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Market Access Initiative(MAI)

Market Access Initiatives (MAI)Scheme is an Export PromotionScheme envisaged to act as acatalyst to promote Indiasexport on a sustained basis.

The Ministry of Commerce andIndustry has introduced the MAIin April 2001

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It is introduced with the idea

that the Government shall assistthe industry in R&D, marketresearch, specific market and

product studies and directmarket promotion activitiesthrough media advertising andbuyer-seller meets.

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Special Economic Zone

The Government of India hadannounced an SEZ scheme in April2000 to promote Indias exports.

Four Export Processing Zones(EPZ),namely Noida(UP), Falta(WestBengal), Chennai(Tamilnadu), andViskhapatnam (Andhra Pradesh)have been converted into SEZs from1 January 2003

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The Scheme envisages a simple

and transparent policy andprocedure for promotion ofexports with minimum paperwork.

The most important feature ofthe Scheme is that the SEZ areais considered essentially as aforeign territory for the purposesof trade operations, duties &tariffs.

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Therefore, goods supplied toSEZ from the Domestic Tariff

Area (DTA) are treated asdeemed exports and goodsbrought from SEZ to DTA are

treated as imported goods.

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As per the EXIM Policy, a SEZcan be set up for themanufacture of goods and

rendering of services,production, processing,assembling, trading, repair,remaking, reconditioning, re-engineering including makingof gold/silver/platinum

jewellery and articles thereof.

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Export Financing

Financial assistance extended by thebanks to exporters at pre-shipmentand post shipment stages.

The pre-shipment finance is providedfor working capital for the purchaseof raw material, processing, packing,transportation, warehousing, etc, ofthe goods meant for export

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Post-shipment finance isgenerally provided in order tobridge the gap between theshipping of goods and therealization of proceeds.

For raising funds in India,investors can raise a substantialportion of the project cost in

India through debt and equityinstruments.

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Long term financing optionsinclude leasing, hire purchase,

deferred payment guarantee etc.

Short-term finances for workingcapital requirements are

available from commercial banksand through instruments such asfixed deposits, inter-corporate

deposits and commercial paper.

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Town of Export Excellence

A number of towns in specificgeographical locations have emergedas dynamic industrial clusters

contributing handsomely to Indiasexports.

Selected towns producing goods ofRs. 1000 crore or more will benotified as Towns of ExportsExcellence on the basis of potentialfor growth in exports.

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However for the Towns of ExportExcellence in the Handloom,

Handicraft, Agriculture andFisheries sector, the thresholdlimit would be Rs. 250 crores.

Eleven towns in the countryhave emerged as dynamic

industrial clusters, contributingsignificantly to Indias exports.

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These eleven towns are:

(1) Tirupur, Tamil Nadu hosiery;

(2) Ludhiana, Punjab woollen knitwear;

(3) Panipat, Haryana woollen blanket; (4) Kanoor, Kerala handlooms;

(5) Karur, Tamil Nadu handlooms;

(6) Madurai, Tamil Nadu handlooms;

(7) AEKK (Aroor, Ezhupunna,Kodanthuruthu & Kuthiathodu), Kerala seafood;

(8) Jodhpur, Rajasthan handicraft;

(9) Kekhra, Uttar Pradesh handlooms; (10) Dewas, Madhya Pradesh

pharmaceuticals; and

(11) Alleppey, Kerala coir products.

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Query ???

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Thanks!!!