Merchandise Exports from India Scheme (M

Q. Why is this in News?

A. A limit has been imposed on total rewards under the Merchandise Exports from India Scheme (MEIS).

Q. What is Merchandise Exports from India Scheme ?

A. Merchandise Exports from India Scheme (MEIS) under Foreign Trade Policy of India (FTP 2015-20) is one of the two schemes introduced in Foreign Trade Policy of India 2015-20, as a part of Exports from India Scheme (The other scheme is Service Exports from India Scheme (SEIS).

• The rewards are given by way of duty credit scrips to exporters.
• The MEIS is notified by the DGFT (Directorate General of Foreign Trade) and implemented by the Ministry of Commerce and Industry.

Q. What are objective of the scheme?

A. To offset infrastructural inefficiencies and associated costs involved in export of goods/products, which are produced/manufactured in India, especially those having high export intensity, employment potential and thereby enhancing India’s export competitiveness.

Q. What is its impact over other similar incentive schemes?

It replaced the following five other similar incentive schemes present in the earlier Foreign Trade Policy 2009-14:

1. Focus Product Scheme (FPS).

2. Focus Market Scheme (FMS).

3. Market Linked Focus Product Scheme (MLFPS).

4. Infrastructure incentive scheme.

5. Vishesh Krishi Gramin Upaj Yojna (VKGUY).