Annual Report 2005-06
The Working Committee constituted at the 50th Annual General Meeting of the Council has the pleasure in presenting its activities during the period 1st April, 2005 to 31st March, 2006.
Export Performance
A. Overall Export Performance
During the reporting year, India’s merchandise exports were Rs. 4,45,657.97 crores, in rupee terms which is 23.15% higher than the value of exports as compared to the preceding fiscal. In dollar terms, exports are valued at US$ 100606.92 million (US$ 100.6 billion) which is 24.71% higher than the value of US$ 80672.41 million during April-March, 2004-2005.
B. Performance of the Engineering Sector in 2005-06
During the year under review, India’s exports of engineering goods have put up a growth of about 24.61% in dollar terms in 2005-06 over 2004-05. These estimates are based on the provisional data released by DGCI&S which suggests that exports of engineering goods from India in 2005-06 touched US$ 19.18 billion.
In the month of March 2006, exports of engineering goods were to the tune of US$ 2447.28 million, up from US$ 2022.97 million recorded in March 2005 and higher by more than 20%.
In rupee terms, India’s export of engineering goods is valued at Rs. 84,943.73 crores during April-March 2005-06 which is 22.78% higher than the value of the export valued at Rs.69,181.67 crores during April-March 2004-05.
Target Value Target Achieved Year In US$ Millions In US$ Millions 2000-01 5,525 6,047 2001-02 6,300 5,975 2002-03 7,100 7,870 2003-04 8,500 11,553 2004-05 12,750 15,926 2005-06 18,300 20,300
Exports of Engineering Goods & Services Targets & Achievements
Targeted Export Value in US$ Millions Achieved Export Value in US$ Millions 25,000 20,300
20,000 18,300 15,926
15,000 12,750 11,553 8,500
10,000 7,870 7,100 6,300 Millions 6,047 5,975 5,525 5,000 Value in US$ Value in US$ 0 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 Fiscal Year
C. Performance: Principal Commodity-wise
Export performance of the principal commodities has been given in the following table : Export Performance of Principal Commodities: 2005-06 over 2004-05 (values in US$ Million) Commodity Name 2004-05 2005-06 Growth% Machinery & instruments 3717.74 4795.29 28.98 Transport equipment 2828.51 4565.89 61.42 Manufactures of metals 3400.05 4172.72 22.73 Primary & semi-finished iron & steel 3518.18 3006.08 -14.56 Non-ferrous metals 764.55 1361.14 78.03 Iron & steel bar/rods 401.30 504.28 25.66 Ferro alloys 267.56 264.61 -1.10 Aluminium other than products 249.39 217.50 -12.79 Machine tools 176.56 214.31 21.38 Residual engineering items 52.64 64.17 21.90 Mica 14.13 17.32 22.58 Grand Total 15390.61 19183.31 24.64
Machinery and instruments continue to be the highest contributor with a strong growth of around 29% in dollar terms over 2004-05 followed by Transport Equipments registering growth above 60%. Metal manufactures also have registered a substantial growth of 23%. However, Non- Ferrous metals recorded highest growth.
Export Performance of Prinicpal Commodities 2005-06 over 2004-05 2004-05 2005-06
6000.00
5000.00 4795.29 4565.89 4172.72
4000.00 3717.74 3518.18 3400.05 3006.08
3000.00 2828.51
2000.00 1361.14 Value in Million US$ in Million US$ Value
1000.00 764.55 504.28 401.30 267.56 264.61 249.39 217.50 214.31 176.56 64.17 52.64 17.32 0.00 14.13
s a el cts ic ent tal te u ents tools M m pm s d e ui f me & ro q o n p e el bar/rods s iro e Ferro alloys re than Machin port ed ry & instru & st e actu ish n her f l engineering items u Non-ferrous metals ot a Trans n -fin Iro u Ma um d Machin semi ni & Resi y lumi A rimar P Principal Commodities
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D. Export Performance to Top 10 Destinations
During the year under review, engineering exports have gone through a major change in terms of their destinations. Once again, USA is the highest importer of Indian engineering goods and services followed by UAE. From the table below, it is evident that Singapore, which was at the 6th position during the year 2004-05, have become the 3rd largest importer of India’s engineering goods.
Export Performance to Top 10 Destinations for the fiscal year 2005-06 (figures in US$ million)
Importing Cumulative Cumulative % change Rank Rank Country Exports 2004-05 Exports 2005-06 over 2004-05 04-05 05-06 USA 2336.35 2720.85 16.43 1 1 UAE 1015.81 1689.93 66.33 2 2 Singapore 605.72 1130.58 86.61 6 3 UK 786.68 920.26 16.95 4 4 China 891.55 721.16 -19.13 3 5 Germany 568.83 651.82 14.57 7 6 Sri Lanka 438.11 633.11 44.48 8 7 Italy 622.98 591.68 -5.04 5 8 South Africa 261.94 496.48 89.49 15 9 Saudi Arabia 259.88 474.42 82.52 17 10
Most noticeable of all, however, is the ascent of South Africa and Saudi Arabia from their 15th and 17th positions to 9th and 10th positions respectively.
Top 5 destinations and performances of principal commodities in those markets are given below :
Destinations Substantial Growth Heavy Decline USA Aluminium other than products, Machine tools, Ferro alloys, Primary & semi- Machinery & instruments, Residual engineering finished iron & steel items, Transport equipment UAE Non-ferrous metals, Primary & semi-finished Aluminium other than iron & steel, Residual engineering items, products, Ferro alloys, Iron & Transport equipment steel bar/rods Singapore Iron & steel bar/rods, Non-ferrous metals, Ferro alloys Transport equipment UK Machinery & instruments, Non-ferrous metals, Residual engineering items Primary & semi-finished iron & steel China Iron & steel bar/rods, Machine tools, Mica, Non- Aluminium other than ferrous metals products, Primary & semi- finished iron & steel
3 E. Analysis on Revised Data of the last fiscal (2004-05)
In the reporting year, Council carried out an analysis and found 292 engineering items are not being considered by DGCI&S while computing the data for the engineering sector. This has resulted in understatement of export performance of engineering items. It has been found that these items account for over Rs. 3,000 crore (over US$ 600 million) worth of exports which have not been taken into account of exports of engineering goods so far. The export performance of the sector has since been revised upwards for 2003-04 and 2004-05. The group-wise revised performance for the year ended and also for the last fiscal is given below :
EXPORT OF ENGINEERING GOODS & SERVICES DURING 2001-02 TO 2004-05 (VALUE IN US$ MN) 2003-04 % GROUP-WISE EXPORT 2003-04 (REVISED) 2004-05 GROWTH. CAPITAL GOODS 3102.96 3454.95 4649.06 34.56 PRIMARY IRON & STEEL AND ITEMS THEREOF 4338.58 4386.79 6563.04 49.61 NON-FERROUS METALS & PRODUCTS THEREOF 1046.13 1049.04 1523.24 45.2 CONSUMER DURABLES 2101.16 2453.11 2945.92 20.09 TOTAL 10588.83 11343.89 15681.25 38.24 MANAGEMENT & TECHNICAL SERVICES 208.92 209.47 245.32 17.11 GRAND TOTAL 10797.8 11553.4 15926.6 37.85
Promotional Activities In the reporting year, Council organized various activities for promoting exports of Engineering goods and services from India. It is important to mention that the exhibition organized by the Council in the name of Indiatech has changed to INDEE (Indian Engineering Exhibition). The first of this kind is held in Mexico. Besides, organizing own exhibition, Council participated in various Information Booths and Catalogue Shows with the help of foreign offices. Also, Council arranged Buyer-Seller Meets and Delegations for the benefit of exporters in India and Abroad. The overseas offices were instrumental for product mailing campaign and updating of importers/distributors list of their respective territories covered by each office.
In the domestic front, Council conducted various seminars/workshops and awareness seminars on export finance, quality up gradation, focus country programs, award functions and meetings with government agencies for solving the exporter’s problems. Information on overseas trade opportunities for products, turnkey projects and services were regularly collected and disseminated among member exporters.
During the reporting year, Council revamped its website in the form of portal to provide a one stop solution for the exporters and importers. In the newly redesigned and revamped website Council has given a major coverage on various promotional activities from time to time. Also, the enhanced website is the base for providing the e-commerce service to its members in the coming years.
4 A. OVERSEAS
EXHIBITION ORGANIZED
1. Trade Fairs and Exhibitions – Participated/Organized
Council’s major promotional activities include organizing and participating in specialized exhibitions in the overseas segment. Council organized on its own product display of its member firms in INDEE (formerly Indiatech) exhibition, mobilized India’s engineering industry’s participation in Specialized Fairs and also set up Information Booths in some of the International trade fairs. Product catalogues/profiles of Indian engineering companies demonstrating the competence and capabilities levels in various fields in engineering sector and Council’s own charts/publications were put on display in the Information Booths. Council’s representatives utilized the events for establishing and firming up contacts with as many visiting buyers as possible with the sole objective to make them aware of Indian engineering industries’ capabilities and help generating their interest in Indian products. Council organized India’s engineering industries participation and set up Information Booths at the following exhibitions in 2005-2006.
INDEE-Mexico
Council organized INDEE exhibition at Mexico in the 3rd quarter of the reporting year. This exhibition was the biggest part of the exhibition “Expo FabTech Canacintra” held in Mexico in the form of India Pavillion. This exhibition was held in World Trade Centre, Mexico City during 12th to 14th October, 2005 under the leadership of Shri Rakesh Shah, Chairman of the Council. 151 companies from the engineering sector all over India showcased their products and services in the exhibition. The major participants were TVS Motors, Hero Cycles, Bajaj Electricals, Forbes Gokak etc. For the first time, an exhibition of this magnitude was held in Mexico City for the engineering products organized by the Council. Besides India Pavilion, there were around 40 other exhibitors like Toyota, Essab etc. from Mexico.
The exhibition was inaugurated by Mr. E. V. K. S. Elangovan, Hon’ble Minister of State for Commerce & Industry of India and Ms. Rocio Ruiz Chavez, Vice Minister in the Ministry of Economy of Mexico. Mr. Rajiv Kumar Bhatia, Ambassador of India to Mexico, Mr. Rakesh Shah, Chairman, EEPC, Mr. Cuauhtemoc Martinez Garcia, National President of Canacintra, Ms. Sylvia Hernandez, Senator and Dr. Irma Gomez, Deputy Minister, Ministry of Foreign Affairs of Mexico were also present on the occasion.
The products displayed in the event - auto parts, bicycle and parts, two wheelers, bright bars & shaftings, compressors and pumps, I.C. engines and parts, electrical equipment and parts, hand tools, machine and cutting tools, castings and forgings, industrial machinery, paper corrugated board and box making machinery, chemical & pharmaceutical plant and machinery, agricultural equipment, scientific & surgical instruments, SS utensils, steel & steel based products.
Around 6000 business persons from sectors like Automobile, Electrical, Bicycles, Castings, Forgings, Hand & Cutting Tools, SS Utensils, Pharmaceutical Machinery etc. visited the 3-day exhibition. It was quite encouraging to observe the keen interest among the Mexican business people about Indian products and technology.
Hannover Fair, Hannover, Germany
Council in association with Indo-German Chamber of Commerce organised an India Pavilion in the Hannover Fair, 2005 from 11th to 15th April, 2005 for 5 days. In the said fair, 28 companies from India participated. Hannover fair is one of the leading shows for industrial subcontracting held in Hannover, Germany every year. In the said exhibition, India Pavilion was set up in an 5 area of 264 sq. mtrs. and the participated companies showcased their products like Auto components, Castings, Forgings, Fasteners, Machined components, Rolls, Motor Cycle & Bi-cycle parts, Heat Exchangers etc. Indian companies have reported to have received encouraging response from the European Trade and Industry for their products and services.
INTERPHEX ASIA – 2005, Singapore
INTERPHEX Asia is a unique event dedicated to the pharmaceutical manufacturing industry in the Asia Pacific region. The event started in the year 2004 in Singapore and has been receiving overwhelming response since inception.
Council participated in Interphex Asia 2005, Singapore held from 19th to 21st April, 2005 under the banner India Pavilion. An area of 54 sq.mtr. was booked where 7 Indian companies had their stalls besides Council’s own Information booth. The participating companies expressed their satisfaction by taking part in this exhibition and have received very good response from the visiting buyers.
MSV International Engineering Fair, Brno, Czech Republic
Council organised an India Pavilion by taking an area of 72 sq.mtrs at the above exhibition from 3rd to 7th October, 2005 (5 days). Seven Indian companies from sectors like Auto parts, Air compressors, Diesel engines, Hand tools and ACSR took part in the exhibition. In addition, Council had set up an Information booth where Council’s publications and catalogues of some of the member firms were displayed. India’s participation generated a great deal of interest among trade and industry visitors not only from the Czech Republic but also from neighbouring countries of Central and Eastern Europe.
Indian companies participating in the India Pavilion organized by the Council have reported great success in this international exhibition. A report from the Indian companies reveals business opportunities from countries like Germany, Poland, Spain, Russia, Ukraine, Cyprus and other East European countries.
ITMA ASIA, Singapore
ITMA ASIA is one of the biggest events for textile machinery and accessories. The event is organized by CEMATEX, a UK based company mainly in Europe. Council organized an India Pavilion in this event by taking a space of 138 sq.mtrs held in Singapore from 17th to 21st October, 2005 and six Indian companies from textile machinery sector participated in the exhibition under the Council’s banner. Over 50,000 visitors all over the world visited the exhibition and Indian participants in the Indian Pavilion expressed full satisfaction in terms of meeting a large number of business visitors from Europe, Japan, Taiwan, Korea, Australia, New Zealand, Israel, Pakistan and ASEAN countries.
East Asia Business Exhibition (EABEX ’05), Malaysia
Council took an area of 9 sq.mtrs. in the India Pavilion at the above exhibition held in Kuala Lumpur, Malaysia from 10th to 14th December, 2005. India’s participation was organized by the India Trade Promotion Organisation. Apart from displaying panels showing the India’s progress in various fields of activities in the engineering sector, Council’s publications were put on display. Also, Council’s film entitled: MADE IN INDIA was screened round the clock during the exhibition. Prime Ministers of Malaysia, Japan, China, India and Trade Minister of Korea visited India Pavilion. India’s Prime Minister, Hon’ble Dr. Manmohan Singh had been kind enough to visit EEPC Stall and had interacted with Council’s Resident Director who managed the Pavilion. Hon’ble Prime Minister expressed his satisfaction and encouraged Council to achieve more 6 growth in the coming years and project India’s industrial image across the globe. He had also seen the panels set up in the Council’s Information Booth.
Middle East Industrial Show, Sharjah, UAE
Council took the initiative for the first time to set up an India Pavilion in the said show by taking a space of 72 sq.mtrs. The show was held from 22nd to 24th January, 2006, where seven Indian companies participated. In addition, Council had also set up an information booth where Council’s publications were displayed. In the event 230 exhibitors from 17 countries participated.
Companies participated in the Council’s India Pavilion expressed their satisfaction with their participation, arrangement made by the Council and the response generated during the fair. India’s participation inspired a great deal of interest among trade and industry visitors not only from UAE but also from neighbouring countries. A large number of trade visitors showed interest in doing business with India. International Houseware Show, Chicago
Council’s Chicago office coordinated the INDIA PAVILION in International Houseware Show 2006 from 12th to 14th March, 2006, one of the biggest shows in USA. This year’s seminars included key subjects such as : Future Color Trends, Color and Merchandise Presentation, Directions for Global Retailing and Consumer Preferences. The International Home & House wares Show is the world's premier house wares marketplace, features more than 2,000 exhibitors from 34 countries, and more than 20,000 buyers from over 100 countries around the world. In attendance were many qualified buyers and sellers from all segments of the Houseware market. IHWS 2006 saw the use of new materials, which are durable and can allow for strong looks in shape and color, and a trend toward multi-use products that are compact for maximizing shelf space. Indian companies got better attraction and gained prospective business. Participating buyers represented all segments of the service and retail industry including international buyers. Virtually all of the leading brands and manufacturers exhibited at the show allowing the attendees to see the latest products and network with their top customers and suppliers. Other events such as conferences and seminars surrounding the show allowed attendees to get up-to-date on the latest news and advancements in the International Houseware Show aftermarket industry. The visitors to the show include - Manufacturers, wholesalers, warehouse distributors, retailers, independent service providers, technicians, parts stores, manufacturers’ reps, exporters, importers and packagers, plus international visitors from different countries.
BUYER-SELLER MEETS/DELEGATIONS
BSM in Australia, New Zealand
Council organized BSMs in Australia (Melbourne and Sydney) and New Zealand (Auckland) during 23rd – 29th August, 2005 under the Focus ASEAN+2 programme of the Government of India. The main objective was to promote export of engineering products and bilateral trade between India and these countries.
6 Indian companies participated in the event under the leadership of Dr. M. K. G. Nathani, Executive Director of Taparia Tools Ltd. Both Australia and New Zealand offer tremendous potential for Indian engineering exports. Important items are Automotive parts; Agricultural machinery; Mining equipment and spares; Power distribution equipment; I.C. Engines and parts; Motorcycles including the mopeds; Industrial Castings; Hardware products including fasteners, tools, Household articles including kitchen items, appliances and utensils. The turn out of delegates in Sydney was not impressive but at the same time quality buyers attended the meeting. At Auckland around 55 visitors had interactions with the Indian delegates. Both 7 Australia and New Zealand’s buyers had shown keen interest in Indian products and the Indian delegates expressed satisfaction over the encouraging response.
BSM in Moscow & St. Petersburg, Russia
Council organized BSMs in Russia (Moscow and St. Petersburg) during 21st – 26th November, 2005 under Focus CIS Programme of the Government of India. The main objective was to promote export of engineering goods and bilateral trade between India and Russia as export activities have slowed down since 1991 and Council has conducted a survey of the markets and has found that tremendous potential exists in the region for increasing exports.
Shri Maheshkumar G. Nathani, Executive Director of M/s. Taparia Tools Ltd. led the delegation with 11 Indian companies.
On 21st November, 2005 in Moscow, seven Russian delegates attended the meet. Mr. R. P. Singh, First Secretary (Com), Embassy of India in Moscow visited the venue in the evening and met the participants and on the next day, Mr. Singh arranged a meeting with OPORA Russia, All-Russian Public Organisation of Small and Medium Business in Moscow, accordingly, all the Indian participants met Mr. Vladimir V. Buzin, Chief of International Department of OPORA Russia at his office.
On 24th November, 2005 in St. Petersburg, excellent arrangements were made by the Office of the Consulate General of India to organize the BSM. 22 Russian delegates attended the meet and had one-to-one interaction with their Indian counterparts. The Indian delegates also visited the St. Petersburg Chamber of Commerce and Industry accompanied by Consul General of India.
BSM in Chile and Brazil
Council organized Buyer-Seller-Meets in Chile and Brazil during 28th November to 2nd December, 2005 under the Focus LAC programme. A 15-member delegation under the leadership of Mr. Girish Gupta, Director & Owner of Adarsh Line Accessories Pvt. Ltd., Chennai, took part in the BSMs.
In Chile, the Meet was organized in Santiago Chamber of Commerce, Santiago with their active support. 127 delegates from 83 Chilean organizations had one-to-one meeting with Indian counterparts for the products of their interest. Some of the Indian delegates undertook plant visits in nearby locality.
In Brazil, two Meets were organized in Hotel Crown Plaza, Sao Paulo and Federation of Industries Rio De Janerio (FIRJAN) respectively. In Sao Paulo, 50 delegates from 35 Brazilian companies attended the meet and had fruitful interaction with the Indian counterparts.
Besides, 32 focused meetings were organized coinciding with plant visits. In Rio De Janerio, 45 delegates from 30 Rio Industries met over lunch. At the request of the Council, FIRJAN shared their member database with Indian delegates.
Trade Delegation to Ghana, Togo, Senegal and Mali
Council organized a Trade Delegation from the Diesel Engine sector to Ghana, Togo, Senegal and Mali during 21st November to 3rd December, 2005 under the Focus Africa programme of the Government of India. Six Indian companies took part in the delegation under the leadership of Mr. Khalid Khan, CEO of M/s. Geco Trading Corporation.
In Ghana, the delegation visited important Ministries, Trade Associations and Importers during their 3 days stay (21st to 23rd November). The delegation had interactions with Chief Executive of Ghana Investment Promotion Center, Dy. Minister of Food and Agriculture, Minister of Trade 8 & Industry, Chief Executive of Ghana National Chamber of Commerce & Industry, President of Association of Ghana Industries. Representatives from 39 Ghanian companies had fruitful interactions with Indian counterparts. The meet was well attended by Local Press and a good coverage about the delegation was given in the local newspapers.
In Togo, the delegation stayed for 3 days from November 24th to 26th and had interactions with Chamber of Commerce & Industry and Importers. 30 entrepreneurs from Togo companies attended the meet and had useful interactions with their Indian counterparts. The meet was well covered by the media.
In Senegal, the delegation interacted with Govt. officials and Chamber of Commerce & Industry and Importers during their 3 days stay from November 27th to 30th. Chamber officials informed that trade between India and Senegal is good and can be improved further. In the BSM, 25 business people from Senegal companies had interactions with Indian delegates.
In Mali, the delegation stayed from December 1st to 3rd and had the opportunity to meet National Director from Directorate of Solar Energy, Director General of Dynamic Agro-Industries, Secretary General of Chamber of Commerce, Jt. Director General of Ministry of Energy. In the BSM, 20 business people from Mali companies had meetings with Indian counterparts.
Export potential was observed in respect of Diesel Engines, Generators, Agricultural equipments like Rice Hauler, Rice Polisher, Mini Flour Mill, Corn Mill etc., Water Pumps, Submersible Pumps, Construction Equipments.
Multi-Product Trade Delegation to US & Canada
The Council coordinated and organized the visit of a multi product trade delegation from India. As part of the delegation, 13 Indian companies visited US and Canada from 6th to 14th February, 2006, covering Houston, Atlanta, Chicago, Montreal and Toronto. More than 120 local companies registered for the meetings with Indian delegates in US and Canada and the delegation has been able to showcase India’s strengths in manufacturing and also re-establish our position as a recognized offshore source with assured quality. The India Engineering Center (IEC) in Chicago has been appreciated by all the business visitors in Chicago.
It is observed that Canada, has drawn significant attention of the delegation for import of engineering goods from India, particularly in the auto industry sector, and Toronto has qualified to be the automotive hub of Canada with several Tier One and Tier Two companies looking for outsourcing – for supplies to major American and Japanese automobile manufacturers viz. GM, Ford, Toyota, Mazda etc. Our exports to Canada is also expected to grow substantially, with such enthusiasm, from the present level of US$ 130 million.
USA has been our biggest trading partner over the past several years and export of engineering products have gradually increased. It is Council’s endeavour to touch US$ 2,500 million export of engineering goods in this fiscal.
It is also reported that a few members of the delegation have been able to book orders to the tune of US$ 125,000 for Scaffolding/Barrier Fencing and Fasteners. It is expected that regular orders for these products would be coming in. Drawings and specifications have been received for machined castings, forgings and turned components which may result in business worth over one million dollar within the next 12-18 months.
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B. DOMESTIC
Afro-India Reverse Buyer Seller Meet in India
Council organized Reverse Buyer Seller Meet (RBSM) in Chennai, Mumbai and New Delhi on 28th, 29th and 30th March, 2006 respectively under the Focus Africa programme of the Government of India. The main objective was to promote export of engineering and bilateral trade between India and these countries.
The Secretariat got in touch with Indian Missions in South Africa, Ghana, Tanzania, Nigeria, Ethiopia, Kenya, Zambia, Zimbabwe, Algeria, Sudan, Libya, Egypt, Djibouti, Uganda, Mozambique, Morocco, Congo and Mauritius through its Johannesburg office with regard to organizing AFRO- INDIA Reverse Buyer Seller Meet in India during 28th to 30th March, 2006 in Chennai, Mumbai and New Delhi respectively. The criteria for selection of overseas buyer for the RBSM is on the basis of recommendation from the High Commission of respective country and Chamber of Commerce.
30 Overseas buyers/companies and 120 Indian companies participated in the RBSM.
The inaugural function was held on Wednesday, the 28th March, 2006 at Hotel Taj Coromandal at Chennai. Shri P. Ilango, IAS, Joint Secretary, Small Industries Department, Government of Tamilnadu inaugurated the Reverse Buyer Seller Meet (RBSM) in Chennai. He gave a brief on the growth of small scale industries in India and also the capability of Indian engineering industry to manufacture high quality engineering goods. He also highlighted various benefits being extended by the Indian Governments both at the Center and in the State to encourage small scale industries to upgrade and modernize their units to manufacture products of international standards. He also informed the African delegates about the potential as well as attractive concessions available for the overseas investors to have joint venture in India. Shri B. Chandrasekharan, Regional Chairman, welcomed the Chief Guest, Sh. Ilango and delegates from both African and Indian side. He briefed the visiting delegates about the industrial development in India and encouraged them to take advantage of the technological expertise of Indian technocrats to meet their requirement. Shri R. Cowsik, General Manager, M/s. Ashok Leyland Ltd., Chennai, in his keynote address, touched upon various steps to be taken by the businessmen from both sides to be successful in their venture in doing business.
Representatives from 120 Indian companies had one-to-one business discussions with their counterparts from African countries. From Indian side companies like MMTC, Escorts, Clutch Auto Ltd., Harman Enterprises, Jhalani Impex Pvt. Ltd., Forgings & Chemical Industries, Rajnish International, Spark Engineers Pvt. Ltd. and Srinathji Ispat Ltd. attended the Meet.
Participating firms from Africa region have shown tremendous interest for the product sectors of Indian companies like Automobile components & parts, Pumps, Conveyor Belts, Castings, Stainless Steel Utensils, Generators, Agriculture Equipments, Bathroom Fittings, Aluminium Coils, Transmission Equipments.
Indo-Asean +2 Countries Reverse Buyer Seller Meet
Council organized Reverse Buyer Seller Meet (RBSM) in Mumbai and New Delhi on 29th and 30th March, 2006 respectively under the Focus ASEAN+2 programme of the Government of India. The main objective was to promote export of engineering and bilateral trade between India and these countries.
40 overseas buyers/companies and 66 Indian companies participated in the Reverse Buyer Seller Meet.
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Major sectors represented by ASEAN+2 countries participants included Diesel Engines, Pumps, Hand Tools, Builders Hardware, Industrial Fasteners, Agricultural Machinery and Equipment including Tractors, Construction Equipment, Stainless Steel Pipes and Tubes, Generators, Electrical Equipment, Automobile components including Suspension parts/Leaf Springs, Industrial and Household Sewing Machines, Tea Processing Machinery, Oil Field Equipment, Textile Machinery, Electric Home Appliances etc.
Representatives from 66 Indian companies had one-to-one business discussions with their counterparts from ASEAN+2 countries at Mumbai and New Delhi. From Indian side companies like Escorts, Clutch Auto Ltd., S.S. Foundry Chemicals Industries, Superseal Pvt. Ltd., Zenith Forgings Pvt. Ltd., Jamna Auto Industries, International Tractors Ltd., Jagan Tubes Ltd., Gold Seal Engineering Product, Simplex Engg. Company, Crossword Agro Industry, The Indian Smelting & Refinery Company Ltd., etc. attended the meeting.
The participating firms have shown interest for the product sectors of Indian companies like Construction Equipment, Automotive Parts and Components, Hand Tools, Machine Tools, Sewing Machines, Pipes and Tubes, Tea Processing Machinery, Home Appliances etc.
Information Booth at 19th Industrial India Trade Fair in Kolkata
Council set-up an information booth at the 19th Industrial India Trade Fair held in Kolkata from 21st Dec. ’2005 to 1st Jan. ’2006. The said fair was organized by the Bengal National Chamber of Commerce & Industry. The purpose of the participation is to create awareness among the industrial community in the Eastern Region of country and also to publicise about the Council’s services to the participants from the neighbouring countries. In the Information Booth, Council’s publications and statistical charts, literatures etc. were displayed. More than 500 business visitors including overseas buyers from neighbouring countries visited Council’s Information Booth during the exhibition. Also, Indian engineering companies that participated in the fair showed interest to enroll themselves with the Council as new member and to take part in various promotional activities organized by the Council including Hannover Fair in Germany.
Foreign Offices
Council continues to provide suitable assistance for promoting the export of Indian engineering products & services in the international market through its foreign offices functioning in four different regions across the globe. The regions covered by Council’s foreign offices are Chicago, United States, covering North, Central and Latin America, Duesseldorf, Germany promoting our activities in European Union and adjoining countries and Singapore looking after our activities in ASEAN countries, Far East as also Australia and New Zealand, Johannesburg, South Africa promoting our activities in African Countries. The foreign offices identified various market opportunities for Indian engineering exporters during the year. They developed close contacts with wholesalers/importers/distributors and original equipment manufacturers in the regions under their jurisdiction. During the course of interaction, details about these companies and their operations, technical specifications of their requirements and drawings wherever possible were collected and transmitted to Council’s Indian offices for circulating amongst member firms for direct response.
The foreign Offices regularly interacted with major Chambers of Commerce and Industry Associations, Government Departments and Indian Missions for their guidance and cooperation in the various activities of the offices. A large number of companies were also contacted for soliciting their support and participation in various promotional activities organized during the year and efforts were made in persuading local businessmen for visiting India to explore and source their requirements. They made presentation on Indian capabilities at various platforms 11 and generated trade enquiries by personal visits and telephonic conversions. The Offices maintained close liaison with multilateral/ bilateral financial institutions for collecting information on the projects supported by these agencies. They helped Indian exporters by giving business leads, locate suitable agents and representatives and identified and introduced new products. They also gave specific suggestions on technology upgradation and quality standards in the different sectors of engineering industry. Also, they assisted Indian Exporters to have Joint ventures with the foreign firms. Necessary guidance was given for participating in specialized product trade fairs, advertisements in trade magazines etc. Assistances were also rendered to engineering units for securing prevailing and emerging quality certification.
Opening of Council’s Foreign Office at Johannesburg, South Africa
Council’s foreign office at South Africa was once again opened in Johannesburg in order to cater prompt and better service to the exporters in the African Market. This office was opened on 25th October, 2005. His Excellency Mr. Satyabrata Pal, High Commissioner of India to South Africa was the Chief Guest. Mr. Williem Van der Spuy, Director, Department of Trade & Industry of South Africa was the Guest of Honour. Other dignitaries present on the occasion were Mr. Suresh K. Goel, Consul General of India in Johannesburg, Mr. R. L. Koli, Consul (Commercial & HOC) of India in Johannesburg, Mr. R. Maitra, Additional Executive Director & Secretary of the Council. Representatives from various chambers, industry associations and importer companies attended the function. The event was covered by TV and newspapers.
Council’s overseas offices, as per the decisions taken at the Panel meetings or at the request of individual member exporters, prepared and submitted market survey reports, flash report, notes etc for engineering products and on other export related subjects. Visits were also undertaken to adjoining territories scouting for business prospects. They studied the economic condition of the different countries, data on export and import, identified prospective export products, established contacts with importers and generated business opportunities. They compiled/updated lists of importers for a large number of engineering products, which were made available to member exporters.
1. Market Survey Reports
Council’s foreign offices prepared and submitted market survey reports/flash reports etc. for many engineering products during the year, which are summarized here under : Council’s Chicago Office prepared the following trade related Market Surveys, analyses and notes for the products as well as countries : Implementation of Wood Packaging Material Certification (ISPM-15) in USA Motor Vehicle Aftermarket Overview A note on the development in the local Tool & Die industry Emerging Auto Markets of LAC Council’s Duesseldrof Office prepared the following Market Surveys, analyses and notes for the products as well as countries : Brief note on India’s engineering exports to Germany Doing Business in Germany A Market Survey of the Automobile and its Parts Industry in Germany Trade Rules, Regulation and Standards in Germany A General Guide to Industrial Subcontracting in Europe Translation of the booklet “EEPC at Work” in German was undertaken by this office 12
Council’s Johannesburg Office prepared the following Market Surveys, analyses and notes for the products as well as countries : EEPC & Indian Engineering Exports (for South African audience) Presentation on Indian Engineering Exports (for Chambers and Govt. Departments in South Africa) Report on Import of Engineering Goods by South Africa Report on Electric Power Machinery Indian Diesel Engine Industry (for dissemination in Ghana, Togo, Senegal & Mali during the Delegation visit) Country Profile - Nigeria Country Profile - Namibia Council’s Singapore Office prepared the following Market Surveys, analysis and notes for the products in the identified countries : The Premier Biomedical Hub of Asia – Singapore Pharmaceutical Industry. Air-conditioning Market in Singapore. Die & Mould Industry in Singapore. Industrial Fasteners Market in South-east Asia Automobile Industry in China Electrical Industry in Malaysia Passenger Cars & Commercial Vehicles in Indonesia Automotive Industry in ASEAN/Singapore Electrical Power Transmission & Distribution in Vietnam 2. Product Catalogues Mailing Campaign
During the reporting year, Council’s foreign offices conducted various mailing campaign on the basis of the product catalogues received from the member exporters. They circulated number of notes and information letters on Indian capabilities in industrial and infrastructure projects, management and technical consultancy services and sub-contracting items to main contractors and prominent buyers. This campaign helped to mobilize participation of foreign buyers to our Information Booths set up at specialized trade fairs. These activities also helped in forging links between foreign buyers and Indian exporters. Some of the major mailing campaigns were done for IEC Chicago, Hannover Messe 2006, INDEE 2005, BSM in LAC & African countries etc.
3. Participation in Trade Fairs and Exhibitions in Neighbouring Areas/Countries.
Resident Directors in the Council’s foreign offices visited many trade fairs and seminars held in their areas to get in touch with the latest developments taking place in the international market including quality standards, met businessmen from various industrial sectors, distributed product catalogues and generated enquiries. They also visited the booths of Indian exhibitors and extended all possible assistance. Details of such visits undertaken during the period are briefed here below :
Council’s Chief Operating Officer in Chicago visited the following Trade Events :
Fab tech 2005 Show held in Chicago from November 13-16, 2005 AHR Expo Show held in Chicago from Jan 23-25, 2006.
13 Super cycle & Parts Expo held in Chicago from Feb 4-5 2006 International Housewares Show held in Chicago from Mar 12-14, 2006 National Manufacturing Show held in Chicago from Mar 21-23, 2006 Aquatech Show held in Chicago from Mar 28-31, 2006
Council’s Resident Director in Duesseldorf visited the following Exhibitions/Trade fairs :
Hannover Industrial Fair 2005 in Hannover Propak in Duesseldorf Midest Exhibition in Paris EMO Fair in Hannover Practical World 2006 at Cologne Equip Auto in Paris IAA exhibition in Frankfurt
Council’s Resident Director in Singapore visited the following Exhibitions/Trade fairs : Interphex Asia 2005 {Exhibition on Pharmaceutical Manufacturing, Processing & Technology} ITMA Asia 2005 {International Exhibition of Textile Machinery} CIA 2005 {Chemical, Instrumentation, Laboratory and Analytical Technology & Equipment} EABEX 2005 Malaysia {East Asia Business Exhibition} Wire & Tube Singapore 2005 Global Entrepolis Singapore Council’s Resident Director in Johannesburg visited the following Exhibitions/Trade Fairs : SAITEX, Johannesburg Made-in-India Show (organized by CII in Johannesburg). Catalogue Show in Durban (Organized by NSIC, South Africa)
India Engineering Center (IEC), Mount Prospect, Illinois, USA
During the year under review, under the MAI Scheme of Ministry of Commerce, Government of India, Council opened its first display cum distribution center in USA named India Engineering Center (IEC) in order to provide better service to the member exporters to explore the USA, Canada and Latin American Markets. The display center was jointly inaugurated on 27th September by Mr Kamal Nath, Hon’ble Minister for Commerce and Industry, India, the Mayor of Mount Prospect, Ms. Irvana K Wilks and Mr. Rakesh Shah, Chairman, EEPC. Mr. Arun Kumar, Consul General of India in Chicago and Mr. S. Raghunathan, Chief Secretary, Delhi were also present on this occasion. The Center has received very positive reception from the local business community as well as the visitors from India. This will surely go a long way in boosting engineering exports to USA.
The opening of this Center is a part of Council’s endeavour to promote Indian goods further and provide US importers an opportunity to have a first hand experience of the Indian engineering products. This Center will also help Indian exporters to reach the potential Latin American markets.
14 Though US is the major destination for Indian engineering products, the potential of the US market is not fully tapped yet.
United States has been India’s largest trading partner with nearly 15.5% engineering goods from India reaching the US shores. In the financial year 2004-05, India exported engineering goods worth US$ 2260.78 million to US which is 70.63% higher compared to US$ 1324.9 million engineering exports registered in 2003-04.
IEC showcases high quality Indian manufactured engineering products of Iron & Steel that are either Fabricated, Cast or Forged and fully machined to high tolerances.
47 companies from the following product sectors have showcased their products :
Agricultural Machinery & Implements Auto Components Forgings Castings Builders Hardware Metal Fencing Products & Fabrication Electrical Products Fasteners Hand Tools & Cutting Tools Machine Tools & Accessories Mining & Drilling S S Utensils & Kitchenware Pumps & Compressors Industrial Machinery & Material Handling
Some of the activities organized by the centre after commencing its operation are as follows :
Buyer Seller Meet for Houseware Show 2006
With the view to increase awareness about the participants of Housewares displayed in IEC; Council’s Chicago office organized BSM for the benefit of visitors of Houseware Show 2006 at Chicago on 12th and 13th March, 2006. This meet offered an opportunity to the US and other international buyers to learn more about the companies, who have displayed their products in IEC Chicago. More than 100 companies registered for the event and collected information about Housewares companies exhibiting in IEC.
WQA Aquatech USA 2006
Council’s Chicago Office coordinated the participation of IEC participant in WQA Aquatech USA 2006 from March 29-31, 2006. This North American "Water Opportunity Show" is a revolutionary new trade event aimed at water industry groups including process water, drinking water, ultra pure, and water for household, commercial and industrial uses. This International Exhibition and Conference on Water Technology was held at the Donald E. Stephens Convention Center, Chicago. WQA Aquatech USA 2006 provided a one-stop event that connects technologies, know-how, education, networking, and business opportunities to multiple water Indus-tries. This event brought together a diverse group of water-related industries under one roof.
The visitors of the said event were mainly qualified buyers and sellers from all segments of water technology such as RO, membranes, media, and everything in between. Overall 290 companies displayed their capabilities. The show logged 4825 visitors. During the Show total 43 enquiries were generated, estimated at US$ 200,000. Educational events surrounding the show allowed
15 attendees to get up-to-date on the latest news and advancements in the Water industry. Council’s Information Booth was able to register 50 enquiries during the three day show. It was a very productive and Council was able to inform many local companies about our services in respect to trade between India and USA.
Visits of Overseas Businessmen
Sl. Details of the Overseas Businessmen No. 1. Mrs. & Mr. Ramiro Villeda, Phd. CPIM, President Veloleda Consulting Group, Inc World Class Value Chain Management Suite 14F, Yan-Dang Plaza 107 Yan-Dang Roa Shanghai 200020, P R China Tel.: +86(0)21 63725393/63840513 Mobile : 1(915) 9206150 Fax : 86(0)21 6327617 E-mail: [email protected]/rvilledaconsulting.com Website : www.villedaconsulting.com
The above businessman visited Chennai on 25th April, 2005 for exploring the possibilities of trade, conditions, business prospects for importers in Mexico, etc. They also intend to enhance India’s trade opportunities with Latin America and planned to bring a 40-Member business and trade delegation from Mexico to India in November 2005. The businessman also, visited Bangalore, accordingly, Bangalore office organized visits of Mr. Ramiro Villeda to the following companies : a. Bhavani Industries, Bangalore b. Stovekraft P Ltd., Bangalore c. Karnataka Water Pumps Ltd., Bangalore 2. Visit of Danish Delegation
15–Member Danish Business Delegation headed by Mr Ole Storm Jeppesen, Director, Association of Metal Working Enterprises (Engineering Industries), Denmark visited Chennai on 28th and 29th November 2005 to source out their requirements in the areas of subcontracting of various engineering items. On 28th November 2005, the Members of the Danish Delegation visited Council’s Sub- Regional Office, Banaglore and had briefing session with the EEPC officials EEPC Film on “Indian Engineering Industry” was screened for the benefit of the delegates. The delegates were impressed on the industrial progress of India and indicated their areas of interest. 29/11/2005, at the request of the Trade Commission of Denmark, Bangalore and the Regional Office organized one-to- one meeting of the concerned members of the Council with the Danish Delegates at Hotel Park Sheraton, Chennai. The Regional Office also organized factory visit of one of the delegates interested in Gears, to M/s Perfect Gears, Chennai, the gear manufacturer and exporter, on 29/11/2005.
16 3. Mr. Richard Koh Manager – Markets Development (South Asia) Singapore Business Federation 10 Hoe Chiang Road, #22-01 Keppel Towers Singapore 089315 Tel.: (65) 6827 6828 & Fax : (65) 6827 6807 DID : (65) 6827 6897 Mobile : (65) 9459 4498 E-mail : [email protected] Website : www.sbf.org.sg
Mr. Peter Lim, Senior Manager (Markets Development) and Mr Richard Koh, Manager (Market Development), Singapore Business Federation, Singapore visited Bangalore on 1st August 2005, to explore investment opportunities and identify business partners for the members of the Federation. Members of Council, based on the item of interest expressed by the visitors, were invited to an Interactive Meeting organized in the Conference Room of the Council’s Bangalore office on 01/08/2005. The Regional Director made presentation on the Role of EEPC in promotion of export of engineering goods from India. The Officials of Singapore Business Federation informed the members that they are contempla- ting to sign an MOU with EEPC to enhance the trade between India and Singapore.
On the advice of our Singapore office 7-Member Business Delegation, led by Mr. Richard Koh visited Bangalore on 24th and 25th November, 2005 organized by the Regional Office, Chennai to source suitable business partners in the areas of CNC precision engineering, plastic moulding machinery, automotive precision, aerospace, etc. On 24th November 2005, the Regional Office made necessary arrangements for the visit of the delegates to the factories of HMT Machine Tools Ltd, M/s CIM Tools Pvt Ltd, M/s. Kar Mobiles Ltd. On 25th November 2005, the Regional Office organized collective meeting of the concerned members of the Council with the Delegates in the Conference Room of EEPC, Bangalore. Mr Richard Koh and Mr Daniel Chong, Managers, Singapore Business Federation (SBF) briefed the participants the role played by SBF in promoting investment opportunities in ASEAN countries and requested the Indian businessmen to take advantage of SBF’s presence in Singapore.
They also visited Council’s Mumbai office and Kolkata Office on 21st November, 2005 and 30th November’2005 respectively. 4. Mr. Ken Chew Senior Officer – International Operations (India) Economic Development Board 250 North Bridge Road #28-00 Raffles City Tower Singapore 179101 Tel.: 65 6832 6832 DID : 65 6832 6053 Fax : 65 6832 6561 E-mail : [email protected]
17 Mr. Ken Chew, Senior Officer, Economic Development Board, Ministry of Trade & Industry visited SRO, Bangalore. As suggested by the Resident Director, EEPC, Singapore, one-to-one meetings were arranged with selected member firms in Bangalore. It is understood that the objective of the meeting was to promote trade between India and Singapore in the light of recently signed CECA between the Govt. of India & Govt. of Singapore. The discussions of Mr. Ken Chew with our members were mainly on Procurement, Technology Transfer and Joint Ventures. The following member firms interacted with the visiting dignitary :
a. HMT (International) Ltd., Bangalore b. Makino India Pvt Ltd., Bangalore c. Reva Electric Car Co. Pvt Ltd., Bangalore (Maini Group) d. Integrated Electric Co. Pvt Ltd., Bangalore e. Kirloskar Electric Co. Ltd., Bangalore
5. Visit of US Delegation
The Regional Office, Chennai in conjunction with Surat Special Economic Zone, organized one-to-one discussion of concerned member-firms with the 6-Member US Delegation in the premises of EEPC which visited Chennai on 2nd March 2006 to source out their requirements in the areas of die castings, plastic injection moulding machines, cast iron, raw castings and machining job work, metal stampings, etc. Shri R K Mutha, Dy Regional Chairman, of the Council Southern Region was present and welcomed the delegates and the member-firms. Shri Mutha apprised the delegates of the technological advancements and the phenomenal growth in exports achieved by the engineering industry in the last few years.
6. Mr. Victor Martin and Mr. Julien, the representatives of a French based firm - Decathlon/Promiles visited EEPC, SRO, Bangalore to help them locate suppliers of castings in Bangalore. A meeting was held in the office of EEPC, SRO, Bangalore on 30.08.2005 from 2pm to 4pm. Representatives of the following member firms from Bangalore attended the meeting & participated in the discussions.
a. GCI Exports b. Bangalore Metallurgicals Pvt Ltd. c. Dolphin Diecast Pvt Ltd. d. Rajalakshmi Stampings e. Dimo Castings f. Deccan Die Castings g. Zir Cast Ltd. h. Galvano Castings Pvt Ltd. i. General Foundries Pvt Ltd.
7. Mr. Fernando Dominenz, Managing Director of M/s Norpa, a company manufacturing sheet metal products based in Spain, visited SRO, Bangalore on 24th October, 2005 to interact with Sheet metal products manufacturers for the pur-pose of outsourcing some items from the member firms. There was a good interactive meeting with the following member firms.
a. Associated Commercial Enterprises, Bangalore b. MM Industrial Controls Pvt. Ltd. Dharwad c. K Fabs PVt Ltd., Bangalore d. Disha Precisions Pvt., Ltd Bangalore e. Megha Punch forms pvt Ltd., Bangalore f. Plaso Links, Bangalore
18 8. On 27th April 2005 FICCI organized a meeting in honour of H.E. Mark R. Warner, Governor of Virginia, USA and accompanying business delegation at Hilton Tower, Mumbai. Mr. Arya, Assistant Director, EEPC-WR briefed Governor’s Secretariat about EEPC & its activities and handed over Product Catalogue of Castings & Forging, Auto-Components, Stainless Steel and copies of EEPC at work.
9. Visit of Overseas Buyer for Hand Tools Procurement
A two-member team from Grainger Inc., USA visited India during the month of January, 2006 for the procurement of Hand Tools, Machine Tools and Abrasives. Regional Office, New Delhi office arranged individual meetings on 30th January, 2006 and factory visits on 31st January, 2006 with visiting delegates. The purpose of their visit was to find suitable vendors/manufacturers/exporters of hand tools. Indian exporters were informed about the interest and schedule of foreign buyer well in advance. All arrangement for meetings, stay and factory visits were made by the office. 20 Indian Exporters came to meet the visitors and the meeting was a success as far as the short-listing of Indian vendors is concerned.
10. Visit of Overseas Buyer for Commercial Kitchen
Mr. Jay Parikh, President, Compliance Solutions International Inc., USA, visited India for the procurement of Commercial Kitchen Ventilation & Food Service Equipment industries. This office arranged individual meetings at Committee Room of EEPC, Ro, New Delhi (11th March, 2006) and factory visits with visiting delegates. Indian exporters were informed about the interest and schedule of foreign buyer well in advance. All arrangement for meetings, stay and factory visits were made by the office.
11. Visit of Delegation EXTREMADURA (Metal – Mechanic Cluster Association)
On 29th March, 2006 a delegation from EXTREMADURA (Metal – Mechanic Cluster Association), Spain co-ordinated by Ms. Olga Salazar, Extremadura Trade Represen- tative in U. K. visited Council’s Regional Office, Mumbai. One of the delegates, Mr. Luis Felipe De La Morena Valenzuela, Ingeniero Industrial Director General of IMEDEXSA, Industrias Mecanicas De Exteremadura, SA (CACERAS) had evinced interest in sourcing Transmission Line Towers and Angles. Accordingly a meeting was arranged for them with the concerned manufacturers in our Conference Room on 30/3/06. The same also visited Council’s Territorial Office and necessary arrangements were made the concerned desk officer.
12. Mr.Hussain Ibrahim, Director, Red Sea Corpn., Al-Damgha Street, - Hodidaha, P.O. Box-3295, Yeman. Tel: 245256 Fax: 234860 Email: [email protected], [email protected], [email protected]
Mr. Hussain Ibrahim Visited Council’s Territorial Division on 31.5.2005 requiring contact addresses of manufacturers of machinery for steel pipes and tubes (rolling mills). List of selected member companies dealing in the rolling mills was provided to him. A copy of Council’s member CD Directory was given to him as complimentary.
19 13. Mr. Mohan Ratwatte, Mr. S.T. Cooke, Director, Sales Admn. Manager, Plenty Foods (Pvt. ) Ltd., Plenty Foods Marketing (Pvt.) Ltd., No. 137 B, Rajagiriya Road, 22 A, Polhengoda Road, Rajagiriya, Sri Lanka. Colombo 05, Sri Lanka. Tel: 4412881/2/3 Tel: 94-11-2512523(Mobile:0777-781084) Fax: 2863949 Fax: 94-11-2512643 Email: [email protected] Email: [email protected]
Mr. Mohan Ratwatte visited Council’s Territorial Office on 19.12.2005. They were interested to have the contact addresses of Food Processing Machinery manufacturers in India, especially corn flakes manufacturing machinery. List of selected member companies located in and around Delhi was given to them. 14. On 7th April, 2005 Mr. Istavan Danyi, Managing Director of M/s. Mediker KFT, Hungary (Fax : 36-63/482-299, E-mail : [email protected], [email protected]) visited Council’s Regional Office, Mumbai who was interested in marketing and servicing of various types of pumps manufactured in India. Mr. P. Arya, Asstt. Director, EEPC, Mumbai briefed him on the Indian Pump Industry and shared with him details of exporting members dealing in various types of Pumps.
15. On 19th April, 2005, Ms. Reeti Nair, President of M/s. Aligna Inc. 389 Central Avenue, Highland Park, Illinois 60035, USA (E-mail : [email protected]) visited Council’s Regional Office, Mumbai who was interested in procuring from India beer despensor made of stainless steel castings. Necessary arrangements were made to put them in touch with the concerned manufacturers.
16. On 4/5/2005, Mr. Abou Niane of M/s. KBSB Trading , 6, Rue Joris Dakar, Senegal, West Africa (Tel & Fax : +221 8226215) visited Council’s Regional Office, Mumbai, who was interested in procuring machinery for plastic and steel. Details of the concerned manufacturers were provided to the above buyer.
17. Mr. R. K. Moona, President Director of M/s. PT Trident Utama Mulia, Jakarta visited Council’s Regional Office, Mumbai on 27/9/2005. He was interested in import of aluminium & stainless steel utensils. Necessary arrangements were made for his meeting with concerned manufacturers in Mumbai on 29/09/2005.
18. Mr. Brig Klyce, Barbara Wade, Administrator, M/s. Acorn International, 3685 South Galloway Dr. Memphis Tennessee, USA 3811-6835 (Phone : 901-458-0123, Fax :901-458-0127, E-mail : [email protected], Website : www.accordinternational.com) visited Council’s Regional Office, Mumbai on 18/8/20005, who was interested in importing Chain Link Fencing & accessories, Construction Fasteners, Concrete accessories etc. from India. Necessary assistance and guidance were given to him for getting in touch with the concerned manufacturers.
Quality Management System of the Council – ISO 9001:2000
The Council is the first EPC to establish a Quality Management System (QMS), compliant to the requirements of ISO 9001, in all its offices in India for benchmarking its services to the members. The QMS was later upgraded to include the design & development of Trade Fairs organised by the Council.
Benchmarking the service deliverables, Service Level Agreements (SLA) and the time norms of various services rendered to the members are the priorities of the Council today. Performances 20 against the benchmark norms and the internal SLA’s are regularly measured and reviewed by the Council’s Top Management, periodically.
The laid down processes are being audited at periodic intervals by a group of Auditors and the findings are placed for review & corrective/preventive actions to remove the shortcomings & non conformances.
Council endeavoures to take its services to a new height on the mainframe of the ISO 9001:2000 system standards for greater satisfaction of the members
Inauguration of New Premises of Council’s Regional Office, Chennai
In the reporting year, Council has purchased a new premise for its Chennai Office operations and the inauguration of the same was held on 16th September’2005. Shri Rakesh Shah, Chairman, Shri B Chandrasekharan, Regional Chairman, Southern Region, Shri R. K. Mutha and Shri Subhash Chandra Goel, Dy Regional Chairmen, Southern Region, Shri T. C. Thiagarajan, member of the Working Committee, EEPC, Shri C S Shukla, Executive Director of the Council, Officers Staff of EEPC, RO, Chennai, Sub Regional Office, Bangalore and Hyderabad were present.
Opening of Sub-Regional Office at Hyderabad
In the year under review, to expand the services rendered by the Council to the Engineering Sector in the Andhra Pradesh State, Council has opened its new Sub-Regional Office in Hyderabad. The inauguration of the office was held on 27th April, 2005 in Hyderabad. Shri Mahesh Desai, Vice Chairman, Shri B Chandrasekharan, Regional Chairman, Shri P Ramesh Kumar, Chairman, Functional Committee for Andhra Pradesh, Shri C S Shukla, Executive Director, EEPC and leading members in Andhra Pradesh were present in the new Sub Regional Office.
The inaugural meeting was held at Hotel Viceroy on Wednesday, the 27th April, 2005. Shri K Rosaiah, Hon’ble Minister for Finance, Planning & Legislative Affairs, Government of Andhra Pradesh inaugurated the function by lighting the lamp along with Shri Mahesh Desai, Vice Chairman, Shri B Chandrasekharan, Regional Chairman, Shri P Ramesh Kumar,Chairman, Functional Committee for Andhra Pradesh and Shri C S Shukla, Executive Director, EEPC.
Seminars/Conferences/Meetings
Export Awareness Programme & Other Seminars
Eastern Region
Meeting on Anti Dumping/WTO
The Regional Office in association with FICCI, organized a Seminar on Anti Dumping/CVD/Safeguard matters in Hotel Oberoi Grand on 8th April, 2005. The speakers enlightened the participants in detail the AD and CVD provisions pursued in India and the importing countries and how it has been eroding the competitive edge of Indian exporters
Ammendment of 80 HHC
The Regional Office organized a meeting with Fox & Mandal on 27th January, 2006 regarding Amendment of Section 80 HHC by Taxation Laws (Amendment) Act 2005 imposition of
21 Penalty/Recovery of Taxes in regard to profits on sale of DEPB Credits. Leading exporters affected by the above joined the meeting.
Seminar on Free Trade Agreement (FTA)
Council’s Regional Office in association with FICCI, CAPEXIL, Shellac EPC, etc. organized a Seminar on Free Trade Agreement (FTA) on 13th May, 2005, aimed at tangible growth of export of Indian merchandise to the Latin American countries. The seminar was held in the Hotel Oberoi Grand, Kolkata. The participants were thoroughly explained about the government support in the form of MDA and MAI for a meaningful penetration into the Latin American countries by the entrepreneurs.
Brand Promotion
The Regional Office organized a meeting of the newly constituted Brand Promotion Sub- Committee from the Sanitary Castings Panel, aimed at promoting uniform quality of Castings exported to USA, on 16th May, 2005.
Seminar on Wood Packaging “ISPM – 15”
The Regional Office organized a seminar on “ISPM – 15 Certification on Wood Packaging” on export of engineering goods to USA on 19th July, 2005 at the Council’s Committee Room with leading exporters from the Eastern Region to USA.
Meeting on SION/DEPB
An emergent meeting was called by the members of the CI Castings Manufacturers on SION/DEPB rates announced by the Ministry of Commerce, Government of India. This meeting was held on 5th August, 2005 in the Council’s Committee Room. Various points were discussed on the SION/DEPB issues by the members.
Seminar on ECGC’s Policy
The Regional Office organized a meeting alongwith ECGC, Kolkata Chapter on 9th August, 2005 at Hotel Golden Park, Kolkata. Officials from ECGC made presentation on various schemes and assistance provided by them towards exports to the members present.
New Members Meeting
The Regional Office organized a meeting to the firms newly enrolled as members of the Council on 28th September, 2005. In the meeting the role of the Council and various assistance provided by the Council to its members in their day-to-day export efforts were explained.
Seminar on “Opportunities of the Foundry Industry in Eastern India”
Council’s Regional Office, Kolkata jointly with Institute of Indian Foundrymen (IIF), Eastern Chapter, organized a Seminar on “Opportunities of the Foundry Industry in Eastern India” on 9th November, 2005 in Rotary Sadan, Kolkata which was addressed by Shri Rakesh Shah, Chairman, EEPC, Shri R.P.Sehgal, Regional Chairman, EEPC (ER) and Shri Rana Roy, Director Policy.
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Live Viewing of the Budget ’2006
Regional Office, Kolkata arranged a Live Viewing of the Union Budget on February 28, 2006 in the Council’s Committee Room. The Budget Presentation was attended by Shri.Rakesh Shah, Chairman, Shri.P.K.Shah, Former Chairman, Shri N.K.Poddar, Shri Amitav Kothari and other Tax Experts. After the end of live viewing of the budget, a press conference took place.
Interaction on Union Budget 2006
Regional Office, Kolkata organized an interactive meeting on 3rd March, 2006 in the Council’s Committee Room. Presentation on Direct and Indirect Taxes were made by Mr Salil Gupta, Director, BSR & Co. and Dr Waman parkhi , Sr. Manager, BSR & Co.
Alternate Sea Route to Bangladesh
Regional Office, Kolkata organized a seminar on Alternate Sea Route to Bangladesh in association with M/s Seaways Shipping Limited. A Presentation was made by Seaways Shipping Limited on export of engineering goods to Bangladesh by sea route on 3rd March, 2006. Shri Utpal Sinha, Traffic Manager, KoPT also spoke at the occasion.
Northern Region
Export Awareness Seminar in Lucknow
The Regional Office, New Delhi in close coordination with Indian Industry Association jointly organized a seminar in Lucknow in Hotel Clark Avadh on 17th November, 2005. Shri P. K. Dash, Jt. Secretary, Ministry of Commerce, Department of Industry was the Chief Guest at the seminar. Mr. Dash appreciated the role of Council in promoting export of engineering goods and services from India. He requested the members to use Council’s platform to launch themselves in International Trading. Mr. Prabhat Kumar, Joint Export Commissioner of UP was also present and he explained various export promotion policies of UP Government. A Senior Executive of Bureau of Indian Standards explained how exporters can reduce cost by resorting to International Standards of production and marketing.
Mr. Rohit Pandya, Regional Manager of ECGC explained as to how exporters can take benefit of various ECGC policies to cover themselves from the risk of buyer’s non-payment and political risks.
Council’s Regional Director made a presentation in which the participants were informed about the role of the Council in promoting export of engineering goods, various promotional activities being undertaken by the Council and the export benefits extended by the Government to help manufacturers/exporters to be competitive in the international markets, etc. The programme was attended by around 50 exporters from the State of Uttar Pradesh.
Sensitization Programme in New Delhi
Ministry of Commerce & Industries, Department of Commerce has reviewed the foreign trade data captured from the shipping bills furnished by Indian companies to the Customs and Excise. It is found that revelations were not up to the mark in terms of ITC HS Classification. Errors have been reported in case of quantities where the units are mentioned wrongly. Shri K. T. Chacko, IAS, DGFT also expressed his concern over the issue.
23 Council’s Regional Office, New Delhi organised a SENSITIZATION PROGRAMME jointly with DGCI&S in which Director General, DGCI&S was present for acquainting Indian companies about the anomalies in mentioning ITC HS code and quantity in the Shipping Bills and to resolve the doubts pertaining to product and category. Shri S. K. Das, Director General, DGCI&S, made a power point presentation on the nature of anomalies observed by the Government Departments including DGCI&S and DGFT. An open house question answer session was organized. Mr. Das and Mr. Rajat Srivastava, Regional Director, answered the doubts of the exporting community.
In the reporting year, Council’s Sub- Regional Office, Jalandhar organized various meetings. The details of the same are as follows :
1. Seminar was organized in Hotel President on 21st April, 2005 on Use of Internet in Exports as a joint organizer with National Small Industries Corporation, Ludhiana and INTEL. More than 75 members of the Council participated in the seminar and benefited from the information.
2. Seminar on Export Management was organized with Jalandhar Chamber of Industry in Hotel President on 11.9.05. The Sub-Regional office in-charge detailed about the role of the Council in export sector and various export incentives provided by the Government. The other speakers were Shri R. C. Chopra, Director, SISI, Ludhiana, Shri. Bharat Bhushan, Dy. Director, SISI. About 45 participants attended the seminar.
3. Seminar on Pollution Control in Punjab was organized in the Council’s office premises on 12.9.05. Shri Tripat Rajinder Singh Bajwa, MLA, Chairman of pollution control Board was invited as Chief Guest. Shri Sharad Aggarwal, Council members and industry representatives from industrial area attended the seminar.
4. Seminar on VAT was organised in the Council’s Office premises on 10.1.2006, Chaired by Shri Sharad Aggarwal, Convener Hand Tools Panel. The Asst. Commissioner Sales Tax and Excise answered the questions raised by the exporters to put VAT refund on fast track. 32 members of Council participated in the said seminar.
5. Seminar on Credit rating for Small Industries was organized in collaboration with National Small Industries Corporation, Ludhiana on 17/1/2006 in the Council’s office premises. 33 members of the Council participated in the seminar to get acquainted with facilities available to SSI in credit rating of the units. Shri Rajiv Kapoor, Branch Manager, NSIC, Ludhiana detailed about the activities of NSIC and the Council’s official detailed about Council’s activities.
6. Seminar on “NAMA” was organized by this office on 21st March, 2006 at Hotel President, Jalandhar, in collaboration with UNCTAD.135 participants were present on the seminar. The seminar was chaired by Shri S. C. Ralhan, Regional Chairman, Northern Region. Mrs. Rashmi Banga, Chief Economist of UNCTAD and Shri Neeraj Varshney, OSD, of the Council made presentations and a healthy discussion took place.
Southern Region
Membership Drive Export Awareness Meeting at Chennai
Council’s Regional Office, Chennai organized Membership Drive Export Awareness meeting twice in the year under review on 11th June, 2005 and 29th July, 2005 at Chennai. In both the meetings nearly 40 firms from Small Scale sector participated. The Regional Director explained in detail about the various facilities which are extended by the Government for promoting exports and also preparation of export documents, sourcing of enquiries, Marketing Development Assistance Scheme, etc.
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Export Awareness Programme at Hyderabad
Council’s Sub-Regional Office, Hyderabad, organized Export Awareness Programmes on 23rd September, 2005 at Sanatnagar Industrial Estate and Jeedimetla Industrial Estate for the benefit of the small scale units in both the Industrial Estates. Regional Director made a presentation on Role of the Engineering Export Promotion Council and various benefits available for exports as well as the Council’s Promotional activities for the benefit of the participants. Shri P. Ramesh Kumar, Chairman, Functional Committee for Andhra Pradesh was also present at the meeting and solicited the active participation of the industry in the national endeavour of taking export of engineering goods to newer heights. 35 members participated in Sanatnagar Industrial Estate and 45 members attended in Jeedimetla Industrial Estate programmes.
Export Awareness Programme at Chennai
Council’s Regional Office, Chennai in association with the Ambattur Industrial Estate Manufacturers Association organized an Export Awareness Programme on 19th November 2005 in the Conference Hall of AIEMA Technology Centre, Chennai. Shri M Elumalai, Vice Chairman, AIEMA Technology Centre, welcomed the participants and the Speakers. Shri S Ramachander, Convener, AIEMA Technology Centre was also present. Shri Lakshmi Narayan Sahu, Executive Officer, ECGC of India Ltd, Chennai, Shri N B Narjari, Dy. General Manager, SIDBI, Chennai were present and enlightened the participants about their role in promotion of exports. The Field Officer explained, in detail, the role of Council in promoting export of engineering goods, various promotional activities being undertaken by the Council and the export benefits extended by the Government to help manufacturers / exporters to be competitive in the international markets, etc. Representatives from 25 firms attended the program. Useful interaction took place and required clarifications were provided. Participants were urged to take on exports, which offers excellent potential in overseas markets and assured all help and guidance to enter the export arena.
Export Awareness Programme at Madurai
The Regional Office in association with Madurai District Tiny & Small Scale Industries Association and District Industries Centre, Madurai organized an Export Awareness Programme on 26.11.2005 at Madurai. Mrs. Sasi Balasubramanian, Joint Director General of Foreign Trade, Madurai was the Chief Guest and inaugurated the Programme. Shri S. Aravind, President of MADITSSIA welcomed the members present and Shri P.T. Krishnamoorthy, Vice President spoke about the objective of the programme. Shri P.S. Murali, Branch Manager, ECGC made a presentation about ECGC’s role in the export sector.
Export Awareness Programme at Vijayawada
Council’s Sub-Regional office, Hyderabad organized an Export Awareness Programme at Vijayawada on 24th November 2005. The meeting took place in the Chukkapalli Kusalava Conference Hall located at the Vijayawada Industrial Estate Manufacturers Association Building. The objective of this meeting is to create awareness and educate the Engineering Entrepreneurs on the importance of exports and the role of the Council assisting them to expand their business globally.
Shri Haji Lal Ahmed, President, Vijayawada Industrial Estate Manufacturers Association, Vijayawada welcomed the meeting, addressed the participants about the role of the Council in the exports. Shri D Rama Krishna, President, Andhra Pradesh Small Industries highlighted the advantages of globalization and mentioned the participants about the need to go for exports not only focusing the domestic market but also the international market. Council’s
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Officer, briefed about Council’s various schemes and promotional activities to the participants. About 30 participants attended the awareness programme.
Export Awareness Programme at Vishakapatnam
Council’s Sub-Regional office, Hyderabad organized Awareness Session on “Exports & Role of Council” on 25th November, 2005 at Autonagar, Vishakapatnam. The meeting took place in the Visakha Autonagar Small Industrialists Welfare Association Hall. The objective of this meeting is to create awareness and educate the Engineering Entrepreneurs on the importance of exports and the role of the Council assisting them to expand their business globally. The Session was basically targeted at the prospective members from Visakhapatnam.
Shri S Ramanujam, President, Visakha Autonagar Small Industrialists Welfare Association (VASSIWA) welcomed the members present. Shri Ramanujam briefed the members about Council and stressed that Exports act as key ingredient for the growth of a firm and also the overall development of the economy. He felt that the industry needs to think ahead of it’s time and try the opportunities being provided due to the effect of globalization.
Councils Officer briefed about the services offered by the Council to the exporters and various assistance provided to the engineering industry. He also mentioned in brief about the export benefits offered by Govt. of India to the exporters, the Marketing Developing Assistance Scheme (MDA) and the Council’s Indian Engineering Centre at Chicago and urged the participants to utilize these benefits by getting into the membership fold of the Council. About 38 participants attended the Awareness Session.
Export Awareness Programme at Chennai
The Regional Office organized an Export Awareness Programme in Chennai on 4th February, 2006 for the benefit of engineering entrepreneurs who are not members of the Council situated in Kancheepuram District and Ambattur Industrial Estate. Power Point Presentation was made by the Export Promotion Officer on the role of Council in export promotion and the procedures and formalities for export of engineering goods. The Regional Director briefed the participants about the various promotional activities of the Council with special emphasis on the forthcoming Hannover Fair to be held from 24th to 28th April 2006. Shri R Punniakodi, Asst. General Manager, ECGC and Shri A Kamalakannan, Sr. Branch Manager, National Small Industries Corporation also made presentation on the role of their organizations in promoting exports. 45 executives representing 32 companies participated in the programme.
Export Awareness Programme at Bangalore
Council’s Sub-Regional Office, Bangalore organized an Export Awareness Programme at Peenya Industries Association, Bangalore for the industries situated in Peenya Industrial Area on 27/02/2006. Shri A. Padmanabh, President, Peenya Industries Association, Bangalore inaugurated the programme. Council’s officials and ECGC official addressed the participants.
Export Awareness Programme at Vellore
Council’s Regional Office, Chennai in association with the National Small Industries Corporation Ltd., Chennai organized an Export Awareness Programme on 10th March, 2006 at Vellore for the benefit of new entrepreneurs situated in and around Vellore District. The District Industries Centre, Vellore, provided the list of small scale manufacturers in and around Vellore District who were invited to attend the Programme. A power point presentation was made by the Council’s Export Promotion Officer on the role of Council and the various benefits and facilities offered by
26 the Government in promoting exports. The participants were also briefed about the various promotional events organized by the Council. In the programme, ECGC Official also made a presentation about their assistance provided by them towards exports. Mrs. Vijalakshmi, Officer of NSIC briefed the participants about the various services rendered by NSIC to the small scale units. Representative from Dun & Bradstreet, a credit rating agency explained the need for acquiring credit rating especially when the unit is venturing for exports. There were around 42 participants representing 35 small scale units participated.
Seminar on European Certification
Council’s Regional Office, Chennai organized a Seminar on European Marking, Testing, Certification, etc. in collaboration with one of the leading international company INTERTEK ETL SEMKO at Chennai on 27th May, 2005, for the benefit of the members and in particular to the firms who are exporting to European countries.
Shri R K Mutha, Deputy Regional Chairman, EEPC, Southern Region, welcomed the gathering. Shri Venkatesh and Shri Saccendra, Executives of INTERTEK ETL SEMKO made a power point presentation for the benefit of the members and covered the following subjects:
- Benefits of Certification - CE Marking - Production of conformity and directives - Notified Body - Standards to be adopted for different countries in the world and various certificates/markings required by the countries - Recognized Bodies – Institutions - Core sectors where safety requirements are needed - Getting ISO 9001 Certificate - Providing consultancy and designing services - Different types of segments and requirement of certification - Testing laboratories and procedures - Regulations
In the said seminar, Regional Director, elaborated to the participants about INDIA ENGINEERING CENTRE, Chicago and forthcoming promotional events including INDEE at Mexico and China and requested the members to take part in these events. Members were also further explained in detail about liberalized Marketing Development Assistance Scheme announced by the Government from 1st April, 2005. 30 Member-firms participated in this seminar and most of the members were of the view that this was one of the very useful seminars to update various details in the area of marking, testing, certification, etc.
Seminar on Export Financing
A seminar on ‘Export Finance’ was organised on 30th July, 2005 at JSK Conference Hall, FAPCCI. The seminar was organised with the sponsorship of Andhra Bank.
The main objective of the Seminar is to highlight the importance of adequate, timely and reasonable rate of financing of Exports to compete in the current Globally competitive scenario.
Mr. P Ramesh Kumar, Chairman - Functional Committee, EEPC Andhra Pradesh welcomed the Speakers and members attending the Seminar.
Mr. Mahesh K Desai, All India Vice Chairman, EEPC giving a Special Address raised the issues of timely and reasonable rate of Financing by the Financial Institutions to the Exporting
27 community and stressed on its importance. He also felt that the Exporters and Financial Institution should look beyond Pre Shipment and Post Shipment finance to sustain and compete in this immensely competitive global market by looking at areas like development of infrastructure facilities within the organization to meet up the increase in demand from the importers etc. He also highlighted the fact that 12% of the net Bank credit of the Commercial Banks need to be allocated exclusively for Export Credit and much of this is underutilized.
Ms. Deepali Pant Joshi, Chief General Manager, RBI gave her Reflections on “Overcoming Challenges in Globalised Trade & Managing India’s External Sector”. She felt that India should have had an Export Push strategy right from our independence instead of the import substitution strategy followed then. She also highlighted the fact that it was the confidence of the exporting community that helped India from recovering the 1991 period of crisis. She informed the members of the role being played by the RBI for the development of the Exports from the country and she highlighted some of the steps taken by RBI in this direction. She dwelled in brief on the subjects like Market driven exchange rates, substantial reduction of import tariff, and availability of timely credit to exporters besides others. In her concluding remarks she mentioned that Opening of markets have not only provided numerous opportunities but also provided the exporters with challenging tasks and assured that the Banking sector is ready to cooperate with Exporters in all possible ways.
Mr. Vijay Krishna Reddy, Chief Manager, EXIM Bank briefed about EXIM Bank and its role in Export Financing. He briefed on the areas like Lines of Credit, Project Finance, Term Loans, Equipment Finance, Working Capital beside others.
Mr. R K Garg, Deputy General Manager, SIDBI briefed about SIDBI and presented various schemes like Credit Guarantee Fund, Schemes of Assistance for setting up/expansion/ diversification etc, Marketing, Technology Up gradation besides others. He also mentioned about schemes such as Integrated Infrastructure Development scheme and Credit Linked Capital subsidy scheme.
Mr. R J Vaidyanathan, General Manager, Andhra Bank explained in detail about the Gold Card scheme being provided to the Exporters and mentioned that lot of the funds earmarked for Exports are underutilized.
Mr. N Radhakrishnan, Branch Manager Export Credit Guarantee Corporation (ECGC) explained in detail about the various schemes being offered by the ECGC for the benefit of the Exporters. He also briefed about the Risks not covered by ECGC and also explained about the Country Underwriting followed by the ECGC for advising the Exporters on trade with various countries. About 25 participants attended the seminar.
Seminar on Credit Risks on Exports at Coimbatore
A seminar on “Credit Risks on Exports” was jointly organized by the Council’s Chennai Office with ECGC, Coimbatore Chapter at Coimbatore on 2nd September 2005. Shri K. Kasturirangaian, Chairman of the Council’s Functional Committee for Coimbatore was invited as the Chief Guest. He briefed the participants about the present trend in exports. He mentioned about the stiff competition prevailing in China and emphasized that in order to be competitive the old rates of DEPB rates should be restored. Shri M. M. Mondal, Deputy General Manager & Regional Manager of ECGC, Chennai explained about the various risks involved in exports and the insurance cover offered by ECGC on such risks. On behalf of the Council, Shri N. Seshadri, Export Promotion Officer, EEPC, attended the meeting and made a presentation about EEPC and the various promotional activities to be undertaken by the Council. Shri Ramesh Bhat, Branch Manager, ECGC, Coimbatore welcomed the members present. There was a presen- tation about the ECGC and the various schemes offered by them. More than 100 member exporters of the Council participated in the meeting. 28
New Members Meet
Council’s Sub-Regional Office, Banagalore organized an interactive meeting with the new members of the Council from Karnataka and Kerala states on 09th September 2005 in the office’s Conference Hall. The members were explained about the procedures of exports and the progress made by the new members in export marketing was noted. Shri Francis Anthony, Jt. Director General of Foreign Trade, Bangalore addressed the new members and answered their questions. Shri N. S. Ramanath, a senior exporter from Bangalore provided exporting tips to the new members. Shri Krishnan, Faculty of Indian Institute of Export Management, Bangalore provided information on Export Documentation.
Sensitization Programme on ITC HS Classification
In view of the newly adopted HS Classification code adopted by DGCI&S, Council’s Regional Office organized a Sensitization Programme on ITC HS Classification on 9th February, 2006 at Chennai. Shri S K Das, Director General, DGCI&S, Kolkata was the Chief Guest and addressed the participants. Shri Vasa Seshagiri Rao, Addl. Commissioner of Customs (Sea) and Shri P Kesavan, Asst. Commissioner of Customs (Air) were also present.
Shri B Chandrasekharan, Regional Chairman welcomed the dignitaries and the members present.
Shri Das made a power point presentation on the role of DGCI&S in providing quality data on exports and imports and stressed the need for furnishing correct HS ITC Code Number in the Shipping Bills. 45 Export Executives representing 32 member-firms, apart from the officials from Handloom Export Promotion Council and Customs House Agents attended the programme. Useful interaction took place.
Western Region
Export Awareness-cum-Membership Drive
Council’s Regional Office, Mumbai organized a Seminar on Export Awareness cum Membership drive was held on 25/11/2005 in the industrial area of Ranjangaon, Pune in collaboration with Nagar Chamber of Commerce, Industry and Agriculture was held on 25/11/2005. Council’s Official made presentations and keynotes on Export Market Opportunities and the services rendered by the Council to the exporting community.
Interactive Session on VAT
The Regional Office, Mumbai organized an Interactive Session with Mr. Rajan Talati, Chairman, Sales Tax Practitioners’ Association on VAT & means for refund of VAT on goods & services meant for exports, was held on April 21, 2005 in the Conference Room of EEPC, Mumbai. Shri J.K.Babla, Dy. Regional Chairman (WR) presided over the session.
Interactive Session on ITC HS Classification
Council’s Regional Office, Mumbai organized an interactive session on ITC HS Classification with Shri S. K. Das, Director General, Directorate General of Commercial Intelligence and Statistics (DGCI&S) Kolkata was held on 13th March, 2006 in the Council’s Conference Room to sensitize exporting members about significance of recording correct HS code in shipping documents.
Seminars/Awareness Programmes on Market Development Assistance
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FOCUS LAC
Southern Region
The Regional Office organized Seminar on FOCUS LAC on 1st July, 2005, at Hotel GRT Grand, Chennai. Shri R. K. Mutha, Dy. Regional Chairman welcomed gathering. Mr. Luis Gerardo Hernandez, Commercial and Economic Adviser, Embassy of Mexico, New Delhi, was the Chief Guest and addressed the gathering. The Commercial and Economic Adviser informed the participants about visa liberalization for the participants. Shri R. Viswanathan, Jt. Secretary, In- charge of Latin America & Caribbean Division, Ministry of External Affairs, Government of India, New Delhi, presented Keynote Address on emerging business potential in Latin American Countries. Shri V K Duggal, Director, EEPC, New Delhi, made presentation on Export Prospects for Indian Products to Latin American Countries in general and Mexico in particular. The Regional Director highlighted the participants about the salient features of the MDA Guidelines, which came into effect on 1st April, 2005. The Seminar was well attended by representatives from 75 member-firms. Useful interaction took place.
FOCUS CIS
Eastern Region
The Regional Office organized an interactive meeting with Commercial Representatives of seven CIS Countries viz. Azerbaijan, Armenia (Georgia), Kazakhstan, Kyrgyzsthan, Tajikistan, Turkmenistan, and Uzbekistan organized on 20th March, 2006 at Taj Bengal, Kolkata. Shri P. K. Mahapatra, Joint Secretary (CIS), Department of Commerce, Ministry of Commerce and Industry delivered the keynote address. Commercial Representatives of seven CIS countries made presentations about the opportunities for the exporters in their respective country. Participants had a very good interaction with the Commercial Representatives.
Seminars/Meetings on Promotional Activities & Indian Engineering Center- Chicago Indian Engineering Center, Chicago – USA Southern Region Mobilization of Participants for IEC at Chicago, USA
Council’s Regional Office, Chennai organized a meeting for mobilization of participants for Indian Engineering Centre at Chicago, USA on 7th June 2005 at Bangalore. 20 member-firms in and around Bangalore participated in the meeting and received on-the-spot confirmation from 4 members.
INDEE-2005, Mexico
Southern Region
Mobilization of Participants for INDEE 2005 at Mexico
The Regional Office, Chennai organized meetings with exporters at the following centers for mobilization of participants for “INDEE 2005 – Mexico”.
At Hyderabad on 23rd June, 2005 At Coimbatore on 8th July, 2005 At Bangalore on 27th June, 2005 At Chennai on 11th July, 2005 At Hubli on 28th June, 2005
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Hannover Messe – 2006
After a gap of 21 years, India was once again identified as the Partner Country in the said Industrial Exhibition. Council was appointed as the Coordinating Agency by the Government of India. The exhibition was scheduled to take place from 24th to 28th April, 2006 for 5 days. To make the fair as a successful event Council along with Indo-German Chamber of Commerce organized various meetings across the Country. The details of the same are as follows :
Eastern Region
Mobilising participants at Hannover Fair 2006
Council’s Regional Office, Kolkata organized meetings and seminars for the said event at various centers in the Eastern States. Council’s Officials made various presentations to the member exporters those participated in the programme. The details of the same are as follows :
Date Name of the Centers 1st December, 2005 Rourkela 12th December, 2005 Jamshedpur 31st January, 2006 Bhubaneswar
Besides, the above said center, a meeting with Secretary & Director of Industries, Government of Jharkhand was held on 12th to 13th January, 2006, for putting up a Jharkhand Pavilion in Hannover Fair 2006.
Northern Region
Awareness Seminar on Hannover Fair in Agra 9th December, 2005:
Council’s Regional Office, New Delhi in close coordination with Indian Industry Association jointly organized a seminar in Agra in Hotel Holiday Inn on 9th December, 2005. Mr. Ummat, Regional Manager, Punjab National Bank, Agra was the chief guest who acquainted the exporting community about the export finance and line of credit available for different regions by PNB. Mr. Amar Mittal, Chairman, IIA, Agra Chapter welcomed the decision of organizing seminar in Agra. Mr. Mittal has shown their keen interest on behalf of IIA and Industry in Agra to associate with EEPC for organizing workshops for the interest of industry.
The Regional Director, New Delhi made a presentation in which the participants were informed about the Hannover Fair and its increased importance this time around, as India has been chosen as the partner country. The gathering was informed that this indeed is a proud moment for the country and the privilege associated with being a partner country is really special. He further emphasized that globally India is gaining prominence and is being accepted as new rising economic superpower. The participants were told that this indeed is a golden opportunity for the exporters to showcase their products in a world class event in which all the eyes would be focused on India.
Mr. Ashutosh Kumar, Branch Manager from ECGC, Agra was also present and gave a power point presentation about risk coverage of export remittance from overseas.
Lot of questions were raised by the audience regarding the fair and the process of registration for the fair as well as the role of the EEPC. All the queries of the participants were duly 31 answered. The seminar was indeed a success and led to increased mobilisation and subsequent participation in the Hannover Fair.
This event was covered by local dailies of Agra. Pre-event information was also highlighted in the leading news paper.
Awareness Seminar on Hannover Fair in Jaipur
The Regional Office, New Delhi in close coordination with Rajasthan Chamber of Commerce and Industry jointly organized a seminar in Jaipur on 16th December, 2005 in the Auditorium of Rajasthan Chamber of Commerce and Industry. Mr. N. K. Singh, Commissioner Industry (IAS), Jaipur was the chief guest who focused on the State Government policies to promote the engineering exports from the region.
Mr. K. L. Jain, Secretary General of Rajastan Chamber of Commerce and Industry had shown keen interest for putting up a stall at the Hannover fair in order to showcase Rajasthan. Mr. N. K. Singh said that the Rajasthan Government would make all efforts to provide financial assistance to the chamber for the participation.
The Regional Director, New Delhi made a presentation in which he highlighted the importance of Hannover fair and also ever-increasing importance of our country in the global arena. The participants were told that India has been invited to be the partner country for the event in 2006, this is of great significance as the privileges of the partner country are really special. He highlighted the assistance available for participating in the Hannover fair. The participants were told that this indeed is a golden opportunity for Indian exporters to showcase their technology and demonstrate their products and India’s capability in this prestigious technology event.
Awareness Seminar on Hannover Fair in Noida
Council’s Regional Office, New Delhi in close coordination with Indian Industry Association jointly organized a seminar in Noida in Noida Authority Auditorium on 23rd December, 2005. Mr. Ashwani Mehandru, Chairman, IIA, Noida was the chief guest explained about the role of Council and it’s membership benefits. Mr. Mehandru also requested the members of the Council to be part of the big technology event – Hannover Fair and non-members to get them registered with the Council to avail this opportunity.
Regional Manager from ECGC, Gautam Budh Nagar was also present and gave a power point presentation about risk coverage of export remittance from overseas.
The Regional Director, New Delhi made a presentation in which the participants were informed about the Hannover Fair and its increased importance this time around, as India has been chosen as the partner country. He told Indian participants that it is an excellent opportunity for the exporters to participate in world class event in which more that 300 Indian companies are likely to participate. The programme was attended by 65 representatives of 58 companies.
Awareness Programme on Hannover Fair in Ludhiana
Council’s Sub-Regioanl Office, Jalandhar organized a seminar on “Over to Hannover” at Hotel Maharaja Regency Ludhiana on 19.12.2005. Shri V. K. Gupta, Jt Director General Foreign Trade Ludhiana was chief guest and Shri S. C. Ralhan, Regional Chairman was in the chair. Council’s Officers detailed about Hannover and MDA facility to the members present.
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Southern Region
Mobilization of Participants for Hannover Fair-2006
Council’s Regional Office, Chennai organized meetings and seminars for the said event at various centers in the Southern States. Council’s Officials along with Indo-German Chamber of Commerce Officials made various presentations to the participating member-exporters in the programme. The details of the same are as follows :
Date Name of the Centers 15th December, 2005 Bangalore 16th December, 2005 Coimbatore 19th December, 2005 Chennai 21st December, 2005 Hyderabad 28th December, 2005 Bommsandera Industrial Area, Bangalore 29th December, 2005 Hubli and Belgaum 30th December, 2005 Mysore 5th January, 2006 F K C C I, Bangalore 9th January, 2006 Peenya Industries Association, Bangalore
Western Region
Council’s Regional Office, Mumbai organized meetings and seminars for the said event at various centers in the Western States. Shri Baskar Sarkar, Director (B & F) along with Shri J. K. Babla, Dy. Regional Chairman made various presentations to the member exporters those participated in the programme. The details of the same are as follows :
Date Name of the Centers 17th December, 2005 Pune 5th January, 2006 Thane 7th January, 2006 Rajkot
Besides, the above, Regional Office, Mumbai organized various meetings for mobilization of participants for Council’s promotional activities.
Open House Meets/Meeting with Government Agencies/Officials
Eastern Region
Meeting with NSIC
The Regional Director, accompanied by Assistant Director, met Shri K.K. Sharma, Branch Manager, NSIC, Kolkata, on 11th April, 2005 and discussed on the issue of supplying Steel to its members for export production. Shri Sharma mentioned in detail the requirements for allocation of steel to SSI units as also its availability for allocation in their favour. It was also mentioned that NALCO Aluminium Ingots and Wire Rods are also available for allocation from their Silvasa godown, Mumbai.
33 Meeting with Shri C. M. Bachhawat, Commissioner, Commercial Taxes, regarding VAT
Shri P. K. Shah, Former Chairman of the Council and Shri. Rana Roy, Regional Director met Shri C. M. Bachhawat on 13th April, 2005 to impress/seek clarifications on the following :
Whether penultimate sale for export will be covered under General Export for Fast Track Clearance. Whether sale prior to export will be Zero rated since earlier the exporters used to submit Return Form 14 in lieu of tax. Exemption from tax on sale of DEPB license which was earlier exempted vide Entry No. 99 under Schedule-1 of the WB Sales Tax Act.
Standing Committee on Promotion of Export- SCOPE Shipping/Air
The Regional Director, attended a meeting on Scope Shipping and Scope Air in Cochin on 29th to 30th April, 2005. The following issues were taken up in the meeting :
Reduction in Wharfage Charges in Paradip Port. Frequent strikes in Chennai Port EDI connectivity between Ports, Airports, Docks, Customs, DGFT, CONCOR, Inspection and Certification Agents Low turnaround of vessels at Kolkata & Chennai Ports Mother vessels not touching Eastern Ports viz. KoPT, Haldia Port Introduction of a National Carrier and formulation of a Regulatory Mechanism for monitoring erratic shipping freight hike. Delay in filing EGM at Haldia Port Frequent breakdown of Off-shore Cranes at Paradip Port
VAT on Furnace Oil
A high power delegation led by Shri P. K. Shah, Former Chairman met Shri C. M. Bachhawat, Commissioner, Commercial Taxes, on May 27, 05, regarding VAT on furnace oil being charged 1 @ 12 /2% in place of 4%, and also a few clarifications on refund to manufacturer exporters and merchant exporters.
Northern Region
In the reporting year, Council’s Sub-Regional Office, Jalandhar organized various meeting with the Government officials in the Council’s Office premises. The details of the same are as follows:
• A Meeting on VAT was organized in the Council’s Office premises with the Sales Tax Commissioner. Mr. S. S. Dhuhre, Sales Tax Asst. Commissioner was the Chief Guest and Shri Sharad Aggarwal, Convener, Hand Tools Panel, chaired the meeting. More than 55 participants attended from trade and industry to take active part in discussion mainly concentrating on refund of VAT to exporters which was taking more than required time.
• A meeting was organized on 22nd June, 2005 in the Council’s Office premises with Central Excise to open Help Center for the exporters in our office. The meeting was attended by Jt. Commissioner Central Excise and more than 45 exporters and industry representatives.
34 • A meeting was organized on 24.6.2005 in the Council’s Office premises with Local Sales Tax Commissioner Shri Parampal Singh and Commissioner Mrs. Kanchan Chawla. The meeting was chaired by Shri Sharad Aggarwal Convener Hand Tools Panel and more than 40 EEPC Members participated to resolve issues regarding submission of returns and refund of VAT.
• A meeting was convened in the Council’s Office premises by Shri S. C. Ralhan Regional Chairman on 28th June, 2005 regarding Income Tax Act 80HHC and effect of retrospective Income Tax on exports w.e.f. 1998. Many members of EEPC participated including Shri Sharad Aggarwal, Jyot Parkash, Shri Mohinderpaul, Shri Gunit Rana and Shri Rakesh Rathore and Mrs. Kamna Raj Aggarwal.
• A meeting was convened in the Council’s Office premises with the Sales Tax Officials on 10th January, 2006. Shri Sharad Aggarwal, Convenor, Hand Tools Panel, chaired the meeting. More than 35 participants participated the meeting. Asst. Commissioner Sales Tax & Excise replied the member inquires regarding refund of VAT.
• A meeting was convened in the Council’s Office premises on 17.1.2006 by Shri Ashwani Kumar, Dy. Regional Chairman with the central excise to discuss Service Tax related issues. Commissioner Shri Rajendra Prashad was the chief guest and Mr. Garg Asst. Comm. replied various queries made by the members regarding Service Tax and Fringe benefit tax.
• A meeting was organized in the Council’s Office premises on 25.1.2006 with Regional Passport Officer, Jalandhar Shri Amarjit Singh to discuss various passport related matters. He informed the new jumbo booklet is not being issued any more due to machine not accepting the same for printing.
Southern Region
“Understanding VAT”
Officials from Regional Office, Chennai attended a seminar on “Understanding VAT” on 13th May 2005 at Chennai organized by TANSTIA FNF SERVICE CENTRE, Chennai. Dr. G. Sundaram (Retd.) IAS was the speaker. Ms. Saraswathi, Director of TANSTIA, Chennai addressed the gathering and welcomed the participants. The other dignitaries present were Shri T.C. Dayalan, General Secretary, TAZTIA and Shri Ravindranath, Chairman, TANSTIA.
Dr. G. Sundaram briefed about the various aspects of VAT and stated that VAT is a transparent, efficient, non-cumulative multi-stage system of taxation. According to him, VAT would unite India into a large common market which would enable the Indian companies to gain competitiveness through pure logistics rather than tax minimization. He also added that most parts of the country like Haryana, Kerala, etc., have welcomed the VAT system and even Tamil Nadu should encourage the adoption of VAT as it would only prove to be advantageous.
Corporate Social Responsibility
Officials from Regional Office, Chennai attended a Seminar on CORPORATE SOCIAL RESPONSIBILITY was organized by the Indo-American Chamber of Commerce (I A C C ) on 25th July, 2005 at Chennai. Shri D. V. Venkatagiri, Regional Secretary, I A C C, Chennai welcomed the gathering and Shri Rajah of I A C C introduced the members on the dais and briefed on the essence of Corporate Social Responsibility. Shri K. A. Chaukar, Managing Director, Tata Industries Limited gave an insight into Corporate Social Responsibility (C S R) and quoted exampled of how the TATA group have made C S R an integral part of their 35 functional set up. Shri Robert King, Politician and Economic Affairs Officer, US Consulate, Chennai then added examples of how small companies in the U S A have also adopted C S R and the role C S R plays in improving the morale and public relations and also in increasing better contacts for the organization. Shri G. Narayanasamy, Senior Regional President of I A C C was one of the distinguished guests on the dais at this Seminar.
Open House Meet by FIEO
The Regional Director and Export Promotion Officer of Regional Office, Chennai attended an “Open House Meet” organized by FIEO, Chennai with Shri K. T. Chako, I.A.S., Director General of Foreign Trade and Shri P. K. Mohanty, I.A.S. Joint Secretary (Drawback), on 30th July, 2005 at Hotel Le Royal Meridien, Chennai for the benefit of the exporting community. Shri Chako clarified the points raised by the members and assured to look into the individual issues of the participants. Shri K.T. Chako informed the members present that whenever any Committee meeting like – ALC, EPCG etc., takes place at New Delhi, arrangements are made to have video conferencing at the Zonal Offices of the JDGFT and any member whose case is coming up in such meetings, can visit their nearest Zonal JDGFT office and reply to the queries through the video conferencing instead of travelling all the way to New Delhi.
Seminar on Export Promotion
Visveswraya Industrial & Technical Centre (VITC), Bangalore organized a Seminar on Export Promotion at Mysore on 31st August, 2005 with various Trade Bodies situated in Bangalore. Officials from the Council, ITP, ECGC & EXIM Bank were invited to make presentations on the said topic. The Regional Director, Chennai attended the Seminar and gave a powerpoint presentation to the participants about the various export benefits which are available to the exporters, promotional activities which are being undertaken by the Council, including Buyer Seller Meets, Exhibitions, etc., as well as the benefits available to the SSI units under MDA Scheme. Around 73 firms mostly from SSI sector have participated in the Seminar.
Meeting with the All India Watch Dog Committee
The 1st Meeting of the All India Watch Dog Committee was held at Customs House, Chennai on 23rd September 2005, under the Chairmanship of Shri A. P. Sudhir, Member, Customs & Export Promotion, New Delhi. The points relating to engineering sector forwarded by T. O. to the above Committee were discussed at this meeting. The meeting was attended by the representatives of various E. P. Councils, Senior Customs Officials from Mumbai, New Delhi and Chennai were also present. Shri Sudhir informed the members that the introduction of green channel facility is on the anvil and once this facility is implemented, most of the issues will be taken care of.
Conference on Enlargement of Indo Sri Lanka Free Trade Agreement
The Regional Director attended a Conference on Enlargement of Indo Sri Lanka Free Trade Agreement organized by the Southern India Chamber of Commerce & Industry, Chennai, on 17th February, 2006 at Chennai. The Conference was addressed by the Hon’ble Minister of Commerce, Government of Sri Lanka, Her Excellency Ms. Nirupama Rao, Indian High Commissioner to Sri Lanka, and other Government officials. Among others, Mr. Nawaz Rajabdeen, President, Federation of Chambers of Commerce & Industry of Sri Lanka and Mr. M Macky Hashim, President, SAARC Chamber of Commerce & Industry, Colombo, Sri Lanka, were also present in the Conference. The Hon’ble Minister of Commerce requested the Indian businessmen to focus more on joint ventures.
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Awareness Seminar under the Focus CIS Programme
The Council for Leather Exports organized an Awareness Seminar under the Focus CIS Programme at Chennai on 21st March, 2006. The Heads of Mission/Commercial Representatives from the CIS countries made presentations about the profile of the respective countries and also the potential available in those regions, which India can offer.
The Regional Director of the Council’s Chennai office attended the said seminar and shared his experience with the participant about the market condition in the CIS Region with particular reference to Azerbaijan, Turkmenistan, Russia and St. Petersburg, which were visited by him recently.
Training Programmes
Certified Export Manager Course
In the reporting year, Council started a Certified Export Manager course for the working executives, aspirant engineering industry persons, students etc in Kolkata. The first course of this kind was inaugurated on 2nd March, 2006 by Shri Rakesh Shah, Chairman in EEPC Committee Room at 14/1B, Ezra Street, Kolkata.
Export Awareness & Management Development Programme
Council’s Sub-Regional Office, Jalandhar organized a 3-days Export Awareness and Management Development Programme from 29th to 31st August, 2005 in the Council’s premises. 52 participants were given hands on training on export documentation and procedures. Shri V. K. Gupta, Jt. DGFT Ludhiana inaugurated the course. This was for the first time in the history of Council that a certificate course was started. Shri R. C. Chopra Director SISI Ludhiana shared his long twenty five years experience with the candidates and Shri S. C. Ralhan distributed the certificates to the successful candidates.
Award Functions
Council’s All India Award
Council’s All India Award Presentation Function in recognition of outstanding export performance in engineering goods and services during 2003-04 was held on 13.1.2006 in the Regal Room, Hotel Hilton Towers, Mumbai. Hon’ble Shri Kamal Nath, Union Minister of Commerce & Industry who was the Chief Guest at the function, gave away the awards to the meritorious exporters. In the function, 7 companies received award under the category Trophy for Top Exporters, 23 companies were awarded under the category Trophy for Highest Exporters and 57 companies got Certificate of Export Excellence.
Eastern Region
The Regional Office organized the Eastern Region Award Function for the years 2001-02 and 2002-03 in Taj Bengal, Kolkata on 3rd August, 2005. The award was given to felicitate the members who made remarkable exports under various categories during the years 2001-02 & 2002-03. Shri S. N. Menon, Commerce Secretary, Ministry of Commerce, Government of India was invited as Chief Guest and he gave the awards to the meritorious exporters. In the award ceremony, 8 companies got the Regional Trophy for Top Exporters, 15 firms were awarded under the category of Regional Trophy for Highest Exporters and 26 companies got Certificate of Export Excellence for the period 2001-02. Also, in the same function 9 companies got the
37 Regional Trophy for Top Exporters, 13 firms were awarded under the category of Regional Trophy for Highest Exporters and 24 companies got Certificate of Export Excellence for the period 2002-03.
Northern Region
The Regional Office, New Delhi organized award distribution function for the Northern Region for the years 2001-02 and 2002-03 were shields and certificates were awarded to meritorious exporters for their outstanding export performance. The awards were distributed by the Chief Guest Shri K. T. Chako, IAS, Director General of Foreign Trade at Hotel Majestic Park Plaza, Ludhiana on 18th May, 2005. Large PSUs like SAIL, PEC, RITES besides other SMEs were awarded shields and certificates for their excellent export performance. Shri V. K. Garg, Commissioner Central Excise and Shri Ranjit Singh, Commissioner Appeals, Jalandhar were also present.
Meritorious exporters were awarded shields and certificates numbering 42 and 47 for the years 2001-02 and 2002-03 respectively.
Southern Region
The Regional Office organized the Regional Export Award Presentation Function for the year 2003-2004 on Wednesday, the 1st March, 2006 at Hotel The Grand Ashok, Bangalore. Shri T. N. Chataurvedi, His Excellency, the Governor of Karnataka was the Chief Guest and presented the awards to the meritorious exporters for their outstanding contribution in export of engineering goods, services and projects during the year 2003-2004. Shri P. K. Dash, Joint Secretary, (E.P. Engg.), Ministry of Commerce & Industry, Government of India, Shri Rakesh Shah, All India Chairman, Shri B. Chandrasekharan, Regional Chairman, Shri R. K. Mutha, Dy Regional Chairman and Shri C. S. Shukla, Executive Director of the Council graced the function. Apart from top exporters, a number of senior Government officials were also present.
In his welcome address, Shri B. Chandrasekharan, Regional Chairman congratulated the exporters and complimented Shri Rakesh Shah, All India Chairman for dynamic and continuous efforts taken by him for the betterment of exporters. He also appreciated the yeoman services rendered by Shri C. S. Shukla, Executive Director of the Council for the cause of export promotion.
Shri T. N. Chaturvedi, His Excellency, the Governor of Karnataka emphasized that the Council and the exporters should make more efforts to achieve at least 1.5% of the world exports by 2008-09. He lauded the role played by the Council in promoting exports from the country during its 50 years of dedicated service. He was of the opinion that in this era of globalization, top priority needs to be given for the promotion of exports. He also expressed that Central Government, State Governments and the Industry should jointly initiate efforts in nation’s image building exercise by enhancing the share of exports. He also appreciated the initiative taken by the Council in setting up Indian Engineering Centre in Chicago which he hoped will boost our share of exports in that region. He assured that the points raised by Shri Rakesh Shah, All India Chairman will be taken up with the Government.
Golden Jubilee Celebration
Eastern Region
The Regional Office celebrated the Golden Jubilee Celebration on 26th December, 2005 at Hotel Oberoi Grand, Kolkata. Shri Buddhadeb Bhattacharjee Hon’ble Chief Minister, Government of West Bengal was the Chief Guest Shri S. N. Menon, Commerce Secretary, Shri Rakesh Shah,
38 Chairman, Shri C. S. Shukla, Executive Director addressed the function. Presentations were also made by Dr. D. R. Agarwal, Director, Institute of International Trade on WTO beyond Hong Kong, Dr. T. K. Roy on Iron & Steel Sector, Prof. A. Rai Choudhuri, IIMC, Joka on Export Marketing of Engineering Goods. Welcome address and closing remarks were given by Shri R. P. Sehgal, Regional Chairman, Eastern Region of the Council.
Northern Region
The Regional Office, New Delhi organized the Golden Jubilee function on 30th March, 2006 at Hotel The Ashok, Chanakayapuri, New Delhi. The function was inaugurated by Chief Minister of NCT of Delhi Smt. Shiela Dikshit. Smt. Dikshit presented mementos to the Executive Director and other officers of EEPC for their valuable service and contribution.
Southern Region
The Regional Office, Chennai celebrated the Golden Jubilee Celebration in the Ball Room, Hotel Taj Coromandel, Chennai on 16th September, 2005. Shri T. T. Jagannathan, Chairman, TTK Group of Companies was the Chief Guest on this unique occasion. Shri Rakesh Shah, Chairman of the Council addressed the gathering, followed by the address of the Chief Guest. Mementos were presented by the Chief Guest to the former All India Chairman, Shri T A S Balagopal, hri Rakesh Shah, Chairman, Shri Mahesh Desai, Vice Chairman, Shri C S Shukla, Executive Director, former Regional Chairmen, Southern Region, Shri B Chandrasekharan, present Regional Chairman, Southern Region, present Dy.Regional Chairmen, Southern Region, Chairmen of the Council’s Functional Committee for Karnataka/ Kerala, Coimbatore and Andhra Pradesh, Members of the Golden Jubilee Celebration Sub Committee, Southern Region, by the Chief Guest. Shri B Chandrasekharan, Regional Chairman, EEPC, Southern Region, proposed a hearty Vote of Thanks to the Chief Guest and the Guest of Honour and others.
Council’s revamped and redesigned web site was launched formally at this function by the Chief Guest and the Council’s Strategy Paper was handed over to the Chief Guest by the Chairman of the Council. Council’s Officer from Head Office made presentation highlighting the salient features of the new web site.
Western Region
Golden Jubilee Celebration & Regional Award
Council’s Regional Office, Mumbai celebrated the Golden Jubilee Celebration of the Council along with Regional Award Presentation Function on 25th March, 2006 at Hotel Hyatt Regency, Mumbai. Shri Jayant R. Patil, Hon’ble Minister of Finance & Planning, Government of Maharashtra, graced the occasion as Chief Guest and gave the awards to the meritorious exporters of the region. Past Chairmen of the region were also felicitated on this occasion. Standard Chartered Bank was the sponsor for this event.
Publicity
Publications a. Engineering Export Info Bulletin
Council has been publishing a weekly bulleting entitled : Engineering Export Info-Bulletin, which disseminates trade information to its members. The bulletin covers overseas information like Market Survey Reports, Country Profiles, Trade Regulations, Tenders and Enquiries, Advance Information on International Exhibitions and Trade Fairs as well as
39 information on domestic events. It circulates the information on Government Policies and Regulations, EXIM Policy, Exchange Control, Export Credit, Export Finance, Central Excise etc. Through this bulletin, members are apprised of promotional activities organised by the Council such as Exhibitions, Buyer-Seller Meets, Trade Delegations, Business Awareness Seminars and so on. Besides member firms, copies of this Bulletin are distributed to various Government Agencies, Chambers of Commerce and Industry, Trade Associations etc. The bulletin is very useful for the exporting community, which is evident from the fact that a number of non-member organizations subscribe to this bulletin.
From this year, ad tariff for releasing Advertisements in this bulletin is being published in the issues of EEIB and positive response have started coming in.
A bi-monthly newsletter names Access is being brought out by the Regional Office of the Council, Eastern Region, which is a very popular publication among the members of the Eastern Region.
The Council also brings out many other publications. These include Council's introductory booklet EEPC at Work, Product Catalogues, Journals and event specific booklets & profiles. These give a first-hand idea about the latest developments in the Indian Engineering Industry, its technical expertise and capabilities to cater to the needs of overseas markets.
Some of them are as follows : b. EEPC at Work
This is the introductory booklet of the Council highlighting its objectives, promotional activities in India and abroad while detailing the current status of engineering exports from India. It gives a brief idea about the services offered to the Indian exporters and their counterparts abroad. This is the most widely circulated publication of the Council, both in India and overseas and reaches to the target audience during various International Exhibitions, Trade Delegations, Buyer-Seller Meet etc. This publication is also being sent to important Chamber of Commerce abroad, Indian Missions and Embassies all over the world and Foreign Diplomatic Missions in India. Council has brought out two revised editions of this publication in July 2005 and March 2006. A Spanish version of this booklet was brought out in October 2005 during INDEE-Mexico. A Russian version of the booklet was published in November 2005 for Buyer-Seller Meet in Russia. The booklet was also published in German language in February 2006 on the occasion of Council's participation in Hannover Messe, held in April 2006. c. Event Specific Publications
1. Hannover Fair, April 2005
Publicity Department brought out impressive Multi-Colour Participants' Profile giving details of participating firms in the world famous Hannover Fair in April 2005. This was circulated to all the visitors in the Fair through EEPC Information Booth.
For the Hannover Fair 2006, where India was declared as the partner country and EEPC was given the responsibility of mobilizing India's participation, Council prepared Flyers, Folders, Posters and event specific Logo. EEPC theme film and five sectoral films were also prepared for this mega event.
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2. Participants' Profile - INDEE-Mexico
Council brought out a bi-lingual (English & Spanish) colourful directory containing details of the companies participated in INDEE-Mexico organised by the Council in October 2005. Publicity Department also prepared 18 coloured panels in Spanish, highlighting Council's role in promoting engineering exports, various industry sectors and overall engineering exports from India.
3. India Engineering Center Booklet
Commemorating with the inauguration of Council's India Engineering Center in Chicago in September 2005, the department brought out a multi-colour booklet giving details of 49 companies who have booked space in the Center to showcase and market their products. Publicity Department also prepared five coloured panels highlighting Council's role in promoting engineering exports, overall engineering exports from India and top commodities which are being exported from India.
4. Buyer – Seller Meets in Australia & New Zealand
EEPC brought out a multi-colour participants’ profile for the Buyer-Seller Meets in Sydney, Melbourne and Auckland in August 2005.
5. ITMA Asia 2005
Council published a multi-coloured booklet of participants who took part in ITMA Asia 2005 held in Singapore in October 2005.
6. Delegates Profile for Ghana, Togo, Senegal & Mali
A delegation of Diesel Engine Manufacturers visited Ghana, Togo, Senegal & Mali in November 2005 and for this purpose a colourful participants profile was published in a booklet form with the details of participants and their companies.
7. Buyer - Seller Meets in Russia
Council sent a 11-member delegation to participate in Buyer-Seller Meets in Moscow and St. Petersburg in November 2005. For the event, Council published a bi-lingual (English & Russian) booklet containing detailed profiles of participants. Besides, the Russian version of the Council’s introductory booklet entitled EEPC at Work was also brought out for this event.
8. Buyer-Seller Meets in Chile & Brazil
Council brought out a tri-lingual (English, Spanish & Portuguese) booklet containing profile of 17 companies, which took part in the above Buyer-Seller Meets in November 2005.
9. Multi-Product Delegation to USA & Canada
EEPC sent a Multi-Product Delegation of 16 companies to USA and Canada in February 2006 and for this a multi-coloured detailed Delegates’ Profile was published in a booklet form.
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10. India Pavilion at MSV, 2005 in Brno, Czech Republic
Council set up a pavilion in an Engineering Exhibition in Brno, Czech Republic in October 2005. The Department published a coloured booklet containing profiles of 7 member firms that participated in the event.
11. India Pavilion in Sharjah
Council set up a pavilion in Industrial show at Sharjah in January 2006 to showcase Indian engineering products and for the event a booklet with details of participating companies was published. d. Product Catalogues
Council brought out 5 product catalogues during 2005-06 on
• Steel Forgings • Earth Moving Machinery • I.C. Engines & Parts • Machine Tools • Sanitary Castings.
These catalogues contain brief details of the manufacturers and exporters of respective product groups. Copies of these catalogues were distributed at various international exhibitions including Hannover Fair where Council took part as well as in the Council’s organized INDEE Exhibition in Mexico. These catalogues were also circulated among overseas buyers, International Chambers of Commerce, Trade Associations, and Indian Missions abroad through Council’s foreign offices. e. Yearly Routine Publications
• Telephone Directory of Working Committee members of the Council in four colour for the first time.
• Council published its 50th Annual Report for the year 2004-05 in English and a Hindi version was also published in the book form for the first time. f. Award Function 2003-04
Council’s All India Award Presentation Function was held in Mumbai in January 2006.
• A Brochure containing details of the Award Winners in various categories was published on the occasion containing.
• Chairman’s Speech was released in printed booklet form.
• Well-designed Certificates were prepared and distributed to meritorious exporters for the year 2003-04.
• Council organised fabrication of Trophies for Award Winners for the year in recognition of their export performance in different categories.
42 • Individual Batches were also prepared for all the Award Winners and guests who graced the occasion.
g. Hannover Fair 2006
• Council released a Special Logo to commemorate Hannover Messe, 2006 where India participated as Partner Country.
• A Special Advertisement was prepared for Hannover Messe, 2006 h. Lapel Pins
This year also Council designed and fabricated metallic Lapel Pins as a memento for the Golden Jubilee Year of the Council. i. Press Releases/Press Conferences
• Council organized a number of press meets during the year to highlight achievements on the overall engineering exports front and its efforts to promote engineering exports through its exclusive exhibition INDEE and the successful completion of the event.
• Press was also apprised about the setting up and inauguration of India Engineering Center in Chicago, which is a very important step for off-the-shelf marketing of Indian engineering products in USA.
• Facts about Council's strategy to increase India's share in the global trade were also disseminated through a press conference.
• Besides, press meets were also organized as curtain raiser on the eve of Hannover Fair 2006, Council's Golden Jubilee functions at regional level and All India Award Function.
In all the press conferences, the National Chairman of the Council briefed the press and electronic media through pictoral and DVD presentations.
Besides, Council issued various Press Releases from time to time during the year to keep the media updated of its news and views on various issues including, Foreign Trade Policy and Union Budget and the success of Council's participation in international exhibitions in different parts of the world. They received very positive response from the media and have been covered by leading national and business newspapers as well as television channels. j. Media Publicity (Domestic & Overseas)
All India Award Presentation Function
A two page Newspaper Supplement was brought out in all the nine editions of “The Economic Times” on the occasion of Council's All India Award Presentation Function held in Mumbai on 13th January 2006. A special Quarter page advertisement on Hannover Fair, 2006 appeared in this Supplement.
Hannover Fair
To mobilise participation for Hannover Fair 2006, Council published advertisements in leading business dailies like The Economic Times (all editions), Business Standard, The 43 Financial Express and Hindu Business Line. Insertions were also given in leading business magazines including Business Today, Business World and in-flight magazines Swagath and Jetwings.
INDEE-Mexico
Council had organised its exclusive Engineering Exhibition INDEE-Mexico in October 2005. To attract visitors and foreign buyers, advertisements were published in local newspapers including El Economista, El Financiero, El Universal, Reforma and magazines – Proceso and Expansion.
A Feature on West Bengal was published in the Mumbai edition of DNA. This included advertisements on Golden Jubilee and Hannover Fair as well.
Trade Information Division (TID)
Territorial Office – New Delhi
Besides its activities to provide information for in-house use, for exporting community, Council’s offices in India and abroad and to the Government in the areas of market intelligence, export potential of Indian engineering products and projects etc. TID continued its efforts to provide qualitative information.
In order to provide customized support to exporting community the Trade Informatics Division took up following activities with a greater thrust:
• Identification of importers of engineering goods for various countries
• Preparation of export statistics of engineering goods product/country wise as and when required
• Preparation of import statistics of engineering goods product/country wise as and when required
TID has organized independently Afro-India and Indo-ASEAN Reverse Buyer Seller Meet during 28th to 30th March, 2006 at Chennai, Mumbai and New Delhi respectively. During the Meet, TID contacted Indian Missions in South Africa through Councils Johannesburg office for mobilization of overseas participation.
TID has done matchmaking work relating to AFRO-INDIA & INDO-ASEAN Reverse Buyer Seller Meet. Division have generated one-to-one meeting schedules for overseas buyers as well as Indian participants for New Delhi & Mumbai region. The same has been disseminated electronically to the participants well before the proposed meet.
TID had downloaded various trade related information such as Statistics, Country profiles, Trade barriers, list of importers, Chambers of Commerce and Industries and market position etc. for various promotional activities organized during the period.
- INDEE, Mexico - Buyer-Seller Meet at Brazil and Chile. - Middle East Industrial Show, Sharjah (UAE) - MSV Exhibition, Brno, Czech Republic - Trade Delegation of Diesel Engine to Ghana, Senegal, Togo & Mali
44 Hannover Fair
- TID division, has done mass mailing campaign for mobilization of participation for Hannover Fair 2006. The division has separately created a mail box for Hannover Fair on our server and maintained all the mailings successfully during the fair. - Division compiled multiple CD’s of Exhibition Manual & Shipping Manual & disseminated amongst participating firms. - Division has done catalogue entry for few member firms on Hannover Messe’s website. - Division has compiled Invoices regarding additional requirement of member firms for accessories/services at their stall at Hannover Fair 2006. - Division has compiled Importers database of engineering products of Germany through Kompass website and has sent to selected firms. - Division has helped in compiling & printing of participants directory of Hannover Messe 2006.
Division is managing E-mailing system on all the computers installed at Territorial Office and also down loading and distributing the same on day to day basis. During the period 2005-06, Division has received total 4669 mails and sent total 1279 mails to various locations.
TID is managing proper functioning of ISO related work at Territorial Office such as preparation of monthly reports in prescribed format, periodical audit of all the departments of T.O. TID has also done successfully the periodical audit of RO-N. Delhi and SRO- Jalandhar.
Head Office – Kolkata
In the reporting year, TID, Kolkata was given the responsibility of revamping and redesigning of the Council’s Website with the external agency. The website was successfully launched on 16th September, 2005 during Council’s Southern Region Golden Jubilee Function. The division in- charge closely monitors on day-to-day basis and carry out the necessary updation regularly. Also, the TID got the Broadband connection and started disseminating Info Bulletin and Enquiries on weekly basis to the members who are having the valid email address from May’2005 onwards.
The division was given the responsibility of publishing of Indian Exporter’s Directory 2006 in CD format. The in-charge made the necessary modification with the external agency and the same was published on February ’2006. About 4000 copies were made out of which 3000 copies were send for Hannover Messe-2006 and the rest were circulated to the Indian Mission, Foregin Trade Organisations in India, Chamber of Commerce etc.
During the year under review, this division was entrusted for the implementation of ERP in the Council. The go-live of the project is scheduled on the starting of the new fiscal.
Launching of Council’s Website
Council launched its revamped web portal http://eepcindia.org on 16th September, 2005 during Golden Jubilee Celebrations (Southern Region) held at Chennai.
The prime emphasis behind this new web portal has been to provide updated quality information to its members, foreign buyers, the government in India and rest of the world, chambers of commerce, press, etc. Visitors to the earlier portal http://eepc.gov.in are automatically redirected to this new portal.
45 On a day-to-day basis relevant information is being updated and maintained. Some of the key areas covered by the portal include, interactive member’s directory, tenders & business enquiries, live information on trade fairs, delegations and other important business events, market intelligence reports, country profiles. Government circulars and notifications, host of statistical information and other trade related data, HS Code, export promotion schemes, important business links of direct relevance to member exporters – and so on. There is a continuous effort to systematically eliminate legacy and irrelevant information.
The portal has been registering an average daily hit of around 30,000 and is steadily increasing. The portal is listed in most of the top global search engines and it enjoys a highly respectable ranking in the web community.
The weekly Engineering Exporters Info Bulletin (EEIB) is available for access on the portal much before the print copy reaches the member.
In the coming months – more updated interactive information is planned for the portal including a dedicated members section for better on-line services. Further, a host of valued added services is also in the pipeline for members and others concerned through the portal to enhance business opportunities keeping in mind the growth of engineering exports from India.
Joint Commission and Joint Trade Committees
WANA & South East Asia Desk
The following preparatory/joint commission/joint business Councils meetings were attended and follow up actions on the agreed minutes of the meetings were taken :-
A Seminar on Indo-Gulf Partnership for Prosperity and Development was held on 23rd August 2005 at PHD House, New Delhi. The keynote address was given by Shri Rajiv Sikri, Secretary (East), Ministry of External Affairs, Government of India, H. E. Mr. Khalifa Bin Ali Al-Harthy, Ambassador of the Sultanate of Oman and Dean of the Gulf Ambassadors in India, Mr. Khalid J. Al-Yassin, Charge’d Affairs, Embassy of the State of Kuwait and Ambassador Mr. Ishrat Aziz, IFS (Retd.) addressed the seminar. Senior diplomats from Embassies of Qatar, Saudi Arabia, UAE and Yeman and Shri Sanjay Singh, Jt. Secretary (Gulf), Ministry of External Affairs also gave their observations.
A Seminar on business opportunities in Dubai was organised by CII in co-operation with Department of Tourism and Commerce Marketing (DTCM), Government of Dubai in New Delhi on 12th September, 2005. Mr. Khalifa Ali Buamaim, Manager-Overseas Promotions, DTCM, welcomed the participants. Mr. Ajay Sriram, Chairman, CII (NR) gave keynote address. Mr. A.C. Patankar, Advisor, CII highlighted importance of bilateral trade between India and UAE in general and India-Dubai in particular.
An interactive meeting with Hon’ble Commerce Minister of Pakistan Mr. Humayun Akhtar Khan and Hon’ble Commerce & Industry Minister of India Mr. Kamal Nath was held at FICCI, New Delhi on 19th September 2005. Mr. Onkar S. Kanwar, President, FICCI, while welcoming the Ministers, urged the Government of Pakistan specially Commerce Minister Mr. Humayun Akhtar Khan to present the list of negative products instead of list of permissible items for export to Pakistan from India. Mr. Azar Saeed Butt, Co- President, India-Pakistan Chamber of Commerce and Industry impressed upon the issuance of business visa without police reporting by both the Governments to the businessmen visiting each other country.
46 A meeting with premier of South Australia H.E. Mr. Mike Rann and the accompanying business delegation was organised by FICCI at New Delhi on 30th September, 2005. The Indian side was led by Mr. Saroj Podar, Sr. Vice President, FICCI. H. E. Mr. John McCarthy, High Commissioner of Australia in New Delhi also spoke on this occasion.
A Seminar on business opportunities in Asian Development Bank funded projects was organized by EXIM Bank of India in New Delhi on 28th November, 2005. Representatives of ADB made presentations (i) on its functions and services provided to the consulting companies and (ii) on the procurement of goods and works under Asian Development Bank funded projects.
An interactive meeting with a High Power delegation from Board of Investment of Sri Lanka of India – Sri Lanka Economic Relations on 29th November, 2005 was organised by FICCI at New Delhi. The Sri Lanka delegation was led by Hon’ble Minister of Enterprise Development and Investment Promotion Mr. Rohitha Bogollagama, Govt. of Sri Lanka. Mr. Mohan Kumar, Jt. Secretary (BSM), Ministry of External Affairs in his introductory remarks mentioned that South Asia is the least integrated region in the world.
The following Country Notes were prepared and submitted to the Ministry
• Tunisia • Japan • Korea • Qatar • Saudi Arabia
Europe Desk
During the period under review, the following notes/background materials were prepared by the Desk Officer for submission to the Government in connection with various Joint Commission Meetings.
• Note for Indo-German Joint Commission Meeting held in New Delhi on 4th & 5th April, 2005.
• Note for the first meeting of Indo-Norwegian Joint Commission held in Oslo during 16th – 17th June, 2005.
• Note on export of engineering goods to Tajikistan for the 2nd Session of Indo-Tajik Joint Commission (ITJC) held in June 2005 at Dushanbe.
• Note on export of engineering goods to Czech Republic for 7th Session of the Indo- Czech Joint Committee Meeting held in Prague in September 2005.
• Note on export of engineering goods to Ukraine for the 4th Session of Indo-Ukraine Inter- Governmental Commission (IUIGC) – Increasing Bilateral Trade between India and Ukraine concluded in September 2005.
In addition to above, the Desk Officer has prepared the following country/commodity notes :
- Note on export of engineering goods to Germany - Foundry Industry in France - Market report on Automotive Industry in Germany 47 - Note on France - Note on Auto Parts in France - Indian Fastener Industry
Africa Desk
The following preparatory/joint commission/joint business Councils meetings were attended and follow up actions on the agreed minutes of the meetings were taken:- Meetings attended by the Desk Officer 1. Interactive Session Meeting with Delegation from Republic of Congo organized by CII on 16th November, 2005. 2. Meeting with Delegation from Africa organized by CII. 3. Meeting with Business Delegation from Kwazulu – Natal, South Africa organized by FICCI.
During the period under review, the desk prepared following notes for exporting community/ Government:
1. Country Note on South Africa 2. Country Note on Nigeria 3. Note on major engineering exhibitions in Africa region 4. Note on Namibia submitted to Sh. Yogendra Garg, Director, MOC in January, 2006 in connection with Joint Trade Committee (JTC) Meeting with Namibia. 5. Note on Ethiopia submitted to Sh. Yogendra Garg, Director, MOC in March, 2006 in connection with 4th Joint Trade Committee (JTC) Meeting with Ethiopia.
Activities of Panels and Committees
In the reporting year, Commodity Panels and Territorial and other Sub-Committees, which comprise member-exporters and representatives from service organizations, ably assisted Council in various trade related aspects. These Panels and Sub-Committees met at regular intervals at different locations and discussed various issues faced by the exporters. They reviewed the export performance, fixed new target and discussed issues relating to project, product and service exports, identified constraints faced by exporters and suggested suitable remedial measures. In addition to the above, Regional Committees and Functional Committees and also the Sub- Committees constituted at Regional level met at regular intervals and assisted the Council in its effective functioning. Many of the local issues were resolved through the efforts of these Committees. The observations/suggestions of these Committees were discussed at Regional and Central level and appropriate steps initiated. Details of Panel Meetings and Sub-Committee meetings took place during the year as follows : Panel Meetings
Sl. Name of Panel and Panel No. Date of Meeting Place No. 1. Sanitary Castings Panel (P-20) 19.04.2005 Kolkata 20.05.2005 Kolkata 29.06.2005 Kolkata 18.08.2005 Kolkata 08.11.2005 Kolkata 16.01.2006 Kolkata 23.02.2006 Kolkata 48 2. Pumps – All types Panel (P-28) 27.04.2005 Hyderabad 06.02.2006 Ahmedabad 3. Internal Combustion Engines, Compressors 21.05.2005 Rajkot and parts thereof Panel (P-9) 07.01.2006 Rajkot 4. Textile Mills Machinery & Accessories 31.05.2005 Mumbai Panel (P-1) 5. Fabricated Steel Structures including 01.06.2005 Mumbai Transmission Line Towers Panel (P-16) 06.02.2006 Kolkata 6. Steel Forgings Panel (P-22) 01.06.2005 Ludhiana 7. Electric and Home Appliances, Fans etc. 02.06.2005 Mumbai Panel (P-12) 18.01.2006 New Delhi 8. Instruments - all types Panel (P-35) 06.06.2005 New Delhi 10.01.2006 New Delhi 9. Aluminium & Manufactures thereof Panel 09.06.2005 Mumbai (P-23) 10. Ferrous Industrial Castings Panel (P-21) 15.06.2005 Kolkata 11. Ferro Alloys Panel (P-37) 24.06.2005 Hyderabad 12. Hand Tools Panel (P-15) 08.07.2005 Jalandhar 17.02.2006 Jalandhar 13. Motor Vehicles excl. Two Wheelers & 15.07.2005 Chennai Three Wheelers Panel (P-6) 25.01.2006 New Delhi 14. Stainless Steel House-ware Products 25.07.2005 Chennai Panel 16.01.2006 New Delhi (P-38) 15. Electric Power Machinery, Switchgear & 23.09.2005 Mumbai Controlgear including Cable, Conductors Accessories and Industrial Storage Batteries Panel (P-10) 16. Free Trade Zone and 100% Export 09.12.2005 Mumbai Oriented Units (P-31) 17. Construction and Earthmoving Machinery 12.12.2005 New Delhi including Cranes, Hoists, Mining Equipments and Tractors for Construction and Earthmoving purpose (P-30) 18. Projects Export (P-29) 16.12.2005 Kolkata 19. Two Wheelers and Three Wheelers - 14.12.2005 Mumbai Complete (P-11) 24.01.2006 New Delhi 20. Machine Tools (P-14) 03.02.2006 Bangalore 21. Steel Pipes, Tubes and Fittings thereof (P- 01.02.2006 Chennai 17) 22. Miscellaneous Manufactures - N.O.S. 24.02.2006 Kolkata including Ferrous Holloware and Office Equipments (P-33) 23. Fasteners - all types (P-27) 27.02.2006 New Delhi
49
Decisions taken at Various Panel Meetings
Sanitary Castings Panel
• Making available Pig Iron @ 2 rakes per month of both MOG/LM-III from IISCO for export production.
• To represent to Tata Metaliks that they are supplying Pig Iron to consumers in Orissa and Jharkhand at prices lower than in West Bengal, and also to review the situation.
• To organize a presentation on Wooden Packaging Material Certification (ISPM-15) to apprise member-exporters to USA on the certification requirements effective from 16th September, 2005.
• The Council should take up “Service Tax” being paid by exporters on account of THC, Transport Charges, Banks and Job Workers, in order that the same is refunded to them, as taxes are not to be exported.
• Target Plus Scheme of the Government should be made effective immediately. The Council should also impress upon the Government to make the scheme transferable.
• The Sanitary Castings Panel decided that “Orders backed by DA” shall remain withdrawn with effect from 15th July, 2005 for exports to USA except for 5 member-firms who have been given the dispensation till 15th October, 2005 to execute their existing orders on DA terms, whereas no new orders may be booked on DA terms effective from 15th July, 2005.
• It was attended by a large number of members. The floor prices for export of Sanitary Castings to USA & Gulf were discussed at length and revised downward.
• The meeting also decided on the yardstick of seeking revision in the floor prices. All these information have been circulated to the members.
• A meeting to be organized with Dr.Ashim Dasgupta, Hon’ble Finance Minister, Government of West Bengal on supply of Pig Iron to the Foundry in West Bengal;
• Formation of E-Group from amongst the leading exporters of Sanitary Castings for exchange of important information on a day-to-day basis including export performance;
• A meeting to be organized with Shri N. K. Sarkar, Addl.Commissioner of Commercial Taxes regarding VAT Refund within a specified time frame;
• Members suggested that the outcome of promotional events, organized by the Council, viz. Fairs and Exhibitions/BSMs etc. should be put on the Website for information to all members of the Council. Audio Visual presentation on the exhibitions concluded should also be shown during Panel meetings and other important meetings;
• Uptodate export statistical data should be reflected in the agenda of the Panel in order to assess the export trend of the product and also to review the existing target proportionately;
• Transferability of the Target Plus Scheme should be taken up with the Government; • Ocean Freight Rates have become a major constraint coupled with Peak Season Surcharge and other surcharge for exports to USA. The Ministry of Commerce and the Ministry of
50 Transportation should be impressed upon strongly to have a National Regulatory Body to oversee the erratic fluctuation in the Ocean Freight Rates.
• Floor Prices for export of CI Castings to USA and Gulf countries (except Saudi Arabia) were revised;
• Amendment of Section 80 HHC by Taxation Laws (Amendment) Act 2005 imposition of Penalty/Recovery of Taxes in regard to profits on sale of DEPB Credits was discussed and the affected members were advised to take legal advice;
• It has been decided that members of the Panel who have contributed towards the fund created for Promotion and Development of Sanitary Castings would participate in Hannover Fair 2006 by way of a 9 sq. mtrs. booth for Catalogue Display. Booth cost would be met from the funds collected;
• Product Catalogue for Sanitary Castings has been finalized and is under printing. The catalogue would be launched during Hannover Fair 2006;
• It was decided that Sanitary Castings exported from India should have a LOGO to depict that the product is Made in India. It has also been decided to consult SGS, BSI, Bureau Veritas and UL for their views on the above.
Pumps – All types Panel
• It was discussed that although in the previous meeting it was decided to participate in the Pumps & Systems China Exhibition to be held during 13th -16th July 2005, it was not included in the current years program. Therefore, the Committee decided that the Council can put up a proposal to participate in the said exhibition at least next year. • The Committee also decided to make a proposal to participate in any of the leading international exhibitions which gives focus on “Pumps Sector” or organize a BSM or to field a Delegation during the current year and to forward a suitable proposal to the Government for organizing this event under the MDA Scheme.
• It was proposed that special attention be given for promoting export of products from the Panel and to have a target of Rs. 675 crores for 2005 – 2006 and Rs. 775 crores for 2006- 2007; • Members present suggested that legal opinion be obtained regarding jurisdiction of Hon’ble Kolkata and other High Courts on Section 80 HHC matters on companies located across the country. Another meeting of the panel was held on 6th February, 2006 in Ahmedabad and was presided over by the Vice Chairman and Panel Convenor, Shri Mahesh Desai.
Shri Mahesh Desai welcomed members to the meeting and shared facts & figures about the Pump Industry in India : • Indian Pump industry produces around 1 million pumps valued at Rs.12 billion employing over 30,000 workers. • Pumps account for 30% of the power consumption in the country • The centrifugal pump technology, which works on a simple principle cover 85% of industrial applications, is estimated to be growing at an annual rate of 8%. • In India share of positive displacement pump in the domestic market is approximately 10%, which in international market is approximately 20%.
51 Further he said, Indian pump industry has been passing through a recession and following opportunities needs to be explored to rise to the challenges in the domestic as well as the world market :
• Presently only few manufacturers having collaboration with foreign manufacturers are making Magnetic Drive pumps. This technology holds promise in future and indigenous capability needs to be built in this field. • Centrifugal Pump manufacturers need to develop Magnetic drive pumps in association with Eddy Current drive manufacturers for normal temperature and simple liquids. • Many units of organized sector have adopted ISO 9000 Quality Assurance systems and manufacturers in the small-scale sector too need to adopt QA systems at a fast pace. This would go a long way in improving quality of pumps of small-scale units and enable them to enter International market. • Lastly, the Pump industry has to change the old mindset of focusing on domestic market only. Exposure of operating in world market will lead to benchmarking with competing products resulting in design and quality improvements.
Amendment of Sec 80HHC of the I. Tax Act
Panel Convener informed members present about the recent Circular No. 02/2006, dated 17.01.2006 concerning amendment of section 80-HHC by taxation laws (Amendment) Act, 2005 for imposition of penalty/ recovery of taxes. He also thanked the Chairman of the Council for taking up this issue in his recent meeting with the Hon’ble Prime Minister in the presence of Finance Minister, Commerce & Industry Minister and other Senior Officials of Planning Commision and DGFT. He further informed members present about Council’s Head Office seeking legal opinion on 80HHC on the request of member exporters. Members present suggested that legal opinion be obtained regarding jurisdiction of Hon’ble High Court in Kolkata and other High Courts on Sec 80 HHC matters on companies located across the country.
He also informed the member present about DEPB rates announced vide above Public Notice No. 12 (RE-2005)/2004-2009 New Delhi dated 26 May, 2005 and also about the revised All Industry Rates of Duty Drawback announced vide notification No. 36/2005-Cus (NT) Dated 02.05.2005. He invited issues and suggestions backed with data for presentation to the office of DGFT and Ministry for reviewing DEPB/SION/Drawback Rates and for products which are presently not covered under any of the DEPB/SION/Drawback Rates but need to be brought under the purview. Reference Book on Pumps
Chairman in the chair briefed the members present about the progress made by the Panel in regard to Reference Book on Indian Pump Industry and sought suggestions, co-operation and support from the panel members in making the Reference Book a reality.
Internal Combustion Engines, Compressors and Parts thereof Panel
Product catalogue
To be prepared prior to the delegation along with the delegate profile.
52 Fixation of SION
To engage a consultant in Rajkot for analysing/discussing with the cross section of the industry w.r.t. fixation of SION and the cost for this engagement to be borne by the panel members equally.
INDEE-Mexico, 2005
Members felt that Diesel Engine may be included in the thrust product section of INDEE 2005 and complete market information has to be obtained from Shri Shrikar Dole, Chief Operating Officer, I.E.C., EEPC, Chicago. Shri Khalid Khan, Convenor conveyed that if six or more participants take part in INDEE 2005, then a request could be made for having a Diesel Engine Pavilion in the said show.
Another Panel meeting of the said panel was held on 7.01.2006 in Rajkot and was presided over by the Panel Convenor Shri Khalid Khan. Shri J.K. Babla, Dy. Regional Chairman, EEPC (W.R.) attended the meeting.
Review of Export Performance
The members expressed their concern over the declining trend of export performance in the category of Stationery Agricultural Engines and Compressors. It was proposed that special attention should be given for promoting export of Stationery Agricultural Engines which used to be one of the leading product in this Panel. While commending on export performance the members suggested that representative data should be collected from all concerned for facilitating amendment of entries regarding SION, fixation of rate for DEPB, Drawback, etc. For that it was proposed that a specialist may be appointed as a consultant, the cost of which may be borne by the participating members of the Panel proportionate to their export turnover. It was also proposed that since I.C. Engine panel involves multi-various types of engine, special focus and attention must be given for attending the problems of Stationary Agricultural Engines and Components manufacturers. Report on delegation to Ghana, Togo, Senegal & Mali
Shri Khalid Khan, Convenor of the Panel, who happened to be the leader of the delegation, briefed the members present about the delegation. He stated that the delegation was a success though not in terms of orders booked, but in terms promotion of the products in new & unexplored markets.
Amendment of Sec 80HHC of the I. Tax Act
Members deliberated on this issue in great detail and it was finally proposed that members would wait for the verdict in the writs to be filed at Hon’ble High Court in Kolkata High Court in this regard and take a decision accordingly. It was also suggested that legal opinion may be obtained regarding jurisdiction of Hon’ble Kolkata and other High Courts on 80 HHC matters on companies situated all over India. Further, the panel convener was requested to take up with the I. Tax Authorities for extension of abeyance from 31st December, 05 to 31st March, 06.
Promotional Activities for 2006-07
Members were requested to give their suggestion for single product trade delegations, desk studies and market research reports etc.
53 Members deliberated on the subject for a long time and after a detailed discussion it was finally decided that members would join the multi product Trade Delegation to be organized by the Council in 2006-07. The proposed destinations were as follows: 1st option: a) Central African Republic, b) Cameroon, c) Congo (Kinshasa) and d) Gabon 2nd option: a) Algeria, b) Tunisia, c) Mauritania and d) Libya.
Promotional Programmes specific to export of Internal Combustion Engines, Compressors and Parts thereof
- It was deliberated in the meeting on the provision available under Chapter 3 – Promotional Measures, para 3.3 – Towns of Export Excellence under the Foreign Trade Policy, wherein a Diesel Engine Industrial Cluster can be created in Rajkot. Members requested Council’s assistance in this regard.
- Panel proposed a delegation of around 5 top manufacturers to China to study on the Chinese I.C. Engine Manufactures Industry through the Council or a Joint Delegation with Pump Panel together and study the industry and review and take steps to compete with them.
Fabricated Steel Structures including Transmission Line Towers Panel • Export Finance : Members expressed concern over increase in the interest on Export Packing Credit. Countries like China are extending Credit on simple terms to Exporters. The EPC should be made available at LIBOR (currently 3.8% approx.) in Indian Rupee Credit and not in Foreign Currency.
• To represent the Ministry for continuation of DEEC/DFRC/DEPB Policies and abolition of SION as there are millions of items in the Engineering sector and it is difficult to fix Input- Output Norms for every item when exporters are trying new markets and new engineering products. DEPB rates could be synchronized on the basis of specific raw materials used like Steel Billets, Wire Rods etc. similarly for Non-Ferrous items. • To represent the Ministry for Technology Up-gradation Fund Scheme (TUFS) for Engineering Industry similar to (TUFS) launched by the Government recently to benefit the quote free regime of Indian Textile Industries. The benefit available under that scheme are : 5% Interest Reimbursement or 15% Credit Linked Capital Subsidy for SSI Units or 20% Credit Linked Capital Subsidy for Powerloom Sector or 5% Interest Reimbursement and 10% Credit Linked Capital Subsidy for Specified Processing Machinery.
• Members were of the opinion that it should not be mandatory for exporters holding Golden Card to pay ECGC premium and Council should write to the concerned authority for the same. 54
Steel Forgings Panel
• Revision of DBK rates. • Sales-cum-Study Tour may be covered under MDA. • VAT may be exempted on inputs used for manufacturing exportable material. • Cost of transportation of shipments to the port should be subsidised. • Steel prices may be contained. • DEPB may be restored in view of the international competition.
Instruments - all types Panel
• That members of Instruments Panel must have collective approach in getting the DEPB fixed or revised. They must form small Associations who can represent along with EEPC to DGFT for fixation/revision of DEPB or Drawback. Members of the Panel must make the best use of EEPC expertise in getting the DEPB rates fixed. The Panel Chairman Shri R. N. Grover requested the secretariat to extend all possible help in getting the rate fixed or revised.
• Members present also requested EEPC to pursue with the Government to start MDA for Sales-cum-Study Tour for exporters whose FOB value of exports is less than Rs. 5.00 crores. Government must evolve some mechanism to ensure that the scheme is availed by genuine members and is not misused. Since other export benefit like 80 HHC is withdrawn and, DEPB is reduced, it is high time that SST under MDA is restored back which will bring some respite to the exporters.
Ferro Alloys Panel • Government must ensure adequate supply of raw materials, improvement in infrastructure facilities, exemption of fringe benefits tax on export promotion; • Alternative scheme to DEPB, taxes on fringe benefits be taken up strongly with the Government. The Target Plus scheme announced by the Government in the new Foreign Trade Policy should be totally transparent and beneficial to the exporting community. Hand Tools Panel
• The matter relating to Section 80HHC was discussed in great detail. It was informed by the members that several cases of previous years have been reopened by the Income Tax Department and huge liabilities have been slapped on the exporters. Two major difficulties are being faced by the members on this section. One pertains to Taxability of DEPB and the second pertains to negative profits. The members expressed surprised that the Income Tax Department is going against the intent of the government, which was to exempt export profits from Tax earlier. It was also informed to the members that the matter is still with the Rangarajan Committee, which has submitted its Interim report. In this Interim report some exemptions have been made for exporters having exports of less than Rs. 10 crores. The members were further informed that the Income Tax Authorities have got instructions not to initiate recovery proceedings till 31st August, 2005. An eminent Chartered Accountant Shri S. S. Kalra also attended the meeting. He informed the members that these internal instructions of the department were not binding on ITAT. Several cases were due to come up before ITAT Amritsar of the members and since the ITAT is a Quasi Judicial Body, hence it was free to decide the cases without waiting any further government instructions. The members strongly asked the Council to take up matters very strongly with the government to have these issue resolved at the earliest.
55 • The DEPB scheme should run parallel to the new scheme at least for six months to dispose off the old commitments; • Service tax on the payment of commission to the overseas agents should be exempted; • Service tax should be neutralized through DEPB and DD; • Traders not registered with central excise are not eligible for refund of excise duty under CENVAT .Merchant exporters be allowed refund of duty without necessary registration with Central Excise; • There should be a national VAT applicable in all states ,instead of individual state applying different procedures; • There should be no Fringe Benefit Tax on Tours & Travels, Sales promotion ,Publicity, gift to foreign buyers etc.; • To restart exemption under Section 80HHC of Income Tax Act. • MDA facility on Sales Tours be restarted and bifurcation of stall charges and travel charges should be withdrawn.Net refund of Rs.1,10,000 or Rs. 1,40,000 should be applicable; • The exporters from Northern Region are at locational disadvantage as compared to the exporters near the ports. They pay an additional Rs.22,000/- towards freight for making shipments. Freight neutralization scheme should be restarted to make them competitive; • Members requested for proper representation to Government for removal of 14 days advance notice condition in the MDA Scheme.
Motor Vehicles excluding Two/Wheeler Panel
• Adequate measures should be taken by the Government to reduce the transaction cost due to imposition of VAT and other rules and regulations in regard to exports and imports. • The export incentives must be continued; • The Government should come forward to revamp the Ports in India and strengthen infrastructure facilities to handle all kinds of export consignments. • Panel meeting was held on 25.01.2006 in New Delhi and was presided over by the Panel Convenor Shri P G Shankar.
Stainless Steel Houseware Products Panel • SION Shri N. R. Maharajan of M/s. Radha Metals, Chennai, emphasized that the existing SION must be continued. The members, in general, was of the view that the licensing authorities are of late very stringent in clearing the advance licence applications of stainless steel exporters and expressed that the Government should not penalize genuine exporters with good track record because of the misuse of the policy provisions by some of the exporters.
• Drawback Members took note of the new drawback rates notified for the products of the Panel. It was felt that the major part of the industry exports items of low nickel content (less than 4%) and thus these would fall under Sr. No. 732301 with a rate of 11% and a value cap of Rs. 8.10 per kg. Further it may not be practicable for exporters to describe the nickel percentage in absence of in-house laboratory for test gradation. Again a particular item e.g. Water Jug may have different nickel gradation for it’s different parts like jar, lid, handle etc. which would create enormous problem during Customs examination such as drawing of sample, waiting for lab report etc. This would also lead to increase the transaction cost. To avoid such 56 problems members are of the opinion that the 4% nickel content are kept at same level, there is no rationale to introduce such criterion at the time of export. In view of the above it was unanimously suggested that the description of goods under this sub serial number be modified to remove the 4% nickel content criteria and bring in an uniform drawback rate of 11% of all exports irrespective of nickel content with a value cap of Rs. 17.10 per kg. (i.e. the duty part of raw-material having less than 4% nickel). As far as the items mentioned against Sl. Nos. 8211 and 8215 (i.e. S.S. Cutlery) are concerned, the members felt that it has not been considered at par compared to S.S. Utensils though the inputs of both the products are same and attracts same duty structure. In fact S.S. cutlery should be given higher drawback since it is having higher wastage. Therefore, there should not be any discrimination between their rates and the rates approved for S.S. Utensils should be applied to S.S. cutlery also.
• Promotional Programmes specific to export of Stainless Steel Houseware Products Members sought the assistance of the Council in setting up India Pavilion in the leading international fairs exclusively for the products of the Panel at Ambiente Messe, Frankfurt, Germany & Hong Kong Houseware Show as they are experiencing difficulty in getting space in these fairs. Sri Kotadia requested Sri B. Sarkar to ensure that these events are included in the Council’s MDA proposal to the Government for the year 2006-07.
• India Pavilion at International Home & Houseware Show, Chicago, USA Panel took note of the steps to be taken by the Council in organizing the above show at Chicago, USA from 12th to 14th March, 2006. The Convener requested the members to confirm their participation at an early date and pay the participation charges well in advance so that space booking can be made by the Council in time.
Electric Power Machinery, Switchgear & Controlgear including Cable, Conductors, Accessories and Industrial Storage Batteries Panel
• SION Members, in general, were of the view that the licensing authorities are of late very stringent in clearing the advance license applications of exporters and expressed that the Government should not penalize genuine exporters with good track record because of the misuse of the policy provisions by some of the exporters.
• DEPB Chairman in the chair informed members about DEPB and being replaced with new scheme - Duty Neutralization Scheme in near future, details of which are presently being worked out. He sought suggestions on products such as Battery-Charger, Dry Type Transformer and Motors, which are presently not covered under DEPB but need to be brought under the purview of DEPB. He invited issues and suggestions backed with data for presentation to the office of DGFT and Ministry for reviewing DEPB/SION/Drawback Rates. Panel Convener proposed formation of a Core Sub-Committee and requested members to volunteer and nominate representative to collect data to identify products in the main product and to enable EEPC to compile and present to office of DGFT and Ministry. Following persons volunteered for different products in the panel : - Transmission and Distribution : Mr. Kandar - Switchgear components & Controlgear : Mr. Nayan Shah, Deepak Pathare and Mr. Dharia - Industrial Storage Battery : Mr. C. V. Natrajan - Cable/Conductor accessories : Mr. H. H. Goenka 57 • Promotional Programmes specific to export of Panel Products Members strongly felt about immense exporting opportunities of panel products to Far East, African Countries, South East Asian Countries and after due deliberation and discussion unanimously proposed to have following promotional programs for the Panel to gain market access : India Pavillion : Elenex in Australia & Indonesia, Techno in Sri Lanka, Middle East Fair Delegation : Myanmar/Thailand/Vietnam/Bangladesh under ASEAN+2 Focus Programme
Buyer-Seller Meets : Brazil, Argentina and prominent Latin American Countries Panel Convener requested Council’s representative to ensure that these events are included in the Council’s M.D.A. proposal to the Govt. for the year 2006-07.
• Publication of a Product Catalogue highlighting Product Development & Manufacturing Capabilities of Electric Power Machinery, Switchgear & Control gear including Cable, Conductors, Accessories and Industrial Storage Batteries Panel Convener endorsed the proposal at an increased rate of Rs. 5000 per participant application and asked EEPC-WR Office to issue a circular to all members inviting participation for a Product Catalogue on Electric Power Machinery, Switchgear and Control gear including Cable, Conductors, Accessories and Industrial Storage Batteries.
• Golden Jubilee Celebration of Engineering Export Promotion Council Chairman in the Chair informed the members that the Council has entered into the Fiftieth Year and contemplated nationwide celebration. He further informed members present about Shri Kamal Nath, Hon’ble Minister for Commerce & Industry, acceptance to be the patron-in- Chief.
• Submission of Monthly Export Returns to the Council Panel Convener asked the secretariat to issue a separate circular to Panel members informing them of the mandatory requirement of Monthly Export Returns submission to the Council.
• Hosting of Home Page/Providing Hyperlinking Services on the Council’s Websites Members were requested to take advantage of these services which were available at minimal annual charge of Rs.1,500/- only and may get hiked in due course.
• Updation of contact information Panel Convener requested members to furnish full contact details in the prescribed format. He also asked the Secretariat to circulate the form.
Free Trade Zone & 100% Export Oriented Units Panel • Foreign Trade Policy and Pre-Budget issues for the year 2006-07; • Revision in the Guidelines on Marketing Development Assistance (MDA); • Promotional activities planned for the year 2005-06 and 2006-07 including Hannover Fair 2006; • Issues relating to Free Trade Zone & 100% Export Oriented Units. • Hosting of Home Page Providing Hyperlinking + Services on Council’s Website etc.
58 Construction and Earthmoving Machinery including Cranes, Hoists, Mining Equipments and Tractors for Construction and Earthmoving purpose Panel • It was decided that Non-Refund of VAT be taken up with the highest authority in the Ministry of Finance and also the Empowered Committee on VAT, as sizeable amount of exporters’ fund is blocked.
Projects Export Panel
• Vat Refund Mechanism should be put in place immediately as significant funds of exporters are being blocked; • Members suggested that the Council should organize an INDEE in Bangladesh to promote export of Technical Services and Projects. Electric and Home Appliances, Fans, Sewing Machines, Dry Batteries, Torch Lights and other Electrical Manufactures - N.O.S. Panel
• Members were of the view that due to non-attractive/non-competitive DEPB rate prevailing in India i.e. 3% as compared to China where it is more than 12%, there was a negative growth (26%) in export of Fan.
Steel Pipes, Tubes and Fittings thereof Panel
• The Panel Convener requested the members to offer their suggestions to identify target countries to the Secretariat to organize Buyer – Seller Meets, sponsor trade delegation, India Pavilion in leading specialized international exhibitions specifically for the products of the Panel with MDA grant in the focus regions; The members present desired the Secretariat to obtain export target from the individual members and fix suitable target for the products covered by the Panel.
Machine Tools Panel
• The Panel Convener requested the members to forward their views and suggestions to identify target countries to the Secretariat to organize Buyer – Seller Meets, sponsor trade delegation, India Pavilion in leading specialized international exhibitions specifically for the products of the Panel with MDA grant in the focus regions.
Textile Mills Machinery & Accessories Panel
• Export Performance Review
Members emphasised the need for circulation of quantitative data amongst the members to help them in ascertaining the exact growth in exports. This would also help in finding out whether the growth is due to dollar rupee conversion or any other external factors.
• Foreign Trade Policy
Panel Convenor commended Council for efforts in taking up the issue of Fringe Benefit Tax and informed members about the representation made to the Finance Minister by the Council.
59
• Value Added Tax (VAT)
Panel Convenor thanked the Regional Chairman, EEPC, WR for his personal attention and for having taken up the matter with the Commissioner of Sales Tax. He informed members that the exporting community could avail benefits using H Form for purchases made by them.
• Revision in the Guidelines on MDA Scheme
Members requested for a review in MDA provided currently under the heads of Stall Charges and Travel Expenses. MDA be a percentage of the total expenses under these two heads, the overall limit remaining unchanged and as prescribed by the Ministry under various Focus areas.
• Product Catalogue
Panel Convenor endorsed Council’s representative for a proposal relating to release of Product Catalogue on Textile Machinery & Accessories during ITMA ASIA 2005 and asked EEPC, WR Office to issue a circular to all members inviting participation. Panel Convenor and members present approved EEPC, WR proposal for a hike in participation costs to Rs. 5,000/-.
• INDEE-Mexico, 2005
Panel Convenor appreciated EEPC, WR proposal relating to Textile Pavilion in INDEE- Mexico, 2005 and asked to issue a circular inviting participation from Textile Machinery Panel members.
• Submission of Monthly Export Returns to the Council
Panel Convenor asked the Council to issue a separate circular to Panel members informing them of the mandatory requirement of Monthly Export Returns submission to the Council. Aluminium and Manufacturers thereof Panel
• Foreign Trade Policy : SION
Panel Convenor requested the Council to seek clarification from DGFT on Public Notice No. 08/2005 dated May 13, 2005 relating to Revision of SION by ALC and a special reference to Appendix 23 (Register for Maintenance of Consumption and Stocks of Imported Raw Material/Components by the Actual Users) and a levy of 15% per annum interest on inventory of imported material or unutilised imported material.
• Importation of Raw Material – Aluminium Ingots through MMTC
Panel Convenor urged members to take full benefits under importation of raw material through MMTC Limited (A Govt. of India Enterprise) and requested the members to get in touch with the Council’s Regional Office, Mumbai for their further queries relating to this issue.
60 • Product Catalogue Panel Convenor endorsed Council’s representative for a proposal relating to release of Product Catalogue on Aluminium and Manufacturers Thereof during INDEE-Mexico, 2005 and asked EEPC, WR Office to issue a circular to all members inviting participation. Panel Convenor and members present approved EEPC, WR proposal for a hike in participation costs to Rs. 5,000/-.
• INDEE-Mexico, 2005 Panel Convenor appreciated EEPC, WR proposal relating to Aluminium and Manufacturers Pavilion in INDEE-Mexico, 2005 and asked to issue a circular inviting participation from Panel members.
• Submission of Monthly Export Returns to the Council
Panel Convenor asked the Council to issue a separate circular to Panel members informing them of the mandatory requirement of Monthly Export Returns submission to the Council.
Free Trade Zone and 100% Export Oriented Units Panel
Panel meeting was held on 09.12.2005 in Mumbai and was presided over by the Panel Convenor Shri V S Anand.
Foreign Trade Policy and Pre-Budget issues: Members took note of the issues raised by the Council in Memorandum on Foreign Trade policy sent to the DGFT and its Pre- Budget proposals sent to the Department of Revenue.
Sub Committee Meetings
Sl. Name of Sub-Committee Date of Meeting Place No. 1. Functional Committee for Andhra Pradesh 27.04.2005 Hyderabad 2. Committee on Trade with Africa 28.04.2005 Bangalore 01.09.2005 Mumbai 3. Regional Committee (SR) & Functional 28.04.2005 Bangalore Committee for Karnataka & Kerala 4. Golden Jubilee Celebration Sub-Committee 28.04.2005 Bangalore (SR) 02.08.2005 Bangalore 02.09.2005 5. North America Sub-Committee 16.05.2005 Kolkata 6. Overseas Sub-Committee 20.05.2005 Mumbai 09.12.2005 Mumbai 7 Committee on Infrastructure Development 24.06.2005 Hyderabad 8. Regional Committee (ER) 05.07.2005 Kolkata 9. Publicity, Exhibition & Delegation Sub- 14.07.2005 Kolkata Committee
61 Decisions taken at the Overseas Sub-Committee Meeting held on May 20, 2005 in Mumbai
(i) As per the decision of the Committee of Administration, the Council’s Foreign Office in Duesseldorf will be shifted to Hamburg. The Overseas Sub-Committee, in its meeting held on 20th May, 2005, decided that only warehousing facilities should be offered from Hamburg. (ii) Market Coverage In order to cover various markets more effectively the Committee decided to set up India based market desks for various countries to be handled by India based officers as outlined below : Territory Name of the Indian Offices to look after CIS & Central Europe Desk All CIS countries Territorial Office, New Delhi All Central European countries Australia Desk Australia EEPC, Chennai New Zealand Africa Desk Kenya EEPC, Mumbai Tanzania Uganda South East Asia Desk Bangladesh EEPC, Head Office Myanmar Latin American Desk All Latin American countries EEPC, Territorial Division In this regard, the Committee decided that the following officers of the Council would be responsible for various market desks : CIS & Central Europe Shri V. K. Duggal, T.O. Latin American Countries Shri Rahul Singh, T.O. South East Asia Shri A. Sengupta, R.O., Kolkata Australia/New Zealand Smt. A. Shanti, R.O., Chennai Africa Shri K. S. Nair, T.O. The Committee also deliberated over the issue of thrust markets to be covered by various Foreign Offices of the Council and accordingly the following countries in each area were identified as thrust markets : Singapore Office : Singapore, Thailand, Malaysia, Indonesia, China. Johannesburg : South Africa, Nigeria, Ghana, East Africa, Kenya, Uganda, Tanzania Hamburg : UK, Germany, France, Italy, The Netherlands Chicago : USA, Canada
62 Decisions of the Functional Committee for Andhra Pradesh held on April 27, 2005 in Hyderabad A meeting of Functional .Committee for Andhra Pradesh was held on 27th April, 2005 under the Chairmanship of Shri P. Ramesh Kumar. Shri B. Chandrasekharan, Regional Chairman and Shri C.S. Shukla, Executive Director attended the meeting. Shri C.S. Shukla, explained in detail about the promotional activities undertaken during 2004-2005 as well as the promotional activities, which are going to take place in the current financial year i.e. 2005-2006, about the Indian Engineering Centre in Chicago and the forthcoming India Tech Shows, now called INDEE in Mexico and China. He also briefed the result achieved by the Trade delegation to China. Decisions of the Committee on Trade with Africa held on April 28, 2005 in Bangalore The Regional Manager along with the Executive Director attended the 1st Meeting of the Committee on Trade with Africa organized by EEPC, Mumbai, held at Bangalore on 28th April, 2005 which was chaired by Shri B. Chandrasekharan, Regional Chairman, who is also the Chairman of the said Committee. The Committee reviewed the exports to Africa and requested the Secretariat to identify 15 countries and prepare country profile, which would include the following : i. Economic indicators ii. Total imports iii. India’s share vis-a-vis total major products imported iv. Exhibition/Trade Fairs v. Address of Trade Bodies/Chambers of Commerce/Associations Decisions of the Regional Committee (SR) & Functional Committee for Karnataka & Kerala held on April 28, 2005 in Bangalore
The Regional office organized combined meeting of Regional Committee, Southern Region and the Functional Committee for Karnataka & Kerala at The Grand Ashok, Bangalore on 28th April, 2005. The Committee reviewed the export performance of engineering goods and services from Southern Region which was Rs. 7910 crores during the year 2003-2004 as compared to Rs. 6,075 crores during the same period last year, achieving a growth of 30%. The Committee also noted that during the period April-December, 2004, the Region had recorded an export performance of Rs. 5120 crores as against Rs. 2720 crores during the corresponding period of the previous year, registering an all time growth of 88.23%. The Executive Director of the Council attended the meeting who enlightened the members about the various export promotional activities being organized by the Council and also the improvements made in the existing Market Development Scheme to boost export of engineering exports. Decisions of the Golden Jubilee Celebration Sub-Committee (SR) Meeting held on April 28, 2005 in Bangalore The Regional Office, Chennai organized the 1st Meeting of the Golden Jubilee Sub-Committee (Southern Region) headed by Shri B. Chandrasekharan, Regional Chairman on 28th Arpil 2005, at Century Club, Bangalore. The Committee discussed, at length, the arrangements to be made for the Golden Jubilee Celebration in Southern Region and to ensure the event commemorating the Golden Jubilee Year of the Council is organized in a befitting manner. Decisions of the North America Sub-Committee Meeting held on May 16, 2005 in Kolkata (a) to prepare Interactive CD for the identified sectors for use in the North American market; (b) to collect CD Directory of Importers and Exporters in USA, published by US Department of Commerce; 63 (c) to organize Technical Seminars on Cast and Ductile Iron Products inviting overseas technical consultant as well as. Indian experts as a programme for the Golden Jubilee Celebration of the Council; (d) to create a separate fund from Sanitary Castings Panel members for organizing press conference etc. against frequent increase of the cost of raw materials; (e) to constitute a Duty Drawback Committee under the Chairmanship of Shri B. D. Agarwal, Director, Calcutta Ferrous Ltd.; (f) to take-up the issue arising out of the US regulations on the Wood Packaging Material, applicable from September, 2005 with the Government for immediate remedy; (g) to fix-up criteria for brand promotion of Indian engineering products meant for export to USA.
Policy Matters
The Council complimented the government for announcement of the Supplement to the Foreign Trade Policy for 2005-09 and its decision to continue with the DEPB Scheme till such time an alternate scheme to replace the existing DEPB is in place. The Council reiterated its submission regarding continuing with the present scheme for a period of six months, even if the new scheme is announced to enable the exporters to negotiate their contracts for a reasonable period of time.
Appreciating the proposal to set up Inter State Trade Council, the Council suggested that its role should, inter-alia, include the following:
(a) Exemption of VAT on entitlement; (b) To ensure refund of VAT to the exporters, not later than on a monthly basis; (c) Electricity Duty to be waived off for manufacturing unit producing more than 50% of exports; and (d) Matters relating to Labour Laws.
Issues such as implementation of Target Plus Scheme, Removal of cess on Mica Products, need to stipulate time limit for Audit objections, restructuring of Star System (1 to 7) or to revert to earlier system, Exemption of VAT/Sales tax on DEPB & Reduction in cost of application fee filed electronically for issuance of DEPB credit, Waiver of Customs Audit of DEPB, inclusion of exporters in MDA Scheme having export performance of 15 crores in the preceding year, Support of Indian Missions to overcome the difficulties faced by Indian companies for export of their products to some target countries, Insurance cover for Consultancy firms, Infrastructure for improvement of export competitiveness etc. were highlighted in the Post Policy Memorandum.
Inter State Trade Council
The Council invited points from member-exporters to facilitate exports and discuss State related issues such as Electricity Duty, Transaction Cost, VAT, CST, Entry Tax, Multiple CST, Labour, Mandi Tax, Exemption from Octroi, Waiver of cess on Mica, Permanent Trade Fair Complex in Koltaka etc.
The issues were taken up with Hon’ble Commerce & Industry Minister for inclusion in the Agenda for the meeting of Inter-State Trade Council.
64 Board of Trade
Shri Rakesh Shah, Chairman of the Council was nominated as the Convenor of the Working Group set up by the Board of Trade, a high powered body set up by the Government of India to evaluate the Export Promotion Schemes with the following terms of reference:
- Evaluating the performance and effectiveness of different schemes in meeting the objectives; - Global best practices in Export Promotion Schemes followed by developed and developing countries; - Study of cess, tax, duties and levies paid by the exporter; - Best possible way to neutralize all such levies; - Use of ASCM as a tool for adding WTO compatible features in the existing schemes.
A detailed paper on the status of various Export Promotion Schemes in existence was prepared, which included DEPB, DFRC, Advance Licence, EPCG Licence, Target Plus, Duty Drawback etc. For better appreciation of these Exim Schemes, information regarding the following was sought from various Government Officials/Departments:
- Number of exporters that have used each of the schemes mentioned above in each financial year; - Amounts that have been utilized by exporters under each of these mentioned schemes each year in each financial year.
M/s. Economic Laws Practice, Mumbai, a Consultant, was engaged by the Council to assist the Working Group to formulate its recommendations
A study was commissioned by the Council and carried out by the Consultant for evaluation of different Export Promotion Schemes to formulate its recommendations. The Council’s Officers actively assisted the Consultant; the report of which has been finalized and a copy each of the same was submitted to the Hon’ble Commerce & Industries Minister, Commerce Secretary & Director General of Foreign Trade and the Chairman of the Board of Trade for their perusal.
During the third meeting of the Board of Trade held on 14th March, 2006 wherein key issues regarding Foreign Trade Policy were discussed, the Council, inter-alia, took up following issues:-
(a) An alternative scheme to the existing Target Plus Scheme was suggested to impart the desired push to the Indian exports. It was suggested that an added/extra incentive over and above the existing schemes may be granted to certain identified products exported to the identified markets, as such a measure is likely to give the necessary fillip to the engineering exports from the country.
(b) Besides emphasizing the need to continue the DEPB Scheme, a basic framework of a ‘Cost Neutralization Scheme’ for exports, based on net-foreign exchange realization was suggested.
This scheme, besides being simple in operation and remitting the incidence of duties& taxes on exported products; is also expected to give the necessary impetus to employment generation in the country.
(c) The levy of service-tax on various activities that are part and parcel of an export transaction is also agitating the minds of exporters. Therefore, the Council urged the Government to refund the incidence of service tax paid by an exporter either by
65 factoring-in its incidence into the existing FTP schemes or designing a new scheme to refund the same.
The Council also submitted its suggestions for the Annual Review of the Foreign Trade Policy for the year 2006-07 to the Department of Commerce & Director General of Foreign Trade for their perusal and appropriate action.
Some of other suggestions made by the Council were: The Policy announced should be a Sovereign Commitment, Need to simplify the processes under the Advance Licence Scheme, Transferability of Advance Licences; Grant of Duty Drawback on supply of furnace oil under the Advance Licence Scheme; Inclusion of incidence of duty on fuel while calculating the DEPB rate; Suggestion for the alternative scheme to the DEPB Scheme; Need to modify the EPCG Scheme; Removal of minimum 25% value addition under the DFRC Scheme; Grant of greater autonomy to EOUs at par with units in SEZs; Tax exemption under Section 10B to existing EOUs; Implementation of investor friendly labour laws in SEZs; Transferability of Duty Credits under the Target Plus Scheme, Enlargement of beneficiaries under the Target Plus Scheme etc.
During the period, the Council took up various issues as received from member-exporters on various policy matters with different Government departments such as: Extending the operation of the DEPB Scheme till a new Scheme replacing the DEPB scheme is put into effect, Refund of Excise Duty on export of duty paid goods, Duty Exemption sought by the customer in Sri Lanka for export shipment of warranty spares, representation received from the PMO regarding relaxation of the Excise Duty on all the raw materials, parts and accessories, Benefit of rebate on Education Cess on export of goods cleared for export under Bond, Wrong fixation of Annual Average Export Obligation on EPCG Licence, Extension of Export Obligation period beyond 30 months against advance license, Foreign Exchange Management (Current Account transactions) Rules 2000, Elimination of Custom duty and reduction in Excise Duty on Tinplate Raw Material; Service Tax on Foreign Agents Commission, Refund of Export Proceeds on Quality Claims. Measures for improving the competitiveness of the local manufacturers, clarification regarding deemed export excise duty exemption under Notification No. 48/2004- Central Excise dated 10/09/2004, Issues concerning Customs such as problems related with the field-formations of Customs when the exporters come back from the sales promotion tour and carry along with samples of the products to be exported etc.
Council’s efforts have bore fruits as RBI has stated that they would consider allowing Authorised Dealers to permit remittance of funds without insisting on evidence of reimport of the goods subject to the exporter submitting a certificate from DGFT for having surrendered incentives or that no incentives have been availed against the relevant export.
Budget
For the Budget Proposals for 2006-07, the office invited suggestions from the trade and industry for amendments/modifications in the customs/excise duty structure etc. Suggestions such as Income-tax issues - Restoration of benefits under Section 80 HHC, Service Tax on Commission paid to Foreign Agents, Fringe Benefit Tax, Exemption of export incentives like DEPB, DFRC and Duty Drawback etc. Refund of Statutory Levies, Need for uniform method of computing deduction, Deduction of TDS on Works Contracts, QIS for TDS/TCS, Abolition of CST, Amendment required to be made to the CENVAT Credit Rules, Payment of Customs Duty, Green Channel Facility, Duty Free shipping bill for Export Oriented Units , Self Sealing of Export Consignments, Import of Mannuals, Drawings etc., Issues concerning State Governments such as Implementaion of VAT, Abolition of Entry Tax, Need for issuance of a guideline for credit to be extended for 360 days, need to make availability of export credit at lower interest rate etc.were forwarded to the concerned authorities for consideration.
66 The Council made a presentation before the Revenue Secretary regarding its pre-budget proposals for the year 2006-07 on 22nd November, 2005 and the Office forwarded a copy of the Pre-Budget Proposals for the year 2006-07 to Shri K. T. Chacko, Director General of Foreign Trade, FIEO and DOC for their perusal and appropriate action.
Drawback Matters
Members were timely requested to submit the requisite data for fixation/review of All Industry Rates of Duty Drawback.
Besides the above, specific cases of exporters such as; Upward revision in Duty Drawback Refund rates for the item of Brass Builders Hardware; Amendment of Notification No. 19/1965- Cus. Dated 6.2.1965 for availing of drawback under Section 74 of the Customs Act, 1962, Clarification for All Industry Rate of Duty Drawback Schedule – Sr. No. 85.11. i.e. Plates for lead acid storage batteries, Clarification regarding Duty Drawback on Stainless Steel Kitchen Utensils, Issue regarding reduction of Duty Drawback from 8% to 1.5% on Gun Metal Valves, Drawback claimed in respect of Blow Moulding Machine that was re-exported, fixation of All Industry Rate of Duty Drawback for Combine Harvester (Domestic & Export Model), Castings, Interpretation of Drawback on Hand operated spanners &wrenches-coated or plated with nickel etc. were forwarded to the Directorate of Drawback for their necessary action.
Regarding Drawback on Bicycles - non-reimbursement of duties and taxes used in the inputs of the products to be exported, Council appropriately took up the matter with the Drawback Directorate for revision of Drawback rates taken into account the incidence of duties and taxes suffered by exporters. Matter regarding revision of Drawback rates in respect of Hand Tools was also taken up in a big way.
Accepting the Council’s contentions, the Drawback rates in respect of Bicycle & Bicycle Parts were raised upwards.
SIONs/DEPB
The Office circulated the decision of the O/o DGFT for revision/review of SIONs for Sr. No. C-01 to C-100 and request of Ministry of Steel for amendment in certain SIONs such as C-1647, C- 832, C-833, C-593, C-1289 – 1292 of Engineering Products etc. through the Regional Directors/Panel Convenors. The data/details received from member-exporters for review/revision/amendment of SION in respect of Furnace Oil, All Aluminium Utensials, Cold Rolled Steel Products, Modification of SION for All Aluminium Alloy Conductors, All Aluminium Conductors, Aluminium Conductor Steel Reinforced etc. were forwarded to the O/o. DGFT.
The Council collected the views/comments from the Aluminium manufacturers for formulating its comments on a query from Department of Commerce regarding Massive Revenue Loss to the Government due to incorrect DEPB Rate for export of Aluminium. The Office also took up the issues of fixation of DEPB rate for Trumpet Horns, Review of DEPB, rate of Single Phase Motors, Fixation of DEPB rate for Agricultural Tractor, Delay in DEPB claims due to non- reflection of DEPB Shipping Bills in the online system etc.
Proposals on PTAs/FTAs/NTBs
The Council contributed to the various meetings organized by the Department of Commerce on RTA’s/PTA’s such as GSP coverage on Accession of Russian Federation to WTO-bilateral understanding on GSP, FTA with Indo-Thailand, PTAs/FTAs/NTBs such as Negative Lists under BIMSTEC FTA, Interactive Session on ‘BIMSTEC’ Free Trade Agreement, PTA with Chile- Finalization of list of products for the tariff concession from Chile, “Rules of Origin Issues in
67 India-ASEAM FTA, Constitution of Inter-Ministerial Committee in DGFT to co-ordicate the work of Foreign Trade Agreements (FTA) including tariff line relating to Auto Sectors in the Sensitive List under South Asia Free Trade Area (SAFTA) etc.
The Office also contributed for collection of feedback from the Trade and Industry and collected information in formulating India’s strategy for Rules of Origin in India-ASEAN FTA with Ministry of Commerce & Industry for carrying out a technical exercise for all the products.
The Council invited Panel-wise suggestions through its Panel Convenors for inclusion of items in the request list to the Global System of Trade Preferences (GSTP) Member countries as per the format suggested by the DOC.
WTO-AD/CVD Matters
The Council along with UNCTAD organized a Stakeholders Consultation-Workshop on Post- Hong Kong Ministerial Consultation on 21st March, 2006 at Jalandhar to discuss issues on NAMA negotiations relating to light engineering goods, bicycles and sports goods in Punjab, for the benefit of the Indian domestic Industry and exporting community.
In the matter of Administrative review of CVD decision by USA in respect of ‘Hot Rolled Carbon Steel Flat Product’s from India; and in the matter of Expiry Review of the findings by the Canadian International trade Tribunal (CITT) concerning the ‘Flat Hot Rolled Carbon & Alloy Steel Sheet & Strips’, the Council assisted the Government of India for formulating its response to the questionnaires.
The Office actively assisted the Government of India during the visit of verification term from US Department of Commerce in connection with Review of anti-dumping duty against ‘HRC Flat Steel Products’ (2003-04) in October 2005.
In the matter of ‘Certain Stainless Steel Round Bar’ – Expiry Review, the council took up the matter with Canadian Authorities along with the concerned exporters because of which Canadian International Trade Tribunal (CITT) decided not to initiate an expiry review. The decision was duly disseminated to the members.
In the matter of anti-dumping matters started by the Turkish Authorities against import of tube and pipe fittings from India, the Council promptly interacted with the concerned Members and intimated the replies received from the firms named in antidumping case by Turkish Authorities to the Counsellor (Commercial), Embassy of India, Ankara.
In the matter of anti-subsidy investigation by Brazil against imports of S.S. Bar from India, the matter was discussed with the affected party and it was clarified to them that the best course in the matter would be to file a Review Petition in terms of Article 21.2 of WTOs Agreement on subsidies and Countervailing Measures.
Timely action was taken by disseminating the information through Regional Directors/Panel Convenors in the matter of ‘Canadian Re-Investigation on Certain Flat Rolled Sheet and Strips from India’; - information regarding conclusion of the dumping and subsidy re-investigation against imports from India; In the matter of Canada’s Initiation of Global Safeguard Inquiry into imports of Bicycles and Parts; Initiation of investigation into the alleged dumping of Stainless Steel Tubes and pipes by India in South Africa; In the matter regarding the expiry of anti- dumping duties; in anti-dumping review of the EC of Quarto Plates (Hot-rolled flat products on non-alloy steel); In the matter of Forged Stainless Steel Flanges from India-Five Year Sunset Review of anti-dumping duty orders; In the matter of Sunset Review :CTL Carbon Quality Steel
68 Plates; In the matter of Administrative Review on Stainless Steel Bar From India; In the matter of amended final result of CVD action on Iron Metal Casting etc.
Workshop/Seminars/Meetings
Various meeting organized by Department of Commerce, FICCI, FIEO, ASSOCHEM, RIS, BIS, Session on BIMSTEC Free Trade Agreement, IIFT, ICRIER, UNCTAD, Stakeholder Consultation Workshop on ‘Post-Hong Kong Ministerial Consultation on Non-Agricultural Market Access Negotiations’ (NAMA) etc. were attended by Council’s Officers from time to time during the period and the concerns of the engineering sector highlighted.
The Council also made a Power Point Presentation in FICCI before Ms. Meredith Broadbent, Assistant US Trade Representative for Market Access and Industry of the US Department of Commerce and US Trade Representative’s Office, which was appreciated by all present.
MDA for Promotional Activities to the Member Exporters
Status for 2005-06 (As on 31.3.2006)
In the reporting year, Council received Rs.5,31,67,500/- during 2005-06 against individual exporters claims and it was disbursed among 699 member companies. We have received and processed 391 claims during 2005-06 up to 9th March 2006. All these claims settled during the year and included in 699 member companies above. Thirty one (31) claims processed and finalised between 10th to 31st March 2006 were lying pending for want of funds of Rs. 26,54,605/- from the Ministry as on 31.3.2006.
Membership Details
In the reporting year, 11574 got registered with the Council. Regionwise membership position of the Council is as follows:
Region Membership New/Revived Resigned/ Membership Position Member Defaulters Position as on as on Member 31.03.2006 01.05.2005 Western 4786 577 525 4838 Northern 3477 573 635 3415 Southern 2185 410 229 2366 Eastern 918 130 93 955 Total 11366 1690 1482 11574
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