India set to implement New Foreign Trade Policy 2021-26 from April 1, 2021

Union Ministry of Commerce & Industry has stated that the ‘New Foreign Trade Policy 2021-26’ of India will come into effect from April 1, 2021. The main mission of the policy would be to make India a leader in International Trade in the next 5 years.

The policy aims

i.To make India an USD 5 Trillion economy by boosting exports from both services & merchandise sectors.

•  It will be achieved by addressing various overseas and domestic constraints related to regulatory, policy, and framework to lower transaction costs & enhance the ease of doing business.
•  A low-cost operating environment will be created with the help of efficient utility and logistical infrastructure.

ii.Implementation of District Export Hubs initiative to make each district of India to achieve its potential as an Export hub.

• The Commerce Department through the Regional Authorities of Directorate General of Foreign Trade (DGFT) will engage with State Governments & Union Territories to implement the initiative.
• It will be implemented in a phased manner.

iii.Improvise the operations of domestic services & manufacturing sectors with infrastructure support from the Government to correct Trade imbalances within India.

iv.Meetings will be held with Industry Associations, Chambers of Commerce, and Export Promotion Councils, State Government to take their inputs.

v.The Parliamentary Consultative Committee of the Ministry of Commerce & Industry chaired by Minister of State for Commerce & Industry Hardeep Singh Puri held discussions on the New Foreign Trade Policy 2021-26.

Foreign Trade Policy 2015-20:

The previous Foreign Trade Policy 2015-20 was extended for a year till 31 March 2021 due to the Pandemic.

• It came into effect on 1 st April 2015

Recent Related News:

i.On December 18, 2020, Piyush Goyal, Union Minister of Commerce and Industry launched Australia Economic Strategy Report 2020 prepared by Confederation of Indian Industry (CII) team.

About Parliamentary Consultative Committee of the Ministry of Commerce & Industry:
Chairman -Union Minister of Commerce & Industry ( Piyush Goyal)
Total Strength of the Committee – 17 (10 from Lok Sabha & 7 from Rajya Sabha)