A disconnect between promises and delivery on rewarding exporters?

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: We are merchant exporters dealing in pharmaceutical products and we hold star export house status. The Foreign Trade Policy (2004-09) launched the Target Plus Scheme to encourage exporters who have achieved a quantum growth in exports. (It offers duty free licence of value ranging from 5-15%, depending on the growth in exports with minimum eligibility of growth pegged at 20%). We achieved a growth of more than 60% last year, but we are still not eligible because the value of the goods procured from 100%EOU and SEZ units are not included for computation of eligibility. The prime objective of the scheme has been to reward growth. Then why should we be denied this benefit? Is it not against the principles of natural justice that export products procured from DTA qualify but not those procured from EOUs and units in SEZs?
— Sanjeev Khurana, Zambon Export, #301, JMD Regent Square, Gurgaon

It is understandable that as an exporter, you have to compete in the international market on parameters of cost, quality and delivery. As a merchant exporter, your procurement of export goods, therefore, would also be based on these criteria—whether the manufacturer is located in the Domestic Tariff Area (DTA) or in an SEZ or if it is a 100% EOU. When these units are already allowed to sell their produce up to 50% in the DTA area, it is not understandable why they cant be encouraged to export their output (that they have not been able to export themselves) through merchant exporters. I also believe that the value of exports by procurement from these units should be included in the Target Plus Scheme.

Second, the schemes that provide incentives for growth of exports, such as the Target Plus or the earlier DFCEC schemes (not the duty reimbursement schemes) have become increasingly complicated. If one goes by the list of omissions and commissions in such schemes, it appears that government promises to reward, but does not really intend to do it.

We are exporters, earning export revenues worth Rs 55 crore. We have obtained DEPB benefits worth Rs 1 crore. By selling these, we received Rs 1.10 crore. Please advise whether entire sales realisation of DEPB—Rs 1 crore—will be taxable, or is the difference between value of DEPB and the realisation (Rs 10 lakh) that will be taxable.
—MP Singh, Gee Kay International, Jalandhar