EXPORTS ? WOW !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

  

Export Business is  a Profitable Proposition:    

                 Export is one of the most lucarative business activities in India.  The Govt. also provides various incentives to the exporters for earning valuable foreign exchange for the country for meeting their requirements for importing modern technology and essential requirements.  Besides, the income from export business is also exempt to the specified extent under the Income Tax Act, 1961.  Refund of Central Excise and Custom Duty on export is also made under the Duty Drawback Scheme of the Government. Refund of Sales Tax and Terminal Excise Duty is also permitted for deemed exports.  Drawback payment procedures have been simplified.  Duty free import of raw materials is allowed under various export promotion schemes incorporated in the Foreign Trade Policy for 2004-2009 announced with effect from 1^st September, 2004.  These schemes have been simplified to a great extent under this new Policy.  Replenishment Licences are also available/given against export of certain specific items.  Export oriented units under the EOU Scheme and units located in Export Processing Zones/Special Economic Zone are eligible for special facilities, such as exemption from excise/custom duty, sale in domestic tariff area including sale of rejected goods/wastage etc.  Special facilities are also available for Electronics Hardware Technology Parks (EHTP) and units under Software Technology Parks (STP) Schemes.  Foreign Exchange Regulations have been substantially liberalised for exports.  Liberal release of foreign exchange is made available for travel abroad.  Norms for establishing offices abroad by the exporters have been eased.  Export credit is available to the exporters at concessional rates of interest.  The same can be availed of in Indian rupees as well as in foreign currency.  Interest tax on export credit has been abolished.  Export Credit and Guarantee Corporation is overhauling its international operations.  Transport subsidy is given for export by Air as well as Rail.  Import Policy has also been liberalised substantially for export oriented imports.  Domestic Companies have been allowed to bid in any currency.  Various Customs houses have introduced EDI system of computerised processing of import and export transactions.