News

Sep 16, 2019

GJEPC Welcomes Measures Announced by Finance Minister to Boost Exports

The Gem & Jewellery Export Promotion Council (GJEPC) has welcomed the slew of measures announced by the Hon’ble Union Minister of Finance Smt Nirmala Sithraman to boost exports from the country stating that they will provide major relief to the gem and Jewellery industry and facilitate trade.

GJEPC Chairman Pramod Kumar Agrawal has acknowledged the positive announcements and stated that the government has understood the concerns of the Gems & Jewellery sector.

“The sector was constantly suffering from credit crunch and blockage of capital,” he pointed out and said, “Expansion of scope of ECIS by ECGC to banks lending to exporters, is an encouraging step towards resolving the finance woes of the sector.”

He further noted, “Reimbursement of Taxes and Duties for Export Promotion is an encouraging step towards ease of doing business and the step towards expediting export shipments will enhance sectoral exports.”

Along with circulars issued earlier that resolved key issues of IGST payment and Replenishment scheme for gems and jewellery sector, he said the new measures “will provide further relief to the g&j export industry”.

Gems & Jewellery is one of the special 4 sectors chosen for organizing MEGA SHOPPING FESTIVALS in four cities prior to March 2020, in addition to Handicrafts /Yoga/Tourism, Textiles and Leather. “This would not just provide impetus to Sales to Foreign Tourist, but also propel exports for the sector,” Agrawal opined.

The GJEPC Chairman said, “We are really thankful to Hon’ble Finance Minister Smt Nirmala Sitharaman for the measures taken to boost exports from the sector.”

He added that Hon’ble Minister of Commerce & Industry, Shri Piyush Goyal has also been very proactive and supportive to the industry. Thanking him for “leadership and guided direction”, Agrawal also acknowledged the several policy measures announced by the minister that facilitate ease of doing business.

Specific measure welcomed by GJEPC include:

“• Gem & Jewellery is one of special 4 sectors chosen for organizing MEGA SHOPPING FESTIVALS in 4 cities before March 2020, highlighting Gem & Jewellery sector, Handicrafts /Yoga/Tourism, Textiles and Leather. This would not just provide impetus to Sales to Foreign Tourist, but also propel exports for the sector.

• Special dispensation for facilitating and on-boarding handicrafts artisans and handicraft cooperatives directly on e-commerce portals and enable seamless exports. This move will bring in ease of doing business in the sector.

• Mass enrolment of artisans across India with help of M/o Textile and organisations like TRIFED, CIE, etc. This would help the industry to be transparent and organized”.

Other positive announcements that were also acknowledged are:

“• IGST refund to become fully electronic from the end of Sept. 2019.  Exporters had been complaining of delay in refunds. The new measure will help speed up refunds and also help the Department to monitor the refunds. 

• MEIS will be replaced by a more robust RODTEP (Remission of Duties and Taxes on Export Product) by 1.1. 2020.  Our sector which was not   covered under MEIS, can pitch for assistance under RODTEP.  A budget of Rs. 50 thousand crore is projected for this scheme.

• ECGC premium for MSME exporters will be moderated suitably and a budget of Rs, 1700 crores per yr. is being earmarked for this initiative.  This will be of immense help to the MEME exporters.

• Priority Sector Lending for exports.  The norms are being revamped and additional outlay of Rs. 36 to 68 thousand crore is being earmarked under Priority Sector.   So availability of export finance will be eased.

• To monitor Export Finance, an Inter-Ministerial Working Group under Department of Commerce to keep track and review the export Finance is being constituted.

• ONLINE issuing of Certificate of Origin by DGFT.

• For better utilisation of opportunities under the various FTAs, a FTA Utilisation Mission will be set up in MoC to make exporters aware about the concessions available under various FTAs.”