Question:
List and explain various incentives and schemes that the government has evolved for promoting the country's foreign trade.
Answer:
The following are some of the schemes and incentives adopted by the government to promote exports:
- Duty Drawback Scheme: Under the duty drawback scheme, exporters are either exempted from payment of excise duties or are refunded a certain percentage of the excise duty paid earlier. In case where inputs are used for export production, the custom duties paid on import of raw material and machines are refunded.
- Export Manufacturing under the Bond Scheme: This bond scheme enables exporters to undertake production of goods meant for exports without paying excise or other duties. In order to avail themselves of this scheme, exporters must sign an undertaking that the goods produced are meant only for exports and not for domestic consumption.
- Exemptions from Payment of Sales Tax: The goods that are meant for imports are not subjected to sales tax. The income earned by exporters (only those who run 100 per cent export-oriented units or units in export processing zones and special economic zones) from the export of goods is exempted from payment of income tax.
- Advance License Scheme: Advance License Scheme allows exporters to use inputs (those that are domestically produced or imported) without the payment of any duties. In addition, the scheme exempts exporters from paying custom duties in cases where the imported inputs are used for manufacturing goods meant for exports.
- Export Promotion Capital Goods (EPCG) Scheme: The EPCG Scheme promotes the import of goods for the production of export goods. Under the scheme, exporters are allowed to import goods at concessional rates of custom duties. However, to avail themselves of this scheme, exporters must fulfill certain export obligations stated under the scheme. ‘
- Scheme of Recognizing Export House, Trading House and Superstar Trading House: This scheme aims at facilitating well-established trading houses to market their products globally. Under the scheme, selected exporting firms are given the status of export house, trading house and star trading house by the government. This status is given on the basis of the past export performances of export firms.
International Business II
Q 1.
List various affiliated bodies of World Bank.
Q 2.
Name any two WTO Agreements.
Q 3.
Discuss the process involved in securing for exports.
Q 4.
Explain the meaning of the following documents used in connection with import transactions
- Trade enquiry,
- Import license,
- Shipment of advice,
- Import general manifest,
- Bill of entry.
Q 5.
What is Advance License Scheme?
Q 6.
What was the objective of MIGA?
Q 7.
What is Shipping Bill?
Q 8.
Name the most important document of export.
Q 9.
Write a detailed note on features, structure, objectives and functioning of WTO.
Q 10.
Write short notes on the following:
- UNCTAD
- MIGA
- World Bank
- ITPO
- IMF
Q 11.
List out major affiliated bodies of the World Bank.
Q 12.
How many Export Promotion Councils are there in India?
Q 13.
Name the most important document used in import.
Q 14.
What is the main objective of WTO?
Q 15.
Why is export promotion necessary?
Q 16.
When was State Trading Corporation established?
Q 17.
Define Export Processing Zones.
Q 18.
What is pre-shipment finance?
Q 19.
Why is it necessary for an export firm to go in for pre-shipment inspection?
Q 20.
Explain briefly the process of customs clearance of export goods.
Q 21.
Explain the term FOB.
Q 22.
Santa Cruz is famous for which exclusive items?
Q 23.
Explain the meaning of Mate's Receipt.
Q 24.
Discuss the principal documents used in exporting.
Q 25.
Write the full form of ICSID.
Q 26.
Write short note on Indent House and Dock Challan.
Q 27.
Why did WTO establish? What are its objectives?
Q 28.
Discuss the formalities involved in getting an export license.
Q 29.
List and explain various incentives and schemes that the government has evolved for promoting the country's foreign trade.
Q 30.
Give full form of EPZ and SEZ.
Q 31.
What is a Letter of Credit? Why does an exporter need this document?
Q 32.
Explain different organizations involved in export promotion or facilitating foreign trade.
Q 33.
Explain the steps of export procedure.
Q 34.
Discuss the principal documents used in exporting.
Q 35.
What is IMF? Discuss its .various objectives and functions.
Q 36.
Who is a clearing agent?
Q 37.
Why is it necessary to get registered with an Export Promotion Council?
Q 38.
Your firm is planning to import textile machinery from Canada. Describe the procedure involved in importing.
Q 39.
Name the certificate which is used for ensuring timely payment.
Q 40.
How many regional and international offices does ITPO have?
Q 41.
What is the purpose of pre-shipment finance?
Q 42.
How many Commodity Boards are there in India?
Q 43.
Which agency of World Bank provides loan to private sector of developing countries?
Q 44.
Which certificate is necessary to prove that goods are produced in the home country itself ?
Q 45.
Who is a clearing agent?
Q 46.
Write the full form of DTA.
Q 47.
Rekha Garments has received an order to export 2000 men's trousers to Swift Imports Ltd. located in Australia. Discuss the procedure that Rekha Garments would need to go through for executing the export order.
Q 48.
What is Performa Invoice?
Q 49.
When was IIFT formed?
Q 50.
What is IEC number?
