Trade Talks

GVCs play a vital role for those corporations that have a presence in multiple countries. The significance of the Global Value Chain is rising; especially in the post covid19 era. On the one hand, tight integration of the supply chain management strengthens the company's operations, on the other hand, companies mainly focus on reducing operational costs in order to compete in international markets. GVCs allow multinational corporations to reduce these operational costs significantly. Global Value Chains are mainly backed by technologies, which lead to minimizing errors and maximum output. It is a humongous task to coordinate between manufacturing units, shipping companies, and logistic operators. But the rise of sophisticated GVCs may substantially reduce these efforts.

A great move by Indian policymakers! From now on any investor who resides in a country that shares borders with India, has to route his investments (FDIs) through a government route. Will this work as a shield for Indian tech startups and MSMEs?

India's share in the international market is substantially increased in recent years. As a result, US President Donald Trump has announced plans to end the US's preferential trade status (GSP) with India. It is a clear sign that India is no more a developing nation.  As a repercussion, Hon'ble Finance Minister Smt. Nirmala Sitharaman has recently announced that the MEIS scheme has to be discontinued effective from 31.12.2019. However, as per the latest announcement by DGFT, MEIS will be continued till March 2020.  This year, a new Foreign Trade Policy is likely to be announced in the month of April. Under the regime of the new Foreign Trade Policy, the scheme for 'Remission of Duties or Taxes on Export Product' (RoDTEP) will replace MEIS.  The scheme provides an additional export credit of up to Rs. 68,000 crores and the projected forgone revenue will be up to Rs. 50,000 crores. RoDTEP will also incentivize Indian exporters more than existing schemes (MEIS + RoS