Introduction: The Government of India’s Ministry of Commerce and Industry has introduced significant updates to the procedure for allocating export quotas for Wheat, Wheat Flour (Atta), and Maida/Semolina to Bhutan. This analysis delves into the newly imposed consequences for mis-declaration and failure to export within the stipulated timeframe.
Analysis: In the context of promoting humanitarian and food security objectives, the Directorate General of Foreign Trade (DGFT) has issued Trade Notice No. 21/2023-DGFT on August 16, 2023. This notice serves as an amendment to Trade Notice No. 17/2023 dated 28.07.2023, and outlines the updated procedure for the allocation of export quotas for Wheat, Wheat Flour (Atta), and Maida/Semolina to Bhutan.
The key amendment revolves around the extension of the application submission deadline to obtain export licenses. The new deadline is set for August 21, 2023, providing stakeholders with an extended period to apply for the licenses.
Notably, the notice establishes strict consequences for non-compliance. In cases where an applicant is found guilty of mis-declaration or fails to export the allocated quota within the specified time frame, stringent measures will be taken. The applicant will be blacklisted for the subsequent two financial years, effectively prohibiting them from participating in quota allocations during that period. Additionally, the relevant provisions of the Foreign Trade (Development & Regulation) Act, 1992, as amended, will be invoked against the defaulter, reinforcing the government’s commitment to maintaining trade integrity.
Conclusion: The amended procedure for Wheat, Wheat Flour, and Maida/Semolina export quota allocation to Bhutan underscores the government’s dedication to responsible trade practices. By imposing a two-year ban on those involved in mis-declaration or non-export, the government aims to ensure transparency, accountability, and adherence to the allocated quotas. This notice sends a clear message to the trade community about the seriousness of maintaining trade integrity and upholding the humanitarian and food security objectives outlined in the allocation process.
Government of India
Ministry of Commerce and Industry
Department of Commerce
Directorate General of Foreign Trade
Trade Notices No. 21/2023-DGFT | Dated: 16th August 2023
To
1. All Regional Authorities of DGFT
2. All Customs Commissionerate
3. Members of Trade
Subject: – Procedure for allocation of quota for export of Wheat, Wheat Flour (Atta) and Maida/Semolina on humanitarian and food security grounds, based on requests received from Government of Bhutan.
Trade Notice No. 17/2023 dated 28.07.2023 is partially amended to extend the last date for submission of application, for obtaining license for export of Wheat, Wheat Flour (Atta) and Maida/Semolina to Bhutan, up to 21.08.2023.
2. In case of any mis-declaration by an applicant or any applicant failing to export the allocated quota to the respective country, within the specified time period, will be black listed for the next two financial years and action under the relevant provisions of FT (D&R) Act, 1992, as amended, shall be taken against the applicant.
This is issued with the approval of the Competent Authority.
(S.K. Mohapatra)
Joint Director General of Foreign Trade)
E-mail: mohapatra.sk@nic.in
(Issued from F. No. 01/91/171/35/AM20/E-file/Part-2-E-35458)
