**Executive Summary:**
This notification amends the export policy of sugar, specifically Chapter 17 of Schedule 2 of ITCHS. It moves the export of preferential quota sugar to the EU and USA from State Trading Enterprise (STE) to a free regime, subject to certain conditions. The changes are effective immediately as of April 20, 2015.
**Key Points / Main Content:**
* **Amendments to Export Policy:**
* The export of preferential quota sugar to the EU and USA is shifted from STE to a free regime.
* **Sugar Export Conditions:**
* For sugar exports under HS Code 1701 00 00, prior quantity registration with the Directorate General of Foreign Trade (DGFT) is required.
* Sugar exports to the EU require a Certificate of Origin issued by the Additional DGFT, Mumbai.
* Sugar exports to the USA under the Tariff Rate Quota (TRQ) will be managed by the Agricultural and Processed Food Products Export Development Authority (APEDA), New Delhi, according to their guidelines.
* Exporters must provide details of actual exports (quantity, value, destination, buyer information) to both the Additional DGFT, Mumbai, and APEDA, New Delhi.
* Exports are subject to quantitative ceilings notified by DGFT periodically.
* **Organic and Speciality Sugar:**
* The policy includes organic sugar.
* Pharmaceutical grade sugar (Sucrose IP/BP/EP/USP/JP, Sucrose AR/LR) and speciality sugars (sugar cubes, sugar sachets, castor sugar, demerara sugar, light brown sugar, icing sugar, fondant icing sugar, kathali sugar, candy sugar, rainbow sugar, pearl sugar, and trimoline invert sugar) are exempt from registration requirements.
* **Organic Sugar Export:**
* Export of organic sugar is permitted without quantity limits until the export of sugar is free.
* The sugar must be certified as organic by APEDA.
* Prior quantity registration with DGFT is required through the online system.
* **Export Licensing Note:**
* Note 1 of Chapter 17's Export Licensing Note is deleted.
**Impact Analysis**
**Stakeholder: Sugar Exporters**
* Impact:
* Greater freedom in exporting preferential quota sugar to the EU and USA, but subject to conditions and quantitative limits.
* Must comply with registration and reporting requirements.
* Action Required:
* Register quantity with DGFT.
* Obtain Certificate of Origin from Additional DGFT, Mumbai (for EU exports).
* Follow APEDA guidelines for USA exports under TRQ.
* Furnish export details to Additional DGFT, Mumbai, and APEDA, New Delhi.
**Stakeholder: Directorate General of Foreign Trade (DGFT)**
* Impact:
* Responsible for setting quantitative ceilings and managing registration.
* Action Required:
* Notify quantitative ceilings periodically.
* Maintain online registration system.
**Stakeholder: Additional DGFT, Mumbai**
* Impact:
* Responsible for issuing Certificates of Origin for EU exports.
* Action Required:
* Issue Certificates of Origin.
* Collect and manage export data from exporters.
**Stakeholder: APEDA, New Delhi**
* Impact:
* Manages USA exports under TRQ.
* Certifies organic sugar.
* Action Required:
* Notify modalities and operational guidelines for USA exports.
* Certify organic sugar.
* Collect and manage export data from exporters.
Key Entities Referenced
Foreign Trade Development Regulation Act, 1992: An act of the Parliament of India to provide for the development and regulation of foreign trade
Foreign Trade Policy, 2015-2020: A policy document by the Government of India regarding guidelines and objectives for promoting and regulating foreign trade.
Directorate General of Foreign Trade: A department of the Ministry of Commerce and Industry, Government of India, responsible for implementing the Foreign Trade Policy.
ITES (Indian Trade Clarification based on Harmonized System): Indian Trade Clarification based on Harmonized System (ITC-HS) classification of Export and Import Items.
Agricultural and Processed Food Products Export Development Authority (APEDA), New Delhi: An export promotion organization under the Ministry of Commerce and Industry, Government of India. Responsible for promoting the export of agricultural and processed food products.
European Union: A political and economic union of member states located primarily in Europe.
United States of America (USA): A country in North America.
Additional DGFT, Mumbai, Maharashtra: Additional Directorate General of Foreign Trade, Mumbai.