Index of Eight Core Industries shows sectoral production shifts, with electricity and cement leading while some energy outputs decline.
The Index of Eight Core Industries (base 2004 05; weight 37.90% in IIP) for June 2014 stood at 163.9 with positive year on year and quarter to date growth. June movements: notable increases in Electricity and Cement, strong gains in Coal, modest rises in Steel and Refinery Products, a marginal increase in Crude Oil, and declines in Natural Gas and Fertilizers. Monthly and cumulative indices and growth rates are provided by sector, with sectoral weights noted and a proviso that data are provisional and revised where prior period figures were updated.

Import duty increase on dry rubber accompanies an expert committee for a national rubber policy and trade safeguards.
Domestic natural rubber pricing is influenced by supply-demand dynamics and international factors; NABARD cost estimates and RSS4 price trends inform policy. The Government increased the import duty on dry rubber and established an Expert Committee to develop a National Policy on Rubber covering production, marketing, trade, imports and taxation, while retaining natural rubber on FTA exclusion lists and preserving recourse to anti-dumping and safeguard measures against injurious import surges.

Special Products designation may protect apple tariffs, but such protection applies only after a concluded Doha agreement.
Import tariff on apples is constrained by the existing bound rate under WTO commitments, making unilateral increases unlikely; the Doha mandate permits developing countries to self-designate Special Products for protection of food and livelihood security, but such treatment takes effect only after a concluded agreement, and apple will be considered for designation once the Department undertakes the post-Doha identification exercise.

Export assistance for agricultural exporters is delivered via grants and duty credit scrip, supporting infrastructure and market access.
APEDA and the Department of Commerce provide targeted export assistance through infrastructure, market development, quality and transport support, supplemented by MDA and MAI grants; export incentives for eligible agricultural products are issued as duty credit scrip under schemes such as VKGUY, FPS, FMS and IEIS, with major export councils and industry bodies among recurrent beneficiaries.

Export target for textile products supported by incentive schemes, duty free import relief and enhanced interest subvention.
The Ministry set an export target for textile products and confirmed continued reliance on export promotion instruments including the Focus Market, Market Linked Focus Product, Focus Product and Duty Drawback Schemes; duty free import relief via EPCG and Advance Authorisation; an increased Interest Subvention benefit for certain textile products; and an enhanced duty free entitlement for specified inputs to support readymade garment exports.

Special Economic Zones designation expands to agro-based food processing, enabling SEZ fiscal concessions for exporters.
The government has formalised an Agro-based Food Processing sector within the SEZ framework by G.S.R. 540(E), enabling SEZ developers and units to receive fiscal concessions and duty benefits under the SEZ Act, 2005 and Rules for the export of processed agricultural and food products.

Cost-based pricing recommendations for petroleum aim to reform sector governance through consolidation, separation, and subsidy rationalisation.
The cost-based study recommends cost-based pricing for upstream companies and OMCs, consolidation of operations across the three OMCs, separation of refinery and marketing functions, establishment of a coordination mechanism for capacity expansion, reduction of kerosene entitlement under the public distribution system, tax reforms affecting the sector, and measures to encourage cleaner energy sources.

Manufacturing policy measures expand tax incentives and market access to stimulate sectoral growth via industrial corridors and FDI facilitation.
To address manufacturing contraction the Budget 2014-15 proposes fiscal and policy measures including extension of a ten-year tax holiday for new power undertakings; facilitation of low-cost long-term foreign borrowings; promotion of foreign direct investment in selected sectors; permission for manufacturing units to sell via retail and e-commerce without extra approvals; creation of a National Industrial Corridor Authority to coordinate corridor development; an investment allowance for qualifying machinery investment; and rationalisation/reduction of excise and customs duties on specified industrial inputs and machinery.

Indirect tax revenue growth signals higher provisional receipts for the April-June quarter, with service tax showing stronger performance.
Provisional indirect tax revenue collections for April-June 2014 rose 4.5% over the same quarter in the prior year, with total receipts increasing from Rs. 1,08,639 crore to Rs. 1,13,570 crore. The release provides quarter wise disaggregation by tax head-customs, central excise and service tax-showing service tax growth while customs and central excise recorded marginal year to date declines, and reports the percentage of the 2014-15 budget estimate achieved to date for interim fiscal monitoring.

Foreign direct investment approvals, rejections and deferrals issued for diverse sectoral proposals with conditional compliance requirements.
FIPB considered FDI proposals and issued approvals, rejections and deferrals: nineteen proposals were approved permitting share transfers, equity subscriptions, increases to foreign equity (including up to 100% in permitted sectors), LLP investments and AIF participation across sectors; six proposals were rejected for seeking post facto regularisation or non compliant investments; seven proposals were deferred for further scrutiny, covering delisting for full foreign ownership, business acquisitions, post facto transfers, print media equity increases and proposed foreign participation in civil aviation and defence assembly.

Trade relations with neighbouring countries strengthened through tariff liberalisation and institutional trade agreements to expand commerce.
India maintains a trade surplus with SAARC members while engaging in large bilateral trade with China that shows a significant deficit; China is the largest partner and Myanmar trade is supported by border arrangements. An ad hoc SAFTA working group targets reductions in the 'sensitive list' with a proposal to lower peak tariff rates substantially, and institutional measures-bilateral MoUs, Joint Economic Group meetings, India Myanmar border committees and the India ASEAN Trade in Goods framework-are expected to strengthen trade relations and facilitate regional tariff liberalisation.

Services export incentives: duty credit scrip tied to net foreign exchange, plus market assistance and annual Services Conclave.
The Foreign Trade Policy 2009-14 grants specified service providers a duty credit scrip equivalent to 10% of free foreign exchange earned, with entitlement determined on the basis of net foreign exchange earned from 18 April 2013; the Department of Commerce also funds export promotion councils under Market Access Initiative and Market Development Assistance schemes and has institutionalised an annual Services Conclave to address export bottlenecks.

FTA impact evaluation establishes safeguards, sensitive lists and joint review mechanisms to protect domestic industry from import surges.
Impact evaluation of Free Trade Agreements involves pre-negotiation feasibility studies and stakeholder consultation through Joint Study Groups to identify vulnerabilities. FTAs provide for sensitive/negative lists limiting tariff concessions and preserve recourse to trade remedies such as anti-dumping and safeguards for injury from import surges. Each agreement establishes a joint review mechanism to monitor implementation.

Non-Discriminatory Market Access sought to normalise bilateral trade, contingent on reciprocal tariff liberalisation and removal of negative list.
India extended Most Favoured Nation status to Pakistan in 1996, which Pakistan has not reciprocated. Official dialogues since 1998 and intensified talks from 2010-2014 sought trade liberalisation and implementation of agreed measures. Both Governments reaffirmed a reciprocal commitment to provide Non-Discriminatory Market Access and to pursue trade normalisation based on an existing road map. Pakistan's shift to a Negative List regime, barring numerous tariff lines from Indian imports, limits SAFTA preferential benefits and constrains trade liberalisation.

Senior appointments approved: Deputy Managing Directors named for Exim Bank, confirming executive leadership assignments effective upon assumption of charge.
The Appointment Committee of the Cabinet approved the designation of two officials as Deputy Managing Directors of Export-Import Bank of India, effective from the date each assumes charge, identifying one incumbent by current role as Managing Director and Chief Executive Officer of a public sector asset management company and the other as an Executive Director at the bank.

Customs duty on imported electronic goods: baggage beyond duty-free allowance subject to applicable customs charges.
Electronic goods carried as passenger baggage beyond the duty free allowance are liable to customs duty; cargo imports are chargeable to applicable duties except where exempt. LEDs under tariff heading 8541 are exempt from basic customs duty but remain subject to countervailing duty, special additional duty and education cesses. Reported customs revenue at Indira Gandhi International Airport for three years is provided, and no instances of passenger cheating by customs officials were reported.

President's Rule necessitates Parliament to pass Delhi's budget; sectoral outlays announced and no new taxes imposed.
President's Rule under Article 239AB continues, so Parliament must pass the NCT of Delhi budget for 2014-15; an earlier Vote on Account was enacted. The budget states total estimates, Plan and Non Plan splits, a reduction in outstanding debt, and affirms no new taxes or rate increases. Sectoral plan outlays allocate capital and program resources across health, education, social welfare, housing and urban development, water supply and sewerage, transport and energy, with specific project commitments and implementation mechanisms.

Budget allocations fund major public services and infrastructure projects across health, education, water, transport and social welfare.
The budget for the National Capital Territory of Delhi for 2014-15 sets out total expenditure split between Plan and Non-Plan components, financed by tax and non-tax revenue, capital receipts and Central grants, with an aim to reduce outstanding debt. It allocates sectoral Plan outlays and describes operational measures across health, education, social welfare, housing and urban development, water and sewerage projects, transport and energy, and affirms no new taxes or tax rate increases.

Trade deficit reduction: diversify exports and tackle market access and non tariff barriers to China.
India's trade deficit with China is attributed to China's competitive manufactured exports supported by subsidies, India's reliance on primary products, and limited market access including non tariff barriers. The Government's response focuses on export diversification into manufactured goods, bilateral market access negotiations via the JEG, promotion of Indian participation in Chinese trade fairs, utilisation of Market Access Initiative and Market Development Assistance to build business links, and sectoral MoUs and industrial park cooperation to encourage manufacturing investment in India and boost exports.

Interest Subvention Scheme expanded and rate increased to boost export competitiveness alongside product diversification measures.
The Government of India expanded the Interest Subvention Scheme from select labour intensive sectors to additional engineering tariff lines and raised the subvention rate to improve export competitiveness, while also enlarging Market Linked Focus Product and Focus Product Schemes and designating hi tech products as eligible for duty script benefits, all implemented through periodic reviews and Annual Supplements to the Foreign Trade Policy.