NE industry welcomes new foreign trade policy

The industry of North East has welcomed the recently announced new foreign trade policy for the region by Union industry and commerce ministry.

To promote manufacturing activity and employment in the North Eastern Region, the new foreign trade policy announced export obligation under the Export Promotion Capital Goods (EPCG) scheme to be 25 per cent of the normal export obligation. This would be applicable to the states of Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Tripura, and Sikkim.

The Union industry and commerce minister, Anand Sharma, while releasing the annual supplement to the Foreign Trade Policy said that export of specified products through notified Land Customs Stations (LCS) of North Eastern Region would be provided additional incentive to the extent of 1 per cent of Free on Board (FOB) value of exports. This benefit would be in addition to any other benefit that may be available under Foreign Trade Policy in respect of these exports, said Sharma.

“We welcome the recent announcement of the new foreign trade policy for the region by the Union industry minister. This is indeed a very positive step by the Government of India in encouraging exports from the region, keeping in tune to the earlier Look East policy,” said RS Joshi, chairman of Federation of Industry and Commerce of North Eastern Region (FINER), the premier trade and industry body of North East.

Joshi said that the decision to reduce the export obligation under EPCG scheme to 25 per cent of the normal export obligation now been made applicable to North Eastern states and now with Myanmar now being included in the list of Focused Market Scheme (FMS), this would definitely help the manufacturing activity and employment generation in the region.

“No doubt this is a blessing in disguise for the industrial units having export potential in the region and if implemented with North East Industrial and Investment Promotion Policy (NEIIPP) 2007 in true letter and spirit, will pave the way for an economic development of the region,” Joshi added.