Expansion of scope of ECIS by ECGC to banks lending to exports, is an encouraging step towards resolving the finance woes of the G&J sector: GJEPC

MUMBAI, 16^th September 2019: Gem & Jewellery Export Promotion Council, the apex body of the industry in India has been representing G & J Sector Policy concerns and issues to the Govt. with an objective to give impetus to exports from the country. In a recently held Board of Trade meeting on 12th September, GJEPC Chairman Shri Pramod Agrawal had urged several key policy recommendations to the Government.

In a major relief to the Gem and Jewellery industry, Hon’ble Finance Minister Smt. Nirmala Sitharaman, today announced measures to boost exports from the country.

Shri. Pramod Kumar Agrawal, Chairman, GJEPC said, “With great pleasure, I would like to thank and acknowledge the positive announcements made by the Hon’ble Finance Minister today. I am glad that the Govt. has understood the concerns of the Gem & Jewellery Sector and have come up with various measures to boost exports and facilitate trade.

G & J Sector was constantly suffering from credit crunch and blockage of capital. Expansion of scope of ECIS by ECGC to banks lending to exports is an encouraging step towards resolving the finance woes of the sector. Gem & Jewellery is one of the special 4 sectors chosen for organizing MEGA SHOPPING FESTIVALS in 4 cities prior to 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.

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

Earlier too Govt. has come up with circulars resolving key issues of IGST payment and Replenishment scheme for gems and jewellery sector. I am sure that today’s announcement will provide further relief to the g&j export industry. We are really thankful to Hon’ble Finance Minister Smt. Nirmala Sitharaman for the measures taken to boost exports from the sector.”

“Shri Piyush Goyal, Hon’ble Minister of Commerce & Industry, has been very proactive and supportive to the industry. He is much concerned about the sector and has been taking several measures to facilitate ease of doing business. His leadership and guided direction have aided G & J sector across several policy assistances in recent times”, Mr. Agrawal Added.

The various new measures announced to boost exports from the country included:

• 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

GJEPC Chairman also welcomed the other schemes announced by the Govt.:

• 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 crores are 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 crores is being earmarked under Priority Sector.   So the availability of export finance will be eased.
• To monitor Export Finance, an Inter-Ministerial Working Group under the 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, an FTA Utilisation Mission will be set up in MoC to make exporters aware about the concessions available under various FTAs.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     Courtesy: Retail Jeweller India News Service