The Centre also announced more sops to boost shipments of fruits & vegetables by giving exporters additional duty credit scrip of 2.5 per cent over and above the normal benefit available under the Vishesh Krishi Gram Upaj Yojna. This would be restricted to specific varieties of these items.

Among the other highlights of the FTP were an extension of income-tax benefits to export-oriented units by another year beyond March 31, 2009 and extension of the popular DEPB scheme until May 2009.

Nath said that an average growth of 23 per cent in exports over the last four years has given him the confidence to aim for an ambitious target of $200 billion for 2008-09. While the target of $160 billion for the last fiscal could not be met in the wake of a sharp rupee appreciation and slowdown in the US economy, exports managed to reach $155 billion in 2007-08. “Our total merchandise trade — exports and imports together — will be almost $400 billion this year, accounting for nearly 1.5 per cent of world trade. The remarkable achievements ... gives me the confidence to spell out an even more ambitious target — that of achieving a 5 per cent share in world trade by the year 2020,” he said.

The government also set up an Export Promotion Council (EPC) for the telecom sector to provide support to exporters in the industry. “The new EPC will provide institutional support to exports from the telecom sector,” Nath said. Exports from the telecom sector are likely to go up from Rs 1,800 crore to Rs 4,000 crore in the current financial year, he said, adding that “this (exports) is likely to exceed Rs 10,000 crore by 2011.”

... contd.