DGFT Clarifies No Changes to Export Policy, Simplifies ITCHS Coding for Chapters 1-39.

The DGFT issued Trade Notice No. 38/2023-24 on February 16, 2024, clarifying Notification No. 60 dated February 13, 2024. The clarification states that the export policy for ITCHS Chapters 1-39 remains unchanged but is now simplified for clarity and mapped against each 8 digit ITCHS Code. This effort is part of a trade facilitation measure to aid exporters and integrate export licensing with ICEGATE, promoting ease of doing business. No new policy changes are introduced; existing policies continue as before. Feedback can be sent to export-dgft@nic.in.

Reference is invited to Notification No. 60 dated 13th February, 2024 where ITCHS based Export policy from Chapter 1-39 of Schedule 2 of ITCHS has been notified.

It is clarified that the policy notified, only simplifies the Schedule 2 of ITCHS Export policy, 2018 for chapters 1-39 bringing clarity into the policy applicable against each ITCHS Code and the Table A of the Schedule 2 of ITCHS Export policy 2018 and the policies of all chapters in the schedule remains unchanged.

The exercise of mapping the ITCHS Codes with the existing Export policy is a Trade Facilitation measure aimed at providing clarity to the exporters and industry on the policies applicable for export of items falling under each 8 digit ITCHS Code. This will also enable integration of data with ICEGATE to ensure seamless transfer of export licensing details with customs to move completely to an online export licensing system. This will reduce the compliance burden and promote ease of doing business. Efforts are also being made to map the policy pertaining to rest of the chapters to 8 digits HS Code.

It is thus, clarified that the Export Policy notified vide DGFT Notification 60 dated February 13, 2024 does not include any new policy changes or amendments and the policies as applicable before the issuance of this notification shall continue. The Export policy earlier was not 8 digit ITCHS based and this notification of the export policy of Chapters 1-39 has mapped the existing policy against each 8 digit ITCHS Code.

Any clarification/feedback/Input on the Notification No. 60 dated February 13, 2024 may be sent at export-dgft@nic.in.

The Trade Notice can be accessed at: https://www.a2ztaxcorp.com/wp-content/uploads/2024/02/Trade-Notice-No.-38-2023-24.pdf