Exports To Pre-Covid Level, PLI Scheme For Manufacturing Sector
Exports to pre-Covid level, PLI scheme will strengthen manufacturing sector base. The export of goods and services is rapidly reaching the pre-covid-19 level.
Commerce Secretary Anoop Wadhawan said on Wednesday that there has been positive growth in exports during January and we are rapidly moving towards achieving pre-epidemic levels.
India is opening a new front in terms of exports and currently, the country is supplying mobile phones and other electronics goods to other countries. Wadhawan said we are seeing exports gaining momentum.
We are rapidly reaching the pre-Covid-19 level. The Production Based Incentive (PLI) Scheme will strengthen our manufacturing base. With this, exports will also be able to achieve their rightful capacity.
Exports increased for the second consecutive month in January. In January, exports grew 5.37 percent year-on-year to $ 27.24 billion. The pharmaceutical and engineering sectors have done well to improve exports.
When asked about the exemption of duty and taxes on exported products (RODTEP) scheme, Wadhavan said that the work of identifying rates and products is going on for this. Work is in the advanced stage regarding this scheme.
Under the scheme, such central, state, and local charges will be withdrawn, which are yet to receive exemption or refund.
It is noteworthy that some World Trade Organization (WTO) members have expressed concern about increasing the customs duty on many items by India.
In this regard, Wadhawan said that all tariff rates are within the prescribed scope. India does not agree with the US’s stand on digital tax on e-commerce companies.
Wadhawan said that India does not agree with this report by the US Trade Representative (USTR) that two percent digital duty on foreign e-commerce companies discriminates against American companies.
USTR concluded in an investigation last month that a digital service tax of two percent on e-commerce in India discriminates against US companies.
According to the USTR, this does not conform to international tax principles. Wadhawan said that the main thing is that if there is an economic benefit from a certain jurisdiction then there should be some taxation in that jurisdiction.
The Organization for Economic Co-operation and Development (OECD) is also moving in this direction. If you are earning billions of dollars in a certain jurisdiction, then you have to pay tax.
Some countries are protesting because they have great dominance in that type of activity. Companies like Facebook, Google, and Amazon dominate this area.
Regarding the progress on the proposed mini trade deal between India and the US, Wadhawan said that the bilateral discussion never ends.
The Ministry of Commerce said on Wednesday that it is organizing the industry churn. Under this, the webinar series is being organized for about 45 sectors including pharma and electronics.
The ministry said in a statement that its objective is to emphasize quality and productivity in all major sectors of manufacturing and services. The industry churn began on January 4.
The Ministry of Commerce said in its statement that the industry churn during the next few weeks will cover various sectors including pharma, medical devices.
Closed-circuit cameras, electronic systems design, manufacturing, renewable energy, robotics, aerospace, and defense, which will be self-sustaining India.
Will be an important step towards achieving. During the last four weeks, there have been 18 webinars on various sectors including toys, leather, furniture, and drones.
