Introduction: The Ministry of Finance, India, has introduced an amendment to the existing export duty on Parboiled rice. The latest notification, No. 59/2023-Customs, dated October 13, 2023, extends the applicability of the current export duty rate. Let’s delve into the specifics of this amendment.
The Ministry of Finance, under the powers granted by the Customs Act, 1962, has made a noteworthy amendment to the export duty on Parboiled rice. The key points to understand from this notification are as follows:
1. Legal Framework:
This notification is issued in compliance with the Customs Act, 1962, which grants the Central Government the authority to amend the rates and conditions related to customs duties.
2. Extension of Export Duty:
The primary purpose of this notification is to extend the applicability of the current export duty rate on Parboiled rice. It seeks to prolong the existing export duty provisions.
3. Amendment Details:
In the annexure to the notification No. 55/2022-Customs, dated October 31, 2022, the amendment is centered around Condition number 5. The crucial change is the replacement of the earlier specified date, “16th day of October, 2023,” with the new date, “1st day of April, 2024.”
4. Public Interest Perspective:
The amendment is driven by the Central Government’s belief that such a change is necessary in the public interest. The determination of public interest is a key factor that influences such policy modifications.
5. Export Duty Implications:
This extension of the export duty rate means that, for the specified duration, exporters of Parboiled rice will be subject to a 20% export duty on their shipments. This has an impact on the pricing and competitiveness of Parboiled rice in international markets.
6. Continuation of Export Duty Policy:
The extension of the export duty indicates the government’s intention to maintain a certain level of control over the export of Parboiled rice, possibly to ensure an adequate domestic supply or to manage foreign exchange earnings.
7. Previous Amendments:
The notification acknowledges previous amendments, including notification No. 57/2023-Customs, dated September 29, 2023, which introduced changes to the export duty structure. Understanding these amendments in context is essential for stakeholders.
8. Effective Date:
The extension of the export duty will be effective from the new specified date of April 1, 2024. Exporters and traders need to consider this date in their operations and planning.
Conclusion: The extension of the export duty on Parboiled rice demonstrates the Indian government’s ongoing commitment to managing its agricultural exports to safeguard domestic interests and meet its economic objectives. Exporters and traders in the rice industry should be aware of these changes to comply with the duty regulations and adjust their business strategies accordingly. It is imperative to stay informed about such government notifications to make informed decisions in the export business.
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MINISTRY OF FINANCE
(Department of Revenue)
Notification No. 59/2023-Customs | Dated: 13th October, 2023
G.S.R. 738(E).— In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 (52 of 1962), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby makes the following further amendments in the notification of the Government of India in the Ministry of Finance (Department of Revenue), notification No. 55/2022-Customs, dated the 31st October 2022, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 796(E), dated the 31st October 2022, namely:-
In the said notification, in the Annexure, in the entry against Condition number 5, for the figures, letters and words “16th day of October, 2023”, the figures, letters and words “1st day of April, 2024” shall be substituted.
[F. No. CBIC-190354/161/2023-TRU]
NITISH KARNATAK, Under Secy.
Note: The principal notification No. 55/2022-Customs, dated the 31st October 2022, was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-Section (i), vide number G.S.R. 796(E), dated the 31st October 2022, and was last amended vide notification No. 57/2023-Customs, dated the 29th September, 2023, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-Section (i), vide number G.S.R. 703 (E), dated the 29th September, 2023.
