Trade Infrastructure for Export Scheme (TIES) being implemented for creation of appropriate infrastructure for the growth of exports

Ministry of Commerce & Industry

Trade Infrastructure for Export Scheme (TIES) being implemented for creation of appropriate infrastructure for the growth of exports

The Department of Commerce, Government of India, is implementing the Trade Infrastructure for Export Scheme (TIES) w.e.f. FY 2017-18 to assist Central and State Government agencies in creating appropriate infrastructure for the growth of exports, the Minister of State in the Ministry of Commerce and Industry, Smt. Anupriya Patel said in reply to a parliamentary question today. Under the scheme, financial assistance in the form of grants-in-aid is provided to Central/State Government owned agencies (or their Joint Ventures with major stake-holding by them) for setting up or up-grading export infrastructure in States/UTs. The States can avail of the scheme through their implementing agencies for infrastructure projects with significant export linkages like Border Haats, Land customs stations, quality testing and certification labs, cold chains, trade promotion centres, export warehousing and packaging, SEZs and ports/airports cargo terminuses. The Scheme guidelines are available at https://commerce.gov.in/trade-promotion/trade-promotion-assistance/.

Further, Central Board of Indirect Taxes and Customs (CBIC), Department of Revenue has issued Circular No. 09/2020 -Customs dated 05.02.2020 for streamlining export data to include District level details in Shipping Bills. The same has been done to more effectively capture export data at the level of districts which would assist in efforts for promotion of exports.

Department of Commerce has been actively interacting and engaging with the State Governments / Union Territories to create an enabling environment to boost goods and services exports from the country by way of assisting them in formulating a comprehensive export strategy based on an assessment of State’s strengths.

Under TIES, financial assistance for a total of 40 export infrastructure projects has been approved during FY 2019-20, 2020-21 2021-22 & 2022-23 (as on 9th March, 2023). The state-wise details of funds released during each of the last three years and the current year under the Scheme of Department of Commerce are given below:

*Includes disbursement of subsequent installments for a previously sanctioned project/new project approved in previous financial year.

 

**Funds yet to be disbursed.

^Fund was allocated but subsequently the project was cancelled in FY 2022-23.

The PM Gati Shakti National Master Plan (NMP) has a digital component in the form of a GIS based platform which integrates the geospatial data related to the infrastructure in the country and planning portraits of various Ministries/Departments of the Government. All the infrastructure and economic Ministries/Departments at the Centre and also States/Union Territories have created their own customized planning portals which are integrated to PM Gati Shakti NMP. These digital systems help data-based decision-making for integrated planning of infrastructure projects and their synchronized implementation. More than 150 critical infrastructure gaps have been identified by adopting PM Gati Shakti mechanism. It aims at reducing logistics cost and supporting economic activity in the country.

Duty Drawback Scheme rebates the incidence of Customs duties on imported inputs and Central Excise duties on domestic inputs that are used in manufacture of export goods.  The scheme is operated in terms of provisions of Customs Act, 1962, read with the Customs and Central Excise Duties Drawback Rules, 2017.  Duty drawback on export products ensures that exports remain competitive in the international market. The total EDI based Duty Drawback outgo for the last two years and current year is as follows:-

Financial Year Amount (in Rs. Crores)**
2020-21 18128
2021-22 23920
2022-23(upto October, 2022) 17261

There is no provision on tax rebate on export under GST.  However, exporters are eligible to claim refund of either (i) tax paid on export of goods or services or both; or (ii) unutilized input tax credit in respect of goods or services or both exported without payment of tax. The amount of refund under GST provided to exporters on account of export of services with payment of IGST and export of goods and services without payment of IGST is as follows:

Financial Year Amount (in Rs. Crores)**
2019-20 31632.61
2020-21 52050.25
2021-22 66781.89
2022-23(upto 28th Feb, 2023) 63417.55

Remission of Duties & Taxes in Export Product (RoDTEP) Scheme: RoDTEP scheme is commenced in 2021 and notified by Department of Commerce and administered by CBIC.  The scheme is Budget limited.  Budget allocated under the scheme is as follows:-

Financial Year Amount (in Rs. Crores)**
2021-22 12454
2022-23 13699

Rebate of State and Central Taxes and Levies (RoSCTL) Scheme: RoSCTL Scheme is notified by Department of Commerce and administered by CBIC.  The Scheme is Budget limited.  Budget allocated under the scheme is as follows:-

Financial Year Amount (in Rs. Crores)**
2021-22 6946
2022-23 7640

Source: **CBIC, Department of Revenue

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