Exporters Meet for Ghazals and Eats at FICCI on Saturday Evening

Delhi Exporters Association President Remembers Founder President Late S.P. Agarwal

Speech by Mr. Tilak Raj Manaktala on 29 March 2014

I welcome you all on the occasion of this Social Event which is annually organized by Delhi Exporters Association.

Delhi Exporters Association, infact is synonymous with the name of late S.P. Agarwal, our Founder President for more than 4 decades; every year elected unanimously because of the dedicated selfless service rendered to the exporting fraternity.

DEA members will always remember him and infact is with us at every stage.

DEA was founded at the time when the merchandise export was at its infancy and Indian exporters by and large in that category were new to the world market. Tiny and small exporters in that segment needed every kind of support which DEA provided and played a major role in motivating and guiding small and tiny enterprises; who as on today form the backbone of the merchandise export and provide employment to the large number of both skilled and unskilled.

The underline focus of DEA, has always been simplification of procedures and documentation and reduce the transaction cost which otherwise in India, is one of the highest in the world; resulting into the Indian exports being uncompetitive. With the supporting role adopted, DEA had taken many innovative initiatives such as, setting up of ‘May I Help You’ counters at strategic points of interaction, at the Customs, DGFT and above all at Pragati Maidan.

Another, off shoot of DEA has been constituting the Frankfurt Indian Exhibitors Association, for collectively bargaining the economic airfares and hotel rates for the Indian exhibitors in Germany: Another supporting step.

DEA is well known for its activities, like yearly Drawback Refund & VAT Refund Drives; besides being a trade spokesman at the various FOR A including Public Grievance Committees: Of utmost importance being representing the trade at the various Transaction Cost Committees, constituted by the administration in which valuable suggestions have been made from time to time and most of them accepted and implemented.

The prominent achievement, being the Core Banking Solution; whereby the drawback gets transferred into exporters Core Bank without any hassle and without any cost: The big saving in time and money.

DEA has been tirelessly pleading with the administration for timely release of refunds, particularly, Drawback, VAT, Service Tax etc. Delays infact prove counterproductive. I hope administration will cooperate as usual.

I would like to mention that, Indian exporter is just like Honey Bee flying frequently across globe at his own risk and collecting the nectar (Foreign Exchange) bit by bit and depositing it back home into country’s forex kitty, the exporter needs support like that tiny insect. Again the Indian exporter is vulnerable to

· Political turbulences;

· Economic uncertainty;

· Regulatory changes; besides natural cause.

This can be equated to the vulnerability of the agriculture sector exposed to the vagaries of weather and other natural causes.

The agriculture sector has the support of the State by exempting the income out of agricultural produce besides granting various subsidies; whereas the exports no longer enjoy any fiscal benefit except 2% subsidized rate of interest. It is once again suggested that the exports be recognized as priority sector and benefits available thereto be extended to it, particularly the financial aspects.

The export sector deserves similar Tax breaks or support within the WTO ambit.