Technical Leaders - Working with the Management Team
Ecs india- PROJECT REPORT ON STRUCTURE, ROLE AND CONTRIBUTION OF ELCTRONICS AND COMPUTER SOFTWARE COUNCIL OF INDIA
1. BRCM COLLEGE OF BUSINESS ADMINISTRATION
LIBRARY ASSIGNMENT 2013-14
EXPORT MANAGEMENT-I
TYBBA- SEM-V
DIVISION-II [MARKETING]
TOPIC NAME- PROJECT REPORT ON STRUCTURE, ROLE AND
CONTRIBUTION OF ELCTRONICS AND COMPUTER SOFTWARE
COUNCIL OF INDIA
BY,
115- GANDHI SANI B.
136- MEHTA ROMIL K.
SUBMITTED ON -15TH OCTOMBER, 2013
SUBMITTED TO – MR. OJAS DESAI
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Objectives of Electronics and Computer Software Council of India
i. To articulate challenges, concerns and problems of kits member exporters
ii. To ensure that voice and concerns of members are articulated by policy
makers and legislators.
iii. To be proactive on policy initiatives that are in consonance with our mission.
iv. To evolve a network of interested groups at national and international forums.
v. To impact the policy and legislative environment so as to foster a balanced
economic, industrial and social development
Structure of Electronics and Computer Software Council of India
Electronics And Computer Software Council of India is the one organization which is
governed by the industry representatives in the form of Committee of Administration
elected for a period of two years.
ESC operates through State, Regional, Sectoral and Territorial Committees. The ESC
Committees comprise of leading exporters and senior Government officials. ESC
represents interests of Indian electronics and IT sector at Joint Trade Committees of
Ministry of Commerce, Government of India as well as at Joint Business Councils of
various countries.
Electronics and Computer Software Export Promotion Council (ESC) is a private
industry association registered under the Societies Registration Act 1860. The Council
has a membership base of over 2300 Indian Electronics and Information Technology
Exporters across the country.
The Councils Membership constituents include accumen from Electronics Hardware, IT
services, Telecom sector across the length & breadth of the Country. It is a pleasure to
mention that ESC members contribute over 16 % to national export earnings.
They have also built a team of industry members in each state who are ESC’s
AMBASSADOR FOR MEMBERSHIP who can assist you to learn more about the benefits
of ESC’s MEMBERSHIP.
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Structure of Electronics and computer software Export promotion council of India
Other members of ESC India
i. Shree sunil vachhani
ii. Shree S radhakrishnan
iii. Shree sanjiv narayan
iv. Shree Arun Khanna
v. Shree Mandeep singh Puri
vi. Shree Prem M Goel
vii. Shree Akshay Sheth
Chairman
Shri Vinod Sharma
Vice Chairperson
Smt Radha Bhatia
vice chairmen
Shree B S Sethia
Regional Chairman
(North)
Mr. Veer Sagar
Co-Opted Members
Shree Nalin Kohli
Regional Chairman
(West & East)
Shri Rahul L Kanodia
REgional chairmen
(West & East) Shri
Saumen Chakraborty
Member Secretary
shree D K sareen
As the world’s second largest producer of textile and
garments, India’s garments exports totaled US$ 10.70 billion
during FY 2009-10, giving an inevitable market share of 3.2%.
The Americas EU, much of Asia and Middle East are India’s
clients.
The Industry proudly supports 7 million people as a part of its
workforce, and aims to double this figure by 2011-12; even
today it is the second largest provider of employment in the
country. For every INR 100000 Invested in the industry, an
average of 7 additional jobs created.
The Apparel sector also contributes to 7% of India’s total
exports recording decline of 0.35% in 2009-10 against 2008-
09 due to global downturn.
Come to India, for nowhere else in the world do you find such
a superb amalgam of natural resources, industry expertise,
entrepreneurialinitiatives backed by friendly Government
and a smart, winning attitude that spurs the Apparel industry
to soar above the rest of the world in its achievements!
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viii. Shree Sanjay Agarwal
Product Profile of ECS
a. Consumer
Electronics
Video Software, Magnetic Cassette Tape, Wall Clocks,
Television, Recorded Compact Diskette, Electric Sound
Amplifier, Analog Watches, Recorded Audio Cassettes, Blank
Video Cassettes, Two in one (Radio cum Cassette Player),
Electronic Calculators, Radio Communication Receivers,
Musical System, Video Compact Disc, Recorded Video Cassettes,
Alarm Clocks, Audio Software, Blank Audio Cassettes,
Microphones etc.
b. Telecommunication Pagers, Telecom Software, Transmission apparatus, Push
Button Type Telephone, Rural Automatic Exchange, Telecom
Modules, Telecom Cards, Cordless Telephone,
EPAB/EPAX/Intercom, Television cameras, Telephone Activity
Monitor, Telephony or Telegraphy apparatus, Transmission
apparatus, Communication Connector Box, Duplexers, Optical
Fibre Cable, Modems, Direction measuring equipment etc.
c. Instrumentation Automatic Test Equipments, Electronic Automatic Regulators,
Linear ultrasound scanner, Uninterrupted power supply,
Automatic typewriter, Battery Chargers, Industrial Machines &
Instruments, Electric Inverters, Process control equipments,
Induction heating furnaces, Geophysical instruments,
Component Tester, Cable Fault Locators, Timer, Voltage
Stabilizer, Frequency meter, Sensors, etc.
d. Electronic
Components
Unpopulated Printed Circuit Board, Soft Ferrite, Colour Picture
Tube, Connectors, Parts of Transformers, Dip bridge rectifiers,
B/W Picture Tube, Hard Ferrites, X-Ray Tubes, Floppy
diskettes, Erasing Heads, Printed Circuits, Static converters,
Mica Capacitors, Resistors, Multicrystalline silicon ingots, Multi-
crystalline Silicon Wafers, Mono and Multi Silicon Solar Cell,
Solar Photolvoltaic Modules, Solar Photovoltaic Systems, Solar
LED lights, Solar Water Heating Systems, Solar Cooling Systems,
Single Glazed Flat Plate Collectors, Double Glazed Flat Plate
Collectors etc.
e. Computer Hardware
and Peripherals
Winchester / Hard disc drives, Head Stack, CGA monitor,
Computer Parts, Switching Mode Power Supply, Data-entry
Terminal, Dot Matrix Printer, Personal Computer, Add on cards,
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etc.
f. Computer Software & Information Technology (IT) Enabled Services
ESC provides following……
Providing membership to Indian industrial firms who are exporting computer
software and electronic items.
A comprehensive database on the industry, companies, products, capabilities of all
major players in electronics, computer hardware, software and telecom products.
Access and arrangements to facilitate import/export, collaborations, joint ventures,
subcontracting, tie-ups.
Access to published reports on markets, products, trade statistics, business
opportunities; and
Facilitation in establishing joint ventures and strategic alliances - for contract
manufacturing, captive production, design and test facilities.
Various assistances provided by ECS
Following are the main assistance provided by the ECS to its members
i. The Council makes contacts with foreign missions in India as well as Indian missions
abroad to collect necessary information to be disseminated among the member
exporters.
ii. ESC provides market exposure to member exporters by participating in various
expositions and trade delegations.
iii. ESC organizes interactive meetings for the member delegations and invites various
delegations from all over the world.
iv. ESC organizes Buyer Seller Meets (BSMs) of member companies with global buyers
in India and abroad
1. Marketing assistance schemes (Financial assistance as it provides
finance also for such activities):
a. Marketing Development Assistance (MDA)
Export promotion continues to be a major thrust area for the Government.
In view of the prevailing macro economic situation with emphasis on exports and to
facilitate various measures being undertaken to stimulate and diversify the
country’s export trade, Marketing Development Assistance (MDA) Scheme is under
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operation through the Department of Commerce to support the under mentioned
activities :
i. Assist exporters for export promotion activities abroad.
ii. Assist Export Promotion Councils (EPCs) to undertake export promotion
activities for their product(s) and commodities.
iii. Assist Focus export promotion programs in specific regions abroad like
FOCUS (LAC), Focus (Africa), Focus (CIS) and Focus (ASEAN +2) programs.
b. Market Access Initiative (MAI) Scheme
Market Access Initiative (MAl) Scheme is an Export Promotion Scheme envisaged
acting as catalyst to promote India's exports on a sustained basis, during the 10th
five year Plan. The scheme is devised on focus product- focus country approach
basis to evolve specific strategy for specific market and specific product through
market studies / survey Assistance would be provided to Export Promotion
Organizations/ Trade Promotion Organizations / Exporters etc for enhancement of
export through accessing new markets or through increasing the share in the
existing markets Under the Scheme the level of assistance for each eligible activities
has been fixed.
c. Participation in Trade Fairs BSMs etc.
Under the Scheme the assistance would be provided for participation in trade fairs /
exhibitions at identified potential places abroad on Focus Country-Product basis.
Participation in such fairs / exhibitions will normally be part of a comprehensive
strategy .To maximize the benefits such efforts should be linked with effective
publicity campaign, seminars, buyer-seller meets etc. These activities will be
coordinated by the Export Promotion Councils.
d. Advertisement tariff
ESC website is visited by a number of people worldwide looking for a suitable
Indian partner for sourcing Electronics products, Computer software/services and
ITeS. ESC brings you a number of advertisement opportunities to get noticed and
highlight your product and services.
They provide two types of advertisement
i. Center Banner Advertisement in the home page.
ii. Right Banner Advertisement in the home page.
iii. Advertisements in ELSOFTEX - ESC's bimonthly news journal.
i. Center Banner Advertisement in the home page
Size
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Height: 154 pixels
Width: 337 pixels
Tariff: Rs. 15000/- per month for members and Rs. 25000/- per month for non
members
ii. Right Banner Advertisement in the home page
Size
Height: 213 pixels
Width: 220 pixels
Tariff: Rs. 10000/- per month for members and Rs. 20000/- per month for non
members
iii. Advertisements in ELSOFTEX - ESC's bimonthly news journal
Elsoftex is circulated amongst the ESC members, various departments of
Ministries under the Government of India, Foreign Missions in India, Indian
Diplomatic Missions abroad, ESC's counterpart organizations worldwide.
Place of advertisement and fees for members and non members are given
below in the table.
Place for advertisement Fees for
members of ECS
Non-members
Back cover Rs. 15000/ Rs. 25000/
Back Cover inside Rs. 10000/ Rs. 20000/
Full page Rs. 8000/ Rs. 15000/
Half Page Rs. 5000/ Rs. 10000/
Center Spread Rs. 25000/ Rs. 35000/
So here we can see that special advertisement tariffs are there for members where
advertisement’s rate for members is less than others.
2. Providing details of Global Tenders & Business Opportunities eNews Letter on
Daily Basis to members
ECS has commitment to provide trade related information to member companies to
help them enhance their export to global markets, ESC has initiated a new and unique
service of providing information relating to Electronics Hardware and
Telecommunication Computer Software / Services Global - tenders and procurement
opportunities.
The tender information will include :
i. Tenders
ii. Bid Notices & Corrigendum’s (if any).
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iii. Request for Quotes
iv. Procurement forecast
v. Expression of Interest
vi. GPN ( General Procurement Notices)
The above information is being sent to all the ESC members on daily basis through
email enabling them to save on – time, man power and infrastructure to gather
information about new opportunities arising daily in electronics and ICT sectors.
3. Duty exemption scheme
The scheme consists of……
i. Duty Free License,
ii. Annual Advance License
iii. Duty Entitlement Pass Book (DEPB).
i. Duty Free License
Duty Free License include Advance License, Advance Intermediate License and Special
Imprest License.
Imports of inputs which are physically incorporated in the exported product (making
normal allowance for wastage) are permitted against a duty free license.
Application for duty exemption has to be filed in the prescribed proforma with the
Office of the Licensing Authority of Directorate General of Foreign Trade (DGFT) under
whose jurisdiction the applicant falls.
Exporters are eligible for the Customs Duty Free Licenses against specific order or on
production program on the basis of upto 100% of the average FOB value of their
exports in the preceding three licensing years. Such license is issued in accordance with
the policy and procedure in force on the date of issue of the license and is subject to the
fulfillment of time bound export obligation and value addition as may be specified.
ii. Advance License
An Advance Licence is granted to a merchant-exporter or manufacturer-exporter for
the import of inputs required for the manufacture of goods without payment of basic
customs duty.
However, such inputs shall be subject to the payment of additional customs duty equal
to the payment of additional customs duty equal to the excise duty at the time of import,
which shall be adjusted as specified in the policy. Manufacturer-exporters as well as
merchant-exporters are also exempt advance licence and/or material imported
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thereunder is not transferred even after completion of export obligation. Standard
input/output norms for 227 electronic items have been fixed.
The eligible exporters of Electronic products also have an option to avail the Special
Advance Licensing Scheme for export of electronic products.
In the revised EXIM policy in force from April 1, 1999, a provision for Annual Advance
Licence has been made to reduce the avoidable interface between the exporter and the
DGFT. This facility provides the necessary flexibility in the import of duty free inputs.
The exporter would now be able to import any prescribed inputs as per input-output
norms right through the year without approaching DGFT. The licence would be issued
without stipulation of minimum value addition. In such cases where self-declaration.
They will not have to await the decision of Regional Advance Licensing Committee
(RALC)/Zonal Advance Licensing Committee (ZALC) for fixation of adhoc norms.
iii. Duty Entitlement Pass Book (DEPB).
Under DEPB Scheme exporters are eligible to claim customs duty credit as a specified
percentage of FOB value of exports made in freely convertible currency.
The credit shall be available against such exports products and at such rates as specified
by the DGFT. So far, credit rates for 93 electronic items have been notified under DEPB
Scheme.
The Pass Book would be issued with one year validity period either on post-export
basis at single port of registration. The scheme covers both manufacturer and merchant
exporters. Any item except those in the negative list shall be allowed for import. Third
party exports are also admissible for credit under DEPB Scheme. The DEPB on post-
export basis and/or the items imported against it is fully transferable.
4. Tax incentives to exporters by Government through ESC
If export is being done from special Economic Zone( SEZ) then following benefits will
be provided
a. Exporters are eligible for reimbursement of all custom duty paid on imported inputs
of an export product.
b. 100% Income Tax exemption on export profits is available to Special Economic Zone
(SEZ) Units for 5 years, 50% for next 5 years and 50% of ploughed back profits for 5
years thereafter.
5. Electronic Hardware Technology Park (EHTP) Scheme
The EHTP Scheme is a 100% Export Oriented Scheme for undertaking manufacturing
of electronic hardware equipment/components and other items in India.
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6. Export Promotion Capital Goods (EPCG) Scheme
The Zero duty EPCG Scheme is available to exporters of electronic products. It allows
import of capital goods for pre-production, production and post-production at zero%
customs duty, export obligation equivalent to 6 times of duty saved on capital goods
imported under EPCG scheme, to be fulfilled in 6 years reckoned from Authorization
issue-date.
7. Free real-time access to its database on EU market information
Centre for Promotion of Imports from Developing Countries (CBI) has made available to
ESC and ESC members free real-time access to its database on EU market information
through the installation of an affiliate of this database on the website of ESC.
CBI's market information database contains around 2000 documents including market
surveys, export manuals, documents on market access requirements, fashion forecast
and CBI News Bulletin.
It covers all 27 EU member states and gives information on around 40 market sectors
relevant for developing countries. Furthermore access is given to some 5000 selected
hyperlinks to other useful websites.
ESC is offering a very useful new service to its members against no cost. The market
information documents will be in the English language.
ESC’s performance:
Awarded FIEO's Prestigious Niryat Bandhu Award For Outstanding Export
Supporting Activities for the last consecutive 7 years.
ESC has been adjudged as the Best Trade Supporting Organization by Japan External
Trade Organization (JETRO). ESC was the only organization among Developing
Countries to receive this honour. Other recipients were USA & Italy
Articles for performance appraisal of ESC
Article: 1
By Economic times which says Computer software exports increases by 29%
due to ESC
Summary:
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The total export of computer software and services during 2006-07 has gone up by 29.4
per cent at $11.26 billion, according to the estimates made by the Electronics and
Computer Software Export Promotion Council (ESC).
The total export was $8.7 billion in 2005-06. The southern state accounted for 61.23
per cent of software export, whereas the export from the northern region was 15.82 per
cent.
Karnataka continues to be at the top in terms of its contribution to the total exports at
33.36 per cent in 2006-07, ESC said in a statement. Maharashtra has become the second
highest software and services exporting state followed by Tamil Nadu (14.52 per cent)
and Andhra Pradesh (12.27 per cent).
The share of northern region in the total export of software and services has
decelerated from 17.93 per cent in 2005-06 to 15.82 per cent in 2006-07. The western
regions contribution to the total export was 20 per cent, whereas the eastern region
remained at the bottom of the rung and contributed only 2.9 per cent of the total
national exports in the 2006-07.
Article: 2
By Economic times which says India's IT, software industry upbeat on future.
Summary:
BERLIN: India's IT, software and electronics companies are upbeat about prospects
for growth of exports in the coming years, with industry leaders saying vast
opportunities were opening up in new markets in the Middle East, Africa, South and
Southeast Asia and Eastern Europe.
India's supremacy in the IT and software sector and its growing reputation as one
of the world's best outsourcing destinations have created a good basis for further
expanding and diversifying exports, according to participants in a major export
promotion drive by the industry at the just-concluded IT and computer fair CeBIT at
Hannover in Germany.
From the above two articles we can say that ESC’s performance is
improving and exports due to ESC is increasing.
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Contribution of ESC to Exports in various regions and states
INDIA’S OVERALL EXPORT DURING THE YEAR 2012-13
India’s overall export during the year 2012-13 is estimated to be Rs. 2116466 crore
(US$ 441 billion) registering a growth of 19 percent (13 percent in US$ terms) over the
year 2011-12 when India’s overall export was estimated to be Rs. 1779443 crore. (US$
390 billion).
The share of IT based Services in India’s overall export is estimated to be Rs. 662400
crore (US$ 138 billion).
Product profile of ESC wise export contribution is as following
1. EXPORT OF COMPUTER SOFTWARE / SERVICES INCLUDING ITES / BPO
Export of Computer Software / Services (including ITES / BPO) registered a
growth of 24.38 percent (18.06 percent in US$ terms) during the year 2012-13
over the year 2011-12.
In value terms, export of this sector during 2011-12 is estimated to be Rs.
326500 crore (US$ 68.02 billion) up from Rs. 262500 crore ( US$ 57.61 billion)
estimated in the year 2010-11
2. EXPORT OF ELECTRONICS HARDWARE
Export of Electronics goods and components from India during the year 2012-13
registered a growth of 5.51 percent (0.15 percent in US$ terms) over the year
2011-12.
In value terms, export of electronics goods during the year 2011-12 is estimated
to be Rs. 42627 crore (US$ 8881 million) up from Rs. 40400 crore (US$ 8867
million) estimated in the year 2010-11
3. EXPORT OF CONSUMER ELECTRONIC GOODS DURING 2010-11
Export of consumer electronic goods registered a decline of 12.36 percent (16.81
percent in US$ terms) during the year 2012-13 over the year 2011-12.
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In value terms, export of consumer electronics goods fell from Rs. 1400 crore
(US$ 307 million) estimated in the year 2011-12 to Rs. 1227 crore (US$ 256
million) during the year 2012-13.
4. EXPORT OF ELECTRONICS INSTRUMENTS / O.E. / M.E.
Export of electronics instruments registered a growth of 24.44 percent (18.12
percent in US$ terms) during the year 2012-13 over the year 2011-12.
In value terms, export of electronics equipments during the year 2012-13 is
estimated to be Rs. 5600 crore (US$ 1167 million) up from Rs. 4500 crore (US$
988 million) estimated in the year 2011-12.
Export of Electronics instruments from India has been growing at an annual
average growth rate of 7.58 percent (3.87 percent in US$ terms) during the past
five years.
5. INDIA’S MERCHANDISE EXPORT
The Country’s Merchandise Export registered a growth of 30 percent (23
percent in US$ terms) during the year 2012-13 over the year 2011-12.
In value terms, India’s merchandise export increased from Rs. 1118823 crores
(US$ 246 billion) estimated in 2011-12 to Rs. 1454066 crores (US$ 303 billion)
during the year 2011-12.
6. EXPORT OF ELECTRONICS COMPONENTS
Export of Electronics Components registered a decline of 15.76 percent (20.04
percent in US$ terms) during the year 2012-13 over the year 2011-12.
In value terms, export of electronics components decreased from Rs. 18400
crore (US$ 4039 million) estimated in 2011-12 to Rs. 15500 crore (US$ 3229
million) in the year 2012-13.
7. EXPORT OF TELECOM EQUIPMENTS
Export of Telecom Equipments registered a growth of 22.97 percent (16.72
percent in US$ terms) during the year 2012-13 over the year 2011-12.
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In value terms, Export of Telecom Equipments has increased from Rs. 14800
crore (US$ 3248 million) estimated in 2011-12 to Rs. 18200 crore (US$ 3792
million) estimated in the year 2012-13
8. EXPORT OF TELECOM EQUIPMENTS
Export of Telecom Equipments registered a growth of 22.97 percent (16.72
percent in US$ terms) during the year 2012-13 over the year 2012-13.
In value terms, Export of Telecom Equipments has increased from Rs. 14800
crore (US$ 3248 million) estimated in 2012-13 to Rs. 18200 crore (US$ 3792
million) estimated in the year 2011-12.