To boost trade & commerce
UPA Government at the Centre is according high priority for the development of trade and exports from the North-East Region. 

Sandeep Banerjee

Government of India has accorded very high priority for the development of trade and exports from the North Eastern Region. An empowered Committee under the Chairmanship of the Commerce Secretary functions in the Department of Commerce to monitor and implement the initiatives for the North Eastern Region following the announcement made by Prime Minister Dr. Manmohan Singh in January, 2000 for the development of the North-East, known as “PM’s Action Plan for the North East”.

The committee also monitors the implementation of the recommendations of the Task Force on development of Border Trade and Inter-Country Trade from the North Eastern Region, which goes into the issues concerning the infrastructure constraints in the North-East and the measures needed to overcome them.

With a view to promote exports from the region, a North-East Cell has been set up in the Department of Commerce. Consequent to the announcements made by the Prime Minister for the development of export from the North-Eastern Region, an Export Development  Fund (EDF) was set up in the Department with the objective of promoting exports from the Region, especially with the neighbouring countries like Bangladesh, Bhtan and Myaamar.

Activities, which have a linkage with exports from the region are eligible for assistance from the Fund. The Agricultural and Processed Food Products Export Development Authority (APEDA) has been designated as the nodal agency for releasing rands under EDF (NER). The Empowered Committee has been given the responsibility to consider and approve proposals under the EDF. So far, 41 projects amounting to Rs. 29.66 crore have been sanctioned under EDF.

The Government has also introduced a Transport Subsidy Scheme for Horticulture Products from the North Eastern Region under the Export Development Fund. Under this scheme transport assistance is provided to exporters for exporting notified horticulture products. The last meeting of the Empowered Committee on EDF was held on 20-04-2005. A review meeting was held on 26-05-2005 at Shillong to assess the progress of implementation of the various projects hanctioned under EDF.

Land Customs Stations are gateways for the transit of goods, services and human beings between neighouring countries. India has 131 notified Land Customs Stations, out of which 11 Land Customs Stations in the North-East have been identified for prioritization for development of infrastructure.

Various issues pertaining to the development of Land Customs Stations have been taken up with the central agencies concerned with banking, telecommunication, border roads etc.

An inter-Ministerial Committee under the Chairmanship of the Commerce Secretary is coordinating the steps taken by various Ministries and Agencies for the development of Trade in the North- East including Border Trade at points on the Indo-Myanmar and Indo-Bangladesh borders.

Development of export infrastructure in four border towns namely Moreh in Manipur, Sutarkandi, Dawki and Zokhawthar has been given priority. The Central Warehousing Corporation (CWC) has conducted a study of the infrastructure facilities required at Moreh (Manipur), Dawki (Meghalaya) and Sutarkandi (Assam) for improvement of their infrastructure under the erstwhile Critical Infrastructure Balance Scheem.

CWC is the appointed agency for development of export infrastructure at Moreh, Dawki and Sutarkandi. The infrastructure at Zokhawthar is being developed by the Border Roads Organization (BRO) in cooperation with the Government of Mizoram.

It has also been decided to operationlise the Border Trade Mart at Sherathang (Nathula Pass) for resumption of border trade with China. The development of infrastructure at the trade mart at Sherathang has been undertaken by the Government of Sikkim with financial assistance from the Department of Commerce. Bilateral negotiations with the Chinese side are also being held to finalize the modalities of border trade through Nathula Pass.

Agri Export Zones have also been set up for the North-Eastern Region namely at (a) Tripura - for Pineapples; (b) Sikkim - for Floriculture, Orchids and Cherry Pepper; (c) Sikkim - for Ginger; and (d) Assam - for Fresh & Processed Ginger. The Darjeeling tea area has  now been notified as an Agri Export Zone on August 2, 2005.

Under the plan scheme of  Coffee Development in the North-East Region, financial incentives were extended to 1610 growers covering an area of 1568.45 hectares for coffee expansion/consolidation and an amount ofRs. 146.50 lakh was disbursed to the growers.

Under the market support programme, an expenditure of Rs. 111.47 lakh was incurred to market 32.22 tonnes of coffee. The Extension Wing under the Coffee Board has conducted 205 group gatherings, 509 method demonstrations on nursery/bush/shade/soil management practices and also organized 7 Farmer Participatory Prgrammes to educate the farmers on various aspects of coffee cultivation.

The Rubber Board has also adopted an integrated approach for rubber development in the NE region during the 10th Plan Period. The approach aimed at (a) revitalization of sick plantations and restocking poor plantations, and (b) expansion of area under robber and creation of processing and marketing facilities through a group approach. The rubber plantations were introduced in 2087.27 hectares in the North-East region during 2004-05.

Since rubber is a relatively new crop in the region, strong extension support is required by the farmers to help them adopt scientific agro-management practices. The Board has been providing training to farmers, distributing inputs giving financial assistance for centers, supplying rubber rollers, rubber sheeting rollers free of cost etc. The Board had incurred an expenditure of Rs. 13.22 crore for the rubber plantation development in the region during 2004-05. During the year 2004-05 an expenditure ofRs. 5.92 crore has been incurred up to 30th September 2005.

The State Trading Corporation (STC) is currently engaged in importing Vanaspati from Nepal for distribution in the states of Assam, Meghalaya and Mizoram. These imports have been exempted from custom duty of 30 per cent, thus giving direct benefit to the  consumers. The STC has also been making concerted efforts to develop business in the Kortii Hastem Region in areas like export of Muli Bamboo to Bangladesh, sourcing of tea for supply to Defence, import of edible oils for manufacture and supply of Vanaspati into domestic markets, financing raw material for manufacturing edible oils and supply of jute     to end-users. Several meetings were held with Senior Government Officials with a view to explore possibilities of financing various developmental projects, industries and raw material requirements of trading, power and other sectors in the North-Eastern region.

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