Delivery
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The logistics hubs should be closer to bigger industry hubs and clusters. Interstate movement of ancillaries should be smoothened by allowing free movement between states. (Which should happen by early implementation of VAT)
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Direct shipment from vendors should also be made easier. As of now lot of paper work is needed for the vendor to make direct shipment.
Pricing
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Pricing: Still no zero rating of Exports. Refund once paid is difficult to get.
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Some Other Points to be considered:
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There is need to build a comprehensive strategy for boosting services exports which seeks to diversify India’s services exports basket beyond IT & ITES to diverse areas like project management, healthcare, accountancy, architecture, etc. This strategy should be on the similar lines of Commerce Ministry’s strategy on boosting merchandise exports.
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Identify export strength of all 35 Indian states. Identify and create clusters in all these 35 states and concentrate on these clusters by providing marketing support. Many existing clusters need marketing support e.g. Meerut can excel as a sports cluster.
Marketing Support
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Government should provide necessary competitiveness to exports by providing marketing support to micro and small enterprises through the creation of an export development fund.
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Conduct interactive sessions with industry to disseminate information of new markets extensively for clusters, tier 2, 3 cities about various export promotion schemes of the GOI.
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New focus markets targeted by the Ministry like Canada, Korea etc. CII would II would be happy to partner with the government for these by leveraging its international network.
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Tax incentives to be provided for Indian products advertisements in foreign countries. Govt. should give VKYU to exporters promoting their brands in the international market.
Services Export:
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Goldman Sachs expects global companies, including large corporations in US, to cut IT spending in 2012. This could hurt India’s software services exports
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Obtaining Visa should be made easy and intervention required at the Ministry level.
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Infrastructural costs. Create more landing stations for sea cable connectivity to reduce costs in other cities apart from few cities like Chennai, Mumbai etc.
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Build educational and vocational training institutes for right employable workforce specially for IT vertical in tier 2 and 3 cities.
Agricultural exports
Recommendations
Consistency in Agricultural exports policy is a must for Economic Growth and brand Image. Develop an export growth led strategy for Indian agriculture as a preferred option for increasing the incomes of the farmers, allowing the industry to plan in advance and building a better image of India Internationally.
There should be no banning of export of food grains / food product exports at any stage as we lose customers confidence and it is very difficult to redevelop the market, whereas in case of any shortage the country can also import. Both import and export should be allowed as it also encourages our local industry.
To improve the exports, export of each product should be seen individually as they contribute to the export basket. The Commerce Ministry should review periodically to see if the export of any product is less, what are the reasons and how it should be improved as every product is important.
The Govt. has imposed Service Tax on all the exports, which is increasing costs of exporters and we are becoming uncompetitive. In our views, exporters should be exempted from Service Tax or they should not pay the service tax as it is very difficult to get refund as it increases paper work and lot of time is wasted in it.
To encourage the exports, Rice & Grains should get 2% of the Duty Drawback as it will encourage the exporters and reduce their costs against heavy taxes at every stage.