New Delhi: The Foreign Trade Policy (FTP) 2023 seeks to boost the country's exports to USD 2 trillion by 2030, Commerce and Industry Minister Piyush Goyal, said on Friday. He said it would be made possible by shifting from incentives to remission and entitlement based regime. Goyal unveiled the FTP 2023 which will take effect from April 1, 2023.
Also, the policy has no expiration date unlike the existing 5-year FTP. The 2023 document will be updated as and when required, said Director General of Foreign Trade (DGFT), Santosh Sarangi who was briefing the media about the FTP 2023 said.
Exports touch USD 7660 bn- Santosh said India is likely to end this fiscal year with total exports of USD 760-770 billion as against USD 676 billion in 2021-22. The last five-year policy came into force on April 1, 2015. However, it was extended several times in the wake of coronavirus outbreak and subsequent disruptions in economic activities globally. The last extension was given in September 2022 till March 31, 2023.
Four new TEEs- The new FTP identifies four new Towns of Export Excellence (TEE) -- Faridabad, Moradabad, Mirzapur and Varanasi -- in addition to the already existing 39 TEEs. The FTP benefits have been extended to e-commerce exports, which are estimated to grow to USD 200-300 billion by 2030. The value limit for exports through courier service is being increased from Rs 5 lakh to Rs 10 lakh per consignment, Santosh said.
The new FTP will pave the road to make the Indian rupee a global currency. As a first step towards this goal, the policy will allow international trade settlement in the domestic currency (ie. in ₹). The FTP 2023 will be dynamic and responsive to the emerging trade scenario. The department of commerce is also being restructured in order to make it "future-ready".
