The Exim Policy destroyed all QRs with adequate safeguards to domestic industries, introduced new market access initiatives, and mooted the agri-economic zones and drastically simplified procedures.
HIGHLIGHTS OF THE POLICY: 2001- 02
- QRs totally dismantled from April 1.
- Standing group to be set up for monitoring import of 300 sensitive items.
- Focus on accelerating export growth to achieve 1 per cent of global trade by 2004-05.
- Export growth target at 18 per cent for 2001-02.
- Import of new and second-hand automobiles allowed, but subject to conditions.
- Exim Policy schemes like duty exemption scheme and EPCG to be applicable to agro-sector.
- Promotion of agricultural exports through agri-economic zones and agricultural export policy.
- Import of agricultural products like wheat, rice, maize, other coarse cereals, copra and coconut oil has been placed in the category of state trading.
- Market access initiative through a plan scheme.
- Strengthening of annual advance license scheme as part of changes in Exim Policy.
- Extension of validity of duty-free replenishment certificates from 12 to 18 months.
- Imports of moulds up to full CIF value of license allowed.
- FDI permitted under automatic route in SEZs except for small negative list.
- License for setting up units for items reserved under SSI not required
- SEZ developers to get infrastructure status under Income Tax Act.
- Rationalization of DEPB scheme rates in line with changes in customs duty proposed in Union Budget.
- Simplification of procedures, exporter-DGFT interface cut down by reducing number of committees from nine to four.
- Dialogue with Finance Ministry and RBI on re-phasing of section 80 HHC, removal of anomalies in customs and excise duty structures with respect to electronic hardware sector.
- Extension of diamond dollar account scheme to diamond-studded jewelry exporters with average annual turnover of Rs 5 crore.
- Exporters allowed to carry gems and jewelry of up to $2 million value for overseas exhibitions.
- Export Oriented Units allowed to achieve minimum export performance of three time the value of capital goods over five years.
- Value restriction of $20 million for EOU project approval by development commissioner removed.
- Free imports of second hand capital goods up to 10 years old.
- Import of textile materials using prohibited dyes like AZO not allowed