3

6.12

3.62

1

11

Brandix India Apparel City

Andhra Pradesh

Large

2009

258

35

0

223

7

12

Expansion of Affluent Treatment Plant at Ankleshwar

Gujarat

Large

2009

34.34

16.57

12.31

5.46

1

13

Up gradation of Infrastructure at Industrial Area Mandideep

Madhya Pradesh

Large

2004

15.73

13.44

2.29

0

5

14

Fortune Tower IT Park Bhubaneshwar

Orissa

Large

2003

44.64

6.8

36.04

1.80

1

15

Vertical Expansion of CIPET Building for Technical Consultancy Cell & Export Testing Laboratory

Orissa

Large

2008

18.02

3.33

14.69

0

1

16

Center for development of Stones, Sitapura

Rajasthan

Large

2005

6

3

3

0

1

17

Gems and Jewellery SEZ at Sitapura Jaipur

Rajasthan

Large

2004

7.21

2.5

4.71

0

1

18

Implementation of off-site infrastructure of Garment Park Project, Kolkata

West Bengal

Large

2008

76.43

33.02

43.41

0

1

19

Upgradation of approach to SEEPZ from Mahakali Caves Side in Marol Industrial Area, Andheri East

Maharashtra

Large

2003

3.68

1.84

1.84

0

1

S. No

Project

State

State Category

Completion

Year

Total Cost

Cost ASIDE

Cost State Government

 

Cost Pvt. Sector/ Others

 

No. of Projects Clubbed Together

20

Providing Infrastructure Facilities in Airoli Knowledge Park, Near Mumbai

Maharashtra

Large

2007

2.72

1.36

1.36

0

1

21

Maniram Dewan Trade Centre (Guwahati trade Center)

Assam/ NE

NE

2007

20.38

20.38

0

0

1

22

Establishing Infrastructure Development Park (Rubber Park), Tripura

Tripura/NE

NE

2011

23

18.40

0

4.6

1

23

Establishment of Bamboo Park at Bodhjungnagar, Tripura

Tripura/NE

NE

Ongoing

29.35

10.2

0

19.15

1

24

Integrated Development Complex at Agartala

Tripura/NE

NE

2010

4.88

4.88

0

0

1

25

City Center at IDI Surat

Gujarat

Central

2011

11.8

9.44

2.36

0

1

26

Chennai Trade Center

Tamil Nadu

Central

2002-2008

60.6

26.48

29.81

4.31

1

27

India Expo Mart,
Greater Noida

Uttar Pradesh

Central

2005-2006

383.05

12

0

371.05

1

28

National Centre for Photo & Picture Framing Technology (NCPPFT) and Technology Up gradation Centre (TUC)

Uttar Pradesh

Central

2003-2009

4.97

4.41

0

0.55

2

 

Incentive Scheme

As per guidelines to incentivize better performance amongst States / UTs within existing framework of ASIDE Scheme, 10% of ASIDE annual allocation is set aside for the incentive scheme, wherein, funds out of State Component of ASIDE is earmarked for States other than NER and the 10% out of Central Component for NER States including Sikkim. In 2010-11 Karnataka, Rajasthan and Haryana under ONER (other than NER) Category and Manipur in NER Category have been incentivized for their better performance. In 2011-12 Karnataka, Rajasthan, Maharashtra and Haryana under ONER (other than NER) Category and Manipur, Nagaland, Sikkim and Tripura in NER Category are found eligible for incentive.

Monitoring of the ASIDE scheme

The progress of the Scheme in States is closely monitored by the states cell. In order to evaluate progress in the implementation of projects, its impact on exports etc., the projects sanctioned under ASIDE/CIB are being visited by field formations of Department of Commerce who submit consolidated report in the prescribed format to Department of Commerce, State Government and the nodal agency of the State for appropriate action. Senior Officers of the Department of Commerce have also been made Nodal Officers and allocated certain States/UTs for on the spot inspection of the projects being taken up by the States/UTs from ASIDE funds.

Review Meetings with State Governments are held by Department of Commerce for evaluation of ASIDE progress in the States. A web-enabled monitoring system of ASIDE projects has been developed on the website of the Department for online progress assessment. In this system we have entry module and reporting module. In the entry module Nodal Agency of respective State Govt. /UT administration has been authorised to enter details of the projects approved by concerned SLEPC and also physical and financial progress pertaining to each project on quarterly basis. In the report module, the administrative division in the Ministry enters the details of funds released from time to time and then based on two entries, a report is generated, regarding utilization of funds and also un-utilized balance left with the Nodal Agency. In the entry module there is also provision for entering the period for which UCs has been submitted to DOC. While considering the further release, it is ensured that all the UCs which were due have been received and also the Nodal Agency does not have substantial un-utilized balance from the previous releases.

Some best projects

 

Post Harvest Technology Center at Bijapur (KAPPEC)

Centre for Development of Stones, Jaipur Stone crafts Village (Artisans Village)

Kottyam Port and Container Terminal, Kottyam Kerala

Strengthening of Institute of Auto parts & Hand Tools Technology, Ludhiana

International Flower Auction Yard, Bangalore (IFAB)

Additional Infrastructural Facilities at Calicut Air Cargo Complex under ASIDE scheme

II. Infrastructure Support

Department of Commerce endeavors to provide transport/logistic support to India’s foreign trade through coordination and resolution of problems experienced by the trading community in carriage of goods by courier, sea, air, rail and road with the concerned Ministries and Departments. It seeks to encourage greater containerization, computerization of cargo clearance and electronic data interchange, warehousing, setting up of Inland Container Depots (ICDs), Container Freight Stations (CFSs) etc.

In order to resolve the infrastructural constraints being faced by exporters / importers on infrastructural front, DOC has been taking up the matter with Ministry of Shipping, Ministry of Road Transport and Highways, Department of Revenue, Ministry of Civil Aviation, Ministry of Railways etc.

The following steps have been taken for trade infrastructure development and trade facilitation:-

1. Inter Ministerial Committee (IMC) :

  • Single Window Clearance for the proposals for setting up of Inland Container Depots/Container Freight Stations (ICDs/CFSs) is given through an Inter-Ministerial Committee (IMC) functioning since 1992 under the Chairmanship of Additional Secretary (Infrastructure Division), Department of Commerce. So far, 263 LOIs have been issued out of which 184 are functional and 79 are under implementation.
  • In the year 2012-13 (i.e. upto 27.11. 2012), four IMC meetings have been held, in which 15 proposals for issue of Letter of Intent (LOI) and 18 cases of extension of LOI have been approved. During the current financial year 10 new projects have been approved by IMC.

2. Standing Committee on Promotion of Exports by Sea (SCOPE-Shipping) and Standing Committee on Promotion of Exports by Air (SCOPE-Air) :-

  • Two high level committees, viz. the Standing Committee on Promotion of Exports by Sea (SCOPE-SHIPPING) and the Standing Committee on Promotion of Exports by Air (SCOPE-AIR) are functioning under the Chairmanship of the Additional Secretary (Infrastructure), DOC. The objective of these Committees is to address constraints in the smooth movement of international cargo and resolve problems of exporters concerning Customs, Containerisation, Air, Shipping & Railways related issues. The meetings of these two Committees are normally held every year. Since 2004, seven meetings of these Committees have been held. The last meetings of SCOPE-Shipping and SCOPE-Air were held on 12th December, 2012 and 13th December, 2012 respectively in New Delhi.
  • Issues relating to bottlenecks in trade by sea, air, rail and road are discussed in the above meetings and necessary directions are given by the Chairman of the Committee to the concerned ministries/ departments/agencies to sort out the prevailing problems.

3. Resolution of problems faced by trade:

Besides the above measures, other important residual issues which are raised by the associations / organizations of exporters / importers about reported difficulties being faced by shippers/ exporters while importing / exporting consignments resulting in enhanced transaction cost on account of arbitrary and exorbitant charges by shipping lines, consolidators, freight forwarders and other service providers such as collusive price fixing by the service providers at ports / airports and cartelization of the shipping liners resulting in sharp cost escalation, congestion at various ports, lack of suitable infrastructure, poor planning and congestion at ports have been taken up at appropriate level by the DOC, from time to time.

III. Market Access Initiative (MAI) Scheme

The Market Access Initiative (MAI) Scheme is a Plan scheme formulated to act as a catalyst to promote India’s exports on a sustained basis, based upon ‘focus product’ and ‘focus market’ concept. Under the scheme, assistance is extended to the Departments of Central Government and organizations of Central/ State Governments, Export Promotion Councils, Registered Trade Promotion organizations, Commodity Boards, recognized Apex Trade Bodies and Recognized Industrial Clusters and individual Exporters (only for product registration and testing charges for engineering/Pharmaceuticals products abroad). The scheme was revised after a thorough review with extensive consultation with all the stake holders in the year 2006 and revised Scheme was launched with effect from January, 2007. During the year 2012-13, 149 projects/studies including 12 “India Shows” were approved for receiving assistance under the scheme. Year-wise status of MAI allocation/release is as under:-

Table 5.4
Year wise Status of MAI Allocation/Releases

(Rs Crore)

Year

Outlay

Expenditure

2006-07

40.00

39.99

2007-08

45.00

44.99

2008-09

50.00

49.99

2009-10

64.00

64.00

2010-11

110.00

110.00

2011-12

150.00

150.00

2012-13

125.00

120.00*

*Upto 12th February 2013.

Table 5.5
Approved “India Show” (2012-13)

1

JCK, Las Vegas, USA

GJEPC

1-5 June 2012

2

M-Tech 2012 exhibition, Tokyo, Japan

EEPC

20-22 June 2012

3

Accra, Ghana

FICCI

9-11 July 2012

4

Sri Lanka

CII

3-5 August 2012

5

IIJS Mumbai

GJEPC

23-27 August 2012

6

Kiev, Ukraine

FICCI

5-9 September 2012

7

Brno International Engineering Fair at
Czech Republic

EEPC

10-14 September 2012

8

6th Annual China International Auto Part Expo, Beijing, China

CII

26-28 October 2012

9

CPHI Worldwide, Spain

PHARMEXCIL

9-11 October 2012

10

Dhaka, Bangladesh

FICCI

3-5 December 2012

11

2nd India- ASEAN Business Fair at New Delhi
during India- ASEAN Commemorative
summit 2012

FICCI

18-20 December 2012

12

India Engineering Sourcing show, Mumbai

EEPC

14-16 March2013

lV. Marketing Development Assistance (MDA) Scheme

To facilitate various measures being undertaken to stimulate and diversify the country’s export trade, Marketing Development Assistance (MDA) Scheme is under operation through the Department of Commerce. The Scheme supports the following activities:

  • Assist exporters for their participation in approved EPC/Trade Promotion Organization led export promotion events abroad.
  • Assist Export Promotion Council (EPCs) to undertake export promotion activities for their product(s) and commodities.
  • Assist approved organization/trade bodies in undertaking exclusive nonrecurring innovative activities connected with export promotion efforts for their members.
  • Assist Focus export promotion programmes in specific regions abroad like FOCUS (LAC), Focus (AFRICA), Focus (CIS) and Focus (ASEAN +2) Programmes.
  • Residual essential activities connected with marketing promotion efforts abroad.

Table 5.6
Year wise status of MDA Releases/Allocation

(Rs Crore)

Year

Outlay

Expenditure

2006-07

52.25

52.25

2007-08

52.25

52.25

2008-09

52.25

52.25

2009-10

53.00

53.00

2010-11

56.00

56.00

2011-12

50.00

50.00

2012-13

39.50

39.50*

*Upto 12th February 2013.

V. Export Credit Guarantee Corporation of India Limited (ECGC)

The Export Credit Guarantee Corporation of India Ltd. (ECGC) Mumbai was set up in 1957 under the Companies Act, 1956. It has the primary objective of supporting the country’s exports by extending Insurance and Guarantee facilities to the Indian exporters and the commercial banks. The paid up capital at the end of 2011-2012 was Rs. 900.00 crore. The Corporation has registered itself with the IRDA on 27th September, 2002 bearing Registration No. 124.

The standard policies provide insurance cover to exporters against commercial and political risks for shipment made on short-term credit. Transfer guarantees are issued to banks in India, which add confirmation to letter of credit and such guarantees protect the banks against losses that may be sustained by them due to default of the banks or because of certain political risks. There were 13005 short-term policies including transfer guarantees and 62 long term policies, in force on 31.03.2012. The total value of shipment declared under the schemes (short-term policies, transfer guarantees and Domestic Credit Insurance) in the year 2011-2012 amounted to Rs. 99,550.01 crore as compared to Rs. 93,127.40 crore in 2010-11, recording a growth of 10.25%.

The total claims paid during the year 2011-2012 amounted to Rs. 713.03 crore as compared to Rs. 620.53 crore in the previous year 2010-11. Claims paid during April to September 2012 were Rs. 201.07 crore as compared to Rs. 162.50 crore paid during corresponding period in previous year.

During the year 2011-2012, a total sum of Rs.168.64 crore was recovered (previous year Rs.136.06 crore) consisting of Rs.6.31 crore from the short term policy cases, Rs.152.59 crore from the Export credit Insurance to Bank cases and Rs.9.74 crore from Medium and Long term cases. An amount of Rs.63.81 crore was recovered during the period April-September 2012 as against Rs.96.35 crore recovered during the same period in the previous year.

The total gross direct premium income from all the schemes of corporation during the year 2011- 2012 amounted to Rs.1004.83 crore as compared to Rs.885.47 crore in 2010-11. The growth came from the Export Credit Insurance to Bank business, accounting for 59.89% of the total premium income, followed by Short Term Policy sector including factoring, which contributed 35.42%. The income from medium and long term sector accounted for just 4.69% (Rs.47.27 crore) of the total premium income.

The total gross income of the corporation amounted to Rs. 1,355.72 crore (Previous year Rs.971.72 crore) of which net earned premium income was Rs.766.25 crore (previous year Rs.674.86 crore). Of the other income, interest on investments earned last year alone, accounted for Rs.353.59 crore (previous year Rs. 280.17 crore). The year under review i.e. 2011-12, ended with a profit of about Rs.327.72 crore before tax (previous year Rs.117.63 crore).

The Corporation has declared and paid dividend of Rs.54.00 crore for the year 2011-12 as compared to Rs.26.10 crore dividend paid during the previous year.

Given the economic meltdown and recession world over, which affected the export trade and resulted in increased incidence of defaults & claim, the Corporation extended full support to bankers and exporters by huge amounts of claim settlement, without leaving an adverse impact on its balance sheet.

VI. National Export Insurance Account (NEIA)

A separate Fund with an approved corpus of Rs.2000 crore called the National Exports Insurance Account (NEIA) was set up in 2006, out of which Rs.886 crore have been funded by the Government so far. The present corpus of NEIA is Rs.1,208.04 crore (constituting premium and interest accrued) which has been invested in fixed deposits with banks.

The objectives of NEIA is to promote export from India, which may not take place but for the support of a credit risk insurance cover which the ECGC is not in a position to provide because of its own underwriting capacity. The NEIA is maintained and operated by a Public Trust set up jointly by the Department of Commerce and ECGC.

The objectives of NEIA were expanded by the Government in December, 2008 in view of the Global Financial Crisis, so as to provide for short term covers and use of NEIA funds up to Rs.350 crore for the financial year 2008-09 and 2009-10, to mitigate the effects of global financial crisis. During the year 2011-12, Rs.6.78 crore claim was paid to Indian exporter & bankers.

During the year NEIA guidelines were revised to provide risk cover for buyer credits which may be extended by EXIM Bank to overseas agencies. Under the revised guidelines projects which are backed by sovereign guarantees will be covered up to 100% of value, without recourse, to eligible exporters.

Provisions have also been made to cover the risks arising due to exchange and interest fluctuations.

VII. India Brand Equity Foundation (IBEF)

India Brand Equity Foundation (IBEF) is a Trust established by the Department of Commerce, Ministry of Commerce and Industry, Government of India. IBEF’s primary objective is to promote and create international awareness of the Made in India label in markets overseas and to facilitate the dissemination of knowledge of Indian products and services. IBEF works closely with stakeholders across government and industry in their branding activities.

The IBEF Knowledge Centre has emerged as a credible source for information on Indian business and economy, powered by its website www.ibef.org. A key highlight of IBEF’s activities during the year has been the innovative use of digital technology to promote Brand India to reach out to wider audiences across the world. IBEF business kits comprising the Experience India CDs/Access India Info drives, the India Now, Business and Economy magazine and The Best of India series continue to be valuable resource tools, which are being extensively leveraged by business audiences and academics within India and abroad. The India Show(s), an initiative of the Department of Commerce, have provided IBEF a strong platform to effectively showcase Brand India across markets and sectors.

During 2012-13, IBEF successfully graduated from nation brand messaging to sectoral messaging. The Brand India Pharma campaign led by IBEF in collaboration with Pharmexcil under the aegis of the Department of Commerce, has been a significant initiative in 2012-13 in this context. It has taken shape as a mature campaign, which aims to position India as the Pharmacy of the World. IBEF has created a Brand India Pharma kit comprising a logo, film, fact book and The Best of India in Pharmaceuticals as part of this initiative.

VIII. Federation of Indian Export Organisations (FIEO)

The Federation of Indian Export Organisations (FIEO), set up in 1965 under the aegis of Ministry of Commerce, as an Apex Body of Export Promotion Organisations and institutions in the country, is registered under the Societies Registration Act XXI of 1860, with its Headquarters in Delhi. FIEO has been serving as a platform of interaction between exporters and policy makers, and has been instrumental in promoting the efforts of Indian exporting community. It is an ISO 9001-2008 certified Organization.

The main objective of FIEO is to render an integrated package of services to various organizations connected with export promotion. It functions as a primary servicing agency to provide integrated assistance to its members comprising professional exporting firms holding recognition status granted by the Government, consultancy firms and service providers. Organisations like the Export Promotion Councils, Commodity Boards, Export Development Authorities, Chambers of Commerce, Export Houses, Star Export Houses, Trading Houses, Star Trading Houses, Premier Trading Houses, Consultancy Organisations & Trade Associations etc. constitute the membership of FIEO.

In terms of the Foreign Trade Policy, FIEO has been designated as Registering Authority for status holder exporting firms, other exporters dealing in multi-products. The Federation organizes Seminars, Open House Meets, Interactive Sessions, Awareness Programmes, Training Programmes and arranges participation in various exhibitions in India and abroad. Besides, FIEO provides e-platform to buyer/sellers through huge network of members and non-members, and also organizes India Shows, Trade Fairs and Exhibitions across the globe, particularly in untapped countries.
FIEO has a monthly bulletin ‘FIEO News’ & has started a weekly e-bulletin ‘INTRADE’ which keeps exporters posted with global developments affecting International Trade as well as country’s foreign trade related infomation.

IX. E-TRADE Project

The project “eTRADE” is pursued by this department with various trade regulatory / facilitating agencies like Customs, Directorate General of Foreign Trade (DGFT), Airports/Seaports/ICDs/CFSs to facilitate e-Delivery of services in online environment. The services like electronic filing/clearance of export/import documents, e-Payment of duties, charges (handling/freight etc.) and the electronic message exchange between community partners are covered under this project.

Major achievements during the year 2012-13 (Apr-Dec) are as given below:

  1. The electronic bank realization certificate (eBRC) system has been operationalised by the DGFT and the same has also been made mandatory.
  2. The Centralized Port Community System (PCS) a single window interface is operational at 13 major seaports and 6 non-major seaports. Four more non-major seaports are pursued for integration with PCS.
  3. The Customs has rolled out the Central Server system at 108 locations. The message exchange for critical messages under central server environment has been operationalised with community partners like Airports, Ports community system (PCS), Container Corporation of India (CONCOR) and NCR region private ICDs/CFSs.
  4. The Risk Management System (RMS 3.1) for imports under central server environment has been operationalised at 79 EDI locations.
  5. The electronic Pay and Account Office (e-PAO) system has been operationalised, which facilitates e-Payment from any of the Customs authorized banks for all Customs EDI locations. E -Payment of duties has been made mandatory for accredited clients and for others it is made mandatory for all transaction of Rs.1 lakh and above.

X. Trade Finance

Trade Finance Division coordinates and analyses the pre-budget proposals received from Apex Industry Associations / Chambers of Commerce, Export Promotion Councils, Commodity Boards, Federation of Exporters’ Organizations etc. The Department, through the Export-Import Bank of India and in line with the trading opportunities, proactively endeavoured to enhance the competitiveness of Indian exporters while also striving to ensure that Banks’ activities and financing initiatives keep pace with the discerning requirements of industry and trade.

XI. Important Initiatives by Export Promotion Councils (EPCs)

A. Gem & Jewellery Export Promotion Council (GJEPC)

The Gem & Jewellery Export Promotion Council, the apex trade body of the Indian gems and jewellery industry has completed more than 45 years of its existence. It has approximately 5300 members. The gems & jewellery manufacturing sector is India’s leading foreign exchange earning sector. Exports have seen a jump from a mere US$28 million in 1966, to a significant US$43 billion in 2012. The Industry contributes to about 14% of India’s total merchandise exports. It consists of a large number of SME units, employing skilled and semi skilled labour, almost entirely in the unorganized sector.

During the year 2012-13 (till December 2012), the Gem and Jewellery Export Promotion Council (GJEPC) participated in the following events/exhibitions in India and abroad:

  • India Pavilion at Vicenzaoro Spring 2012 from 19-23 May 2012 at Vicenza, Italy.
  • JCK Las Vegas from 1-4 June, 2012 at Hotel Mandalay Bay, USA.
  • India Pavilion at June Hong Kong Jewellery & Gem Fair – June 21-24, 2012.
  • India Pavilion at JA Show New York 2012 - (29-31 July, 2012) at Jacob Javits Convention Centre, New York, USA.
  • India Pavilion at 50th Bangkok Gems & Jewellry Fair (13-17 Sept. 2012), Thailand.
  • India Pavilion at Vicenzaoro Fall, 2012 – 8-12 September 2012, Italy.
  • India Pavilion at Hong Kong Jewellery & Gem Fair 2012 (HJGF 2012) (19-25 September, 2012).
  • India International Jewellery Show (IIJS) 2012 from 23-27 August, 2012, Mumbai.
  • India Show, December 2012 at Dhaka, Bangladesh.

The Commerce Secretary, Shri S. R. Rao, addressing at the ‘Open House Meet’, organised by Federation of Indian Export Organisations (FIEO) in collaboration with Gem & Jewellery Export Promotion Council and Confederation of Indian Industry (CII), in Kolkata on July 26, 2012.

In addition to above, GJEPC organized the following activities in 2012-13 (till December, 2012):

  • 1st Indo-Russia Diamond Buyer Seller Meet- April 3-5, 2012 at the Gateway Hotel, Surat.
  • Mini Indo Euro Jewellery Summit 2012- April 22-25, 2012.
  • India International Jewellery Week (IIJW) 2012 - August 19-23, 2012 at Grand Hyatt, Mumbai.
  • 2nd Indo-Russian Jewellery Summit - 29-30 October, 2012 in Mumbai.
  • 35th World Diamond Congress, the bi-annual General Assembly of the World Federation of Diamond Bourses (WFDB) and the International Diamond Manufacturers Association (IDMA) in collaboration with the Bharat Diamond Bourse in October 2012. It was the first time that an important international event of this stature was held in India.
  • 12-member delegation led by the Council to Karachi in June 2012 to foster and build a strong bi-lateral trade relationship with Pakistan in the field of gem & jewellery.
  • Participation in 3rd and 4th meeting of ICGLR-OECD-UN GoE Multi-Stakeholder forum on implementation of Due Diligence for Responsible Sourcing in the Gold supply chain at Paris in May and November 2012 respectively.

B. Electronics and Computer Software Export Promotion Council (ESC)

The Electronics and Computer Software Export Promotion Council organised the following export promotion activities under the Market Access Initiative scheme of the Department of Commerce during the year 2012-13:-

  1. INTERNET WORLD UK, 24-26 April, 2012, London , United Kingdom
  2. CeBIT AUSTRALIA, 22-24 may, 2012, Sydney, Australia
  3. GITEX DUBAI, 14-18 October, 2012, Dubai, United Arab Emirates
  4. ELECTRONICA –GERMANY, 13-16, November, 2012, Munich, Germany

The Electronics and Computer Software Export Promotion Council organised the following export promotion activities under the Market Development Assistance scheme of the Department of Commerce during the year 2012-13:-

  1. ICT EXPO HONG KONG, 13-16 April, 2012
  2. COMEX IT – OMAN, 30 April, 2012 – 4 May, 2012
  3. COSTA RICA SERVICES EXPO / SUMMIT – 19-20 June, 2012, San Jose, Costa Rica

Details of other activities organised by the Electronics and Computer Software Export Promotion Council during the year 2012-13 are as under:-

ICT EXPO (13-16 April, 2012,) Hong Kong

  • ICT Expo at Hong Kong attracts overwhelming response from buyers, visitors from global economies to source innovative ICT products & services. The Indian ICT companies enthusiastically participate under ESC’s banner at this unique global platform by displaying cutting-edge developments from information and communications technology to the most up-to-date hardware and software applications to help them improve their standing in today’s switched-on business world.
  • ESC organized India pavilion at the ICT Expo 2012 at Hong Kong Convention & Exhibition Centre, Hong Kong. The India Pavilion was visited by a very large number of global buyers. 25 Indian member companies participated under the Council’s banner.

INTERNET WORLD, 24-26 April 2012, London, UK

UK is the second largest destination for India’s IT services exports. ESC organized INDIA pavilion at Internet World, which is one of UK’s prime events, to provide its member companies, an exclusive opportunity to create niches in this market.

Internet World is Europe’s definitive event for digital marketing & online business and with the most comprehensive free conference programme across the continent.

The INDIA pavilion at the show was visited by a very large number of global buyers.

18 Indian member companies participated under the Council’s banner.

COMEX IT , TELECOM & TECHNOLOGY SHOW, 30th April 2012 – 4th May, 2012, OMAN

Oman is emerging as important export market for India. The Indian companies have made huge inroads in the Omani market. India is already the third largest exporter in the Omani market but would soon race to the number one slot within five years, while taking into account the increasing trade and economic relations and many joint ventures between the two countries. Oman has undertaken a large scale development programme focusing on diversification away from the oil industry and is looking for joint venture partners in various fields including ICT.

The Council organized participation of 10 Indian ICT companies at the event.

CeBIT AUSTRALIA, 22nd – 24th May, 2012, Sydney, Australia

CeBIT Australia is the leading business event in the Asia Pacific region for Information and Communications Technology driving business strategy for local and international manufacturers, service providers, distributors, retailers and buyers of Information and Communications Technology to meet and talk business, finding out how to achieve long and short term savings through technology-based business solutions.

INDIA was designated the status of PARTNER COUNTRY at CeBIT AUSTRALIA 2012. Hon’ble Minister of State for Communications & IT, Mr. Sachin Pilot, graced the occasion and inaugurated INDIA PAVILION. Several senior Government officials from Department of Commerce, Department of IT, visited the show.

26 Indian companies participated under ESC’s banner.

COSTA RICA SERVICES EXPO / SUMMIT, 19-20 June, 2012, San Jose, Costa Rica

Costa Rica Technology Insight is one of the most premier IT events in Latin America which acquaints the participants with the latest business and technology trends. There are several IT companies in Costa Rica that serve both the local and international markets, offering high quality products.

The participation also spread goodwill of India and the capability of its IT Industry by providing information to the visitors about overall prospects and success stories.

16 Indian companies participated under ESC’s banner.

GITEX DUBAI, 14-18 October, 2012, Dubai

Today, UAE has emerged as an important destination for India’s ICT exports. India’s ICT exports continue to propel, year by year. To further supplement the efforts & initiatives of the member companies, ESC has been participating at GITEX, which is one of the most important, exciting ICT exhibitions in the world. With the overwhelming response at the previous editions, ESC organized the participation of Indian ICT fraternity at GITEX Dubai in 2012. 37 Indian companies participated in GITEX Dubai 2012, under the Council’s banner.

ELECTRONICA 2012 13-16, November 2012, Germany

ESC organized India’s participation in Electronica 2012 held at New Munich Trade Fair Centre, Munich, Germany, between 13-16 November, 2012. 25 exhibitors participated in India Pavilions, under the Council’s banner.

Fairs to be organized:

  • CeBIT 2013, 5-9 March 2013, Hannover, Germany
  • INDIASOFT 2013, 21-22 March 2013, Kolkata, India

Table 5.7
BUYER SELLER MEETS : ABROAD

S. No

Names of The Global Exhibitions

No. of
Delegates

1

Delegation Visit to Usa

10

2

Delegation Visit to
Belgium

5

3

Delegation Visit to
Nigeria & Ivory Coast

10

4

Delegation Visit to
Vietnam & Philippines

11

 

ESC’s BUSINESS NETWORKING MEETS IN USA, 13-15 JUNE, 2012

US is the prime destination for Indian IT services companies to create market niches. In order to provide the Indian industry, especially the SMEs, an exposure to strengthen and augment their IT services exports to USA, the Council organised a Business Alliance meet of its 10 member SMEs companies with several US buyers during 13th to 15th June 2012, along with Maryland Department of Business and Economy Development, Maryland in USA with the support provided by Ministry of Micro, Small & Medium Enterprises, Government of India.

By organising the Business Alliance Meet in USA, ESC’s efforts were towards empowering the Indian SMEs to gain foothold and forge meaningful deals with the US partners and also to assist in identifying US companies who look keen to source the best of Indian IT products & services. This initiative paved the inroads to the Indian SMEs in particular to explore the gigantic North American market for business enhancement.

ESC sponsored an IT delegation comprising of 10 members for the exclusive Buyer Seller Meets with the support of Ministry of Micro, Small and Medium Enterprises, Government of India.

ESC’s BUSINESS NETWORKING MEETS IN BELGIUM 20-22 June, 2012

Belgium offers immense ICT potential to be tapped for India’s ICT exports industry. The Council, in association with EOA, Belgium organized a B2B Meet by inviting potential IT buyers from Belgium & neighbouring countries with the participating 6 Indian IT member companies during 20th to 22nd June, 2012.

The B2B was an excellent platform to open doors for Indian IT companies to gain a foothold in Belgium & other neighbouring markets in EU. ESC sponsored an IT delegation comprising of 5 members for exclusive Buyer Seller meet.

CATALOGUE SHOW

INDIAN CATALOGUE EXHIBITIONS IN SAUDI ARABIA (CATEX)

ESC, in association with the Indian Embassy in Saudi Arabia, organized a Catalogue Show of Indian ICT companies in November and December 2012 in Saudi Arabia.

INTERACTIVE MEETING

  • The Council organized an interactive meet of its members with Dr Ajay Kumar, Joint Secretary, Department of Communications & IT, Government of India.
  • The Council organized an interactive meet of its members with Ms. Kate Lundy, Hon’ble Australian Minister for Sport, Multicultural Affairs, Industry & Innovation and Senator for the Australian Capital Territory and various other visiting Australian delegates

INCOMING DELEGATIONS

  • Consortium of Women Entrepreneurs of India (Cwei) hosted a high Profile Business Delegation of Afghanistan on the 27th June, 2012 in New Delhi. The objective of the visiting delegation, inter-alia, was long term joint venture/ trading partnership in areas relating to IT. Cwei requested ESC to invite its member companies for the B2B Meet with the Afghan delegates. Several of the ESC members forged business deals during this Summit.
  • A business delegation headed by Dr Valery Tsepkalo, Head, Hi Tech Park, Belarus, along with business delegation from Belarus visited India on 7th November, 2012 to meet Indian IT companies.
  • The Council organized business meetings of the visiting delegation with several of the member companies in New Delhi.

SEMINARS

  • ESC along with CITI BANK, organised a seminar “COMMERCIAL BANKING SOLUTIONS FOR SMES & ICT EXPORT INITIATIVES” to create awareness and overcome the risks. The objective of the seminar was to highlight the banking solutions by CITI BANK for the ICT industry, particularly the SMEs, to create market niches globally and sustain the tempo of export growth.

The seminar was attended by a large number of industry representatives, academicians, Government officials and media.

C. Council for Leather Exports (CLE)

Leather and Leather Manufactures


Export of Leather and Leather Manufactures recorded a marginal decline of 1.35 per cent during 2012-13 (April-December). The Value of exports declined to US $ 3,621.68 million from US $ 3,671.37 million during the same period of the previous year.

Leather Industry – Overview, Export Performance and Prospects:

The Leather Industry holds a prominent place in the Indian economy. This sector is known for its consistency in high export earnings and it is among the top ten foreign exchange earners for the country.

With an annual turnover of over US$ 7.5 billion, the export of leather and leather products increased manifold over the past decades and touched US$ 4.86 billion in 2011-12, recording a cumulative annual growth rate of about 8.22% (5 years). The leather industry is an employment intensive sector, providing job to about 2.5 million people, mostly from the weaker sections of the society. Women employment is predominant in leather products sector with about 30% share.

Chart 5.1
Composition of India’s Leather and Leather Products Export (2011-12)

A Statement showing the Product-wise Export performance during April-March 2011-12 vis-à-vis April-March 2010-11 is given below:

 

Table 5.8
Product-wise Export performance

(Value in Million US$)

Category

Apr-Mar

Apr-Mar

% Variation

 

2010-11

2011-12

 

Finished Leather

841.13

1023.21

21.65%

Leather Footwear

1470.87

1715.17

16.61%

Footwear Components

229.87

281.83

22.60%

Leather Garments

425.04

572.54

34.70%

Leather Goods

855.78

1088.09

27.15%

Saddlery and Harness

87.92

107.60

22.38%

Non-Leather Footwear

57.93

80.27

38.58%

Total

3968.54

4868.71

22.68%

Major Highlights

As per officially notified DGCI&S monthly export data, the export of Leather and Leather products for the period April-Dec. 2012 touched US$ 3621.68 million as against the performance of US$ 3671.37 million in the corresponding period of last year, recording a marginal decline of 1.35%. In rupee terms, the export touched Rs.1,97,351.01 million in April-Dec. 2012 as against the previous year’s performance of Rs.1,73,064.04 million registering a positive growth of 14.03%.

The major markets for Indian Leather & Leather Products are Germany with a share of 12.44%, UK 11.98%, Italy 8.87%, USA 10.71 %, Hong Kong 9.29%, France 6.03%, Spain 5.38%, Netherlands 3.94%, Belgium 1.88%, China 2.83%, U.A.E.2.38%, Australia 1.51%, These 12 countries together accounts for nearly 77.24% of India’s total leather& leather products export.

Table 5.9
Trend in India’s Export of Leather & Leather Products to different countries

( Million US$)

Country

April-Mar

% change

 

2010-11

2011-12

 

Germany

575.38

730.77

27.01%

U.S.A.

348.13

439.27

26.18%

U.K.

505.20

542.99

7.48%

Italy

455.76

528.39

15.94%

France

280.04

304.23

8.64%

Hong kong

325.20

359.51

10.55%

Spain

247.99

295.81

19.28%

Russia

19.19

33.05

72.28%

Netherlands

155.43

198.29

27.58%

Australia

51.81

67.79

30.83%

New Zealand

5.98

7.29

21.81%

Denmark

57.75

74.15

28.39%

Greece

10.05

10.88

8.30%

Canada

29.32

40.01

36.45%

Switzerland

25.02

33.52

33.97%

Sweden

31.36

44.29

41.24%

S. Africa

32.14

41.17

28.12%

Austria

27.01

38.43

42.29%

Belgium

80.89

113.08

39.79%

Japan

21.74

33.18

52.62%

Portugal

39.62

46.55

17.48%

China

75.48

123.78

63.99%

Ireland

5.36

7.56

40.97%

U.A.E.

74.27

109.11

46.91%

Indonesia

20.15

25.16

24.85%

Korea rep.

31.31

38.22

22.05%

Finland

14.57

22.14

51.97%

Saudi Arabia

22.14

40.89

84.66%

Others

400.23

519.21

29.73%

Total

3968.54

4868.71

22.68%

Source : DGCI&S

 

 

Table 5.10
Product-wise Export performance

(Million US$)

Category

Apr-Dec.

Apr-Dec.

%
Variation

 

2011

2012

 

Finished leather

784.00

827.03

5.49

Leather footwear

1273.88

1178.03

-7.52

Footwear components

222.98

180.64

-18.99

Leather garments

443.30

420.62

-5.12

Leather goods

809.88

860.85

6.29

Saddlery and harness

81.96

76.09

-7.16

Non-leather footwear

55.37

78.43

41.64

Total

3671.37

3621.69

-1.35

Source : DGCI&S

Export Promotion Activities

Market Promotional activities being undertaken with MAI assistance during the 2012-13:

  1. Two Day Reverse Buyer-Seller Meet in Delhi – July 6 & 7, 2012, Chennai – Feb. 1 & 2, 2013, and Kolkata – March 2013
  2. Member Participation in MIPEL Fair – Sept 2012 & March 2013
  3. Buyer-Seller Meet in Australia and New Zealand during October 1-5, 2012
  4. India Leather Show in Montreal, Canada – October 11 & 12, 2012
  5. Buyer-Seller Meet in New York – Oct 16 & 17, 2012
  6. India Leather Show in Offenbach, Germany – November 21 & 22, 2012
  7. Buyer-Seller Meet in Los Angeles, USA – Feb. 6 & 7, 2013
  8. India Leather Show, Paris, France – Feb 28 – March 1, 2013
  9. India Leather Show in Madrid, Spain – March 20 & 21, 2013
  10. CIFF – Moda Shanghai, Sept 4-6, 2012

Market Promotional activities being undertaken with MDA assistance during the 2012-13:

A total of 3 international fairs was organized up to October 2012 during the year 2012-13 and expected organized 8 international fairs and 1 Buyer Seller Meet during the remaining period of financial year 2012-13.

  • Under Focus Africa Programme, one International fair and one Buyer Seller Meets is planned for organization during February-March 2013
  • Under Focus LAC Programme one Buyer Seller Meet is planned for organization during February-March 2013
  • About 10 Seminars/Workshops were conducted till October 2012 with presentation from eminent experts / resource persons. 950 members are expected to be benefited out of these events
  • About 15 such programmes are planned to be organized in the remaining period until 31st March 2013.
  • Aggressive publicity programmes undertaken / being undertaken to create better awareness about capabilities of Indian leather industry in global markets, thereby further build up the image of India.

Chart 5.2
Region-wise Export of Leather &
Leather Products 2011-12

Supportive Measures

During the year 2011-12, the following major policy announcements were made for the leather sector.

Union Budget 2012-13

  • Announcement on proposal to provide assistance in setting up of dormitories for women workers in the 5 mega clusters relating to handloom, power loom and leather sectors.
  • Service Tax exemption with retrospective effect from 16.6.2005 has been provided to the Common Effluent Treatment Plants (CETPs) set-up with the assistance of Central or State Government aid in the leather industry.

Annual Supplement 2012-13 to Foreign Trade Policy 2009-14

The Union Minister for Commerce, Industry and Textiles announced the Annual Supplement 2012-13 to the Foreign Trade Policy 2009-14 on June 5, 2012. The following are the major measures announced for the leather sector.

  • Continuation of 2% Interest Subvention Scheme to Small and Medium Enterprises (SMEs) in the leather sector during the year 2012-13.
  • Continuation of Zero Duty Export Promotion Capital Goods Scheme (EPCG) allowing import of capital goods for the leather sector without any import duty subject to export obligation, up to 31st March 2013. Thus, the scheme is now applicable for exports made during 2009-10 to 2012-13.
  • 10% of the value of the Status Holders Incentive Scrip (SHIS) will be allowed to be utilized to import components and spares of capital goods imported earlier. Further limited transferability of SHIS scrip is also allowed to another status holder having manufacturing facility. The benefit of Zero Duty EPCG Scheme would also be extended if the SHIS benefit already availed is surrendered subsequently with applicable interest to the concerned Regional Authority. The scheme is now applicable for exports made during 2009-10 to 2012-13.
  • The duty scrips issued under Focus Product Scheme (FPS), Focus Market Scheme (FMS), Vishesh Krishi and Gram Udyog Yojana (VKGUY) Scheme, Status Holder Incentive Scrip (SHIS) Scheme, Market Linked Focused Product (MLFPS) Scheme, Served From India Scheme (SFIS) and Agri. Infrastructure Incentive Scrip (AIIS) Scheme shall be permitted to be utilized for payment of Excise Duty for domestic procurement. Now all scrips would be permitted to source from domestic market so as to encourage manufacturing, value addition and employment in domestic market.
  • 4 new leather products & footwear which are currently eligible for 2% Duty Credit Scrip will now get  5%  Duty Credit Scrip. They are as follows :

42022910: HANDBAGS OF OTHER MATERIALS EXCLUDING WICKER WORK OR BASKET WORK

42023110: JEWELLERY BOX – SURFACE OF LEATHER

42023910: JEWELLERY BOX – OTHER SURFACE OF LEATHER

64061010: EMBROIDERED UPPERS OF TEXTILES MATERIALS

D. Chemicals Export Promotion Council (CHEMEXIL)

Cosmetics, Toiletries & Essential Oils and Castor
Oil are covered under the purview of the CHEMEXCIL. As per the DGCIS data, the total exports of the Council’s items for the year 2011-12 were Rs. 58,347crs (US $12,684 million) as compared to Rs. 42,132crs (US $9,159 million) during previous year 2010-11, registering an increase of 38.5%.

The export performance of same items during the period April -August 2012, as per DGCIS data are Rs. 28,278crs (US $5,438 million) as compared to Rs. 22,431crs (US $4,313 million) during the same period last year (April-August 2011), registering a growth of 26.1%.

The export target of the Council’s products for the year 2012-13 is Rs. 80,798crs (US $15,538 million). The exports within the period April-August 2012 are showing an increase of 3% over the pro-rata targets for this period.

The panel wise exports for the period April-August 2012, as compared to similar period April-August 2011 are showing a growth of 23.3% in Dyes & Dye Intermediates, 27.7% in Inorganic, Organic & Agro Chemicals, 65% in Cosmetics, Toiletries & Essential Oils. However, there is a decline of 16.8% in case of Castor Oil.

Chemexcil export performance for the year 2011-12 to 2012-13

Export Promotional Activities

The Calendar of Events of the activities during the year 2012-13 are as under:

  • International Crop Science Bilateral Trade Meet, Dubai UAE during 21st - 22nd May, 2012
  • Beauty World Middle East, Dubai UAE during 29th - 31st May, 2012
  • CHEMSPEC EUROPE, Spain during 13th - 14th June, 2012
  • Delegation to Croatia / Ukraine from 18th - 21st June, 2012
  • Indian Chemical Exhibition, Johannesburg during 26th - 27th July, 2012 coincide with trade delegation to Nigeria & Ghana on 31st July & 2nd August, 2012
  • Indian Chemical Exhibition, Mexico during 1st - 2nd August, 2012
  • FCI Trade Summit, Miami, USA during 6th - 8th August, 2012
  • 5th Indian Trade Fare, Oman, Muscat during 4th - 6th September, 2012
  • Informex 2012, Mumbai during 14th - 15th September, 2012
  • India Chem 2012, Mumbai during 4th - 6th October, 2012
  • Turkchem Interdye Exhibition, Turkey during 11th - 14th October, 2012
  • IFEAT Singapore during 4th – 8th November, 2012
  • The India Show, Dhaka Bangladesh during 3rd - 5th December, 2012
  • RBSM Coinciding with ASEAN Trade Fare, Delhi during 18th - 20th December, 2012
  • RBSM coinciding with Vibrant Gujarat during 11th – 13th January, 2013
  • Indian Chemical Exhibition, Vietnam during 23rd - 24th January, 2013 coincide with trade delegation to Indonesia & Bangkok on 21st & 28th January, 2013
  • 13th RBSM, Panjim Goa during 6th - 7th February, 2013
  • Indian Chemical Exhibition, Krasnodar, Russia during 19th – 20th February, 2013 coincide with trade delegation to Moscow & Azerbaijan
  • 14th China International Agrochemical & Crop Protection, Shanghai, China during 22nd - 24th February, 2013
  • Cosmoprof Italy during 8th – 10th March, 2013

E. The Plastics Export Promotion Council (PLEXCONCIL)

Exports from the Indian Plastic industry

Table 5.11 shows the exports from the Indian plastic industry.

Table 5.11

2011-2012

Apr-Jun 2012
(Actuals)

Apr - Sep 2012 (Estimates)

USD Mn

Growth %

USD Mn

Growth %

USD Mn

Growth
%

7191.60

37.32

1664.18

-13.32

2865.93

-8.94

Export figures for the period April to September 2012 show a negative growth of about 9%. While plastic raw materials (polymers) continue to dominate the plastic exports with about 32% share in total plastic exports, the major reason of the negative trend comes from the raw material segment, whose exports have gone down by about 34% (indicating a slowdown in industrial output globally).

The encouraging aspect is that many value-added plastic items like Plastic sheets, films, plates etc; Other moulded and extruded items; Packaging items; All types of optical items (including optical frames, lenses, sunglasses etc); Writing Instruments; Houseware etc have exhibited a positive growth in exports. European Union (EU27), China, USA & UAE continue to remain the major trading partners of the Indian plastic industry accounting for about 45% of the plastic exports directed to about 175 countries round the globe. The Council had targeted a growth of at least 15% over 2011-2012 despite the slowdown in the global economy, particularly with the major trading partners comprising of the European Union and the USA.

Export Promotion Initiatives

The Plastics Export Promotion Council (Plexconcil as is popularly known) has been participating in International Trade Fairs and organising Buyer-Seller Meets (BSMs) round the globe. Plexconcil concluded the following events successfully this year:

l NPE 2012 – Orlando, USA – April 1-5, 2012: NPE, a triennial event organised by the renowned Society of Plastic Industry, Washington DC, USA, was for the first time moved from Chicago to the state-of-art Orange County Convention centre in Orlando. NPE is the largest and most renowned plastics showcase in the American continent. Shift from Chicago to Orlando offered the participants additional contacts from South America. 32 members successfully participated at the event under the Council’s umbrella under the Market Access Initiative (MAI) of the Department of Commerce.

l Plastpack Ghana 2012 – Accra, Ghana – May 3-5, 2012: This was the Council’s first participation at this event organised by M/s Al Fajer Information Services, Dubai. 41 members participated at this event exhibiting various plastic products. This participation provided a platform to get an idea of the market for plastic items in Ghana.

l Ambiente Ukraine 2012 – Kiev, Ukraine – October 9-12, 2012: 21 members participated at this event, organised by PRIMUS. The Council participated at this for the first time. This again provided a good platform for participating members to study the Ukranian market for plastic items.

The following events are proposed in the remaining part of the year:

l ARABPLAST 2013 – January 7-10, 2013: This event is being organised under the MAI Scheme of DOC. Over 80 players from the Indian plastic industry are expected to participate in the Indian pavilion organised by Plexconcil. This is one of the largest plastic showcases in the Middle East and African regions where visitors are expected not only from the Middle East but also from various parts of the African continent.

l 17th Addis Chamber International Trade Fair (ACITF) – Addis Ababa, Ethiopia – February 21-27, 2013 and BSM in select African countries: Plexconcil is organising the participation at this event which will also be coupled with Buyer-Seller Meets in select target African countries. This activity is in line with the Focus-Africa initiative of the Department of Commerce.

l JEC 2013 – Paris, France – March 12-14, 2013: This is the largest show in the technologically advanced composite sector in which participation is being organised regularly by the Council.
l PLASTIMAGEN 2013 – Mexico City, Mexico – March 12-15, 2013 along with BSMs in select Latin American Countries (LAC): This activity is being undertaken under the FOCUS-LAC initiative of the Department of Commerce.

F. Chemicals and Allied Products Export Promotion Council (CAPEXIL)

CAPEXIL is a Multi Products Export Promotion Council and it has sixteen different group of products subdivided broadly under Mineral and Non-Mineral Sector. These panels representing the following:

  1. Minerals and Ores: (i) Natural Stones and Products, (ii) Processed Minerals, (iii) Bulk Minerals and Ores,
  2. Non-Minerals: (iv) Rubber Products, (v) Auto Tyres and Tubes, (vi) Paints, Printing Ink and Allied Products, (vii) Glass and Glassware, (viii) Plywood and Allied Products, (ix) Ceramics and Allied Products incl. Refractories, (x) Cement, Clinkers and Asbestos Cement Products, (xi) Paper, Paper Board and Paper Products, (xii) Books, Publications and Printing, (xiii) Animal By Products, (xiv) Ossein and gelatine, (xv) Graphite Products and Explosives and (xvi) Miscellaneous Products.

As of now, CAPEXIL has approx 4400 members (manufacturers and merchant exporters) in its fold, and these members are scattered across the country dealing with the above product groups.

During the F.Y. 2011-12 (April to March) CAPEXIL’s group of products achieved exports to the extent of Rs.7,66,293.2 Million. Out of which Non-Mineral Sector contributed Rs. 3,67,210.1 Million and Mineral Sector contributed Rs.3,99,083.1 million. In the fiscal year 2012-13, it is estimated that Mineral Sector might achieve Rs. 4,60,907.0 million i.e. a projected growth of 15% over the previous year.

In the Non-Mineral Sectors projected growth is Rs. 4,27,992.2 million. It is anticipated that the projected growth in the Non-Mineral Sector would be 16% over the previous year.

With a view to project the activities of CAPEXIL during the fiscal 2012-13, the following documents are indicated below :

  1. Statement showing panel wise exports of CAPEXIL for the year 2010-11 & 2011-12
  2. Details of Export Promotion activities so far carried out during the F.Y. 2012-13 and to be carried out during the remaining period of the F.Y. 2012-13.

Table 5.12

EVENTS/ACTIVITIES OF CAPEXIL EXECUTED TILL 22/11/2012

S. No.

Activity

Period of execution

1

BSM cum Exhibition to USA

17/05/2012 to 19/05/2012

2

BSM cum Exhibition to Italy, Austria, Switzerland

01/10/2012 to 12/10/2012

3

Frankfurt Book Fair/BSM, Frankfurt, Germany during
10-14/10/2012

10/10/2012 to 14/10/2012

4

London Book Fair /BSM (16-18 April, 2012)

16/04/2012 to 18/04/2012

5

Sharjah International Book Fair 7-17 November 2012

07/11/2012 to 17/11/2012

6

Nigeria International Book Fair /BSM, Nigeria during 7-12 May 2012

07/05/2012 to 12/05/2012

7

Multiproduct BSM Cum Exhibition in Uganda, Zambia, South Africa and Tanzania

15/07/2012 to 28/07/2012

8

Guadalajara International Book Fair, Mexico during November 2012

24/11/2012 to 28/11/2012

9

BSM cum Exhibition in Mexico, Costa Rica, Ecuador, Colombia etc.,

21/11/2012 to 30/11/2012

Table 5.13
Statement showing Panelwise Exports of CAPEXIL

 

2010-2011

2011-2012

% growth

 

Rs Crore

US $mn

Rs crore

US $mn

Rs

US $

A. Minerals and Ores

Granite, Natural Stones and Products

6586.7

1447.6

7997.0

1689.6

21%

17%

Cessed Minerals

11334.4

2491.1

4544.6

960.2

-60%

-61%

Bulk Minerals and Ores

30403.6

6682.1

27366.8

5782.1

-10%

-13%

TOTAL (A)

48324.6

10620.8

39908.3

8431.9

-17%

-21%

B. Non-Minerals

Rubber Products

3353.3

737

4807.6

1015.8

3%

38%

Auto Tyres and Tubes

4830.3

1061.6

7791.6

1646.2

61%

55%

Paints, Printing Ink and Allied Products

3492.2

767.5

5222.2

1103.4

50%

44%

Glass and Glassware

1908.5

419.4

2662.8

562.6

40%

34%

Plywood and Allied Products

2361.2

519

2686.5

567.6

14%

9%

Ceramics and Allied Products .

2056.0

451.9

2400.2

507.1

17%

12%

Cement, Clinkers Asbestos Cement Products

1055.4

231.9

1169.5

247.1

11%

7%

Paper, Paper Board and Paper Products

3964.3

871.3

4457.6

941.8

12%

8%

Books, Publications and Printing

1053.3

231.5

1593.1

336.6

51%

45%

Animal By Products

133.6

29.4

198.2

41.9

48%

43%

Ossein and gelatine

244.7

53.8

393.2

83.1

61%

54%

Graphite Products and Explosives

1233.0

271

2194.5

463.7

78%

71%

Miscellaneous Products

693.5

152.4

1144.0

241.7

65%

59%

TOTAL(B)

26379.3

5797.7

36721.0

7758.6

39%

34%

Grand total

74703.9

16418.4

76629.3

16190.5

3%

-1%

Data Source: DOC Export Import Data Bank

G. Shellac and Forest Products Export Promotion Council (SHEFEXIL)

 

Table 5.14
Export Performance of  Products of SHEFEXIL

US $ mn

 

 

 

 

 

Performance during 2012-13 

 

Commodity Name

   09-10

  10-11

   11-12

April. - June. 2012
(As on 1st July, 12)

(%) Growth

Expected as on 31-03-2013

 

 

 

 

 

2011

2012

 

 

1

NTFPs & their variants

581.93

719.22

1032.90

195.87

183.28

-6.43

1109.11

2

Guar Gum

247.99

628.37

3399.97

346.65

2926.37

744.19

3650.80

3

Sesame seeds

326.94

489.49

611.71

152.28

148.37

-2.57

656.85

4

Niger seeds

5.30

9.16

10.96

6.65

4.03

-39.40

11.77

 

Total

1162.16

1846.24

5055.54

701.45

3262.05

695.79

5428.53

The products falling under the purview of SHEFEXIL have largely shown consistent Growth over the years. Overall exports have grown to 3262.05 US$ Million registering a growth of 365.04 % during April – June, 2012

H. Telecom Equipment & Services Export Promotion Council (TEPC)

Telecom Equipment & Services Export Promotion Council (TEPC) as a Council plays a critical role in furtherance of Telecom Exports from the Country and assists its member companies in easy facilitation of their respective exports. The Council caters to the complete Telecom Ecosystem including Telecom Hardware Manufacturers, Telecom Service Providers, Telecom Software Vendors and Consultants.

TEPC’s vision is to make India a globally competitive, telecom manufacturing and services hub for driving telecom exports. TEPC works closely with the government as well as the industry to create a vibrant eco-system of telecom manufacturing in India.

Telecom exports has been consistently rising since 2007-08 and have increased from Rs 8131 crore in 2007-08 to Rs.20070 crore in 2011-12 and Rs.10835 crore (provisional) till September 2012 highlighting the significant growth potential of the sector.

Chart 5.4
Export of Telecom Equipment

Source: DGCIS & Industry

TEPC‘s targets for the next 5 years:-

  • Exports growth at 25% CAGR over next 5 years, reaching over $10 Billion
  • Domestic telecom products growth of 18% CAGR over next 5 years
  • Employment generation (direct and in-direct) of 5 million
  • At least 70% of Indian domestic telecom needs are met by products manufactured in India
  • At least few IPR- driven, Indian product company succeed globally and become billion dollar companies

TEPC on regular basis organized various structured promotional events so as to create awareness on the capability of Indian telecom exports. The various promotional activities carried out on a regular basis are product & services specific delegation to selected countries, exclusive Indian TEPC Exhibition, country participation in Specialized Trade Fairs, Catalogue Show, Buyer-Seller Meets, Product Specific Seminars and Conferences - both in India and abroad. TEPC intends to explore markets in East Africa, South Africa, ASEAN and Middle East Asia in the coming year 2013-14.

During the year 2012-13, TEPC organized/participated in the following events/ exhibitions in India as well as abroad:-

Abroad

  • Participated in CommunicAsia 2011 from 19th – 22nd June 2012 in Singapore under MAI Scheme.
  • Participated in GITEX, Dubai from 14th-18th October 2012 under MDA Scheme
  • Participated in Futurecom 2012, Rio De Janeiro, Brazil from 8th -12th October 2012 under MDA Scheme

In India

  • Reverse Buyer Seller Meet (RBSM) in India
    on 12.12.2012 at New Delhi. 20 Foreign Delegates and about 150 Indian exporters participated in it.
  • Joint Initiatives of TEPC and Government of India.
  • TEPC with the help of Government of India had got included telecom telecom products under Focused Product Scheme, Focus Market Scheme, Market Link Focus Product Scrip for incentives up to 3%.
  • Regularly interactions among TEPC, Department of Commerce, Department of Telecommunications and DGFT for policy initiatives related to export of telecom equipment & services.
  • Online uploading of the RCMC has been initiated and is being done for the members.

I. Sports Goods Export Promotion Council (SGEPC)

Sports Goods Export Promotion Council (SGEPC), a Government of India sponsored organization, is working for the promotion of India’s exports of sports goods and toys. Founded in 1958, SGEPC represents leading manufacturers and exporters of sports goods and toys in India.

The Total exports of sports goods and toys for the year 2011-12 is around 689 crores which indicates a growth of 12.73% over the previous financial year. The top items of exports during 2011-12 were Inflatable Balls, Cricket Bats, General Exercise Equipment, and Protective Equipment for Cricket and Boxing Equipment. The Contribution of top 5 items in the total export of sports goods from this sector was 56%. The top three countries of export remained the same namely UK, Australia and USA.

Under Foreign Trade Policy Sports Goods Sector has been declared as priority sector and its products have been treated as special focus products which entitles higher incentives. The incentives allowed to this sector are Zero Duty Export Promotion Capital Goods Scheme (EPGC), Duty Free Import of specified imports of specified items to the extent of 3% of free-on-Board (F.O.B) value of preceding year of Exports, 2% bonus benefits under Focus Product Scheme etc. Applications relating to sports goods are considered for fast track clearance by Directorate General of Foreign Trade (DGFT). Exporters are provided Assistance under Market Development Assistance (MDA) and Market Access Initiative (MAI) Scheme.

Participation in Promotional Activities during 2011-12:

  1. Sports Source Asia2011, Hong Kong - (27th- 29th October, 2011)
  2. Hong Kong Toys & Games Fair, Hong Kong-(9th-12th January, 2012)
  3. ISPO Munich, Germany - (29th Jan.-1st Feb. 2012)
  4. International Toy Fair, Nurnberg, Germany- (1st -6th Feb. 2012)
  5. American International Toy Fair, New York –(12th -15th Feb. 2012)

I. Engineering Export Promotion Council Engineering Goods

Items under this group consist of Machinery, Iron & Steel and Other Engineering items. Export from this sector during the period April-September 2012-13 stood at US$ 27,941.89 million compared with US$ 30,768.29 million during the same period of the previous year, registering a negative growth of 9.19 per cent. The growth in export of Iron & Steel Bar rod stood at -19.22 per cent, Transport Equipments -24.69 per cent, Primary & Semi-finished Iron & Steel -16.33 per cent, Non-Ferrous Metals -17.33 per cent, and Machine Tools at 1.48 per cent.

Important events organized by EEPC

The India Show in Tokyo, 20-22 June 2012

The India Show was synchronized with the 16th edition of Japan’s largest industrial exhibition M-Tech. 81 member-firms of EEPC India participated in the event for various types of engineering products. The accordance of ‘Partner Country Status’ to India brought additional advantage to Indian companies with higher visibility and attention.

A few State Governments namely Jharkhand, Gujarat, Madhya Pradesh, Manipur and Haryana were present along with PSUs such as BHEL, HMT, HEC and EPI and Commodity Boards such as APEDA, Tea Board and Coffee Board.

The India S.how in Czech Republic held at Brno, 10-14 September 2012

The India Show coincided with MSV, 54th International Engineering Fair, Brno, where India was the partner country and Russia the guest country.

The event was attended by leading industrialists, heads of trade associations and Czech Ministers, including the President and the Prime Minister. Mr. Anand Sharma, Hon’ble Commerce, Industry and Textiles Minister also attended.

IESS 2012 Mumbai

EEPC India was selected as the lead agency to organize the first ‘India Engineering Sourcing Show’ (IESS) in Mumbai, an event of “India Show” stature of Ministry of Commerce & Industry, Government of India. IESS 2012 created a platform for exporters of engineering products and services to build business contacts with leading importers, buyers, dealers, distributors and wholesalers of engineering products from all over the world. IESS 2012 was India’s largest international engineering sourcing show.

Apart from the above EEPC also organized the following events:

EEPC India Pavilion at International Hardware Fair 2012, Cologne, Germany, EEPC India Pavilion at BIET 2012, Dhaka, 5-8 April, 2012, EEPC India Pavilion at AUTOMEC 2012, Sao Paulo, Brazil, EEPC India Pavilion at SIMTOS 2012, Kintex, Korea, EEPC India Pavilion at Hannover Messe 2012, Hannover, Germany, EEPC India Pavilion at Automechanika Middle East 2012, Dubai, EEPC India Pavilion at International Machinery & Electromechanical Exhibition (JIMEX 2012), Amman, Jordan, EEPC India Pavilion at ACHEMA 2012, Frankfurt, Germany, EEPC India Pavilion at Sri Lanka Plast 2012, Colombo, EEPC India Pavilion at Automechanika Frankfurt 2012, Frankfurt, Germany, EEPC India Pavilion at METALEX Vietnam 2012, Ho Chi Minh City.

Services Export

WTO ranked India as the 19th largest merchandise exporter in the world, with a share of 1.7% of the global trade and the 12th largest importer, with a share of 2.5% of global imports in 2012. In commercial services trade, India ranked higher: 8th largest exporter (3.3% of world exports) and 7th largest importer (3.1% of the world imports).

Services sector is the largest and fastest growing sector in the Indian economy and its contribution in total GDP of India is 59%. Services exports have recorded about seven fold increase in ten years from US$ 20.76 billion in 2002-2003 to US$ 142.325 billion in 2011-2012. Moreover, India’s performance in services exports has been stronger than most other emerging economies for which their manufacturing sector has been the main driver.

Over the years, Services Exports has constantly been giving Trade Surplus for India.

Services Sector has shown higher growth rate as compared to agriculture and manufacturing sectors. Tourism and travel-related services and transport services are the major items in India’s services which have been particularly important for improving performance in services export, apart from Software, the one sector in which India has already achieved a remarkable global brand identity. India’s services trade (Exports + Imports) stands at US$ 220.552 billion (2011-12). The performance of India’s services exports during last 6 years is given in Table 5.15

Table 5.15
Performance of India's Services Exports

(US $ million)

Sector

2011-12
(P)

2010-11
(P)

2009-10
(PR)

2008-09

2007-08

2006-07

Services Exports

1,42,325

1,32,880

96,045

1,05,963

90,342

73,780

Travel

18,462

15,275

11,859

10,894

11,349

9,123

Transportation

18,241

14,271

11,178

11,310

10,014

7,974

Insurance

2,632

1,948

1,591

1,422

1,639

1,195

G.n.i.e*

478

535

441

389

331

253

Miscellaneous (Total)

1,02,513

1,00,851

70,977

81,947

67,010

55,235

Software Services

62,212

55,460

49,705

46,300

46,300

46,300

Business Services

25,910

24,050

11,321

18,602

16,772

14,544

Financial services

5,967

6,508

3,693

4,428

3,217

3,100

Comm. Services

1,600

1,562

1,228

2,298

2,408

2,262

Source – RBI Data on India’s Overall balance of Trade, Sept. 2012

J. Services Export Promotion Council

SEPC, an Export Promotion Council set by this Department, is an apex trade body to facilitate service exporters of India and serving as a platform of interaction between service exporters and policy makers. SEPC has been instrumental in promoting the efforts of Indian service exporting community. The Council has Completed 6 years of its existence and got a strong membership base of more than 1700 members from its 14 service sectors which come under the purview of SEPC and almost 250 members have registered themselves in the Council during the financial year 2012-13.

During the financial year 2012-13, Services Export Promotion Council (SEPC) participated in the following Events / Exhibitions in India and abroad:

  • Hospitality Business Fair (HBF)-2012 from 10-12 May 2012 at CTC, Chennai.
  • Global Investor Meets (GIM)-2012 from 6-8 June 2012 at BIEC, Bangalore.
  • India Show “GHANA”-2012 from 9-11 July 2012 at GITFC, Accra-Ghana.
  • India Medical Tourism Destination (IMTD)-Kenya & Tanzania-2012 from 27-31 August 2012 at KICC, Nairobi-Kenya & DJH, Dar-salaam-Tanzania.
  • Annual Global Service Summit (GSS)-2012 organized by Global Service Network (GSN) from 19-20 September 2012, Grand Hyatt Hotel-Washington-DC, USA.
  • 2nd India Hotel Expansion Summit-2012 from 27-28 September 2012 at JW Marriott Hotel, Mumbai
  • World Travel Market (WTM)-2012 from 5-8 November 2012 at Excel-London.

India International Trade Fair (IITF)-2012 from 14 to 27 November 2012 at Pragati Maidan-New Delhi.

Pravasi Bhartiya Divas (PBD)-2013 from 7-9 January 2013 at Le Meridian-Kochi, Kerala

Services Export Promotion Council signed an MOU with Coalition of Service Industries, USA (USCSI) for promoting the development of service industries between India and USA, during the Annual Global Service Summit-2012.

Shri Rajesh Sharma Director General /SEPC signing MOU with Mr. Peter Allgeier, President-USCSI on 20th September, 2012 in Washington DC, USA

K. Project Exports Promotion Council of India (PEPC)

PEPC of India, an export promotion council set up by the Government is an apex co-coordinating agency to facilitate project exporters to secure and execute projects overseas by employing the best technologies and by using Indian project construction items. Projects are contracted in any of the following modules:

a) Civil construction projects

Turnkey projects including engineering, procurement and construction (from concept to commissioning) and essentially includes civil work/construction and all supplies specific to these turnkey projects

b) Process and engineering consultancy services

  1. Project construction items (Excluding steel and cement)
  • Construction Engineering Products (Fittings & Fixtures/Materials)
  • Construction Equipments & Accessories
  • Other Project Goods
  1. PEPC also co-ordinates the promotion of economic co-operation between Indian project exporters and foreign companies by:
  • assisting in the formation of consortia or joint ventures to facilitate bidding for executing large projects, and
  • promoting technology transfer especially in sophisticated technology fields which would encourage India companies to jointly bid for mega projects.
  1. The Construction industry of India is an important indicator of the development as it creates investment opportunities across various related sectors. The construction industry has contributed an estimated Rs.2,50,657 crore to the national GDP in 2011-12 (a share of around 4.8%).
  2. Construction Industry in India has the distinction of being the second largest economic activity and provides employment for both skilled & unskilled workers.
  3. Project Exports from India grew 7.72% to Rs. 19651.2 Crore in 2011-12 from Rs. 18,241.8 Crore in 2010-11. The growth is commendable, considering the fact that “Middle East Region” which contributes 60-70% to Project Exports from India annually, was going through after effects of Jasmine Revolution during this period.

Effects of economic crisis on Project Exports:

  1. Since US & Europe are not significant market for Project Exports from India, the direct effects of economic crisis in the region have been very limited.
  2. The indirect effects of economic crisis on Project Exports from India are as follows:

 

  1. US & European companies are pursuing foreign projects more aggressively and have raised the competition not only in traditional markets for Indian Project Exports i.e. Middle East but also in new markets like Africa.
  2. Developed countries are using Diplomatic channels more than ever before to protect and further interests of project exporters from their respective countries.
  3. The competitive advantage of foreign project exporters to raise money at significantly lower interest rates is proving to be a significant deterrent for aspiring Indian small and medium enterprises in the sector to venture in the region.
  4. Significant increase in competition has led to decline in margins in the traditional markets for project exports from India.
  5. Latest technologies are required more than ever before to penetrate and stay competitive in these markets.

New initiatives and ideas adopted

It was observed that the project award agencies\institutions around the world have been progressively awarding more contracts on “Turnkey Basis”. We have taken following initiatives to counter the competition from large pool of foreign contractors with capability to not only execute projects on Turnkey basis but to also supply necessary capital goods for the project:

  1. In view of announcement made by Honorable Commerce Minister, Shri Anand Sharma to launch “Pilot Scheme” to grant 2 % Interest Subvention for Project Exports, Project EPC has been urging its member companies to provide suitable complimenting response to the scheme by aggressively bidding and securing overseas projects in SAARC region, Africa and Myanmar.
  2. Project EPC has been making efforts to add more member companies with capability to undertake projects on “Turnkey basis” in upcoming specialised sectors, for example “hospitals”.
  3. Project EPC has been advocating inclusion of project exports as a head in DGFT policy and procedures enabling current project exporters to declare supplies to a particular project under this head. This would also encourage new companies to develop capabilities to execute projects on “Turnkey Basis”.
  4. Project EPC is hopeful that this initiative would persuade Indian Project Exporters to progressively use Indian Projects Goods in their projects either by strengthening their project goods manufacturing capabilities or forging ties with other Indian Manufacturers. Irrespective of the approach adopted, projects exports from India are bound to expand. Additionally, the enhanced competitiveness of Indian capital goods industry would enable them to face competition from foreign project goods suppliers in Domestic Market.

L. The Cashew Export Promotion Council of India (CEPC)

Cashew, originally from Brazil, was introduced in India by Portuguese seafarers in the 16th century to prevent soil erosion. Later it spread as a popular crop to other parts of the South Western and South Eastern parts of India and Cashew cultivation in India now covers a total area of over 0.9 million hectares of land in eight states, producing about 7 lakh M.T. of raw cashew nuts annually.

India is the largest producer and processor of cashews in the world and accounts about 40% of the world exports of cashew kernels. Indian cashews are exported to more than 60 countries. The U.S.A., U.A.E., Netherlands, Japan, U.K. are the principal markets

The industry provides employment to about 10 lakh workers, mainly women from the weaker sections of the society. Thus the development of export of cashew has both economic and commercial significance.


The Cashew Export Promotion Council of India was established by the Government of India on 17th August 1955 with the active co-operation of the cashew industry. The Council has been, since its inception providing the institutional frame work for improving international trade in cashew and allied products.

The primary functions of the Council include export promotion by organizing/ sponsoring trade delegations, market studies, brand promotion programmes, Buyer Seller Meets etc, participating in trade fairs abroad, providing market information and rendering all other assistance to our cashew exporters in their efforts to increase exports. The Council also has been taking up with the Directorate of Cashewnut & Cocoa Development the need for increasing the domestic production of raw nuts. The Council is also involved in production development, projects for development of new products, packaging, etc., providing assistance to the exporters for process up-gradation, modernization improving quality standards, etc.

The membership strength of the Council was 201 as on 31st March 2012.

CEPC Laboratory & Technical Division

The Council has set up a Laboratory and Technical Division of international standards with NABL accreditation at Kollam. The laboratory is equipped with the state of art technology to undertake the analysis as per the requirements of the importing countries. It provides analytical services to the Indian cashew industry and monitors the quality of cashews produced and processed in the country. The services of this Laboratory are available not only to the cashew industry in India, but also to the entire food processing industry in India and abroad. The laboratory also is recognized by BIS for analysis of packaged drinking water, by Kerala State Pollution Control Board for analysis of pollutants and by the Kannur University as a center for conducting research studies by doctoral & post doctoral students.

Cashew Kernels & Cashew Nut Shell Liquid

The export of cashew kernels from India during 2011-12 was 1,31,760 M.T valued at Rs. 4390.68 Cr. (US $ 916 Million). Out of this, 37.52% were to American zone, 26.84% to European zone, 20.13% to West Asia and 11.83% to South East & Far East Asian zone, 1.26% to Oceanic Zone and 2.41% to African zone.

According to the statistics published by the DGCI&S, Kolkata, the share of agri products in the total exports earnings of the country during 2011-12 is 6.51% and cashew kernels ranked eighth among them contributing 4.62%. This accounted to 0.30% of the total earnings of the country through exports.

The export of Cashew Nut Shell Liquid (CNSL) during 2011-12 was 13,575 M.T valued at Rs. 59.46 Cr. (US $ 12.4 Million). The main markets were USA, China, Korea Rep., Japan and Taiwan.

The export of cashew kernels and cashew nut shell liquid for the last three years is given in table 5.16.

Table 5.16
The export of cashew kernels and cashew nut shell liquid

 

CASHEW KERNEL

CASHEWNUT SHELL LIQUID

YEAR

Qty

Value

Value

Qty

Value

Value

 

(M.T)

(Rs.Cr)

(US $ Mn)

(M.T)

(Rs.Cr)

(US $ Mn)

2009-10

1,17,991

2,801.6

590.56

11,227

27.6

5.82

2010-11

1,05,755

2,819.39

618.83

12,051

33.8

7.41

2011-12 *

1,31,760

4,390.68

915.68

13,575

59.5

12.4

Source: DGCI&S

Domestic Production and Import of Raw Cashewnut

India continued to be the largest producer of raw cashew nuts in the world. The other main producing countries are Vietnam, Brazil, Tanzania, Ivory Coast, Guinea Bissau, Mozambique, Indonesia, etc. According to the estimates by Directorate of Cashewnut & Cocoa Development (DCCD), the production of raw cashew nuts in India during 2011-12 was 6,92,000 M.T. as against the estimated production of 6,53,000 M.T. during 2010-11.

As the domestic production is not sufficient to cater to the installed processing capacity of about 15 lakh MT, we import raw nuts from other producing countries. 8,09,371 MT of raw cashew nuts were imported during 2011-12.

Export / Import Policy

Export of cashew kernels, CNSL and Cardanol can be carried out by any person having an IE code.

During 2011-12 import of raw cashew nuts continued to be under Open General License.

Export Incentives

Govt. of India had withdrawn the DEPB scheme with effect from 30th September 2011. The Duty Drawback rate remained at 1% of FOB value.

VKGUY for Cashew Kernels, CNSL and Cardanol are continuing at the rate of 5%

. The Council has been representing to the Ministry for increase in VKGUY rates for value added cashews.

Sales Tax / Value Added Tax / CST / Service Tax

The Council continued to pursue with the Central / State governments to exempt or reduce the rate of VAT for Raw Cashew nuts and cashew kernels in order to make our cashew kernels more competitive in international markets.

The Council has been representing to the Government to exempt The Cashew Export Promotion Council and cashew exports from the purview of Service Tax.

Publication & Advertisement

The Council continued to publish its magazine, the monthly Cashew Bulletin. It also brought out KAJU India 2011 Post Meet Publication, Directory of Indian Cashew Exporters 2012 and brochures and folders on different languages for use in international exhibitions and trade delegations.

Conventions / Exhibitions / Trade Delegations

The Council has participated in the following exhibitions/trade fairs during the year 2011-12:-

  • The Summer Fancy Food, New York, USA
  • The Fine Food, Sydney, Australia
  • World Food - 2011, Moscow, Russia
  • ANUGA 2011 Food Fair, Cologne, Germany.
  • EXPO NFV, Istanbul Turkey
  • Gulfood Exhibition, Dubai, UAE


The trade enquiries received at the fairs and delegations were circulated among the members for information and follow-up.
The Council also sponsored Trade delegations to the following places during the year.

  • AFI Annual Convention, Florida
  • 6th Annual Conference of African Cashew
    Alliance (ACA), Gambia
  • New Zealand and Australia

Apart from this, the Council conducted / participated in various Seminars / Workshops related to the industry.

MDA Assistance

a) MDA Grant to Council for Code Activities

The Council gets grant-in-aid for undertaking its export promotion activities approved by Ministry of Commerce, Govt. of India.

b) Assistance to Exporters

The Council receives grant-in-aid for reimbursement to Individual Exporters for their participation in fairs/trade delegations, etc. A sum of Rs 9.30 lakh has been reimbursed to 11 exporters towards grant-in-aid for participation in international fairs, trade delegations, etc. during 2011-2012.

Five Year Plan Schemes

The Council had implemented the XI Five Year Plan Scheme “Modernisation & Diversification” extending financial assistance to the member exporters for upgrading and improving their processing and manufacturing units.

During the XI Five Year Plan period, Council disbursed a total of Rs.9.02 Cr. to 72 beneficiaries. A sum of Rs.2.39 Cr., due to be released to 18 exporters are pending due to shortage of funds and this has been included in the XII Five Year Plan.

ASIDE Scheme

The Council has received Rs. 5 crores under ASIDE scheme towards up gradation of CEPC Laboratory and R&D Centre, Kollam during 2011-12

M. Indian Oilseeds and Produce Export Promotion Council (IOPEPC)

Engaged in the development and promotion of exports of oilseeds, oils and oilcakes, Indian Oilseeds and Produce Export Promotion Council (IOPEPC), erstwhile known as IOPEA, has been catering to the needs of exporters since over half a decade. Besides focusing on exports, the Council also works towards strengthening of domestic supply chain by encouraging farmers, shellers, processors, surveyors and exporters to enhance the quality of oilseeds in India.

Development of Oilseed & Produce Exporter

The Council laces higher emphasis on development of oilseeds, edible oils, oilcakes and other products under its purview. The Council works towards improvement of yield and quality of oilseeds being produced in India so as to match the requirement in global markets.

Promotion of Mulching to enhance yield of quality groundnut 

During the visit of focal group to China, measures such as mulching were identified to improve groundnut yield in India. The Council sponsored this noble project and demonstrated the benefits in terms of much higher yield and quality improvements in groundnuts on pilot project basis at the farms in Gujarat. The Council continues to work towards promoting this technology to the groundnut growers in India.

Addressing Pesticides related issue at the Farm level

The importing countries are always concerned about the pesticides residues in the agricultural products being supplied by other countries. In order to create awareness amongst the farmers to use safe and permissible pesticides, the Council organizes various activities so the problem is minimized at the farm level itself. 

Creation of Awareness amongst farmers and processors

The Council also organizes workshops for promotion of Good Agricultural Practices (GAP) amongst Indian farmers and training sessions for processing units for adoption of Good Manufacturing Practices (GMP).

Strengthening Supply Chain

Regional Meetings at various parts in India are also organized so as to strengthen supply-chain and create awareness regarding the quality issues amongst stakeholders in the trade and industry such as exporters, processors, traders, brokers and service providers in oilseeds and oils sector.

 Pre-shipment Quality Check

In order to ensure the exports of quality groundnuts meeting the criteria laid down by importing countries, the Council recognizes facilities. It issues certificate of exports as pre-shipment quality check for exports of groundnut and groundnut products to European Union.

Activities Undertaken by the Council during 2011-12:

a. Organizing Regional Meetings

During the year 2011-12, The Council conducted Regional Meetings at Rajkot, Chennai, and Hyderabad. In order to assess scenario of Rabi oilseeds crop survey in Gujarat, the Council had conducted the crop survey in association with Junagadh Agricultural University (JAU). The findings of the crop survey were presented during the Regional Meet held at Rajkot on 14th May, 2011 which was attended by about 130 participants. Considering the fact that Tamil Nadu is one of the major groundnut producing states in India, the Council organized Regional Meeting at Chennai on 3rd March, 2012 with an objective to spread awareness amongst stakeholders in the domestic supply chain. Eminent speakers from ICAR and Pest Control of India enlightened the participants regarding care to be taken for supplying produce for exports. Similarly another meeting was held at Hyderabad, Andhra Pradesh on 4th March, 2012

b. Annual Trade Meet at Pune, Maharashtra

The Annual Trade Meet of IOPEPC was held during 15-16 October, 2011 at Pune in Maharashtra which was attended by over 400 participants from industry and trade. During the meet the findings of Kharif Oilseeds Crop Survey was presented. Besides, the Council also recognized the achievements of oilseeds exporters under different categories by way of giving them awards. Eminent speakers from various countries such as UAE, South Africa, Switzerland, Singapore, China amongst others presented their views regarding supply and demand outlook for various oilseeds. The Council also released its Souvenir containing detailed information about the members, which serves as “Ready Reckoner” for all the stakeholders resulting in creation of newer business opportunities.

c. Participation in international trade fairs

In order to promote exports of oilseeds and its oils, the Council organized participation from member exporters in international trade fairs – ANUGA 2011 and GULFOOD 2012. The international trade fair ANUGA 2011, (organized at Cologne, Germany) is considered to be world’s most important trading platform for food and beverages. In order to strengthen foothold for Indian oilseeds sector, the Council organized participation from member exporters under its pavilion.

GULFOOD is leading dedicated exhibition for food services and hospitality sector in Middle East region. The Council organized participation from ten member exporters to take advantage of the opportunities in not only the Middle East market but also other regions.

The Council also participated in International Peanut Forum (IPF) organized at Amsterdam, Netherlands. India being the largest groundnut exporter, was able to highlight its achievements for supply of quality groundnut and groundnut products amongst international delegates.

During 2012, the Council also sent its delegation to EU, China and Japan. The visit to EU was focused on resolving the issues relating to increased Rapid Alerts against Indian groundnuts by member states. The Council visited Port Health Authorities & Laboratories in Felixtowe (UK), Rotterdam (Netherlands) and also met with the officials of DG-SANCO, Brussels.

In order to facilitate Indian oilseeds exports to China, the Council commissioned its delegation to China to take up various issues with officials in China. The visit of IOPEPC delegation to Japan focused on re-starting exports of Indian Sesame seeds to Japan.

d. Satellite Crop Survey

IOPEPC, with the support of APEDA, has taken recourse to state-of-art satellite based Remote Sensing Technology. It may be noted that the correct estimation of crops using satellites is done only in a few advanced countries. With our state-of-art survey technique, for a crop like groundnut, India has joined this elite group.  Since, the five states viz. Gujarat, Andhra Pradesh, Karnataka, Rajasthan and Tamil Nadu together contribute around 85% of acreage and 83.2 % of total production in India, the study has focused at estimation in these states.

Following are outlines of some of the key functions of the Council

Fairs & Exhibitions

  • Organising participation in International Trade Fairs most of which are  entitled for Market Development Assistance (MDA) Scheme of Ministry of Commerce, India.
  • Participation in domestic Fairs to educate the visitors regarding export potential in various markets.
  • Establishing contacts with the prospective buyers by organizing exclusive Buyer-Seller Meets (BSMs) both in India as well as in overseas markets.
  • Organising visits of delegation of its members abroad to explore overseas market opportunities.

Liaising with Government

  • The Council facilitates interaction between exporting community and Govt. both at the Central and State level. It also has representation in various committees/panels of Central and State governments.
  • Advising Government on the export-import policy matters.
  • Coordinating with various Government agencies/departments with regard the issues faced by members

Defending Interests in Global Markets

  • The business interest in the destination
    markets are defended by contesting trade distortion measures such as anti-dumping duty, safeguard duty and works towards removing non-tariff barriers impacting Indian exports.
  • During the consultations at multilateral level such as WTO, UNCTAD; the Council provides inputs to the government to promote interests of India’s oilseeds and derivatives products.
  • The Council regularly communicates with Indian Embassies, trade bodies and associations in various countries in order to resolve the issues faced by exporters.

Conducting Trade Meets, Surveys & Studies

  • Conducting Crop Survey to assess the supply-demand situation well in advance so that effective export strategy can be chalked out
  • Conducting market surveys and providing market intelligence through various cluster studies, research reports & journals.
  • Assisting and encouraging scientific, technical and economic research for oilseed & oils sector.

Providing Effective Dispute Settlement Mechanism

The Council also acts as Institutional Arbitrator to provide speedy justice at much lower costs, thereby providing an excellent dispute redressal/settlement mechanism.

Certification of warehouses and processing units

  • The Council has been entrusted with the responsibility of inspecting warehouses and processing units which are engaged in the exports of peanut and peanut products to various countries.
  • The Council also extends professional advice on conforming to the standards so as to qualify for grant of Certificate..

Training and Productivity

  • To increase productivity by upgrading technical skills of professionals engaged in the sector, the Council organizes various training programmes  at different locations throughout India.
  • Up gradation of infrastructure and quality to promote the export of agro products
  • Offering professional advice and services to members in areas of technology up gradation, quality improvement, standards and specifications, certification such as HACCP.

Information Dissemination

  • Circulation of government Notification/Public notices/Orders, Statistics, global events, government schemes, trade enquiries and other important articles related to Oilseeds and oils sector through emails as well as monthly News Bulletin. 
  • The Council also releases an annual Souvenir which provides concise trade information and Contact details of the members.

N. Export Promotion Council for EOUs and SEZs

The Export Promotion Council for EOUs and SEZs (EPCES) has been set- up to service the export promotional needs of 100% Export Oriented Units (EOUs), Special Economic Zone (SEZ) Units and Agri Economic Zones in the country. EPCES represents EOU/SEZ Sector spread all over the country. This Council is a multi-product and scheme specific Export Promotion Council.   The EOUs/SEZ Units cover major industrial sectors, like Textiles, Garments & Yarn, Food & Agro Products, Electronics & Software, Chemical, Engineering, Minerals, Granite, etc.

Objectives:

l To promote exports from India and to earn more foreign exchange for the country.

l To facilitate interaction between the exporting community and government both at the Central and State level.

l To canalize financial assistance rendered by the Central Government to members for assisting their
export market development efforts.

l To collaborate with other Export Promotion Councils/Export Promotion Organisations in India and similar bodies in foreign countries as well as with international organizations working in the field.

O. Pharmaceutical Export Promotion Council (PHARMEXCIL)

Pharmaceutical Export Promotion Council (PHARMEXCIL) was set up by the Ministry of Commerce and Industry, Government of India in 2004 at Hyderabad for promotion of pharmaceutical exports from India. Various pharmaceutical products, namely, bulk drugs and its intermediates, formulations, biotech and biological products, herbal products, ayurvedic, unani and homeopathic medicines, diagnostics, surgical, neutraceuticals, collaborative research, contract manufacturing, clinical trials and consultancy, etc. are covered under its purview. PHARMEXCIL takes up several external trade promotion activities by organizing trade delegations outside India, arranging buyer-seller meetings, international seminars, interactive meetings on exports related issues, make suggestions to Govt. of India on policy issues relating to pharma exports, make representations to Govt. of India and other agencies in India and abroad to get amicable solutions for the common problems of the industry, etc.

Brand India Pharma campaign

There have been cases where quality related issues have been raised in various markets. Also, there has been a sustained negative propaganda by vested interests about Indian generics.  In order to counter these allegations and further to build a brand image Department of Commerce has initiated a Brand India Pharma campaign which is being executed in association with PHARMEXCIL and India Brand Equity Foundation (IBEF).
The Brand India Pharma Campaign has the vision of positing India as the source of an array of affordable, quality generics.  It has the following key objectives of :

  • raising the awareness of the Indian pharma success story
  • creating awareness that Indian generics are not counterfeits but are bonafide, efficacious medicines of good quality
  • improving the credibility of Indian Pharma industry and protecting it from attacks of vested interests
  • positioning India as the global pharmacy of world

As part of the Brand India Pharma campaign, the following campaign material has been developed :

  • logo
  • redesigned website
  • fact book on Indian pharma
  • short film
  • Coffee table book.

Brand India Pharma campaign was launched at CPHI, Japan in March, 2012 in Tokyo where India has been declared the ‘focus country’. The campaign was carried forward in Indonesia in June, 2012 and in India Show at CPHI Worldwide Madrid held in October 2012. Web based publicity, public relation and media campaign, and invitation to foreign journalists to visit India to understand the pharma sector better are being done on an ongoing basis.  PHARMEXCIL is also organizing business seminars to spread awareness on the Indian regulatory system, foreign investment opportunities and various measures to ensure quality of Indian exports.

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