Non-traditional markets needs to be tapped & to reduce the dependence on EU/USA, in this regard Chairman AEPC has proposed increase of duty scrip from 3% -4% to 5% for the non- traditional markets. In traditional countries like EU and US, duty scrip may be increased from 2% to 3%. Under Status Holder Incentive Scheme, the duty scrip may be increased from 1% to 2%. Expansion of Market Linked Focus Product Scheme to certain countries like Singapore, Turkey, Taiwan, Norway, Canada, Hong Kong, Russia, Switzerland,  Korea, UAE, and Malaysia. Incremental growth achieved in Apr-Dec 2012 over Apr-Dec 2011 is qualified for incremental scrip. Thereafter the same benefit may be given for entire year till 2015-16 for the incremental growth achieved in previous year.

Early finalization of FTA with EU, to announce all the benefits in Foreign Trade Policy for the year 2013 -14 and 2014 -15 and 2015-16 (for three years), duty Scrip @ 5% on FOB value of exports to countries like Latin America, Australia and New Zealand, where freight charges to FOB are very high, Zero duty EPCG Scheme to be extended for the year 2013 - 14 to 2015 -16 are the other proposed measures submitted by AEPC.

A Strong infrastructure if the backbone of manufacturing and exports thereby. Chairman AEPC has with regard to TUFS Issues has asked for 8% interest subsidy for processing of Effluent (Effluent Treatment plants), 25%  capital subsidy for process house, 50% capital subsidy for Effluent Treatment plants and old pending cases of TUFS to be taken up.

With respect to custom duty restricting export of cotton yarn or allowing duty free import of cotton yarn as done in the case of cotton imports duty free. Recent increase in prices of cotton has reduced our competitiveness because per unit cost of manufacturing goes up. Consignment should not be stopped at port thereby ensuring the timely and quality delivery as apparel products are perishable commodity, issue of alert by custom authorities throughout India, on the pretext of old cases of Drawback, Classification problem at customs, Textile Committee to be given the power of binding classification.

On account of the service tax waiving of Service Tax on taxable service to in sub clause (zzze)  of clause (105)  of Section 65 of Finance Act on services to specified associations under (zzze) of Finance Act)  for the period viz. 16.06.2005  to 06.07.2009. Expansion of services under Notification No. 25/2012-Service Tax dated 20th June, 2012 and exemption of taxable services from the whole of the service tax leviable thereon under section 66B of the said Act.

The Govt. should notify that service tax on taxable services mentioned in sub clause (zzze) of clause (105) of Section 65, should be exempted for the period from 16.06.2005 to 06.07.2009 owing to inadvertent anomaly.