The Export Promotion Council for Handicrafts (EPCH) discussed the challenges faced by the country’s handicrafts sector with Anup K Pujari, the Director General of Foreign Trade (DGFT) on February 28, reports SME Times. Arvind Vadhera, chairman of EPCH, and Rakesh Kumar, executive director of EPCH, met Pujari.
The trio discussed measures that should be taken by the government to facilitate exports of handicraft items and increase them. The DGFT was apprised of the export performance of the sector, indicating the growth in exports during the last 10 months. They also discussed the initiatives taken by the Council in the current financial year for export promotion.
Kumar and Vadhera concluded that the growth rate of handicraft exports could be maintained and even further accelerated if the government considered certain issues and helped them in facilitating exports.
They pointed out that the list of focused products for exports earlier announced by the DGFT covers handicrafts items on which duty credit scrip of seven percent is allowed. Vadhera suggested that this limit be raised to 10 percent.
The Council also recommended to the DGFT that the scheme of Deemed Exports, which was discontinued in 1993, be re-introduced, particularly in case of handicrafts products. It also suggested that the interest subvention of two percent be continued beyond March 31, 2012, for the handicrafts sector. Waiving of service tax for business exhibitions organized within India was also sought.
EPCH also raised some other issues of importance with the DGFT, who assured that proper examination of these issues would be carried out in the near future.