Taking into account the rising concerns of India’s subdued exports performance, the new foreign trade policy (FTP) to be introduced this year, is expected to focus on issues such as services sector shipments, standards and branding of products. The five-year FTP (2009-14) ended on March 31 and the new government formed after the general election will introduce new FTP for the period 2014-19. FTP governs all exports and imports related activities and mainly aims at enhancing the country's exports and use trade expansion as an effective instrument of economic growth and employment generation.
It has become imperative to boost country’s exports which have been hovering near $300 billion over the last three fiscal years. The new FTP is likely to promote exports of specific products in specific geographies and would also abolish conventional method of exports through focusing more on areas like high-tech items, branding of products in the global market and new strategy for marketing. The policy may also review the current schemes which are not in compliance with the World Trade Organization (WTO) norms. According to global exports norms, India cannot provide export subsidies to a sector if outbound shipments from those particular segment crosses 3.5 percent share in the global market. Therefore, India would not be able to provide export subsidies to textile sector as the sector is reported to have crossed the 3.5 percent share in the global market. India's share in global trade stands at about 2 percent.
In FY14, India's exports grew marginally by 3.96 percent to $312.35 billion, which was below the set export target at $325 billion. During April-February period, services exports, which contribute about 60 per cent to the country's GDP were worth $152.69 billion.
MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.
To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.
MoneyWorks4Me ensures this through: