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Foreign Trade Policy 2004-09- Annual Supplement 2005
14. PROCEDURAL SIMPLIFICATION & REDUCTION OF TRANSACTION COSTS
Importers and exporters have to fill multiple application forms at various stages of their business activity to meet the procedural requirements of different Departments/Ministries under different Acts. It is our endeavor to simplify procedures and reduce the documentation requirements so as to reduce the transaction costs of the exporters and thereby increase their competitiveness in the international markets. With this in mind, a Committee to look into procedural simplification and reduction of transaction costs was set up under the Chairmanship of Director General of Foreign Trade. The Committee has submitted its report and some of the key recommendations made are:
Internal process re-engineering to enable greater delegation and simplification of forms and documents;
EDI linkage of all community trade partners like DGFT, Customs, Banks, Export Promotion Councils etc to facilitate web based filing, retrieval and verification of documents;
A fast track mechanism for clearances, examination, testing, quarantine, packaging etc. to be set up by all agencies to facilitate import/export of perishable cargo;
Laying down time limits for giving approvals/sanctions for different import and export activities by different agencies to ensure a transparent system of working in Government Departments and ensure continuous improvement in quality of services rendered.
As a first step towards this exercise, the DGFT has devised a single common application form called ‘Aayaat Niryaat’ Form. This 50 page set of forms, as against the 120 page set currently in existence, provides availability of information on DGFT related documentation at a single place and has a web interface for on-line filing by the exporter and retrieval of documents by the licensing authorities.
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