The government is planning an incentive package of more than Rs 16,000 crore to revive exports amid slowdown in domestic market, and competition in exports, reports Hindu BusinessLine.
Commerce Minister Suresh Prabhu is said to have written a letter to Finance Minister Arun Jaitley to make a prompt decision on issues affecting exports such as insufficient incentives and lack of credit facility.
In consultation with various stakeholders, Prabhu has suggested various other measures including allowing scrips (certificates) received under the Merchandise Exports from India Scheme (MEIS) to be used to pay Goods and Services Tax (GST), increasing the incentive rates and interest subsidy rates for labour-intensive sectors, reducing the GST rate on MEIS/SEIS scrips, and infusing more capital in the Export Credit Guarantee Corporation of India (ECGC).
The report said the Finance Minister would need to take a call on the incentives sought to give a fillip to exports. The mid-term review of foreign trade policy (FTP) which has been delayed should be announced without any delay.
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