Sigh of relief for Kashmir exporters after DGFT decides to restore KCCI’s membership

SRINAGAR:  Smiles have returned on the faces of Kashmir exporters after the Director General Foreign Trade (DGFT) agreed to roll back its decision to delist the Kashmir Chamber of Commerce and Industry (KCCI).

DGFT has communicated to KCCI its decision to grant more time for completing of onboarding process with the National Securities Depository Limited ( NSDL). Subsequently, DGFT will issue a re-notification in the Appendix 2E of FTP.

KCCI expressed its gratitude to the Director General of Foreign Trade Mr. Santosh Kumar Sarangi for taking serious note of its representation and taking immediate action.

It is pertinent to mention that the KCCI was de-listed as an authorized Chamber for issuing a Certificate of Origin for its failure to onboard e-CoO on the Common  Digital Platform.

However, KCCI never received this notice or 12 subsequent notices recorded to have been issued by DGFT during the years 2021 & 2022 and 2 notices during 2023 to have enabled it to comply with it.

KCCI has also thanked its members and concerned members of civil society for their support in dealing with a crisis as “ fiat accompli “. The exporter community has heaved a sigh of relief on learning about the DGFT decision. KCCI, however, feels anguished by the irresponsible conduct of some people who tried to exploit the situation for their own vested interests.

Under paragraph 2.04 of the Foreign Trade Policy (FTP) 2023, DGFT de-listed 29 organizations from Appendix 2E of FTP 2023. This action signifies a significant shift in the landscape of agencies authorized to issue Certificates of Origin (Non-Preferential).

Under the new order, 29 de-listed chambers/agencies cannot issue Certificates of Origin (Non-Preferential). This government wants all businesses to comply with the latest technological advancements in the field.

Kashmir handicrafts had a good run in the international market despite the Ukraine war last year.

Official data accessed by The Kashmir Monitor revealed that handicrafts worth Rs. 1116.37 crore were exported in FY 2022-23 against Rs. 563.13 Crore in FY 2021-22

Shawl exports have recorded the highest increase. Against Rs 165.98 crore in 2021-22, the shawls worth Rs 424.20 were exported in the last fiscal. While. Likewise, the carpets recorded a Rs.106.15 crore increase. Against Rs 251.05 crore in 2021-22, the carpets worth Rs 357.21 crore were exported in 2022-23.

Chain stitch recorded a huge jump in exports. Against Rs 79.56 crore in 2021-22, the chain stitch exports hit Rs 284.46 crore in the last fiscal.

 However, there has also been a slight decrease in the exports of Papier Machie. Against Rs 13.25 crore in 2021-22, the exports fell to Rs 8.51 crore last fiscal.

Usually, 50 percent of handcraft exports comprise carpets because of their huge demand in the international market. Nearly 40 percent of exports comprise shawls. crewel and woodcarving. The rest 10 percent comprise other items.