Describe different export promotion schemes which are in operation in the country.

Describe different export promotion schemes which are in operation in the country.

Describe different export promotion schemes which are in operation in the country.-As you are all aware, exports are critical to a country's economic development. More exports imply more remittances from abroad, more jobs and employment, a lower current account deficit, and thus higher overall economic growth. As a result, in order to grow quickly, India's export performance must improve. India is still in the process of developing.

China's total exports are approximately eight times that of India. Despite being one of the world's largest countries, India ranks 18th on the list of top exporting countries in 2019. Singapore, a small country, has surpassed India in terms of GDP.

Describe different export promotion schemes which are in operation in the country.-The high cost of export products is one of the major reasons for India's poor export performance. Indian exporters are unable to sell goods at a lower and more competitive price, rendering them uncompetitive in the global market, resulting in order losses.

The indian products in high price because:-

Poor infrastructure:- This raises the cost of doing business in India. Moving a container by ship from Malaysia to Chennai, for example, is less expensive and faster than moving the same container by road/rail from Chennai to Mumbai.

Associated Costs- Rail freight rates for the export industry are among the highest in the world. In addition, industrial electricity rates in India are extremely high. Another major factor contributing to price increases is the high cost of land for industrial development.

Cost of credit- - Interest rates in India have remained high for an extended period of time due to high inflation.

Describe different export promotion schemes which are in operation in the country.-All of the aforementioned factors contribute to an increase in the cost of export goods when compared to other countries. As a result, the Indian government attempts to compensate for the disadvantages that Indian exporters face by instituting various Export Promotion Schemes/Export Incentives in India.

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