Retailing And Merchandising In Textiles And Appare

Retailing and Merchandising in Textiles and Appare 3(2+1)

Lesson 24 : Exports And Imports

EXIM Policies

• Duty Entitlement Passbook Scheme: DEPS is available for Indian Export Companies and Traders on a Pre-Export and Post-Export basis. Pre-Export credit requires the beneficiary firm has exported during the preceding 3-year period. The Post-Export credit is a transferable credit that exporters of finished goods can use to pay or offset custom duties on imports of any unrestricted goods.
• Export Promotion Capital Goods Scheme: This scheme is available to export companies and traders who provide the GOI with information about which type of goods and what value of Capital Goods they will import. And they also inform what will be the outcome of export they expect to produce from those imports. Depending upon the export commitment GOI provides them a license to import capital goods duty-free or preferential rates of duty.
• Pre and Post Shipment Financing: The Reserve Bank of India provides Indian Exporters Pre-Shipment Financing through commercial banks for purchasing raw materials and packaging materials by presenting Letter of Credit. RBI also0 provides Post-Shipment Financing through commercial banks at preferential rates by presenting export documents.
• Export and Special Economic Zones: Govt. of India has established Export Processing Zones (EPZs) and Special Economic Zones (SEZs). In EPZs units can import goods free of custom duty. There is 5-year tax holiday to any industrial unit in EPZs. Govt. has allowed 100% Fore3ign ownership of units under EPZs and SEZs. The Govt. considers SEZs as foreign territory for trade and tariff purpose. Units under SEZs may engage in Manufacturing, Trading and Services. Units are exempt from routine checking of exports by customs, and they can sell in the domestic market on payment of duty as applicable to imported goods.