The Foreign Trade Policy, which will be unveiled on Friday in the midst of a sustained decline in exports of products and a slump in global demand, is likely to emphasise more coordinated government support for export growth while forgoing the implementation of any new incentive programmes.
The new policy may include a number of facilitation programmes to make it simpler for businesses to export, even though tax exemption for exported products will be an inalienable right of exporters. There will be an easing of regulations and paperwork, particularly for renewing licences and permits, as well as a strengthening of automation in different trade-related areas. By 2030, the annual goal of $2 trillion for both goods and services will once again be set (exports of goods and services have surpassed $750 billion). billion milestone in the current fiscal year, as services exports grew strongly despite declines in the shipments of goods).
The new FTP may also have a shorter validity period than the customary five years in order to guarantee policy agility in the rapidly shifting global market landscape, which has significantly changed India’s export destinations in recent years. Following the pandemic’s outbreak, the current FTP’s validity, which was originally intended to last from 2015 to 2020, has been prolonged through March 2023.
Unnamed sources cited by OPTI indicated that the new strategy would probably include “WTO-compliant export promotion measures.” Goyal stated during a Mumbai gathering that despite all India is a shining example of the fiscal difficulties that many nations are experiencing.