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Budget proposals can help make country major exporter, says FIEO

PTI   

Budget proposals can help make country major exporter, says FIEO
Business1 min read
Mumbai, Feb 1 () Apex exporters body FIEO has welcomed the measures announced in Budget to boost exports, especially from agri sector, saying the proposals will help make the country a major exporter of agri and allied goods.

Federation of Indian Export Organisations (FIEO) President Sharad Kumar Saraf said the 16-points action plan announced in the Budget aim at structural changes in agriculture, horticulture and pisciculture, which will help make the country a major player in agro and allied sector exports in the medium to long-term.

Besides, it will also help double the farmers' income.

"The focus on standards and quality will facilitate exports of quality products, fetching better unit realisation and enabling manufacturers to meet the technical standards and help tide over the barriers erected by many of our trading partners, while also stemming cheap quality imports thereby protecting the domestic industry," Saraf said.

The 'one-district-one-product' initiative can be a game changer for exports, as substantial exports can be targeted by focusing at the district level, he said.

However, the scheme should be supplemented by forming 'district exports councils' on the pattern of the US to make districts vibrant and active partners in exports, he said.

The new scheme for electronic sectors including mobile phones, semi-conductors and electronic equipment will pave the way for increasing exports, particularly of mobile phones.

It can be noted that the country already exports mobile phones to the Middle East, South Asia and Africa.

Saraf said Nirvik scheme will ease lending process and enhance availability of credit to exporters.

Under the scheme, insurance guarantees will now cover up to 90 percent of the principal and interest both on pre- and post-shipment credit.

The Export Credit Guarantee Corporation (ECGC) currently provides such guarantee only up to 60 per cent of the loss to banks.

Saraf also said that the new scheme to provide digital payment of taxes will help improve competitiveness of exporters and move towards zero rebating of exports. BEN RVK

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