Prime Minister of India - Dr. Manmohan Singh

PM meets Exporters

The Chairpersons of major Export Promotion Councils and leading exporters met the Prime Minister at 10.00 AM on 24th January, 2006, during which the Finance Minister, the Commerce and Industries Minister, MOS in PMO, Member Planning Commission and others were present. The occasion presented an opportunity for the exporting community to present their views on pressing issues. The major issues highlighted by them included:

* The need to provide stable duty remission regime,

* Reduction in transaction costs,

* Augmenting modernization effort in the textile sector through enlargement of the Technology Upgradation Fund,

* Government support to effluent treatment in the tanning sector,

* Enhancing availability of manmade fibre at competitive rate within the country for exports.

The exporters also highlighted the adverse impact of the un-rebated service tax on post-manufacturing export related activities and that of the Fringe Benefit Tax. They expressed optimism in achieving enhanced level of investment and quantum jump in employment generation consequent to redressal of the impediments being faced by different sectors.

The Prime Minister underscored the importance of the export sector, both in terms of employment generation and enhancement of economic activity. He desired that the Finance Minister and Commerce and Industries Minister should structure periodic meeting at intervals of 6 months, or more often, so that the exporters have a forum to present their problems. The exporters also needed to come up with practical suggestions which are in conformity with the WTO obligations. He further suggested that the team of officers from Department of Commerce and Ministry of Finance may sit with Dr. Rangarajan Chairman Economic Advisory Council and the Member Planning Commission to have an indepth look at the issues relating to the export sector. He expressed the hope that India would be able to enhance its market access in the post-MFA regime with consequential economic benefits to the country.