Export Promotion Council for Handicrafts (EPCH) has urged the Government the restoration of acceptance of Merchandise Exports from India Scheme (MEIS) applications.
Ravi K. Passi, Chairman, EPCH, has seeked the Ministry of Commerce & Industry and Ministry of Textiles for the restoration of acceptance of MEIS applications. The issue was also raised during the FIEO meet.
MEIS was introduced in the Foreign Trade Policy and was launched as an incentive scheme for the export of goods. The rewards are given by way of duty credit scrips to exporters.
The exporters of handicrafts also avail the benefit as handicraft sector has been accorded priority under the MEIS scheme. The online MEIS Module has been blocked since 23 July 2020 from accepting the applications and the office of DGFT has conveyed to the customs field formations not to accept new applications under MEIS for shipping bills with let export order (LEO) from 1 April 2020 onwards due to the non-availability of funds.
“We are hopeful that the matter will be resolved shortly,” said Ravi K. Passi and added that the current pandemic crisis has resulted in the decline of exports of handicrafts by (–) 66.83 per cent during the first quarter of the current financial year 2020-21 and after the Government’s relaxation given under Unlock-1 and Unlock-2, some business activity has resumed and exports are beginning to take place. Keeping in view the current situation, it is important that any incentive which is being given to the exporter is continued at this stage so that the pace of handicrafts exports is regained.