Exports And Imports Act

Exports And Imports Act
Exports And Imports Act
The exports and imports activities contribute significantly towards the healthy growth of any economy. Imports imply bringing of goods into the country to fulfill the domestic need and when the country supplies surplus goods to foreign countries, it is termed as exports. When a wide gap between the exports and imports rate arises then serious economic problems like inflation and BoP (Balance of Payments) weakens the integrity of the existing economy. Thus to maintaining appropriate balances between exports and imports the state authority has forged various types of legal frameworks in terms of different Acts and policies.

In India, there are several Acts and policies enacted to have a uniform practice in export & import trade practices. Among those Acts, Imports and Exports (Control) Act, 1947, Foreign Trade (Development and Regulation) Act, 1992 and Import-Export (EXIM) Policy 1997-2002 are few significant Acts and policies. The Imports and Exports (Control) Act, 1947 has been replaced by Foreign Trade (Development and Regulation) Act, 1992 to empower the central government to have more control on exports and imports activities.

The Foreign Trade (Development and Regulation) Act, 1992 has empowered the Government to:

• Enact provisions related to development and regulation of trades for domestic as well as international market.
• Restrict and regulate all forms of exports and imports in case of requirements and declare tariff exemption by accessing special needs.
• Announce an EXIM policy and its episodic amendment by notification.
• Authorize the concerned officials to issue ‘Importer Exporter Code Number’ (IEC) to the exporters and importers.
The Import-Export (EXIM) Policy 1997-2002 underlines on the following points for the smooth functioning of import and export activities in India.