A government of India sponsored body, Sports Goods Export Promotion Council (SGEPC), has been working earnestly to promote indigenous sports goods and toys across the globe. In order to promote Indian manufacturer of sports goods, this 61-year-old council, SGEPC has been organizing events across the globe. The council cherishes to have several Indian government schemes on board which make a favorable condition for the Indian sports goods manufactures to sustain and develop. Talking more about their strategies, Tarun Dewan Executive Director, The Sports Goods Export Promotion Council talked to Kumar Abhinav of Sportz Business and shared his insights over the mechanism of council in India.
Q How do you see incumbent government’s attention towards Indian Sports goods manufacturing and exports industry?
Although the Indian Exports of the Toys & Sports Goods sector have been showing consistent increase, overall India’s exports contracted in recent months due to sluggish demand in western markets. To push the export growth, the government has various schemes. Mentioned below are a few export schemes of the Indian Government, relevant to our sector
1. Export Oriented Unit (EOU) Scheme
The EOU Scheme provides an internationally competitive duty-free environment coupled with better infrastructural facilities for export production. The units are allowed to import or procure locally without the payment of duty all types of goods including capital goods, raw materials, components, packing materials, consumables, spares and various other specified categories of equipment.
2. Market Access Initiative (MAI) Scheme
The MAI Scheme is an Export Promotion Scheme, envisaged to act as a catalyst to promote India’s exports on a sustained basis. The scheme is formulated on focus product focus country approach to evolve specific market and specific product. These activities are eligible for financial assistance – marketing projects abroad, capacity building, support for statutory compliances, studies, project development, etc.
3. The Merchandise Exports from India Scheme (MEIS)
The MEIS has been introduced for the export of specific goods to specified markets. Rewards for the export of notified goods to notified markets under MEIS are payable as percentage of realized FOB value
4. Export Promotional Capital Goods (EPCG) Scheme
The objective of the EPCG Scheme is to facilitate import of capital goods for producing quality goods and services to enhance India’s export competitiveness. EPCG Scheme allows import of capital goods for preproduction, production and post-production at zero customs duty.
5. Duty Free Import Scheme
This Scheme is specially focused on labor intensive sectors like Apparel and Sports Goods & Toys sectors and allows a percentage, duty free imports of certain specified components to manufacture the end product, based on the last years export performance.
Q Being a govt. of India sponsored body, what advantages you provide to your members?
The Sports Goods Export Promotion Council (SGEPC) sponsored by the Ministry of Commerce & Industry, Government of India, established in 1958, is dedicated to promote the exports of Sports Goods & Toys from India. All the leading manufacturers and exporters of sports goods & toys are SGEPC Members. The Council works for and offers the following benefits to its members: Authentication of Exporters: SGEPC records the annual export figures of all the exporters and is a source for authenticated reliable data. Promotion of Industry in Overseas events: Council promotes the entire Industry through :
- India Pavilions in leading international fairs: SGEPC organizes participation and forms an India Pavilion where its member exhibitors are provided with thematic stands as per their individual requirements, at highly negotiated rates.
- Buyer Seller Meets: SGEPC organizes BSMs in potential countries with the help of Indian Missions and/or local marketing consultants.
Implementing, Processing & Disbursing Grants and Schemes of the Govt.
- MAI Grants for participation in overseas activities
- Duty Credit Scrip (7% of exports) under Focus Product Scheme. • Duty Free import of notified raw materials for sports goods.
Overseas Business Enquiries: The SGEPC circulates business enquires received directly or through Indian Missions abroad and also provides buyers with the list of the exporters as solicited.
Communication and Publicity: The Council has various communication instruments catering to its members, the Govt. as well as buyers which include: Regular Circulars / Websites / Members Directory / Catalogues / Advertisements / Banners
Link between Industry and Government: The SGEPC is a link between the Industry and the Govt. whereby it channelizes assistance offered by the Government to the Industry. SGEPC also provides feedback of the Industry to the Govt. for Policy formulation & fixation of incentives for the industry.
Export Statistics and Projections: For maintenance of records about exports of Sports Goods & Toys as well as evaluation of performance on an annual basis.
Export Awards: Council provides recognition to leading exporters and also to entrepreneurs and achievers.
Visa and Other Support to Members: Visa recommendation letters are provided to members to facilitate their export promotion visits.
Q Tell our audience about SGEPC workings in order to promote indigenous sports goods.
The SGEPC being an EPC responsible for exports of Toys & Sports takes it as its responsibility to promote all made in India products in different markets through various platforms under the initiative of the government schemes as explained above.
Q Tell us more about Committee of Administration (COA) which manages SGEPC.
The SGEPC is managed by a Committee of Administration (COA), which consists of elected representatives from the Indian Toys & Sports Goods industry. The elected members are for a fixed term. The committee includes a Government representative. The COA is headed by the Chairman, the Vice-Chairman and the Regional Director.
Q How do you promote Indian industry at overseas events?
The SGEPC promotes the Industry through organizing the participation of the member exporters in leading international events.
The SGEPC forms an India Pavilions in leading international fairs where its member exhibitors are provided with thematic stands as per their individual requirements, at highly negotiated rates. The SGEPC organizes Buyer Seller Meets in potential countries with the help of Indian Missions and/or local marketing consultants.
The Council has various communication instruments catering to its members, the Govt. as well as buyers which include: Regular Circulars / Websites / Members Directory / Catalogues / Advertisements / Banners
SGEPC circulates business enquires received directly or through Indian Missions abroad and also provides buyers with the list of the exporters as solicited.
Q What are the steps that the council takes to communicate and publicize while launching of any Indian sports goods?
The Council does not manufacture, market or promote any individual product but only promotes the Export of Toys & Sports Goods from India. Launching, publicizing or promoting of any new product is done by the respective manufacturer/ exporter.
Q How does the council nurture young entrepreneurs entering into the world of sports goods manufacturing business?
The council has a role of guiding and making the entrepreneur aware of the opportunities available for them in terms of the large international market available to them and what are incentives are available to the entrepreneur from the government to enable them to tap export markets. Outreach programs and awareness campaigns are organized by the SGEPC from time to time.
Q What kind of steps does council takes to increase the quality, presence & productivity of Indian sports goods?
The Council regularly keeps its members updated about the various international standards being followed by the world markets, organizes seminars on quality practices and various options available to the manufacturer to be cost effective and make international quality products.
Q Lastly can you please tell us which all events you participate to promote Indian manufactures?
The Sports Goods Export Promotion Council participates in most of the major International events for the sector. The Council keeps on exploring new opportunities available for its members, to showcase their products to target audiences, in line with the market trends. The events in which the SGEPC has been organizing the participation of its members for the last few years are as below.
ISPO Munich, The Leading International exhibition for Sports Goods
Spielwarenmesse International Toy Fair, Nuremberg, for Toys Hong Kong Toys & Games Fair, Hong Kong Kids India, Mumbai, International buyers are invited by the Council to India in Kids India, Mumbai, and their travel costs are reimbursed, to promote Indian Exports under the RBSM Scheme of the Government.
The Council also takes business delegation to different countries based on the markets to hold buyer seller meets (Similar event was organized recently in Algeria and Morocco). The council even helps its members, based on the feedback and interest of its members, by joining hands with other Councils to organize the participation of its members in product/country specific events.