Govt relaxes local sourcing rule for foreign firms
The Dollar Business Bureau The government will provide exemption to foreign companies such as Apple Inc, which are coming with cutting edge and state-of-the-art technology, from the mandatory domestic sourcing norms under the single-brand retail for up to 3 years. Ramesh Abhishek, Secretary, Department of Industrial Policy and Promotion (DIPP) said that these foreign companies will be provided a 5-year period to comply with the mandatory local sourcing norms of 30 percent, after the completion of the exemption period. This is being done to generate more jobs and encourage the growth of micro, small and medium enterprises (MSMEs) in the country. “For us, local sourcing is an important issue because we need to create jobs and interest of MSMEs is very important. Companies whose ...
Maharashtra asks Centre to scrap minimum export price on onion
Source: PTI With wholesale prices down to the Rs.10 per kg level, the Maharashtra government has asked the Centre to scrap the minimum export price (MEP) for onions to help boost overseas shipments. In August, the government had hiked onion MEP to $700 per tonne, from $425, as prices at both wholesale and retail levels were skyrocketing on lower output due to unseasonal rains earlier. MEP is the rate below which no exports are allowed. The rise in MEP restricts exports and improves domestic supply. “In a letter written to the Union Agriculture Ministry, the Maharashtra government has demanded removal of onion MEP to encourage exports, which would protect interest of farmers,” a senior Agriculture Ministry official said. India exported 4,59,097 ...
Poor external demand, reduction of export incentives likely to affect exports
Sai Nikesh | The Dollar Business In view of the weak global demand, India’s exports in 2015-16, are likely to remain same or even move backward from $310 billion of 2014-15, says the Associated Chamber of Commerce & Industry (ASSOCHAM). The weak trend in exports that has been continuing since July 2014, remained the same since January 2015 right through April. The industry body said that the exports trend in the last quarter of fiscal 2014-15 and the first month of 2015-16 witnessed a decline unlike the usual trend where the last quarter of the fiscal turns out to be much better to make up for the previous quarters. Going by the official statistics, while the total exports value in the ...
