Home ODISHA LATEST New export policy to boost MSME sector

New export policy to boost MSME sector


Reported by Chinmaya Dehury
Bhubaneswar, Feb 4:

In order to give a fillip to the exports from the state, particularly in the micro, small and medium enterprises (MSME) sector, the Odisha government is giving finishing touches to the Export Policy-2013 after it was given concurrence by the Finance Department.

The Finance department has given the go-ahead for setting up export parks and trade centres after examining the feasibility and financial conditions of such ventures. The draft policy has proposed to set up such parks in Balasore, Cuttack, Sambalpur and Berhampur.

“The trade centres, to be set up at important places of the state, will be equipped with all trade related facilities for display of goods for exports. Besides, there will be dry port facilities for warehousing and container facilities to ensure that there are no difficulties in cargo storage and customs clearance and container availability for the exporters,” said the draft policy.

It also proposes fiscal incentives to the exports on travelling fare by train and air, for which reimbursement of 50% will be given for a maximum of two persons per unit.

It also envisages prizes for minimum export growth of Rs 10 lakh in case of MSMEs and Rs 25 lakh in case of other category of exporters.

However, the finance department has asked to set the ceiling limit to Rs 25 lakh for MSMEs and Rs one crore in case of other categories.

An official source said the policy is aimed at promoting exports in non-metallurgical sectors like handicrafts, handloom, textiles, engineering and chemicals, marine products, agro and forest products, pharmaceuticals, electronics and software products, gems and jewellery.

Export of goods from Odisha in 2011-12 saw a drop of 5.61 per cent at Rs 16,139.20 crore compared to Rs 17,098.88 crore in the previous fiscal. This is for the first time since 2001-02 that exports have dipped.

The steepest fall was noticed in case of exports of engineering, chemicals and allied products which nosedived 75.23 per cent from Rs 612.62 crore to just Rs 151.69 crore.

Exports of metallurgical products too fell marginally in value terms from Rs 4,807.98 crore in 2010-11 to Rs 4,793.94 crore in 2011-12. The quantity exported, however, surged from 0.26 million tonnes to 0.76 million tonnes.