After witnessing a great contraction in export orders for the past few months, Indian micro, small and medium enterprises (MSMEs) within export sector will quickly receive much needed relief.
In an attempt reduce the economic pressure, the United Progressive Alliance (UPA) led government recently unveiled a special package worth Rs 325 crore to provide relief to the export segment. This move is required to benefit the employment-intensive export sectors since leather, gems & jewelery and materials.
Under the new package, procedural formalities for claiming duty drawback refund and refund of terminal excise duty also been simplified to help MSME exporters prune high transaction price.
Measures like quick settlement of duty credit scrips to be issued ahead from the realization of export proceeds and extension of scrips for import of even restricted items after payment of duty is expected to facilitate greater switch.
In order encourage trade facilitation, brand new has also extended a provision cut down export obligations dependant upon the decline in exports.
Export incentives for goods like technical textiles, stapling machine and handmade carpets are also provided contained in the recently announced export stimulus package.
The de-linking of grant of benefit under the obligation entitlement pass book (DEPB) scheme is another incentive that may help the MSME export segment tide over the continuing crisis.
Aadhar Udyog Registration in India order to promote trade facilitation, the government has also extended a provision to reduce export obligations in line with professional compensation in exports.
Export incentives for such things technical textiles, stapling machine and handmade carpets were also provided in the recently announced export package deal.