Broadband to Resurge Rural India

Broadband to Resurge Rural India
The agro-product trading and direct interaction of village Chaupal/Kisan Haat with city-based Mandi will be a reality, if we develop a policy keeping rural India in priority as far as broadband technology deployment is concerned.
Broadband has the potential to improve the literacy rate and better the medical facilities -- particularly in rural India. Undoubtedly, differences between alternative and more traditional distance education are being realized through extensive use of the broadband related tools, and applications.
Several advantages are associated with reduced duplication and greater access in distance learning -- particularly for highly specialized courses. Broadband will provide specific Internet-related interactive opportunities that India can exploit to distinguish ourselves from more traditional distance education delivery systems.
Education
The value-added component of a distance education course with a remote or virtual laboratory is fundamental for a successful distance education program -- particularly in highly specialized areas such as engineering, medical, media, etc. Universities have different sub-disciplinary expertise, and within a sub-discipline, there are specialties that can be exploited.
The major difficulties faced while developing distance education course are: technical and psychological problems. For any given course, the appropriate combination of the 3 modes of communication, i.e., formal lecture, the virtual laboratory, and interactivity, will minimize the cost and maximize the effectiveness of the learning process.
Broadband for Distance Training
One obvious method is the formal, televised lecture in which the instructor delivers a conventional lecture to a group of students in a multimedia classroom and simultaneously to groups of students in remote, television-equipped classrooms.
Formal lectures incorporate some aspects of a television production. That is, they include "talking head" didactic segments, interspersed with video clips, still photos, diagrams, computer "white boards," and so on.
However, there is also a 2-way audio, video, and data communication between the originating site and the remote sites, so that all students have real-time access to the instructor and vice versa.
Although the formal lecture is an important element in distance education, yet it has its limitations. It's expensive, both in terms of the TV studios-classrooms required and the large bandwidth required for audio, video, and data communication among sites.
Furthermore, the TV lecture doesn't lend itself to the type of interaction that occurs between an instructor and subgroups of the class, in a laboratory, or tutorial setting. It doesn't provide the laboratory component, nor does it allow for detailed interaction between individual students and the instructor. Thus, alternative distance communication media must be used to supplement the expensive televised lecture. And that could be web-based application -- using wireless or wireline broadband connectivity at the last mile.
The facilities required are a workstation or laboratory environment supported by a reasonable communications network and software. There is a major opportunity here to design team-based projects that require the students to participate in a design project over geographically remote distances.
A main advantage and attraction of this type of laboratory is that the receiving institution doesn't need to invest heavily in the staff and equipment required to maintain the virtual environment.
"Learning Technologies Center" at Villages
These centers could be utilized for training as well as trading. It should incorporate electronic multimedia distance education classrooms, clusters of networked multimedia work stations, and classrooms equipped with networked computers and video projection equipment to support computer interaction among the instructor and the students.
The objectives of the Learning Technologies Center could be:
1. To provide interactive virtual platform to farmers for trading with city Mandi
2 . To support sharing of courses with other universities and community colleges
3. To provide access to seminars, workshops, and educational materials from many sources
4. To train local village-based academic staff in the use of the modern learning technologies
5. To be a demonstration facility for staff, students, and the public in the use of modern technologies
- The writer is the managing director of Digital Broadcasting
courtesy :www.enterpriser.in/

Online Trade: The New Mantra

Online Trade: The New Mantra
Electronic Commerce or e-commerce is trading of products and services over the Internet. It's basically online shopping. A lot of commercial activity is doing the rounds thanks to e-commerce. This has given led the way to a whole lot of electronic exercises like electronic fund transfer, electronic data interchange, Internet marketing, and online transaction processing.
With Broadband initiatives floating around in the country, SMBs can easily use Interent for their business.
So how can SMBs make use of e-commerce in their business? How can this be profitable? Technology does have an upper hand in any business and an e-commerce store can do the trick for an emerging business outfit.
Kartik Shahani, regional director of McAfee India lists out the steps to be followed for starting with an e-commerce initiative.
* In addition to the basic IT infrastructure, to do online trading, first put up a website. If your business is at a nascent stage, you should necessarily create a light website, since a heavy one takes a lot of time.
* Post the set up of website, you'll have to register with payment gateways like ICICI, SBI, etc. Registration of the payment gateways will involve showing the bank the required documents, your business plans and future plans. This is to make the bank realize that yours is a legitimate business.
* Finally, for secure transactions get hacker-free certification like a certification from a validated authority to ensure secure end user payment.
Today all businesses, irrespective of their sizes, are exploring online trade.
Jet Airways revamped its website last year. "With the critical mass of consumers planning travel and purchasing tickets online, it became important for us to be involved in the online distribution and retail. We'd partnered with Akamai Technologies, which accelerated the online business process," said Belson Coutinho, head (e-commerce) of Jet Airways.
"The business drivers for this partnership were to provide a superior online end user experience, improve look-to-book and conversion ratios online, handle peak travel demand with no incremental website costs and ensure 100% uptime of online reservation systems," added Coutinho.
Often while leveraging the Internet, instability and unpredictability of the Internet's performance can have a negative impact on customer relations. Coutinho feels that if performance not up to the mark, customers will refuse to use the site and will instead choose the competitor's business. By the same token, a high-performing web site translates into customer satisfaction, which can be correlated to increased purchase conversion, customer loyalty, and increased market share. To ensure a strong ROI, a company's Web site must perform well.
Chandamama recently came up with an interactive site for children and has a collection of illustrated stories and comics. L. Subramanyan, CEO of Chandamama said they're currently working on creating a 'Chandamama.com shop', where parents can buy magazine subscriptions, books, Chandamama merchandise, toys, and games.
Some time back, Globus started an e-commerce initiative. "Being 23 in number and not available everywhere and anywhere all the time was a question mark for us. So, we thought of developing a user-friendly, Web 2.0 open front-end e-commerce website where our niche products will be displayed and made available for purchase," said Meheriar Patel, general manager and head (IT), Globus.
Online trade will be useful and progressive for the emerging business outfits as it helps companies be in touch with the outside work 24x 7x 365. Also, since the trade is online, the SMB outfits can make use of less manpower.
courtesy :www.enterpriser.in/

Among top 100 BPOs 21 Indian cos

Twenty-one Indian firms, including Infosys and Tata Consultancy Services, are among the top 100 outsourcing companies in the world.
According to the study - '2008 Global Outsourcing 100' - compiled by the International Association of Outsourcing Professionals five Indian firms feature among the top ten -- Infosys (3rd), TCS (6th), Wipro (7th), Genpact (9th) and Tech Mahindra (10th) in the top 10.
Other Indian companies in the list are HCL Technology (11th) Mastek (16th), WNS Global Services (19th), Hexaware (22nd), ExlService (26th), 24/7 Customer (28th), Cambridge (36th), ITC Infotech (40th), KPIT Cummins (42nd), Patni (46nd), Zensar (53rd), MindTree (54th), Mphasis (56th), Aditya Birla Minacs (62nd), FirstSource Solutions (73rd) and Cross-Tab (78th).
According to IAOP, the key strength of Wipro and TCS is their 'employee management' while 'executive leadership' is cited as the strong point of Infosys and Genpact.To know more of these Indian IT companies, read on...
Infosys (Rank 3)

LETTER OF CREDIT

Letters of credit

If you are involved in import/export, then you have probably come across the term L/C (letter of credit). Although L/Cs can vary in type, this article will specifically discuss the commercial documentary letter of credit used for business transactions. This particular type of L/C is payable upon the presentation of specific documents.
An L/C can be thought of as a letter from an importer’s bank informing an exporter that they will be paid for a shipment upon presentation of the specified documentation. All communication takes place within banking channels and documentation must not contain discrepancies.
For example, if you wanted to import a shipment of clothing and the seller (exporter) has asked for an L/C. If you accept the exporter’s terms you will need to apply for an L/C from your bank in favor of the seller. L/C’s usually state a time period and manner in which the exporter must provide documentary proof that they have shipped the goods. Other obligations may also be included.
Obtaining an L/C is not as simple as just asking for one. As your bank is pledging to pay the exporter on your behalf, you will be required by your bank to demonstrate that they will be able to recover their funds from you.
Once it has agreed to open an L/C, the opening bank (the importer’s bank) will transmit the L/C to its branch or correspondent (the advising bank) closest to the exporter. The advising bank will notify the exporter that credit has been established in their name once they have received the L/C.
Exporters should make sure that they are capable of meeting the terms and conditions of an L/C upon receiving it. This is very important, as if the shipment does not match that described in the L/C; payment will in most cases be delayed until the discrepancy has been resolved.
After shipment and presentation of the necessary documentation to the advising bank, if no discrepancies are found, the exporter is due payment. The paying bank could be the advising bank and thus the exporter can receive payment very quickly. If the opening bank is the paying bank, payment may take a few days. Both importers and exporters may request that the paying bank be in their country as they are looking to the L/C to protect their interests.
Importers can ask for any legal terms to be included within and L/C and exporters must provide documentary evidence to prove that such terms have been met. As most L/C’s are irrevocable, once an L/C has been opened and advisement has been made, they cannot be altered or cancelled with the consent of the exporter.
On the occasion where an exporter doubts the solvency of an opening bank, they can request to have the L/C confirmed by the advising bank. This means that if the opening bank is responsible for making payment and cannot do so, the confirming bank will pay. For a cost of approximately 1% of the cost of the L/C an exporter receives a fair amount of added assurance.
In summary, an L/C is:
A formal document of payment Opened by a party wishing to import Communicated through banking channels Paid by the opening bank within a specified timeframe upon presentation of stipulated documentation The cost of an L/C to an importer is often a fixed fee plus a percentage or a percentage with a minimum commission. Additionally, exporters will be required to pay a variety of costs. Where an L/C is not payable on sight, costs increase. This is also the case where more than two banks are involved, exporters request confirmation of credit and when discrepancies are found within the documentation or additions/changes to the L/C are necessary.
TT (Telegraphic Transfer), DP bill etc. vs. LC (Letter of Credit)
I have seen discussions and debates on differences between LC and TT, TT and DP/DA bills etc. This article is to put the subject in its proper context.
We must note the distinction between the PROCESS (of moving money) in contrast to the PURPOSE (that generates or causes the movement). The first is answered bythe question "WHY"?, The second by the next question "HOW"? One very often fails to distinguish between the two. This is an area that happens to be confusing to many. Consequently, questions like "What is the difference between a TT and a D/P bill", or "While negotiating with my party, should I opt for TT payment or pay by LC?" keep cropping up during discussions at various forums or workshops. It is imperative that the basic concepts are clarified.
Cause and effect-------------------------The purpose or the transaction prompting the transfer of money (WHY transfer?) can be any of the reasons conceivable. Some examples: purchase or sale of goods, payment towards services, expenditure on capital goods, fixed or movable assets, expenditure on travel, gift or charity, deposit of cash or transfer to an account for savings or investment. There could be a million plus one reason giving rise to the transfer of money.
The next stage comes where we see money actually being transferred from one place to another, from one account to another, or from one bank to another. A physical movement takes place where the one who has the money (the remitter) foregoes possession in favour of another (the beneficiary) who then gains possession of it. How this physical movement takes place determines the process of transfer.
The remitter or the beneficiary may decide how exactly the physical action of movement of funds is to take place. The factors that guide such decision include the urgency, available technology, settlement procedure, cost of remittance, associated risks and mutual convenience.
We are familiar with several of these processes of fund transfer. These include electronic transfer viz., telegraphic transfer (TT), S.W.I.F.T., ECS, RTGS etc., or transfer using a physical mode viz., mail transfer (MT), cheque, draft, cash, banker's cheque, pay order and so on. These are HOW money is transferred. We often discuss purchase and sale, export and import - where one party parts with goods or services in exchange for money from the other. We also discuss about some of the terms of settlement between the buyer and the seller. One should remember that bills and LCs are only documents that represent a transaction. They are neither purposes nor processes.
Advance payment, for example, is a purpose ("WHY?"); the advance payment being effected ("HOW?") by means of a TT or a bank draft is the process that translates a purpose - to bring the former to a conclusion. The cause has nothing to do with the choice of the process (or the method, how?) that one may use to consummate that cause. Conversely, the cause (the purpose or reason for transfer of funds) may be only one, but the processes that one may select, or the options to choose from (to effect the transfer)  could be several.
The important thing to remember is to distinguish between the purpose of a transaction against the process to conclude the same.Ask yourself "WHY"? and then send the remittance by answering "HOW"?
BACK TO BACK LETTERS OF CREDITESTABLISHING BACK-TO-BACK CREDITS
This is how the whole process works.1) Issue of original LC In documentary credit operations the buyer (i.e. the applicant) arranges to establish the (original) credit through a bank (the issuing bank or the opener) in favour of the seller (the beneficiary). The buyer and the seller are the primary parties to the contract for the specific transaction. The issue of a credit is advised through a bank (called the ‘advising bank’) usually located in the city of the beneficiary. The beneficiary receives the original credit through the advising bank and/or his own bank.
2) Issue of Back-to-Back LCA back-to-back credit is (only then) established when the seller-cum-original-beneficiary, after receiving the notification about the issue of the original credit, arranges for a second, stand-alone credit to be established in favour of the (actual) supplier/manufacturer of goods or raw materials. Accordingly, and usually based on the original credit, the advising/confirming bank issues its own letter of credit – generally with terms exact or similar to the first i.e. the original LC (hence the term ‘back-to-back’) - except for alteration of beneficiary, expiry date, and invoicing requirements, if considered necessary.
3) No formal connection between the two LCsPlease be careful to note that there is no legal or formal connection between the ‘original’ LC and the ‘Back-to-Back’ Credit. Each credit stands on its own merit. The terms and conditions of the two are not the same because one has to make sure that the documents coming forward under the second credit come forward in such a form and in such a time that they can be presented under the first credit within the expiry date and in accordance with the terms and conditions of the first credit.
4) Back-to-Back LCs can be opened as a chainIf there are several middlemen (or manufacturers who must again procure input materials from other manufacturers), each may use the credit in his favour as security for the credit that he has to open in favour of his supplier in the chain of contracts, until first buyer in the chain has effectively opened a credit in favour of original supplier. In this chain, each credit – except the original one – is termed a credit that has been issued ‘back-to-back’ to the previous one.
WHEN IS BACK-TO-BACK CREDIT REQUIRED?
A ‘back-to-back’ arrangement may become necessary where the underlying contracts are on terms that do not match, or where a Transferable Credit is unable to maintain secrecy on a particular aspect of the transaction.
Need for such a credit may also arise where –a) ultimate buyer is not ready to open a transferable LC, or b) beneficiary is not ready to disclose or divulge to buyer source of his supply, and c) the manufacturer insists on payment against documents or goods but beneficiary is short of funds.
BACK-TO-BACK CREDIT NOT A PART OF THE UCP
Back-to-back Credit finds no mention in the UCP. Only transferable credit is mentioned. Therefore no specific or separate rules apply to back-to-back credit. (This should be evident from the fact that each LC is an independent entity and stands on its own footing.) A bank must treat each stage of the operation as a separate transaction, each legally independent of the other. Consequently, the issuing banks concerned must independently assess the risks and liabilities associated with issuance of each of the credits separately.
A CREDIT DECISION OF THE ISSUING BANK
The applicant for a Back-to-Back Credit takes off his hat as the beneficiary to the original credit and wears the hat of an “applicant” as far as the back-to-back credit is concerned. It is important to note that a bank may agree to issue a back-to-back credit only when the applicant-beneficiary is considered – in the eyes of the advising bank (the issuer of the second, i.e. the Back-to-Back Credit) – to be creditworthy on his own right. The decision by a bank to issue a (Back-to-Back) credit is neither a matter of right nor is it automatic – especially not just because a seller-cum-applicant in the chain happens to be in possession of another (the original) documentary credit as a beneficiary of the original credit.
UTILISATION: SAME AS WITH ANY NORMAL CREDIT Since the back-to-back credit is an independent credit and because here we are not dealing with the transfer of a credit as defined in Article 47 (ICC 500) of the UCP, the practices and procedure for utilisation of a back-to-back credit would be the same as in the case of any LC. The documents required are, therefore, presented in the normal course by the beneficiary via his bank to the original advising bank. The documents are honoured – provided they conform to the terms of the back-to-back credit – to the debit of the intermediary (i.e. the original beneficiary who initiated the issue of the back-to-back credit).
Caution: The intermediary bank should not take comfort in the fact that the credit under which the documents are being handled is a “back-to-back” credit, thus causing it to be lax in recovering funds from the intermediary towards documents so received under its own (back-to-back) credit.
SUBSTITUTION OF DOCUMENTS
At this stage the exchange of invoices (and drafts, if any) is a must, because – contrary to the transferred credit – the original credit opened in favour of the intermediary / middleman cannot be negotiated by simply using the documents of the supplier. The actual supplier in the chain has no locus-standi as far as the applicant to the original credit is concerned.
Any other differences allowed in the opening of the back-to-back credit must also be eliminated at this point.
NEGOTIATION AND PAYMENTAfter these changes have been effected, the documents are used for negotiation of the original credit and the proceeds are credited to the account of the intermediary / middleman (the original beneficiary) in the usual manner. Procuring, exchange and substitution of documents and the process of negotiation may now continue up the chain in the normal course.BACK TO BACK LETTERS OF CREDIT
You won't find ANY bank, not in the US, not anywhere in the world who'd open a "Back-to-back" LC. Not even in the UCP. There is no such thing as a "back-to-back" LC. These have been explained in the article itself.
An LC that's opened on the *back* of another is called a "Back-to-back" LC. It is a matter of nomenclature. The two LCs are INDEPENDENT, STAND ALONE instruments of payment. All banks open LCs, some of which could be opened as "Back-to-back" LCs.
THANKS TO ALIBABA.COM

ISO COUTRY CODE TWO LETTERS

ISO COUTRY CODE TWO LETTERS
RECOGNISED BY ALL COUTRY CUSTOMS.
A
Algeria: DZ
American Samoa: AS
Andorra: AD
Angola: AO
Antartica: AQ
Antiqua and Barbuda: AG
Armenia: AM
Argentina: AR
Australia: AU
Austria: AT
Azerbaijan: AZ
B
Bahamas, The: BS
Bahrain: BH
Bangladesh: BD
Barbados: BB
Belgium: BE
Belize: BZ
Benin: BJ
Bermuda: BM
Bolivia: BO
Botswana: BW
Brazil: BR
British Antartic Territory: BQ
British Indian Ocean Territory: IO
British Solomon Islands: SB
British Virgin Islands: VG
Bulgaria: BG
Burma: MM (now Myanmar)
Burundi: BI
C
Cambodia: KH
Cameroon: CM
Canada: CA
Canton and Enderbury Islands: CT
Cape Verde Islands: CV
Cayman Islands: KY
Central African Republic: CF
Chad: TD
Chile: CL
China, People's Republic of: CN
Christmas Island: CX
Cocos (Keeling) Islands: CC
Colombia: CO
Comoro Islands: KM
Congo: CG
Cook Islands: CK
Costa Rica: CR
Croatia: HR
Cuba: CU
Cyprus: CY
Czech Republic: CZ
D
Dahomey: DY
Denmark: DK
Djibouti: DJ
Dominica: DM
Dominican Republic: DO
Dronning Maud Land: NQ
E
Ecuador: EC
Egypt: EG
El Salvador: SV
Equitorial Guinea: GQ
Eritrea: ER
Estonia: EE
Ethiopia: ET
F
Faeroe Islands: FO
Falkland Islands (Malvinas): FK
Fiji: FJ
Finland: FI
France: FR
French Guiana: GF
French Polynesia: PF
French South and Antartic Territory: FQ
French Afars and Issas: AI
G
Gabon: GA
Gambia: GM
Georgia: GE
Germany: DE
Ghana: GH
Gibraltar: GI
Gilbert & Ellice Islands: GE
Greece: GR
Greenland: GL
Grenada: GD
Guadeloupe: GP
Guam: GU
Guatemala: GT
Guinea: GN
Guinea Bissaw: GW
Guyana: GY
H
Haiti: HT
Heard and McDonald Islands: HM
Honduras: HN
Hong Kong: HK
Hungary: HU
I
Iceland: IS
India: IN
Indonesia: IO
Iran: IR
Iraq: IQ
Ireland: IE
Israel: IL
Italy: IT
Ivory Coast: CI
J
Jamaica: JM
Japan: JP
Johnston Island: JT
Jordan: JO
K
Kazakhstan: KZ
Kenya: KE
Khmer Republic: KH
Korea, Democratic People's Republic of: KP
Korea, Republic of: KR
Kuwait: KW
Kyrgystan: KG
L
Laos: LALatvia: LV
Lebanon: LB
Lesotho: LS
Liberia: LR
Libyan Arab Republic: LY
Liechtenstein: LILithuania: LT
Luxembourg: LU
M
Macao: MO
Madagascar: MG
Malawi: MW
Malaysia: MY
Maldives: MV
Mali: ML
Malta: MT
Marshall Islands: MH
Martinique: MQ
Mauritania: MR
Mauritius: MU
Mexico: MX
Micronesia: FM
Midway Islands: MI
Moldova: MD
Monaco: MC
Mongolia: MN
Montserrat: MS
Morocco: MA
Mozambique: MZ
Myanmar (formerly Burma): MM
N
Namibia: NA
Nauru: NR
Nepal: NP
Netherlands: NL
Netherlands Antilles: AN
Neutral Zone: NT
New Calefoonia: NC
New Hebrides: NH
New Zealand: NZ
Nicaragua: NINiger: NE
Nigeria: NG
Niue Island: NU
Norfolk Island: NF
Norway: NO
O
Oman: OM
P
Pacific Island Trust Territory: PC
Pakistan: PK
Palau: PW
Panama: PA
Panama Canal Zone: PZ
Papua New Guinea: PG
Paraguay: PY
Peru: PE
Philippines: PH
Pitcairn Islands: PN
Poland: PL
Portugal: PT
Portuguese Timor: TP
Puerto Rico: PR
Q
Qatar: QA
R
Reunion: RE
Romania: RO
Russia: RU
Rwanda: RW
S
St. Helena: SH
St. Kitts-Nevins-Anguilla: KN
St. Lucia: LCSt. Pierre and Miquelon: PM
St. Vincent: VC
San Marino: SM
Sao Tom‚ and Pr¡ncipe: ST
Saudi Arabia: SA
Senegal: SN
Seychelles: SC
Sierra Leone: SL
Sikkim: SK
Singapore: SG
Slovakia: SK
Slovenia: SI
Somalia: SO
South Africa, Republic of: ZA
Southern Rhodesia: RH
Spain: ES
Spanish Sahara: EH
Sri Lanka: LK
Sudan: SD
Suriname: SR
Svalbard and Jan Mayen Islands: SJ
Swaziland: SZ
Sweden: SE
Switzerland: CH
Syria: SY
T
Taiwan (Providence of): TW
Tajikistan: TJ
Tanzania: TZ
Thailand: TH
Togo: TG
Tokelau Island: TK
Tonga: TO
Trinidad and Tobago: TT
Tunisia: TN
Turkey: TR
Turkmenistan: TM
Turks and Caicos Islands: TC
Tuvalu: TV
U
Uganda: UG
Ukraine: UA
United Arab Emirates: AE
United Kingdom: GB
United States: US
U.S. Miscellaneous Pacific Islands: PU
U.S. Virgin Islands: VI
Upper Volta: HV
Uruguay: UY
Uzbekistan: UZ
V
Vanuatu: VU
Vatican City State (The Holy See): VA
Venezuela: VE
Vietnam, Democratic Republic of: VO
Vietnam: VN

W
Wake Island: WK
Wallis and Futuna Islands: WF
Western Samoa: WS
Y
Yemen: YE
Yemen, Democratic: YD
Yugoslavia: YU
Z
Zaire: ZR
Zambia: ZM
Zimbabwe: ZW

Export Promotion Councils in India

Export Promotion Councils in India
ENGINEERING EXPORT PROMOTION COUNCIL
Contact Person: ChairmanAddress : World Trade Centre. 14/IB, Ezra Street, Calcutta-700 001.Tel. : (91)33-263080/81/82/83/84/85Fax : (91)33-2258968E-Mail : eepc-ho@eepc.ho.cmc.net.inWebSite: http://www.eepc.gov.in

OVERSEAS CONSTRUCTION COUNCIL OF INDIA
Contact Person: ChairmanAddress : H-118, Himalaya House, 11th Floor, 23,Kasturba Gandhi Marg, New Delhi-110 001Tel. : (91)11-3312936/3327550Fax : (91)11-3312936Website : http://www.occi.org
BASIC CHEMICALS, PHARMACEUTICALS AND COSMETICS EXPORT PROMOTION COUNCIL
Contact Person: ChairmanAddress : Jhansi Castle, 4th floor, 7-Cooperage Road, Bombay-400 039Tel. : (91)22-2021288/2021330/2026549Fax : (91)22-2026684Website: http://www.chemexcil.com
CHEMICALS AND ALLIED PRODUCTS EXPORT PROMOTION COUNCIL
Contact Person: ChairmanAddress : World Trade Centre, 14/IB, Ezra Street, Calcutta-700 001.Tel. : (91)33-267733/34/35, 267082Fax : (91)33-2255070
PLASTICS & LINOLEUMS EXPORT PROMOTION COUNCIL
Contact Person: ChairmanAddress : Centre-I,11th floor,World Trade Centre, Cuffee Parade, Colaba, Bombay-400 005Tel. : (91)22-2184474/2184569Fax : (91)22-2184810E-Mail : plexcon@giasbm01.vsnl.net.inplexho@bom3.vsnl.net.inWebsite: http://www.plexcon.com
COUNCIL FOR LEATHER EXPORTS
Contact Person: ChairmanAddress : Leather Centre, (3rd floor and 4th floor) 53,Sydenhams,Road, Periameret, Madras-600 003Tel. : (91)44-589098/582041Fax : (91)44-588713/587083E-Mail : cle@giasmdo1.vsnl.net.inWebsite : http://www.leatherindia.com
SPORTS GOODS EXPORT PROMOTION COUNCIL
Contact Person: ChairmanAddress : 1-E/6, Swami Ram Tirth Nagar, Jhandewalan Extn. New Delhi-100 055Tel. : (91)11-525695/529255Fax : (91)11-7532147Website :http://www.sportsgeepc.com
GEM AND JEWELLERY EXPOR PROMOTION COUNCIL
Contact Person: ChairmanAddress : Diamond Bazar, 5th floor, 391-A, Dr.D.Bhadkamkar Marg, Bombay-400 004Tel. : (91)22-3871135/3888004Fax : (91)22-3868752
SHELLAC EXPORT PROMOTION COUNCIL
Contact Person: ChairmanAddress : World Trade Centre, 14/IB Ezra Street, Calcutta-700 001Tel. : (91)33-2482070Fax : (91)33-2484046
CASHEW EXPORT PROMOTION COUNCIL
Contact Person: ChairmanAddress : Post Box No.1709,Chittor Road, Ernakulam South., Cochin-682 016Tel. : (91)484-351973/361459Fax : (91)484-370973
ELECTRONICS AND COMPUTER SOFTWARE EXPORT PROMOTION COUNCIL
Contact Person: ChairmanAddress : PHD-House,Phase-II, 3rd floor,Opp.,Asian Games Village, New Delhi-110 0 16.Tel. : (91)11-696103/696206/654463Fax : (91)11-6853412E-Mail : esc@giasdl01.vsnl.net.inWebsite: http://www.indiansources.com
· Textiles Sector: APPAREL EXPORT PROMOTION COUNCIL
Contact Person: ChairmanAddress : NBCC Towers,15 Bhikaji Cama Place, New Delhi - 110 066.Tel. : (91) 11-883351/ 6888505/ 6888656/ 6888300/ 6884578Fax : (91) 11-6168584Website : http://www.aepc.com

CARPET EXPORT PROMOTION COUNCIL
Contact Person: Managing DirectorAddress : 101-A/1, Krishna Nagar, (Behind Govt. Sr. Sec. School), Safdarjung Enclave, New Delhi 110029.Tel. : (91) 11-602742/601024Fax : (91) 11-6115299/6847903.
COTTON TEXTILE EXPORT PROMOTION COUNCIL
Contact Person: Chairman Address : Engineering Centre, 5th Floor, Bombay - 400 004.Tel. : (91) 22-3632910/11/12/13Fax : (91) 22-3932914Website : http://www.texprocil.com
EXPORT PROMOTION COUNCIL FOR HANDICRAFTS
Contact Person: ChairmanAddress : 6, Community Centre, IInd Floor, Basant Lok, Vasant Vihar, New Delhi - 110 057.Tel. : (91) 11-6875377/60087Fax : (91) 11-606144E-Mail : secy.epch@axcess.net.inWebsite : http://www.epcd.asiansources.com
HANDLOOM EXPORT PROMOTION COUNCIL
Contact Person: ChairmanAddress : 18, Cathedral Garden Road, Nunagambakkam, Madras 600 034.Tel. : (91) 44-8276043/8278879Fax : (91) 44-8271761
THE INDIAN SILK EXPORT PROMOTION COUNCIL
Contact Person: ChairmanAddress : 62, Mittal Chambers, 6th Floor, Nariman Point, Bombay - 400 021.Tel. : (91) 22-2025866,2027662,2049413,Fax : (91) 22-2874606
SYNTHETIC & RAYON TEXTILE EXPORT PROMOTION COUNCILContact Person: ChairmanAddress : Resham Bhavan, 78, Veer Nariman Point Road, Bombay - 400 020.Tel. : (91) 22-2048797/2048690Fax : (91) 22-2048358
WOOL & WOOLENS EXPORT PROMOTION COUNCILContact Person: ChairmanAddress : 312/714, Ashoka Estate, 24, Barakhamba Road, New Delhi - 110 001.Tel. : (91) 11-3315512/3315205Fax : (91) 11-3314626Website : http://www.wwepc.com

வர்த்தக மந்திரியின் பேச்சு

SPEECH BY COMMERCE & INDUSTRY MINISTER
ON RELEASE OF ANNUAL SUPPLEMENT
TO FOREIGN TRADE POLICY 2004-09
Four years ago I had announced India’s first ever integrated Foreign Trade Policy for the period 2004-09. I had then indicated two major objectives, namely (a) to double our share of global merchandise trade within 5 years, and (b) to use trade expansion as an effective instrument of economic growth and employment generation.
I am pleased to say that our achievements have exceeded our expectations. Not only have we fulfilled our promises in substantial measure, but we have achieved these remarkable results in just four years, instead of five.
In 2004 our exports stood at a little over $ 63 billion. In 2007-08 they have exceeded $ 155 billion; our exports are not only just double what they were four years ago, but 2½ times that. We have managed an average cumulative annual growth rate (CAGR) of 23%, year on year, way ahead of the average growth rate of international trade.
Our total merchandise trade – exports and imports together – will be almost 400 billion US dollars this year; accounting for nearly 1.5% of world trade. If the trade in services is added to this, our commercial engagement with the world would be in the region of 525 billion US dollars.
We have delivered on our second objective as well: that of fashioning trade into an instrument of economic growth and employment generation. Our total trade in goods and services is now equivalent to almost 50% of our GDP. This is unprecedented in India’s modern economic history.
On the issue of employment, it is our estimate that during the last 4 years, increased trade activity has created 136 lakh new jobs. I have always maintained that exports are not just about earning foreign exchange but about boosting our
manufacturing sector, creating large-scale economic activity and generating fresh employment opportunities.
The Special Economic Zones policy is a case in point. The Government sees SEZs as vehicles of industrialization and employment generation. Till now we have granted 453 formal approvals for setting up of SEZs. 207 out of these have been notified, and are at various stages of implementation and operation. I am particularly happy to say that approvals are not restricted to a few states, but spread over 19 States and 3 Union Territories. SEZs currently provide employment to more than 2.80 lakh people. The incremental employment generated by these SEZs since February 2006 is 1.5 lakh. In the last 3 years, the exports from SEZs have shown an increase of over 150%. It is projected that the exports from SEZs would reach Rs.1, 25,000 crores by the end of this financial year. Developments of this nature re-assure us of the validity of the basic policy relating to SEZs, notwithstanding the skepticism expressed by a few persons.
What is more remarkable about all our achievements is that they have been accomplished in the face of appreciation of the rupee (by more than 12% in the last year alone), high interest rates, spiralling oil prices, withdrawal of some GSP benefits to India by other countries and a general international economic slowdown in some of our major trade markets. In spite of all this our exporters have shown great resilience. For this, they deserve our congratulations.
It is in this context that I am happy to present the final Annual Supplement to the Foreign Trade Policy for 2004-2009. In this Supplement, we have proposed several innovative steps:
(1) I firmly believe that there must be a stable Policy environment for the exporters. Accordingly, we have extended the DEPB Scheme till May 2009.
(2) To ensure that terminal excise duty and CST refund is made to the exporters in time, it has been decided that interest @ 6% per annum shall be paid by the Government to the exporter, in case refund is not
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made within one month of its becoming due. I know we had made this announcement last year. Thus, to honour my commitment, I announce that this refund along with interest will be paid on all such claims that have become due on or after 1.4.2007.
(3) To become competitive in international markets, our factories and service providers need to have state-of-the-art machinery and equipment. Through the EPCG, the Government has been incentivising exporters to modernize their production facilities. To re-emphasise the importance of modernization in export units, we have reduced the customs duty payable under EPCG from 5% to 3%. Further, exports made towards fulfillment of export obligation under EPCG shall also be eligible for incentives/rewards under promotional schemes.
(4) Last year Govt. had announced a reduced rate of interest to the exporters in sectors affected by rupee appreciation, and to SMEs. I am happy to announce that Government has decided that these reduced rates shall be continued for another year.
(5) The Average export obligation under EPCG Scheme for the year 2007-08 will be lowered for those sectors or product groups, which have a decline in export of more than 5% in 2007-08. Further, Premier Trading Houses would be given the option, on request, to refix their average export obligation based on the average of their exports of last 5 years instead of 3 years.
(6) 100% EOUs have been contributing significantly to our national export efforts. Export by these units has crossed Rs.125,000 crores in 2007-08, which is approximately one-fifth of our total exports. The income tax exemption available to these 100% EOUs under Section 10B of Income Tax Act is to expire on 31.3.2009. I am pleased to announce that this exemption will be extended for one more year, beyond 2009.
Further, EOUs operating in textile and granite sector shall be required to pay only excise duty on their DTA sale, in case the use of duty paid imported inputs is up to 3% of the FOB value of exports. This measure will provide the EOUs, greater operational flexibility.
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(7) India produces 11% of the world’s vegetables and 15% of its fruits. Not only are we the second largest producer, but we also produce them at a very competitive cost. According to the World Bank, our cost of vegetables is half the average of global prices, and that of fruits is two-thirds of global prices. Unfortunately, our share in world trade in fruits and vegetables has remained dismal at 1.7% and 0.5% respectively. The major handicap suffered by our exporters of fruits, vegetables and flowers is high incidence of transport cost; domestic as well as international. To partially neutralize this disadvantage, I announce that for specific fruits, vegetables and flowers, an additional duty-free credit scrip of 2.5% over and above the existing available under VKGUY.
(8) India has a varied toys and sports goods industry, predominantly in the unorganized sector, which is more than 100 years old. The two major clusters of sports goods industry, at Meerut and Jalandhar, provide employment to a large number of people, including those of minority communities. India has a minuscule share of less than 1% in world sports and toys exports. To promote exports from this sector, I announce an additional credit of 5%, over and above the credit available under Focus Product Scheme for these products. Further, separate funds shall be marked for this sector under ongoing Market Development Assistance (MDA) Scheme and Market Access Initiative (MAI) Scheme.
(9) Our capability and expertise in IT software is internationally established. Now, there is a need to focus on strengthening our manufacturing and export capabilities in IT hardware sector. We are bringing this sector in Special focus initiative this year. Specific items of this sector shall be made eligible for benefits under High Tech Product. Export Promotion Scheme. Further, funds would be specifically earmarked for this sector under the ongoing MDA and MAI Schemes.
(10) The Government has already announced refund of service tax on almost all the services, which are directly relatable to export production and supply. A number of services related to export, which do not attract service tax have been identified and a Circular is being issued
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to inform the exporting community. The remaining issues regarding refund of service tax on services linked to exports will also be resolved shortly.
(11) It has been the endeavour of the Government to reach "zero rating" of exports, so far as domestic taxes is concerned. The Government is seized of the issue that a number of State taxes are not being refunded to exporters. The Government is looking into formulation of a scheme for rebating these taxes, with urgency.
(12) To promote export of high value added manufactured products, I announce an enhanced incentive under Focus Product Scheme @ 2.5% for products, which would be notified separately.
(13) Our exporters are really going places! To encourage them on their voyage of discovery, I announce inclusion of another 10 countries within the ambit of Focus Market Scheme. These countries include Mongolia, Bosnia-Herzegovina, Albania, Macedonia, Croatia, Honduras, Djibouti, Sudan, Ghana and Colombia.
(14) The Focus Products and Focus Markets Schemes would be calibrated, so that some products of high export intensity (which are presently not covered under FPS) but which have low penetration in countries (which are presently not covered under FMS), would be considered for export incentive as a Focus Product for that Country. We would invite suggestions from the Export Promotion Councils in this regard.
(15) Under the Industrial Park Scheme, administered by the Department of Industrial Policy and Promotion besides manufacturing, it has now been decided to include, IT, ITES and R&D in Natural Sciences and Engineering, as industrial activities permitted in the parks.
(16) Last year I had announced the formation of the Export Promotion Forum for Telecom to boost exports in the telecom sector. The exports from this sector are likely to touch Rs. 4,000 crores this year, up from Rs. 1,800 crores last year. This is likely to exceed Rs. 10,000 crores by 2011. To encourage this sector, I am pleased to announce the establishment of an Export Promotion Council for Telecom.
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(17) Export Credit Guarantee Corporation of India (ECGC) has completed fifty years of operations. With the establishment of National Export Insurance Account (NEIA), ECGC now provides credit risk insurance cover even to high risk countries where such insurance cover was not earlier provided. NEIA has already provided Rs.396 crores to ECGC and a balance amount of Rs.1704 crores will be provided during the current Plan Period to enhance ECGC’s under-writing capability. ECGC has also reduced its premium by more than 10% to provide relief to exporters affected by rupee appreciation.
(18) The time period for re-import of branded jewellery remaining unsold has been extended from 180 days to 365 days. The facility of export on consignment basis has been extended to the export of coloured gem stones. At present in case of exports through Foreign Post Office, value of jewellery parcels is limited to US $ 50,000. The limit is now raised to US $ 75,000.
(19) To curb inflation on essential commodities, Government has banned export of non-basmati rice, edible oils and pulses. Benefits under DEPB Scheme have been withdrawn on export of rice, cement and primary steel items. We are also withdrawing the incentives under promotional scheme (FMS) on export of cement and primary steel items.
(20) Every now and then I come across surveys by reputed international and domestic organizations pointing out the distressing fact that transaction costs – in both money and time – for exporters in India are very high. In the last four years we have taken a number of steps to reduce these costs. Introduction of e-commerce in Government, removal of controls and simplification of procedure have been pursued relentlessly. Apparently, a lot more needs to be done. In the last year of this Policy period, we propose additional measures towards this end:
i) Advance Authorisation Scheme and EPCG Scheme will be brought under the EDI system with effect from 1.7. 2008.
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ii) With effect from 1.1.2009, all existing EDI ports will be treated as a single port and there will be no requirement of TRA under Advance Authorisation.
iii) Payment of duty under EPCG Scheme, through debit of DEPB or other duty credit scrips would be allowed w.e.f. 1.1. 2009.
iv) To facilitate faster clearance of deemed export benefits, Central Excise authorities will now endorse the supply invoices within 21 days.
v) A few additional ports have been included under Export Promotion Schemes. This will help in reducing costs and adhering to delivery schedules. Some more ports are also under consideration.
Similarly, a large number of other measures have been announced, details of which are given in the Annual Supplement.
We still face many structural problems which need to be addressed. We have to plan an integrated strategy to tackle these issues. I announce the setting up of a Joint Task Force of representatives of the Central Government, State Governments, Panchayati Raj Institutions, Industry and Exporters to draw up, within six months, a detailed Action Plan as a roadmap to achieve this objective.
The key elements of this strategy that the JTF will be mandated to look at would include:
(a) Development of world-class infrastructure to facilitate trade involving an investment of over $ 800 bn in infrastructure.
(b) Trade facilitation through EDI, such that the waiting periods at ports, airports and ICDs and Land Customs Stations, would match world standards; of 2 hours or less.
(c) The development of global manufacturing hubs in selected sectors like auto components, generic drugs, gems and jewellery, handicrafts, textiles, petro products etc.
(d) The development of global services hubs, not only in IT but also in KPO, industrial design, research and development and product testing.
(e) The development of a chain of sector-specific skill development institutes, so that trained manpower is available for all sectors.
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(f) In line with the Government’s policy that no duty and taxes should be exported, early implementation of GST and simultaneous reimbursement of the remission or refund of all taxes & levies.
(g) Encouraging e-commerce through robust implementation of e-governance at all levels.
You are aware that negotiations for further liberalization of trade under WTO are continuing since 2001. This indecisiveness at the World Trade Body is not on account of any unreasonable positions of developing countries like India. The negotiations remain inconclusive on account of the recently discovered fear and shyness from trade liberalization by the developed countries. We remain committed to a fair, rule bound international trading order, where the developing countries have an equal say and share. We will continue our endeavour to protect our farmers from the trade distorting subsidies provided in developed countries. We will also ensure adequate safeguards for protection of our small and tiny industries and We will continue to seek enhanced market access for our goods and services.
The remarkable achievements in trade and commerce of the past four years gives me the confidence to spell out an even more ambitious target – that of achieving a 5% share in world trade by the year 2020. In practical terms this means a four-fold increase in our percentage share in the next 12 years. Considering that world trade is itself increasing, this would translate into an eight-fold increase in absolute terms. Ambitious the target may be, but achieving it is not impossible. It means we would have to ensure an average annual growth rate of 25% consistently for the next 12 years. To begin with, I set a target of $200 billion for exports during the current year.
The task is difficult, but the prize is great. If we achieve it, India will once more become the trading superpower it was two centuries ago.
Thank you.
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