Page 245 - DMGT401Business Environment

Business Environment Neha Tikoo, Lovely Professional University

Notes Unit 11: EXIM Policy

CONTENTS
Objectives
Introduction

11.1 EXIM Policy
11.1.1 Earlier EXIM Policy (Pre Reform Period)
11.1.2 EXIM Policy 1992-1997

11.1.3 EXIM Policy 1997-2002
11.2 Special Export Zones ( SEZ)
11.2.1 Key Features of SEZ Scheme
11.2.2 Objectives of SEZ Scheme
11.2.3 Benefits of SEZ Scheme

11.3 Summary
11.4 Keywords
11.5 Self Assessment

11.6 Review Questions
11.7 Further Readings

Objectives

After studying this unit, you will be able to:
Discuss the EXIM Policy
Identify the purpose of Special Export Zones (SEZ)

Introduction

Indian foreign trade under colonial rule was controlled by the British for their own interests.
After independence, the then government incorporated the Import and Export (Control) Act,
1947 with the objective of regulating imports and exports. At that time the Indian economy was
affected by scarcity. To safeguard the domestic industry and to restrict the export of essential
goods, it was essential to regulate international trade.
The National Planning Commission (NPC) has said, "The objective of the country as a whole
was the attainment as far as possible, of national sufficiency. International trade was certainly to
be included but we were anxious to avoid being drawn into the whirlpool of economic
imperialism."
So in subsequent years, import substitution and protection of domestic industry became the
main thrust of the EXIM policy for most of the period during 1950-51 to 1990-91. It was in 1991
that the Indian EXIM policy saw a drastic change in the form of liberalisation.

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