Foreign Trade Policy 2009-14: Indirect taxes off, incentive basket expanded
27 Aug 2009
The Foreign Trade Policy 2009-14, unveiled by commerce minister Anand Shrama today, aims to revive India's sagging exports through improvement in related infrastructure, lowering of transaction costs and refund of all indirect taxes and levies to achieve trade targets.
The new policy has also expanded incentive schemes by way of addition of new products and markets.
To aid technological upgradation of the country's export sector, the new policy has introduced an Export Promotion Capital Goods (EPCG) Scheme at zero duty.
Twenty-six new markets, including 16 new markets in Latin America and 10 in Asia-Oceania, have been added under the Focus Market Scheme.
The incentive available under Focus Market Scheme (FMS) has also been raised from 2.5 per cent to 3 per cent.
The incentive available under Focus Product Scheme (FPS) has been raised from 1.25 per cent to 2 per cent.