Export of flour made from imported wheat by EOUs, SEZ units allowed

India on Friday permitted the export of wheat flour (atta) on condition that it had to be processed from imported wheat under the Advance Authorisation Scheme by fully export oriented units (EOUs), or factories located in special economic zones (SEZ).
In a separate notification, the Directorate General of Foreign Trade (DGFT) also detailed the procedures for seeking quota to export broken rice within the limit fixed earlier.
Advance authorisation allows duty-free import of inputs, which have to be mandatorily used in products that are required to be exported within a specified time but can’t be sold in the domestic market.

The DGFT said that wheat or meslin flour (atta), maida, semolina rava (sirgi), wholemeal atta and resultant atta have been prohibited from export. “However, export of wheat flour (atta) will be allowed against advance authorisation, and by EOUs and units in SEZs,” it said.
It also said that export of atta by these units will be subject to pre-import conditions.
The atta will have to be exported within 180 days from the date of import of the wheat consignment.
The import will be subject to actual user conditions and transfer of raw material for any purpose including job work, shall not be permitted, the notice said.
In August, the government prohibited the export of wheat flour, maida, semolina and wholemeal atta to curb rising prices.
The government also said that procurement of domestic wheat for the purpose of export of atta will not be allowed, and stipulated that exporters need to show to Customs the Bill of Entry for imported wheat at the time of export of atta.
Moreover, the entire production of the milling process has to be exported, DGFT said.
In a separate notification, DGFT said online applications to export broken rice between October 16 and October 20 will only be considered for issuing the permits.
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