A: 1. The 7th Schedule of the Indian Constitution deals with the division of
powers between the Union government and State governments.
- There are 3 lists in the Constitution:-
Education Name Particulars Example
List I Union list Central Government International Trade Ports
List II State List State Government Police
List III Concurrent List Concurrent – Central + State Education
- International trade is a subject matter of central government in List I.
- Earlier, the state government was not taking much initiative in promoting
India’s export, as it was not in the scope of the State List.
- The central government realised the role and importance of the state
government in promoting export and also the fact that the subject matter is
not in the State List.
- The Ministry of Commerce has designed a scheme to compensate the
state depending upon the value of goods exported from different states.
- The data is essentially required to provide some fiscal benefits to the
states.
- The required information is being collected through the Shipping Bill.
- Exporter has to provide the name of the state where the export goods
are being manufactured.
- This information is used by the central government to provide financial
benefit to individual state based on the performance/contribution of the
state in India’s total exports.
- Column No. 14 in Part 1 (A status) of Shipping Bill requires the exporter
to provide State of Origin of the exported goods.
- This information will be very useful to the new concept of developing
districts as export hubs.