February 26, 2002

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    The Medium Term Export Strategy (MTES) for the period 2002-2007, has been announced. Focus products have been identified by examining the import basket of major trading partners and India’s export basket. MTES gives the road map for the export sector by giving macro and sector-wise strategies to increase India’s share of merchandise exports from 0.67% to 1% of world exports by 2006-2007.

    Three major markets namely, USA, EU and Japan, besides 25 other destinations, are identified as major potential market for exports. Key macro strategies and sector-wise have been evolved to enhance the competitiveness of India’s exports. This was stated by Shri Rajiv Pratap Rudy, Minister of State for Commerce & Industry, in a written reply in the Rajya Sabha today.

    In reply to another question, Shri Rudy said that export promotion continue to be a major thrust area. Several measures to boost exports have been undertaken in order to provide competitive edge to the Indian goods in the international market. These include reduction in the export credit rate for both pre-shipment and post-shipment, special financial package to manufacturer-exporters with an export contract of Rs.100 crore or above for a period of one year, extension of normal repatriation period from 180 days to 360 days for exports for a period of one year and upward revision of duty drawback rates on a number of product groups. All these and other factors have helped to arrest the declining trend in exports experienced during the early part of the current financial year. Further, taking stock of the developments in the recent past and considering the current global economic environment, the MTES for the period 2002-2007 has been announced.

    As per the latest available data from DGCI&S, Kolkata, India’s exports of merchandise goods during April-December 2001-2002 are valued at US $ 32.6 billion which is only 0.64% higher than the level of US $ 32.4 billion during April-December 2000-2001. Exports during the month of December 2001 recorded a rise of 1.11% in dollar terms as compared to the exports of December 2000.