The Crossbill News Desk
The government has set up a high-level committee to examine how customs duties, export incentives, GST, and export clearance procedures are affecting India’s outbound shipments amid a challenging global trade environment, The Economic Times reported.
The panel, comprising senior officials from the ministries of commerce and industry, finance, and representatives from trade bodies, will recommend measures to simplify documentation, customs processes, port clearances, and logistics.
“The committee will look at export-related tax structure and customs clearances for all geographies and see where all easing can be done,” an official told the publication.
India’s goods exports in June slipped 0.05 percent year-on-year to $35.14 billion, the lowest in seven months, while imports fell 3.71 percent to $53.92 billion.
The trade deficit stood at $18.78 billion compared with $20.84 billion in June last year. The committee’s work will also involve studying global best practices and proposing reforms to streamline export processes.
The move comes against the backdrop of escalating trade tensions with the United States, which has recently imposed a 50 percent tariff on imports from India — the steepest on any country and on par with Brazil.
The executive order, signed by US President Donald Trump on Wednesday, doubles the existing 25 percent duty to 50 percent. The first phase took effect on Thursday, with the additional 25 percent scheduled to be implemented from August 27.
Talks between India and the US have stalled, with Washington seeking greater market access and criticising India’s purchases of Russian oil.
In response, New Delhi is reportedly pursuing a three-pronged strategy: launching tailor-made schemes under the proposed Export Promotion Mission to aid affected sectors, diverting goods to other markets to offset the loss of US orders, and redirecting low-order products to meet domestic demand.
By September, the government plans to unveil a Rs 20,000 crore long-term strategy under the Export Promotion Mission to protect exporters from global trade volatility. The initiative will focus on improving access to export credit and addressing non-tariff barriers in overseas markets, according to The Economic Times.
The panel, comprising senior officials from the ministries of commerce and industry, finance, and representatives from trade bodies, will recommend measures to simplify documentation, customs processes, port clearances, and logistics.
“The committee will look at export-related tax structure and customs clearances for all geographies and see where all easing can be done,” an official told the publication.
India’s goods exports in June slipped 0.05 percent year-on-year to $35.14 billion, the lowest in seven months, while imports fell 3.71 percent to $53.92 billion.
The trade deficit stood at $18.78 billion compared with $20.84 billion in June last year. The committee’s work will also involve studying global best practices and proposing reforms to streamline export processes.
The move comes against the backdrop of escalating trade tensions with the United States, which has recently imposed a 50 percent tariff on imports from India — the steepest on any country and on par with Brazil.
The executive order, signed by US President Donald Trump on Wednesday, doubles the existing 25 percent duty to 50 percent. The first phase took effect on Thursday, with the additional 25 percent scheduled to be implemented from August 27.
Talks between India and the US have stalled, with Washington seeking greater market access and criticising India’s purchases of Russian oil.
In response, New Delhi is reportedly pursuing a three-pronged strategy: launching tailor-made schemes under the proposed Export Promotion Mission to aid affected sectors, diverting goods to other markets to offset the loss of US orders, and redirecting low-order products to meet domestic demand.
By September, the government plans to unveil a Rs 20,000 crore long-term strategy under the Export Promotion Mission to protect exporters from global trade volatility. The initiative will focus on improving access to export credit and addressing non-tariff barriers in overseas markets, according to The Economic Times.
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