A slew of measures, including a revamped Electronic Data Interface system and easier norms for the Accredited Clients Programme, is likely to be initiated this year to reduce the transaction time and costs of exporters.
Sources said the commerce ministry and its revenue counterpart are drawing up plans to increase the coverage of the Accredited Clients Programme, which allows import of items with minimal checks by the Customs department.
Some of the measures may figure in the annual supplement to the Foreign Trade Policy, which is being released on April 11.
The measures could let exporters using import duty remission schemes like Duty Drawback, Duty Entitlement Passbook Scheme (DEPB) or Advance Authorisation, avail the benefits of the Accredited Clients Programme.
Currently, only companies that pay full duty on imports and don't avail any duty remission scheme are part of the Accredited Clients Programme. Moreover, users have to follow a host of conditions. Trade analysts say these stringent conditions have forced the exporters to stay off the scheme.
According to commerce ministry officials, exporters using the scheme number are not more than 300. "We want to encourage more exporters to use the scheme this year. The scheme leads to significant saving of time," said an official.
Commerce ministry officials expect the new Electronic Data Interface System to become operational by the end of this fiscal.
This system will ensure that agencies like the Customs, DGFT, Port Trusts, Airports Authority of India, Scheduled Banks, RBI and Concor, which are engaged in different aspects of foreign trade, are electronically linked through better systems.
As a result, exporters will have to submit lesser documents and get duty remissions more quickly.
"This is a Rs 800 crore (Rs 8 billion) project. When it becomes fully operational, exporters can save nearly 1.5 per cent of their freight-on-board value of exports, currently spent on fulfilling various procedures. Moreover, communication between the various agencies part of the current EDI system will improve by great margins," the official added.
Exporters have been complaining that the current EDI system is not sufficient to process the information that is fed into the system. As a result, duty remissions through various schemes get stuck for months.
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