Page 14 - Craftcil Feb 2025

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Union Budget 2025-26 Announced by the Union Finance Minister

Sets up Export Promotion Mission

Additional items for Duty free Import for Handicraft exporters Notified

The Union Budget for 2025-26 was presented on 1st February It will facilitate easy access to export credit, cross-border
2025, by Smt. Nirmala Sitaraman, Union Finance Minister, Govt. of factoring support, and support to MSMEs to tackle non-tariff
India. Mr. Dileep Baid, Chairman - EPCH said that the Union Budget measures in overseas markets.
2025 outlines a strategic framework for increasing exports, focusing • Bharat Trade Net - A digital public infrastructure, 'Bharat
on MSMEs, infrastructure, digital trade facilitation and sector-specific
Trade Net' (BTN) for international trade to be set-up as a unified
incentives. The Budget 2025 contains some benefits for the
platform for trade documentation and financing solutions. The
handicrafts sector which the council has been representing at
BTN will be aligned with international practices.
several forums. Adding further, he indicated some of the following
• Revision in classification criteria for MSMEs -MSMEs
measures addressed in the budget includes:
accounts for 45 per cent of our exports and to help them
• Duty Free Import - Earlier 9 items were allowed duty-free
achieve higher efficiencies of scale, technological upgradation
import under Import of Goods at Concessional Rate of Duty (IGCR)
and better access to capital, the investment and turnover limits
by bonafide handicrafts exporters. In the budget 2025-26, the
for classification of all MSMEs enhanced to 2.5 and 2 times
following additional 9 items have been included for IGCR:-
respectively.
(j) Electric parts for fitting on electric lamp / table lamp / wall
Rs. in Crore Investment Turnover
lamp / ceiling Lamp / door lamp / Window lamp / Garden
Current Revised Current Revised
lamp/ wire roll/Christmas ornamentation
Micro Enterprises 1 2.5 5 10
(k) Chemical / lacquer required for improved finish of export
product Small Enterprises 10 25 50 100
(l) Wood Polish materials Medium Enterprises 50 125 250 500
(m) Sea shell, Mother of Pearl (MOP), Cattle horn and Bone
• Credit Cards for Micro Enterprises - the new scheme is
Materials
announced for customized Credit Cards with a Rs. 5 lakh limit in
(n) Clock movement the first year for micro enterprises registered on Udyam portal.
(o) Adhesive / glue • Scheme for First-time Entrepreneurs - A new scheme
(p) Natural essential oils/ aromatic chemicals for women, Scheduled Castes and Scheduled Tribes first-time
(q) Compact Fluorescent Lamps (CFL) and bulbs of 120 volts entrepreneurs will provide term loans up to Rs. 2 crore during
the next 5 years.
(r) Resins
• National Centres of Excellence for Skilling - Five
The time limit for the end-use of imported inputs in the relevant
National Centres of Excellence for skilling will be set up with
rules, is extended from 6 months to 12 months and have to file
global expertise and partnerships to develop skills required for
only quarterly statements instead of a monthly statement.
"Make for India, Make for the World" manufacturing.
Further, provided that the said period of twelve months may
be further extended by the jurisdictional Commissioner for a • Support for integration with Global Supply
period not exceeding three months. Chains - Support will be provided to develop domestic
• Export Promotion Mission- An Export Promotion manufacturing capacities for our economy's integration with

Mission will set up with sectorial and ministerial targets, driven global supply chains. Sectors will be identified based on
jointly by the Ministries of Commerce, MSME, and Finance. objective criteria.

14 CRAFTCIL • FEBRUARY 2025