Index of Eight Core Industries: combined July 2012 growth 1.8%, with mixed sectoral performance and key declines in fuels.
The Index of Eight Core Industries for July 2012 stood at 147.3 with 1.8% monthly growth and 3.2% cumulative April-July growth; Coal, Refinery Products, Steel, Cement and Electricity showed positive but generally slowed growth, while Crude Oil, Natural Gas and Fertilizers recorded negative month-on-month and cumulative growth. The combined weight of these industries in the IIP is 37.90%. Data are provisional and a refinery's crude throughput was not reported and excluded from production figures.

Regional Comprehensive Economic Partnership negotiations advanced with a roadmap and expedited workstreams for services and investment.
Discussions advanced cooperation on industrial corridors, support for National Investment & Manufacturing Zones, modalities for release of Japanese funding, and relaxation of capital regulations. Multilaterally, ministers recommended guiding principles and a roadmap to launch the Regional Comprehensive Economic Partnership as a single undertaking, urging expedited work in working groups on trade in services and investment to finalize templates and modalities. Bilateral talks with Korea and Cambodia focused on investment in infrastructure and manufacturing, sectoral collaboration, and technical assistance.

Trade in services and investment reviewed at ASEAN consultations, with RCEP and East Asia Summit economic discussions and bilateral talks.
Anand Sharma participated in ASEAN Economic Ministers-India consultations to review progress on agreements concerning trade in services and investment, joined ASEAN plus FTA Partners dialogues on the proposed Regional Comprehensive Economic Partnership, took part in East Asia Summit economic discussions on regional development, and conducted bilateral meetings and an inspection of Archaeological Survey of India activity at Ta Prohm.

Export promotion mandate directs multi-year targets for agri-product export growth across scheduled product groups and sectors.
The export promotion mandate assigns responsibility for development and promotion of listed agricultural and processed food product categories and establishes an administrative multi year target framework by product group, with progressively increasing export value targets aggregated into sectoral and consolidated totals to guide export development.

Wheat export policy permits unrestricted exports under an Open General Licence and central pool releases via PSUs.
The Government balances buffer stock, food security, diplomatic, demand and price factors when regulating agricultural exports. Pulses exports remain largely banned to protect domestic availability with limited diplomatic exceptions and zero import duty for pulses. Wheat exports were authorised under an Open General License without quantitative or price restrictions from 9 September 2011, and the Cabinet Committee approved release of two million tonnes from Central Pool stocks through Central public sector undertakings for export.

Trade imbalance prompts bilateral talks to address market access, investment facilitation and cooperation on trade remedies.
The session centers on addressing the trade deficit by pursuing market access for IT/ITES, agricultural products, pharmaceuticals, diamonds and seafood, promoting export of Indian films, strengthening cooperation on trade remedies and service trade, and improving investment facilitation and the operating environment for enterprises, within the Joint Economic Group framework and in light of recent bilateral trade volumes.

SEZ rule amendments proposed to revive export competitiveness, alongside tax and credit measures to boost exports.
Government will consider amendments to SEZ rules, seek reconsideration of withdrawal of Minimum Alternate Tax and Dividend Distribution Tax, and prioritise access to competitively priced credit to revive SEZ exports. Concurrently, the Government will strengthen institutional linkages in the gems and jewellery sector through skill development centres, international collaborations for grading, certification and R&D, and support establishment of an India-Africa Diamond Institute in Botswana for capacity building.

Ban on import of Chinese milk products extended after food safety advisory; government notified extension and informed legislature.
Food safety authorities advised a prohibition on importation of milk and milk-containing products from China, and the government extended that prohibition by administrative notification. The extension expressly covers chocolate and confectionery with milk or milk solids as ingredients and remains in force until further orders, the notification having been issued following the advisory.

Special Focus Market Scheme grants additional duty credit scrip for exports to notified countries, expanding eligible markets.
Under the Special Focus Market Scheme, exports to notified countries receive an additional duty credit scrip supplementing the duty credit available under the Focus Market Scheme. Seven markets - Belize, Chile, El Salvador, Guatemala, Honduras, Morocco, and Uruguay - were added on 5 June 2012, bringing total coverage to forty eight markets and expanding destinations eligible for the additional duty credit benefit.

Agreement on Trade in Goods signed with ASEAN under CECA; services negotiations continue with multiple working group meetings.
Signing of a Agreement on Trade in Goods under the CECA framework with ASEAN and bilateral CECAs with Singapore and Malaysia formalises trade-in-goods commitments and market-access arrangements; separate negotiations for an Agreement on Trade in Services are ongoing, with thirteen Working Group meetings held, and rising export and import flows to ASEAN providing contextual economic indicators.

Trade liberalization advances as India trims SAFTA sensitive list for non LDCs, lowering peak tariffs under agreed timetable.
The Cabinet approved removal of 264 tariff lines from India's SAFTA Sensitive List for Non Least Developed Countries, enabling progressive reduction of peak tariffs to a lower rate within the SAFTA tariff liberalization timeframe. This action lowers India's Sensitive List for Pakistan and follows Pakistan's shift from a positive to a negative list; it complements prior unilateral liberalisation for Least Developed Countries and is accompanied by removal of investment restrictions, a liberalised visa regime, and an Integrated Check Post to facilitate trade, with further steps to follow a jointly negotiated roadmap.

Fuel pricing methodology revision: study finds no under recovery for motor spirit and diesel, reduced shortfall for other fuels.
Tariff Commission's cost based study recommends a revised methodology for assessing fuel pricing under recovery, finding no under recovery for Motor Spirit and High Speed Diesel and notably reduced under recovery for Liquefied Petroleum Gas and Special Kerosene Oil; the Commission has sought concurrence to conduct a similar production cost study of national oil and gas companies to assess actual crude oil and natural gas production costs.

Bilateral trade policy: manufacturing-led Chinese imports and APTA-based tariff concessions shape India-China market access.
Bilateral trade is characterised by Chinese manufactured imports meeting demand in expanding Indian sectors and Indian exports of primary, raw and intermediate products; Chinese agricultural market access is limited by non tariff barriers. India has not given China special bilateral concessions beyond WTO commitments and reciprocal tariff concessions under the Asia Pacific Trade Agreement (APTA), where both countries have offered tariff concessions to non LDC members.

Mandatory pre shipment testing for specified spices now required before export, with shipment only on cleared analytical reports.
The government provides assistance under horticulture missions and subsidy schemes to develop post harvest infrastructure such as cold storages and markets, and operates a Price Support Scheme for coconuts; the Spices Board has instituted mandatory pre shipment sampling and testing for certain spices to detect illegal dyes, aflatoxin and specified pesticides, permitting export only with cleared analytical reports from designated quality evaluation laboratories while implementing programmes for post harvest improvement, organic cultivation, licensing and e auction facilitation.

Net Foreign Exchange obligation for SEZ units requires cumulative positive NFE within five years or triggers penal action.
SEZs established under the SEZ Act, 2005 are designed to promote exports, investment and employment through built-in fiscal concessions and duty exemptions; proposals require state consent and Board of Approval scrutiny, Development Commissioners conduct annual monitoring, and units must achieve positive Net Foreign Exchange cumulatively over five years or face penal action under the Foreign Trade (Development and Regulation) Act, 1992. The release summarises state-wise approvals, notifications, operational status, export performance by sector, employment gains, and reasons for developer requests for de-notification, with rules and procedures periodically reviewed.

Export promotion measures for gems and jewellery expand consignment certification, market access assistance and relaxed carriage limits to boost trade.
Government measures to support gems and jewellery exports include financial assistance for international fairs and buyer-seller meetings under the Market Development Assistance and Market Access Initiative schemes, permission to import diamonds on a consignment basis for certification/grading and re-export by specified agencies, and increased personal carriage limits for participation in overseas exhibitions and export promotion tours.

Net foreign exchange requirement enforces positive cumulative foreign exchange earnings, non-compliance triggers statutory penal action.
SEZs in Rajasthan are subject to a mandatory Net Foreign Exchange obligation requiring positive cumulative foreign exchange earnings over five years from commencement of production, with failure attracting penal action under the Foreign Trade (Development and Regulation) Act, 1992; annual monitoring by the Development Commissioner under the SEZ Act, 2005 and rules ensures compliance.

Export promotion measures announced to counter recessionary impact, using targeted incentive schemes to diversify markets and products.
Government announced a package and reiterated export-promotion measures-building on Budget, Reserve Bank and Foreign Trade Policy actions-and identified targeted incentive schemes such as the Focus Product Scheme, Focus Market Scheme, Market Linked Focus Product Scheme and Vishesh Krishi and Gram Udyog Yojana to increase market share, diversify export markets and broaden product composition.

Export-import trade with European countries shows fluctuating annual growth and changing import-export dynamics for India.
Yearly trade data for 2006-07 through 2011-12 presents India's export and import values with European countries and corresponding year on year increases and decreases, showing an overall upward trend in both flows across the period while noting specific years with negative annual changes.

SEZ export growth shows slowing annual expansion but strong recent quarterly rebound in contribution to trade.
SEZ exports rose in nominal terms across the reported years, with the latest full-year comparison showing a markedly lower annual growth rate despite higher absolute export values; the first quarter of the subsequent year registered a strong quarter-on-quarter increase. The release provides annual and quarterly export figures and percentage growths, based on a written parliamentary reply by the Minister of State for Commerce and Industry, and underscores a deceleration in year-on-year growth rates even as total SEZ export values expanded.