The government last week simplified norms for the export sector under the advance authorisation scheme. Under this scheme, exporters can avail duty free import of inputs if these inputs are incorporated in an export product. Besides, packaging material, fuel, oil, catalyst which is consumed or utilized in production of export product is also allowed. Now, DGFT has created a user-friendly database of ad-hoc norms fixed in the previous years.

While majority of importers and exporters are well aware of the scheme, those who have not still applied for can do it under Services > Advance Authorisation /DFIA > Apply for Advance Authorisation (ANF 4A) tab on the DGFT website. Then just by entering a few details, the required application can be submitted on the portal. Before doing that one must obtain the 10-character Importer-Exporter Code by registering on the DGFT website.

Meanwhile, as per another notification issued by DGFT, a ban has been imposed on all exports of 'non-basmati white rice'. Accordingly, the Export Policy of Non-Basmati rice has been amended against ITC (HS) Code 1006 30 90 of Chapter 10 of Schedule 2 of the ITC (HS) Export Policy. The Centre said that this ban was "to guarantee sufficient availability of non-basmati white rice in the Indian market and to mitigate the increase in prices within the country."

The decision seems sound. Last year, export duty of 20 percent on non-basmati white rice had been introduced, but the move failed to bring down its exports. Now, the ongoing war in Ukraine and unpredictable weather conditions, combined with heavy monsoon rains in rice-producing states, have a significant impact on food prices. Also, in the background of increasing retail prices of rice, the latest move hardly comes as a surprise.

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