The Government of India has announced several initiatives in the new Foreign Trade Policy (FTP) 2023 to promote ease of doing business for exporters. Here are some of the key highlights:
Faster Online Approvals without Physical Interface
i) Automatic approval of various permissions under FTP based on process simplification and technology implementation.
ii) Reduction in processing time and immediate approval of applications under automatic route.
iii) Advance Authorization issuance reduced from 3-7 days to 1 day.
iv) EPCG issuance reduced from 3-7 days to 1 day.
Lower User Charges for MSME Exporters
i) User charges reduced for Advance Authorization (AA) and Export Promotion Capital Goods (EPCG) schemes.
ii) Will benefit 55-60% of exporters who are MSMEs.
iii) For licence value up to Rs 1 cr, charges reduced from Rs 1 per Rs 1000 to Rs 100 for MSMEs.
iv) For licence value Rs 1-10 cr, charges reduced from Rs 1 per Rs 1000 to Rs 5000 for MSMEs.
Enhanced e-Certificate of Origin Platform
i) Revamp of e-CoO platform to allow self-certification and automatic approval.
ii) Initiatives for electronic exchange of CoO data with partner countries.
Paperless Filing of Export Obligation Discharge
i) Applications for authorisation redemption to be completely paperless.
ii) Entire lifecycle of the authorisation becomes paperless.
The FTP 2023 focuses on reducing transaction costs and improving ease of doing business for Indian exporters through process simplification and digital initiatives. The reduced timelines and user charges will significantly benefit MSME exporters.
Related Posts: