Points Raised
by FIEO in the Video Conferencing with the Honble Commerce
and Industry Minister on March 27, 2020 at New Delhi
Ministry
of Home
1. All manufacturing companies in exports
should be allowed to operate, with 50% of the manpower, with full sanitation and
safety with social distancing norms as loss in exports will result in market loss
which will be extremely difficult to recover. Our loss will be China’s gain which
is using all means to gain greater market access with increased export rebate VAT.
Adequate safeguards may be prescribed and monitored by Ministry of Labour.
DGFT:
2. Extend
the Foreign Trade Policy 2015-2020 by one year including extension of Status Holder
Certificates till 31.3.2021.
3. Extend
or re-introduce Interest Equalisation Scheme for 2020-2025 with effect from 1.4.2020.
4. Announce
amnesty Scheme for old Advance, EPCG and EOUs for regularization of default by payment
of only Customs duty without interest and penalty to lessen the burden on industry.
5. Extend
import validity of all existing authorization valid on or after 1st March
2020 till 31st March 2021 or till their existing validity, whichever
is later.
6. Extend
Export Obligation (EO) of all advance/EPCG authorizations with valid EO on or after
1st March 2020 till 31st March 2021 or till their existing
validity of EO, whichever is later.
Ministry of Commerce
7. All
agencies involved in Exports Imports including customs, CHAs, Freight forwarders,
Transporters, Shipping lines, Courier Companies, Plant quarantine, EIC, Certificate
of Origin issuing agencies, AD Banks etc should function
with minimal staff, since if one of them is not functioning, the export/import chain
is broken. Alternatively, the scanned copy of documents sent from official email,
may be accepted by all countries in such grave situation. The countries may be asked
to release documents in absence of certification on provisional basis with subsequent
submission of document.
8. ECGC:
Waiver of ECGC premium on pre–shipment credit levied by banks for next 3 months
at-least which may be extended, if warranted.
Banking/ RBI:
9. Extension
in pre and post shipment credit by a minimum of 180-270 days, exemption from interest
and penalty on crystallization of bills on due date, loss in forward cover to be
converted in interest free loan to be paid after 90-180 days and auto enhancement
of credit limit by 10%, already introduced by many banks, without additional documents
may be permitted. Repatriation period be enhanced from 9 to 15 months and exemption
from caution listing under EDPMS till 31.3.2021.
Ministry of Finance:
10. Clearance
of all exports benefits to exporters immediately including IGST/GST, Duty Drawback,
ROSL, RoSCTL etc including to risky exporters (against a Bond) and relaxation in physical
examination norms due to lesser availability of manpower.
Ministry of Labour:
11. PF/ESI
charges may be waived for all industry from March to June 2020 as industry will
be bearing the wage cost during the period of lockdown with no or less business
affecting their liquidity.
Electricity:
12. The fixed charges levied may be
waived and industry may be charged only on the actual consumption of electricity.