Indian Foreign Trade Policy 2009-2014 ( By Arun Joshi,Sri-Krishna Institute,9888933043)

What is Foreign Trade Policy?
The Union Commerce Ministry, Government of India announces the integrated Foreign Trade Policy FTP in every five year. This is also called EXIM [Export, import] policy. This policy is updated every year with some modifications and new schemes. New schemes come into effect on the first day of financial year i.e. April 1, every year. The Foreign trade Policy which was announced on August 28, 2009 is an integrated policy for the period 2009-14.
Objectives of Foreign Trade Policy 2009-14
1. To arrest and reverse declining trend of exports due to global recession is the main aim of the policy. This aim will be reviewed after two years.
2. To double India’s exports of goods and services by 2014.
3. To double India’s share in global merchandise trade by 2020 as a long term aim of this policy. India’s share in Global merchandise exports was 1.45% in 2008.
4. Simplification of the application procedure for availing various benefits
5. To set in motion the strategies and policy measures which catalyze the growth of exports
6. To encourage exports through a “mix of measures including fiscal incentives, institutional changes, procedural rationalisation and efforts for enhance market access across the world and diversification of export markets.
Aim in General: The policy aims at developing export potential, improving export performance, boosting foreign trade and earning valuable foreign exchange. FTP assumes great significance this year as India’s exports have been battered by the global recession. A fall in exports has led to the closure of several small- and medium-scale export-oriented units, resulting in large-scale unemployment.
Targets:
1. Export Target : $ 200 Billion for 2010-11
2. Export Growth Target: 15 % for next two year and 25 % thereafter.
Towns of Export Excellence (TEE)
The following cities have been recognized as towns of export excellence (TEE)
1. Handicrafts : Jaipur, Srinagar and Anantnag
2. Leather Products : Kanpur, Dewas(M.P.) and Ambur(T.N.)
3. Horticultural Products: Malihabad(U.P.)