| The policy is likely to increase the scope of many existing export promotion schemes, such as the Focus Product, Focus Market as well as Vishesh Krishi and Gram Udyog Yojana. |
| Currently, there is a cap of nearly Rs 650 crore on the three schemes which is likely to be increased with more products and target countries being included. |
| Duty free scrips of 5 per cent is allotted against freight on board value of many farm products under the Vishesh Krishi and Gram Udyog Yojana. |
| Exporters are allotted duty free scrips of 2.5 per cent of the freight on board value of products like handloom and leather, in the Focus Product Scheme. The Focus Market Scheme is aimed at offsetting the high freight costs to select international markets. |
| Nath is also likely to formally announce the extension of the Duty Entitlement Pass Book Scheme by one more year. The export promotion scheme doesn't comply to norms set up by the World Trade Organisation and hence would be phased out by March 31, while an alternative scheme is likely to be introduced from September this year. |
| Exporters could also look forward to relaxation of obligation norms under the Export Promotion Capital Goods Scheme. In addition, procedural formalities required by exporters is also likely to be made simpler. |
| Trade analysts will be keenly observing the export target set by the government for 2007-08. The target of exports for 2006-07 was set at $ 125 billion, which is likely to be missed as exports in the period between April to February of the current financial year was only $ 109.12 billion. |
| Concerned by the adverse effect of an strengthening rupee on exports, Nath will meet exporters to find a solution. "The rise in rupee is hurting the exporters and the matter has been brought to our notice. We will have a discussion, with the exporters, next week to find a way out of it," Nath said. |
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