NEW DELHI, Dec 18: Deeper integration into global value chains, enhanced digital trade infrastructure and a focus on building the competitiveness of MSMEs will help India more than double its share in global trade from the present 2 per cent, CII said on Wednesday.
Chairman of the CII national committee on EXIM Sanjay Budhia said that the chamber is committed to working closely with the government to address critical challenges which hinder manufacturing and export growth.
“The journey will require deeper integration into global value chains, enhanced digital trade infrastructure, and a focus on building the competitiveness of MSMEs,” he said.
To further unlock the potential of exports, he suggested a common online portal for issue of circulars pertaining to various ports and locations.
There is also a need to adopt best practices being followed by developed countries and implement the CAARR (Customs Authority on Advance Ruling) Regulation, 2021 as it would contribute to reduction of global trade costs and bring certainty in duty liability, Budhia said.
He added that measures need to be undertaken to strengthen the AEO (authorised economic operator) programme.
It has generated a lot of confidence in exporters reducing their time which they are utilising more productively in their workplace.
Further, he said that to reduce litigation and make refund process smooth when there is no dispute between the department and importer, refunds may be processed without requirement of filing appeal with the Commissioner Appeals.
“These efforts will reduce double duty payment due to Customs EDI (electronic data inter-change) system error, refund duty deposited, excess payment of duty due to error, refund arising out of the bonafide clerical error and short shipment and part shipment,” he said.
Aligning India’s tax system with global best practices has improved the ease of doing business.
He added that many of India’s trading partners, such as the European Union and ASEAN (Association of Southeast Asian Nations), have similar VAT-based tax structures, making it easier for Indian businesses to engage in cross-border transactions. (PTI)
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