Wheat Exports Banned with Immediate Effect to Control Rising Prices

· LCs Already issued by Buyers will be Honoured

· Permits against Requests from Foreign Government may be Released

India has banned wheat exports with immediate effect as part of measures to control rising domestic prices, according to official notification.

However, the export shipments for which irrevocable letters of credit (LoC) have been issued on or before the date of this notification will be allowed, the Directorate General of Foreign Trade (DGFT) said in a notification dated May 13.

It also clarified that wheat exports will be allowed on the basis of permission granted by the Government of India to other countries to meet their food security needs and based on the request of their governments.

[DGFT Notification No. 06/2015-2020 dated 13 May 2022]

Effect of this Notification: The export policy of wheat against the above mentioned HS codes is "Prohibited' with immediate effect except for shipments fulfilling the conditions mentioned in Para 2 above which will be allowed as per the procedure outlined in Para 1.05 (b) of the Foreign Trade Policy, 2015-2020.

Subject: - Amendment in the Export Policy of Wheat

S.O. (E) Whereas there is a sudden spike in the global prices of wheat arising out of many factors, as a result of which the food security of India, neighbouring and other vulnerable countries is at risk;

Whereas the Government of India is committed to providing for the food security requirements of India, neighbouring and other vulnerable developing countries which are adversely affected by the sudden changes in the global market for wheat and are unable to access adequate wheat supplies;

Therefore in order to manage the overall food security of the country and to support the needs of the neighbouring and other vulnerable countries, the Central Government, in exercise of powers conferred by Section 3 read with Section 5 of the Foreign Trade (Development & Regulation) Act, 1992 (No. 22 of 1992), as amended, read with Para 1.02 and 2.01 of the Foreign Trade Policy, 2015-20, hereby makes the following amendment in the Export Policy of S.No.59 of Chapter 10 of Schedule 2 of the ITC (HS) Export Policy related to Export of Wheat:

S.No.	ITC HS Codes	Description	Present Policy	Revised Policy
59	1001	Durum wheat:	Free	Prohibited
	1001 19 00	Other
	1001 99	Other
	1001 99 10	Other wheat
	10019920	Other

2. The export of the above products/ items, however, shall be allowed under the following conditions:

A. As a transitional arrangement, export will be allowed in case of shipments where Irrevocable Letter of Credit (ICLC) has been issued on or before the date of this Notification, subject to submission of documentary evidence as prescribed; or

B. Export will also be allowed on the basis of permission granted by the Government of India to other countries to meet their food security needs and based on the request of their governments.

(Issued from File No. 01/91/180/032/AM22/EC/Pt/E-31336)