Export Incentives

By : Mr. Raguveer PanditSalasar Shipping, Aurangabad

Rs.

• Thanks Rotary Club of Jalna for inviting me

Goal Of Presentation

Overview of “ Export Incentives”.

Motivate you to Start Export.

An Ancient Expertise

Map Of Silk Route

Historical Facts

China

India

USA

Japan

Why to Export What is for me.• Expanding Market Geography.• Real Value for your products .• Precious Foreign Exchange Earning for Country.• No Excise , No VAT & Incentives from GOI.• Better Cash Flow & Bank Support.• Demanding Customer, Technological Up-gradation.• Investment in manufacturing infrastructure viable.• Investment in R & D , Market Development feasible.• Healthy Competition.• Motivated Manpower.• Happy & Supportive Suppliers.

Export Incentives

Pre Exports Post Exports

MDA Grant MIA Grant

Central Duty Refund / Neutralization / Exemption Schemes

Market Development Initiatives.

DTA Schemes

Pre Exports Post Exports

Advance AuthorizationDFIAEPCG

DEPBDrawbackFocus Market SchemeFocus Product & MLFPSStatus Holder Incentive ScripSFIS Served For India Scheme

Advance Authorization SchemesPre Exports

Advance Authorization Scheme.• Scheme has been made operational from 2006.

• Post Export Transferability

Transferable DFIA valid for 12 months from Date of Endorsement or 36 months of issuance date which ever is later.

EPCG Scheme.• Import of Capital Goods with AU conditions with

concessional rate of 3% .

• Export Obligation 8 times the duty saved in 8 ( Extendable 12 ) years.

• Special Dispension for License with duty saved 100 cr & above, Agro Units, SSI Units, BIFR EO Period 12 Yr.

• Export of Alternative Products & Service Allowed.

• A Zero Duty Scheme also introduced from 2009. with 6 times EO in 6 Years.

Duty Drawback Scheme.• Duties Paid on Imported Raw materials & Excisable Inputs is refunded at Fixed Rates

• For Details of Rates Pl see

• http://www.cbec.gov.in/customs

/dbk-schdule/dbk2011-12/

dbk-sch-2011-1.pdf

Focus Market Scheme.• Introduced by Ministry of Commerce & Industry. GOI.

• This Scheme allows duty credit facility @ 3% of FOB value exported from 27.8.2009 onwards of all products to notified countries.

• Countries form Latin America & Africa & many other part of world.

Focus Product Scheme.• Products which have high employment potentional

• 2% of FOB value of Export to all countries.

• Exports made after 27.8.2009.

• Scrip or items imported under scheme transferable.

• Examples : Electrical Transformers, Motors , Generators, Printing & Processing Machines

Construction Machines Aluminum

Plates & Sheets, Bicycle Parts etc.

Market Linked Focus Product Scheme.

• The MLFPS promotes exports of products/sectors of high employment potential ( Not covered under FPS)

• 2% FOB Value

Status Holders Incentive Scrip SHIS & Served From India Scheme

SFIS• Status Holders shall be entitled @1% scrip of FOB value.

• SFIS scheme is applicable for service providers.

Marketing Development Assistance MDA Scheme

• Applicable for Participation in International Trade Fair, Exhibitions, Buyer & Seller meets & Trade delegations

• Air Fare + Space Rent for Focus Area.

• Space Rent for Non Focus Area.

Eligibility : Member of EEPC, < 15 Cr Export

5 Grants per year only.

Market Access Initiatives ( MAI )

• Market Surveys & Studies is funded by Govt.

Packing Credit in Rs. & $• 2 % less interest rates on Working Capital for PC.

• Libor + 3.5% interest on PCFC in $.

No Excise & No VAT

Conclusion• There are many successful exporters in our

region, there is no reason why you should not be one of them.

All The Best

Thank You

Questions