Home India Ministry of Commerce and Industry Amendment in Export Policy and insertion of Policy Condition...
Date: 2022-03-23 Category: Not Applicable State: Union Government Country: India

Amendment in Export Policy and insertion of Policy Condition under Chapter 29 and 38 of ITC (HS), 2018 – regarding

Issued by Ministry of Commerce and Industry · Directorate General Of Foreign Trade

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Executive Summary & Key Takeaways

**Executive Summary:** This notification, issued by the Directorate General of Foreign Trade, Ministry of Commerce and Industry, amends the export policy for specific items under Chapter 29 and 38 of the ITC HS, 2018. It revises the export policy of Hydrofluorocarbons (HFCs) from "Free" to "Restricted" with immediate effect. Export Authorizations will be issued based on NOC from MoEFCC. **Key Points / Main Content:** * **Export Policy Amendment:** * The export policy for specified HS codes under Chapter 29 and 38 of ITC HS, 2018, is amended. * Hydrofluorocarbons (HFCs) are now under the "Restricted" export category. * **Affected HS Codes:** The following list of HS codes are impacted by this policy change: * 29034100, 29034200, 29034300, 29034400, 29034500, 29034600, 29034700, 29034800, 29035100, 38275100, 38275900, 38276100, 38276200, 38276300, 38276400, 38276500, 38276800 * **Export Authorization Requirement:** * Export of HFCs requires an export authorization. * A "No Objection Certificate" (NOC) from the Ozone Cell, MoEFCC (Ministry of Environment, Forest and Climate Change) is mandatory for obtaining export authorization. * **Policy Condition Insertion:** * A new policy condition is incorporated in Chapter 29 and 38 of the ITC HS, Schedule 2 Export Policy. **Impact Analysis:** * **Exporters of Hydrofluorocarbons (HFCs):** * *Impact:* Face a restriction on exporting HFCs, requiring them to obtain export authorization and an NOC. * *Action Required:* Apply for export authorization with a NOC from the Ozone Cell, MoEFCC, before exporting HFCs. * **Directorate General of Foreign Trade (DGFT):** * *Impact:* Responsible for implementing the revised export policy and issuing export authorizations based on NOCs. * *Action Required:* Enforce the new export policy, process export authorization applications, and coordinate with MoEFCC. * **Ministry of Environment, Forest and Climate Change (MoEFCC) / Ozone Cell:** * *Impact:* Responsible for issuing NOCs for HFC exports. * *Action Required:* Evaluate and issue NOCs for HFC exports as per established guidelines.

Key Entities Referenced

Ministry of Commerce and Industry: The Indian governmental ministry responsible for international trade and commerce. Directorate General of Foreign Trade: The agency of the Ministry of Commerce and Industry responsible for implementing the Foreign Trade Policy in India. Foreign Trade Development and Regulation Act, 1992: An Indian law that provides the legal framework for the development and regulation of foreign trade. Foreign Trade Policy, 2015-2020: A set of guidelines and objectives established by the Indian government to promote and regulate international trade. ITC HS, 2018: Indian Trade Clarification based on Harmonized System of Coding. This is related to export policy of India. Hydrofluorocarbons HFCs: A group of man-made organic compounds that contain fluorine and hydrogen atoms, commonly used as refrigerants. The export policy for these substances has been revised. Ozone Cell, MoEFCC: A unit within the Ministry of Environment, Forest and Climate Change (MoEFCC) in India, responsible for implementing the Montreal Protocol and regulating ozone-depleting substances. A No Objection Certificate (NOC) from this cell is required for exporting HFCs. New Delhi: The capital of India and the location from which the notification was issued.
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Government of India Ministry of Commerce & Industry Department of Commerce Directorate General of Foreign Trade Notification No. 62/2015-2020 New Delhi, Dated: 23"! March, 2022 Subject: Amendment in Export Policy and insertion of Policy Condition under Chapter 29 and 38 of ITC (HS), 2018 — regarding S.O. (E): In exercise of powers conferred by Section 3 read with Section 5 of the Foreign Trade (Development and Regulation) Act, 1992 (as amended from time to time) read with paragraph 1.02 and 2.01 of the Foreign Trade Policy, 2015-2020, the Central Government hereby makes amendment in the Export Policy of Chapter 29 and 38, ITC (HS), Export Policy, 2018, for the following HS codes as under: S.No. | HS Code Item Description Present Revised Export Export Policy Policy 151 A | 29034100 | Trifluoromethane (HFC-23 ) | Free Restricted 151B | 29034200 | Difluoromethane (HFC-32) _| Free Restricted 151C | 29034300 | Fluoromethane (HFC-41), | Free Restricted 1,2-difluoroethane (HFC- 152) and 1,1-difluoroethane (HFC- 152a) 151D_ | 29034400 | Pentafluoroethane (HFC- | Free Restricted 125), 1,1,1- trifluoroethane (HFC-143a) and _— 1,1,2- trifluoroethane (HFC-143) ISIE | 29034500 1,1,1.2- Tetrafluoroethane | Free Restricted (HFC-134a) and = 1,1,2,2- tetrafluoroethane (HFC-134) 151 F_ | 2903 46 00 | 1,1,1,2,3,3,3- Free Restricted Heptafluoropropane (HFC- 227/€4a); 1,1,1,2,2,3- hexafluoropropane (HFC- 236cb), 1,1,1,2,3,3- hexafluoropropane (HFC- 236ea) and 1,1,1,3,3,3- hexafluoropropane (HFC- 236fa)151G 2903 47 00 1,1,1,3.3- Free Pentafluoropropane (HFC- 245 fa) and 1,1,2,2,3- pentafluoropropane (HFC- 245ca) 151 H 2903 48 00 1,1,1.3,3-Pentafluorobutane Free Restricted (HFC-365mfc) and 1,1,1,2,2,3,4,5,5,5- decafluoropentane (HFC-43- 10mee) 151] 290351 00 2,3,3,3- Tetrafluoropropene Free Restricted (HFO-1234yf), 1,3,3,3- tetrafluoropropene (HFO1234ze) and = (z)- 1,1,1,4,4,4-hexafluoro-2- butene (HFO-1336mzz) 151 J 382751 00 Containing trifluoromethane Free Restricted (HFC-23) 151K 382759 00 Other - Containing other Free Restricted Hydrofluorocarbons (HFCs) but not containing chlorofluorocarbons (CFCs) or hydrochlorofluorocarbons (HCFCs) 151L 3827 61 00 Containing 15% or more by Free Restricted mass of 1.1.1 - trifluoroethane (HFC -143a ) 151M 3827 62 00 Other, not included in the Free Restricted sub -heading above, containing 55% or more by mass of pentafluoroethane (HFC -125) but not containing unsaturated fluorinated derivatives of acyclic hydrocarbons (HFOs) 151 N 3827 63 00 Other, not included in the Free Restricted sub -headings above, containing 40% or more by mass of pentafluoroethane (HFC -125 ) 1510 3827 64 00 Other, not included in the Free Restricted sub -headings above, containing 30% or more by mass of 1,151,2 -derivatives of acyclic hydrocarbons (HFOs) 151 P | 382765 00 | Other, not included in the | Free Restricted sub -headings above, containing 20% or more by mass of difluoromethane (HFC -32) and 20% or more by mass of pentafluoroethane (HFC - 125°) 151. Q | 382768 00 | Other, not included in the | Free Restricted sub-headings above, containing substances of subheadings 29034100 to 29034800 a A new policy condition no. | is incorporated in Chapter 29 and 38 respectively of ITC (HS), Schedule — 2 (Export Policy). “Export of Hydrofluorocarbons (HFCs) is permitted with an Export authorization subject to NOC of Ozone Cell, MoEF&CC”. a Effect of this Notification Export Policy of Hydrofluorocarbons (HFCs) has been revised from ‘Free’ to ‘Restricted’ category with immediate effect and export Authorisations would be issued based on NOC from MoEF&CC. (Santosh Kumar Sarangi) Director General of Foreign Trade Ex- officio Addl. Secretary to the Government of India E-mail: dgft@nic.in (Issued from F. No. 01/91/180/028/AM22/EC /E-30957)

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