CII urges govt to extend DEPB scheme beyond 2007-08

New Delhi, Jan 11 (UNI) To ensure the competitiveness of Indian exports, the Confederation of Indian Industry (CII) today called for an extension of the Duty Entitlement Passbook Scheme (DEPB) beyond 31 March, 2007.

In a memorandum to the Directorate-General of Foreign Trade B S Meena submitted here, the chamber also suggested a continuation of the Target Plus scheme and Income Tax benefits to export oriented units beyond 2009.

Noting the lakh of proper infrastructure that is required to give a boost to exports, CII's Trade Policy Committee Chairman Sanjay Budhia urged the government to improve export infrastructure.

CII in its suggestion also called for a revaluation of the five per cent customs duty on capital goods under the Export Promotion Capital Goods scheme since peak tariff rates have fallen in the last few years.

Entities producing electronic components with an investment of over one crore rupees should be treated at Electronic Hardware Technology Park (EHTP) units, CII said. It added that simplification of procedures is also necessary to move towards a self-declaration system with minimum documentation.

Reacting to the suggestions, Mr Meena said the government will continue to play its role as enabler. ''We will work towards streamlining procedures and work in a transparent manner to move forward in exports.'' Export oriented units (EoU) and those in Export Hardware Technology Parks have suggested easier inter-units sales and trading which is at present very difficult, the chamber said.

India's exports during November 2006 at 9.8 billion dollars were 57 per cent higher than the same period in 2005, said Mr Budhia.

With this sort of performance, exports are likely to top 100 billion dollars in the current financial year and 150 billion dollars in 2007-08.

He also suggested bringing soyabean, cashew and meat exports under the Visesh Krishi Upaj Yojana so that the huge export potential of the sector can be tapped.

UNI