The Commerce Ministry announced the much-anticipated Foreign Trade Policy on Friday, breaking with precedent by focusing on the “long term” rather than a program lasting for five years. FTP will be amended as needed and has no set expiration date, according to the ministry. Moreover, Varanasi, Moradabad, Mirzapur, and Faridabad have been designated as towns of excellence for export.
source:economictimes
On March 31, 2024, Piyush Goyal, India’s minister of commerce and industry, introduced the country’s new foreign trade policy. With a target of $2 trillion in exports by 2030, the programme intends to increase the exports of products and services from India. It covers policies aimed at numerous industries, including dairy, apparel, and e-commerce. The internationalisation of the rupee trade is one of the policy’s key features.
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Exports Hub announced in FTP 2024-
In addition to the 39 current towns of export excellence, the Indian government has declared four more towns of export excellence (TEE) as part of its new Foreign Trade Policy 2024. The four new TEEs are Varanasi, Mirzapur, Moradabad, and Faridabad for clothing, handicrafts, and dari, respectively.
With a target of $2 trillion in exports by 2030, the programme intends to increase the exports of products and services from India. It covers policies aimed at numerous industries, including dairy, apparel, and e-commerce. The policy prioritises making conducting business easier and focuses on developing industries like export hubs and e-commerce.
Image Source- The Economic Times
How does the policy aim to boost the exports-
With a target of $2 trillion in exports by 2030, the new Foreign Trade Policy 2024 intends to strengthen the Indian economy by encouraging exports of products and services. The policy prioritises making conducting business easier and focuses on developing industries like export hubs and e-commerce. By cooperation with exporters, states, districts, and Indian Missions, the policy will boost export promotion. The policy will also put an emphasis on increasing India’s export potential globally.
To improve export promotion, the strategy would encourage cooperation between exporters, states, districts, and Indian Missions. The internationalisation of the rupee trade will also be aided by the policy. The strategy will lower transaction costs and increase export hub development. Increased commerce, increased production, and promoted exports will all be made possible by the approach.
Key features of FTP 2024-
With a target of $2 trillion in exports by 2030, India’s new Foreign Trade Policy 2024 seeks to increase the country’s exports of both products and services. The policy prioritises making conducting business easier and focuses on developing industries like export hubs and e-commerce. By cooperation with exporters, states, districts, and Indian Missions, the policy will boost export promotion. The policy will also put an emphasis on increasing India’s export potential globally.
To improve export promotion, the strategy would encourage cooperation between exporters, states, districts, and Indian Missions. The internationalisation of the rupee trade will also be aided by the policy. The strategy will lower transaction costs and increase export hub development. Increased commerce, increased production, and promoted exports will all be made possible by the approach.
The internationalisation of commerce denominated in rupees is one of the main components of India’s Foreign Trade Policy 2024. The policy prioritises making conducting business easier and focuses on developing industries like export hubs and e-commerce. Also, the programme would put a strong emphasis on promoting exports through partnerships with exporters, states, districts, and Indian missions. The plan calls for tax exemptions, increased trade facilitation through automation and technology, and ongoing process re-engineering.
The transition from incentives to remission will be signalled by the new Foreign Trade Policy. The approach would emphasise developing industries like e-commerce and export hubs while promoting ease of doing business. Among other industries, the policy will focus on the dairy, garment, and clothing industries. By encouraging collaborations between exporters, states, districts, and Indian Missions, the initiative hopes to improve export promotion. The strategy also aims to make the Indian Rupee a worldwide currency, giving India’s growth as a major trading nation more momentum.
