Role of Indian Chamber of Commerce and Industry in promotion of Internal Trade
A chamber of commerce and industry is an association of business organizations and businessmen which works for the furtherance of interest of its members. Examples are, ASSOCHAM, FICCI, CII. The Indian Chambers of Commerce and Industry has been playing a catalytic role in strengthening internal trade to make it an important part of overall economic activity. The chambers interact with the government at different levels to reorient or put in place policies which reduce hindrances, increase interstate movement of goods, introduce transparency and remove multiple layers of inspection and bureaucratic hurdles.
Basic functions of Chambers of commerce and industry:
(i) Transportation or interstate movement of goods: the Chambers help in activities concerning the registration of vehicles, surface transport policies and construction of highways.
(ii) Harmonization of sales tax structure and value added tax: the chamber interacts with the government to harmonise the sales tax structure in different states, rationalize the tax structure and simply the rates to balance trade.
(iii) Octroi and local levies: Chambers ensure that the various octroys and levies do not harm and hinder smooth transportation and trade.
(iv) Marketing of agro-products and related issues: The chambers help in streamlining the subsidies and marketing policies of firms selling agro products.
(v) Weights and measures and prevention of duplication brands: Chambers interact with the government to formulate policies on such issues and take action against firms which violate them.
(vi) Excise duty: Chambers interact with government in streamlining and harmonizing the excise policies, which is plays a role in pricing mechanism.
(vii) Promoting sound infrastructure: Chambers work with the government for providing infrastructure such as roads, electricity, ports, railways, etc. for promoting trade.
(viii) Labour legislation: Chambers work towards a simple and flexible labour legislation which will maximize production, generate employment and assure minimum wage payment.
