Role of Export Promotion Councils-
Analysis.
EXPORT Promotion Councils (EPCs)
Export Promotion Councils are non-profit
organization, registered under the Companies Act or
the Societies Registration Act.
Autonomous and Professional bodies.
Providing market research in the area of foreign
trade, dissemination of information arising from its
activities relating to research and market studies.
EPCs (Contd..)
Guided by Foreign Trade Policy.
Export Promotion and Export Development
Developing Countries and SMEs – Find it hard
to increase their export Volumes
Government Steps in with EPCs and various
Other measures.
Export Promotion and Development
Government can help:-
By Providing information about the current
Opportunities in world market.
Specialized assistance to design marketing
programs.
Export Development is different from Export
Promotion.
Export Development aims at producing new
markets products and markets
Contd..
Export Development pertains to Product
Adaptation
Necessary to widen narrow export base.
Combination of both is pursued by the
government.
It helps to earn Foreign Exchange.
Key – Foreign Trade Policy
Export Promotion Strategies
Enterprise Level
Industry Level.
National Level.
Role of EPCs
TRADE FACILITATOR
Undertaking direct promotional activities like organizing joint
participation in international shows, sending and hosting trade
delegations, and sustained image building exercises through
advertisements abroad, publications and audio-visuals.
ADVISORY ROLE
Aiding interaction and understanding between the trade and the
government.
TRAINING & RESEARCH.
It is provided to ensure that Indian industry achieves the highest
level of excellence.
Functions of EPCs
Registration of exporters and issue of Registration-cum-
membership certificate (RCMC) under the EXIM Policy.
Providing a forum and link between the government and
their members for consideration and implementation of
schemes for export production and marketing.
Collection and dissemination of information primarily on
export opportunities, through various media including
newsletters, bulletins, letters, telex, fax, etc.
Functions of EPCs (Contd…)
Sponsoring and inviting business delegations, sales teams,
study teams for exploring markets for developing export.
Arranging distribution or disbursement of raw-materials
(inputs), marketing assistance, like IPRS for engineering
goods exports, or allocation of scarce items for export
production.
Fixation of floor price or minimum export price or
recommendation thereof to the government.
Arranging or participating in buyer seller meets, exports or
trade fairs and exhibitions in India and abroad.
Functions of EPCs (Contd..)
Foreign publicity through schemes like Joint
Foreign publicity (JFP) in overseas market.
Recommending the formulation and
implementation of export assistance schemes like
fixation of drawback rates.
Any other issue covering production and
marketing of products under their purview.
Allocation of export quota or slips for items like
textiles.
EPCs
Export Promotion Organizations and Institutions can
broadly be classified into the following categories:
Government Departments
Export Promotion Councils / Commodity Boards
Service Institutions
Inspection Agencies
Export Corporations.
Export Promotion Councils
Under the Commerce Ministry-
Engineering Export Promotion Council
Project Exports Promotion Council of India
Basic Chemicals, Pharmaceuticals and Cosmetics Export Promotion
Council
Chemicals and Allied Products Export Promotion Council
Council for Leather Exports Promotion
Sports Goods Export Promotion Council
Gem and Jewellery Export Promotion Council
Shellac Export Promotion Council
Cashew Export Promotion Council
Plastics Export Promotion Council
Export Promotion Council for EOUs, SEZ Units
Pharmaceutical Export Promotion Council
Export Councils
Under the Textile Ministry-
1. Apparel Export Promotion Council
2. Carpet Export Promotion Council
3. Cotton Textile Export Promotion Council
4. Export Promotion Council for Handicrafts
5. Handloom Export Promotion Council
6. The Indian Silk Export Promotion Council
7. Synthetic & Rayon Textile Export Promotion Council
8. Wool & Woolens Export Promotion Council
9. Powerloom Development & Export Promotion
Council
Export Promotion Councils for
Services.
Services include all the 161 tradable services
covered under The General Agreement on Trade in
Services (GATS) where payment for such services is
received in free foreign.
The SEPC would cover all major services including
entertainment, health, tourism, education, hospital,
consultancy, legal and accountancy services
Export Councils (Contd..)
Engineering Export Promotion Council (EEPC)
Publicity and Promoting the 'Made in India' brand
Participation in leading Exhibitions and Trade
Fairs
Seminars and Conferences
Trade Delegations and Buyer-Seller Meet
Trade Informatics Division (TID)
Foreign Offices of the Council
The India Engineering Center
Export Related Services to Members
Services to Overseas Buyers
Apex Body for Indian Exports
Prominent Schemes for EPCs – MDA
and MAI
Under Market Access Initiative (MAI) Scheme
Financial assistance is provided for Export Promotion activities on
Focus Country and Focus Product basis.
The various Range of activities under MAI are :-
Market studies/surveys.
Setting up of showroom / warehouse.
Participation in international trade fairs.
Displays in International departmental stores.
Publicity campaigns.
Brand promotion.
Contd…
Under Market Development Assistance (MDA)
Assist exporters for export promotion activities abroad
Assist Export Promotion Councils (EPCs) to undertake export
promotion activities for their product(s) and commodities
Assist approved organizations/trade bodies in undertaking exclusive
nonrecurring innovative activities connected with export promotion
efforts for their members
Assist Focus export promotion programmes in specific regions
abroad like FOCUS (LAC), Focus (Africa), Focus (CIS) and Focus
(ASEAN + 2) programmes.
Trade Promotion Programmes-
Ministry of Commerce
Trade Promotion Programmes and Schemes
Focus: CIS(A programme for enhancing bilateral trade
between India & CIS)
Focus: Africa(A programme for enhancing trade with the sub
Saharan African region)
Focus: LAC(A programme for enhancing India's trade with the
Latin American Region)
DFTP Scheme for LDC(Duty Free Tariff Preference Scheme for
Least Developed Countries)
Analysis
Facts about Exports
For August -2010
Gem and Jewellery Exports
Handloom
The Figures show that:-
Exports are rising and poised to grow more.
EPCs are leading the total exports.
Providing Hand on assistance to MSMEs
MSMEs account for 40% of Net exports and
8% to GDP.
26 Million MSMEs are there and it provides
employment to 60 million people.
Economic Liberalisation has opened new front
for MSMEs
Contd…
Reduction of Financial Gap led to the faster
growth.
Facing the Global Market Led to the
improvement in products and processes for
MSMEs.
Focus schemes are concentrating on
potential areas with special incentives.
Technology Transfer.
Apart from foreign Exchange earnings, due to
globalisation it has become a necessity to
promote exports.