The e-commerce industry in India is booming. With increasing internet penetration and adoption of online shopping, e-commerce exports from India are poised for massive growth. To tap into this potential, the Government of India has announced wide-ranging measures in the Foreign Trade Policy (FTP) 2023 to boost e-commerce exports. Here are some of the key highlights:
All FTP Benefits Extended to E-Commerce Exports
i) All benefits given under the Foreign Trade Policy will now be extended to e-commerce exports as well.
ii) Necessary changes will be made in the IT systems of Department of Commerce, India Post and Central Board of Indirect Taxes and Customs (CBIC) over the next 6 months to enable this.
Guidelines to Streamline E-Commerce Export Facilitation
i) Guidelines are being formulated in consultation with relevant ministries to further facilitate exports through e-commerce.
ii) This will help provide clarity on processes and requirements for e-commerce exports.
Outreach and Training for Small E-Commerce Exporters
i) Special outreach and training activities will be conducted for small e-commerce exporters.
ii) Industry bodies and knowledge partners will provide handholding support to such exporters.
Increase in Courier Export Value Limit
The maximum value limit for exports through courier has been increased from Rs. 5 lakhs to Rs. 10 lakhs per consignment.
Operationalisation of Dak Ghar Niryat Kendras
i) Dak Ghar Niryat Kendras will be set up across India to facilitate cross-border e-commerce.
ii) This will enable small businesses in remote areas to access international markets.
Dak Niryat Facilitation Hubs
i) Designated hubs with warehousing facilities will be notified to assist e-commerce aggregators.
ii) This will help with stocking, customs clearance and returns processing.
Allowance for E-Commerce Export Hubs
Processing facilities will be allowed in e-commerce export hubs for last-mile activities like labeling, testing, and repackaging.
The FTP 2023 has clearly prioritized the growth of e-commerce exports from India. By extending export incentives, setting up facilitation infrastructure and enhancing ease of compliance, the policy aims to enable small businesses to access global markets. If implemented well, these measures can propel India’s e-commerce exports to new heights in the coming years.