BBA 3rd Year India Trade Policy Very Short Question Answer Paper Sample papers Study Material And Notes Unit-wise Syllabus Noes Full Content.
Very Short Answer Questions).
0.1. What do you mean by the EXIM policy of India?
Ans. The foreign trade of India is guided by the export-import policy of the government of India and is regulated by the Foreign Trade Act 1992.
Q.2. What are the general objectives of the EXIM policy?
Ans. The general objectives of the EXIM policy are given as under:
(a) To establish the framework for the globalization of
India’s foreign trade.
(b) To promote the productivity, modernization, and
competitiveness of Indian industry and thereby to
enhance its export capabilities.
Q.3. What are the objectives of foreign trade policy?
Ans. The objectives of foreign trade policy are as follows:
(a) To double India’s percentage share of global
merchandise trade within the next five years.
(b) To act as an effective instrument of economic growth
by giving a thrust to employment generation.
Q.4. What are the main highlights of foreign trade policy?
Ans. The main highlights of foreign trade policy are given as under:
(a) Sectoral export strategies: special focus initiatives.
(b) Export promotion schemes.
(c) New status holder categorization.
(d) Services export promotion council.
Q.5. What are the suggestions provided in the trade policy during 2004-09?
Ans. Following are the suggestions provided in the trade policy during 2004-09:
(a) The procedure can be simplified through more use of
automation and information technology.
(b) The FTP makes sure that the Kelkar committee
recommendation, which enlists the best international
practices on trade facilitation are implemented.
0.6. What are the highlights of the new foreign trade policy 2009-14?
Ans. These are as follows:
(a) Market and product diversification.
(b) Technological upgradation.
(c) Value added manufacturing.
0.7. Define the term SEZ.
Ans. Considering the need to enhance foreign investment and promote export from the country and realizing the need that the level playing field must be made available to the domestic enterprises and manufacturers to be competitive globally, the government had in April 2000 announced the introduction of special economic zones policy in the country, deemed to be foreign territory for the purpose of trade operation, duties, and tariffs.
Q.8. Give any two features of the Indian SEZ initiative.
Ans. The two features of the Indian SEZ initiative are as follows:
(a) Unlike most of the international instances where zones are primarily developed by
governments, the Indian SEZ policy provides for the development of these zones in the
government, private or joint sector.
(b) For greenfield SEZs, the government has specified a minimum preferable area of 1000
hectares. However, for sector specific SEZs there is no restriction of minimum cost.
Q.9. What are the incentives and benefits provided in the SEZs policy?
Ans. These are as follows:
(a) 100% income tax exemption for a block of five years and an additional 50% tax exemption two years thereafter.
(b) 100% FDI in the manufacturing sector permitted through automatic route, barring a few sectors.
(c) Facility to retain 100% foreign exchange receipt in exchange earner’s foreign currency account.