The union government plans to expand work from home (WFH) to 100% of the workforce in all special economic zones (SEZs) to boost service exports and tackle the shortage of workforce,” Trade Minister Piyush Goyal said on the sidelines of the board meeting. of the trade meeting on Tuesday.

The move would impact about two million people employed in more than 350 SEZs, which contribute more than 25% of India’s total exports. Notably, the majority of SEZs in India are home to information technology (IT) or computer service companies involved in the manufacturing of software, electronic items, and assembled parts such as circuit boards.

“The current situation is such that if you force employees [to join offices], people move or change companies. Thus, allowing WHF can boost service exports. This is envisaged for all sectors.

We had allowed work from home (WFH) in SEZs during Covid-19 which proved to be beneficial for our service sector and exports surged strongly. This year, the jump will be even higher. Global multinationals have strong hiring plans in India,” Trade Minister Piyush Goyal said.

The July Center had authorized teleworking for 50% of employees, including contract workers, and for a maximum period of one year, for companies operating in special economic zones (ZES).

Meanwhile, the Board of Trade meeting saw representatives from all sectors attend to discuss obstacles to boosting exports. The meeting came at a time when exports fell sequentially, with the trade deficit narrowing slightly in August to $28.7 billion from a record high of $30 billion in July.

Official estimates suggest merchandise exports are set to rise 7-8% to at least $450 billion after hitting a record high of $420 billion in the last fiscal year.

CAIT General Secretary Praveen Khandelwal has called for a reconsideration of tire import restrictions. Khandelwal further said that more efforts are needed to promote small artisans, artisans, artists etc. to provide them with links to the trade promotion organization.

Meanwhile, EEPC India offered cheaper export finance for MSMEs, guidelines and for Rupee trade with Russia at the Board of Trade meeting. EEPC India Chairman Mahesh Desai has also proposed removing export duties on certain steel items as this will be particularly helpful for MSMEs.

Desai further called on the government to review RoDTEP rates and provide full refunds on taxes that remain in the export production chain. He recommended including the steel sector in the RoDTEP because steel is the most widely used raw material in the engineering industry.

“Talking about export taxes, Goyal expressed concern that the effect of taxes on the international market was that India’s products would become uncompetitive. He urged stakeholders to consider striving to reduce taxes across all sectors and said overall tax collection should improve with lower taxes,” the ministry said.

The Ministry of Commerce and Industry said the chamber of commerce has focused on setting export targets as well as the next foreign trade policy and strategies and measures to be taken to advance manufacturing. and domestic exports.

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