New Foreign Trade Policy (EXIM Policy)

May 3, 2023

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Table of Contents

Objective

Introduction of the Merchandise Export from India Scheme (MEIS) to incentivize exports of specified goods
The Service Export from India Scheme (SEIS) to incentivize export of notified services
Easier availability of duty credit scrips to facilitate exports
Simplification and rationalization of export procedures
Focus on boosting exports of MSMEs
Promotion of high value-added products for exports
Special emphasis on improving infrastructure related to exports
Establishment of the Trade Infrastructure for Export Scheme (TIES)
Introduction of the Agriculture Export Policy to boost agricultural exports
Enhancement of the e-commerce ecosystem for exports

Import of goods is regulated under the Foreign Trade Policy and the Customs Act, 1962
Export of goods is regulated under the Foreign Trade Policy and the Customs Act, 1962
Special Economic Zones (SEZs) have been established to promote exports and provide a conducive environment for manufacturing and services
The Export Promotion Capital Goods (EPCG) scheme allows import of capital goods at zero customs duty for manufacturing and service sector exports
The Advance Authorization Scheme allows duty-free import of inputs, which are physically incorporated in export goods
The Duty Drawback Scheme allows exporters to claim refund of customs and excise duties paid on inputs used in manufacture of export goods
The E-Commerce Export Incentive Scheme provides incentives for e-commerce exports
The National Agricultural Export Policy aims to promote exports of agricultural products and enhance farmers’ income.

The Foreign Trade Policy lays down the rules and regulations for import and export of goods and services
The DGFT is the nodal agency responsible for implementing the Foreign Trade Policy and issuing relevant notifications, circulars, and guidelines
The Customs Act, 1962 and related regulations govern the import and export of goods
The Export-Import Bank of India provides financial assistance and other services to exporters and importers
The Reserve Bank of India (RBI) is responsible for regulating foreign exchange transactions under the Foreign Exchange Management Act (FEMA)

The New Foreign Trade Policy provides a framework to boost exports and promote economic growth
It aims to increase the competitiveness of Indian exports in global markets
It promotes diversification of export basket and markets, thereby reducing dependence on a few products and regions
It provides incentives and simplifies procedures to encourage exports, especially for MSMEs
It creates a conducive environment for foreign trade and investment, thereby enhancing India’s integration with the global economy.