Exporters body welcomes Government decision on partial resolution of long pending MEIS issue
Export Promotion Council for EOUs and SEZs (EPCES) has welcomed Government
decision regarding partial resolution of long pending issue of incentives under the MEIS
(Merchandise Exports from India Scheme) issue as far as exports for the
duration from September 1 to December 31st are concerned.
EPCES happy that 98
per cent of exporters will be unaffected by this decision
EPCES is also happy to note that concerns of MSMEs have been taken into
account in the sense that 98 per cent of exporters will be unaffected by this
decision of capping of incentives. EPCES would like to place its appreciation
on record for the efforts of Commerce and Finance Ministries in this regard.
Shri Bhuvnesh Seth, Vice Chairman, EPCES has however, stated that he would
like to bring to Government's attention the following points from the exporters
point of view :
This sudden change
in trade policies needs to be avoided
The present decision is with immediate effect. This sudden change in trade
policies needs to be avoided at all costs as it brings uncertainties in the
decision making and pricing policies of exporters.
These sudden changes in the policies, especially reducing the incentives,
make exporters suffer financial losses as the international importers do not
change their prices upwards.
In view of this, we would urge the Government if this decision is
applicable wef say October 1. Ideally when FTP has been extended till
31.3.2021, all changes in policies should be with effect from 1.4.2021.
We would also urge the Government to resolve the issue of MEIS for the
exports made with effect from 1.4.2020 to 31.8.2020. The present notification
is silent on this aspect. This has also created uncertainty for the exporters.
EPCES happy that the
committee for fixation of refund rates under RoDTEP has been set up
Further, EPCES is happy that the committee for fixation of refund rates
under RoDTEP has been set up. But, till the rates are decided, there is
uncertainty in the minds of exporters as to how to price their product which
will go into the international markets from 1.1.2021 onwards. In view of this,
EPCES urges the Government to extend the validity of the latest notification
from 31.12.2020 to 31.3.2021. This will create stability in incentive policies.
EPCES for a long term stable EXIM trade policy
EPCES requests the Government to ensure a long term
stable EXIM trade policy environment so that manufacturers, exporters and
importers can take their business decisions from a longer term perspective.