The Directorate General of Foreign Trade on 27th August 2022, has amended the export policy of items [(Wheat or Meslin Flour (Atta), Maida, Samolina (Rava/Sirgi), Wholemeal atta and resultant atta] under HS Code 1101 from ‘Free’ to ‘Prohibited.
The amendment will now allow to put a restriction on the export of Wheat Flour which will ensure a curb on rising prices of wheat flour and ensure food security of the most vulnerable sections of the society.
Due to prohibition on export of wheat (which was done to put a check on increasing prices in domestic market and to ensure food security in the country), the demand for wheat flour has increased in foreign markets and it’ s exports from India have registered a growth of 200% during April-July 2022 compared to the corresponding period in 2021. The increased demand for wheat flour in international market led to significant price rise of wheat flour in the domestic market.
Earlier, there was a policy not to prohibit or put any restrictions on the export of Wheat flour. Therefore, a partial modification of the policy was required by withdrawing the exemption from ban/ restrictions on export for Wheat Flour in order to ensure food security and put a check on mounting prices of Wheat flour in the country.
