Garment exporters in India want authorisation, inspection and classification norms to be simplified. In fact, the Apparel Export Promotion Council (AEPC) has urged the Textiles Ministry to simplify the new foreign trade policy’s authorisation, inspection and classification norms. They have urged the government to withdraw the need for a landing certificate for exported goods, required as proof to claim benefits under the Merchandise Exports from India Scheme (MEIS). Introduced in April 2015, the scheme aims to boost sagging exports, covering tariff lines for 5,012 items that earn duty credits. Exporters say getting the documents to show proof of landing at the destination country entails cost and delay.

While filing shipping bill, exporters are required to declare they are claiming rewards under MEIS and to mark Y in the reward item box. Recently many had complained of inefficient customs house agents inadvertently ticking N in the reward item box while filing the shipping bills with customs. Thus even though the item in many cases was eligible, once an N has been ticked, such shipping bills are not transmitted to the online system run by the Directorate General of Foreign Trade (DGFT).

To help exporters claim MEIS benefits in such cases, DGFT has allowed them to give physical copies of the shipping bills after filing an MEIS application to its regional authorities. However, this relaxation is restricted to exports made in April and May 2015. An extension on this has been demanded. Calls for proper identification and classification of goods have also been demanded, going forward from the current challan system currently followed. Meanwhile, AEPC Chairman Ashok G Rajani has called for a stimulus from the government, stating that the garment export industry has the potential to generate 2,200 jobs on every investment of Rs 30 crores. They have urged the government to follow Bangladesh by, allowing vehicles carrying finished export merchandise and headed towards exit points like sea ports, airports and rail heads to display ‘On Export Duty’ signage. So, too, for vehicles carrying input material for production of export merchandise, with a signage of ‘On Export Processing Duty’, to facilitate easier transportation and to avoid corruption.