Executive Summary:
This notification, effective September 7, 2015, amends the export policy of sugar as per the Foreign Trade Development and Regulation Act of 1992 and the Foreign Trade Policy of 2015-20. It removes the requirement for prior registration of quantity with the DGFT for sugar exports, while maintaining certain conditions for organic sugar exports and quota restrictions for exports to the EU and USA.
Key Points / Main Content:
Amendments to Export Policy:
Prior Registration Removal:
The requirement for prior registration of sugar export quantity with the Directorate General of Foreign Trade (DGFT) is removed.
Organic Sugar Export:
Organic sugar exports are permitted without quantity limits as long as sugar exports remain free.
Such exports must be certified as organic by the Agricultural and Processed Food Products Export Development Authority (APEDA).
Sugar Exports to EU (CXL Quota):
The Certificate of Origin shall be issued by Additional DGFT, Mumbai.
Exporters must furnish details of actual exports (quantity, value, destination, buyer information) to the Additional DGFT, Mumbai, and APEDA, New Delhi.
Exports are subject to quantitative ceilings notified by DGFT.
Sugar Exports to USA (TRQ Quota):
The quota will be operated by APEDA, New Delhi.
Exporters must furnish details of actual exports to APEDA, New Delhi.
Certificate of Origin, if required, shall be issued by Additional DGFT, Mumbai.
Exports are subject to quantitative ceilings notified by DGFT.
Pharmaceutical and Specialty Sugars:
Export of Pharmaceutical Grade Sugar (Sucrose IP/BP/EP/USP/JP and Sucrose AR/LR) and Speciality Sugar (various types) would not be subject to registration requirement.
Deleted Note:
Export Licensing Note 1 of Chapter 17 has been deleted.
Impact Analysis:
Sugar Exporters:
Impact: Reduced administrative burden due to the removal of mandatory registration of quantity with DGFT for sugar exports.
Action Required: Ensure compliance with APEDA certification for organic sugar exports and continue providing export details to DGFT Mumbai and APEDA New Delhi for quota-based exports.
APEDA:
Impact: Continued responsibility for certifying organic sugar, operating the TRQ quota for the USA, and notifying modalities and operational guidelines.
Action Required: Maintain certification processes for organic sugar and manage quota operations for exports to the USA according to established guidelines.
DGFT:
Impact: No longer requires registration of quantity for sugar exports. Continues to oversee quantitative ceilings for EU and USA exports.
Action Required: Monitor and enforce quantitative restrictions for sugar exports to the EU and USA, and ensure the Additional DGFT, Mumbai issues Certificate of Origin.
Additional DGFT, Mumbai:
Impact: Responsible for issuing Certificate of Origin for sugar exports to the EU and receiving export details from exporters.
Action Required: Continue issuing Certificates of Origin and monitoring export data for sugar exports to the EU.
Key Entities Referenced
Foreign Trade Development Regulation Act, 1992: An act of the Indian Parliament that empowers the Central Government to regulate foreign trade.
Foreign Trade Policy, 2015-2020: A policy document outlining the guidelines and objectives for India's foreign trade.
Central Government: The Union Government of India, responsible for making amendments to notifications related to foreign trade.
Directorate General of Foreign Trade: A department of the Ministry of Commerce and Industry responsible for implementing the Foreign Trade Policy.
APEDA, New Delhi: Agricultural and Processed Food Products Export Development Authority, located in New Delhi, responsible for export promotion of scheduled products.
DGFT, Mumbai: Additional Directorate General of Foreign Trade, Mumbai. An office responsible for issuing Certificate of Origin under CXL Quota.
European Union: A political and economic union of member states located primarily in Europe, importing sugar under CXL quota.
United States of America: A country importing sugar under TRQ (Tariff Rate Quota).