DGFT Amends Handbook of Procedures for Import of Tea, Spices, and Coconut Oil

The Director General of Foreign Trade (DGFT) has announced amendments to Paragraph 6.06 of the Handbook of Procedures (HBP), 2023, concerning the import of tea, spices, and coconut oil. This notification was issued on January 3, 2025.

The changes aim to align these procedures with Chapter 4 of the Foreign Trade Policy (FTP)/HBP, 2023, and promote ease of doing business.

The amendments specifically address the export obligation (EO) period for certain imported goods:

Items under Chapter 9 of ITC(HS) and Coconut Oil: The export obligation period for items covered by Chapter 9 of the Indian Trade Classification (Harmonised System) [ITC(HS)] and coconut oil has been extended from 90 days to 6 months from the date on which the first import consignment is cleared by Customs Authorities. Chapter 9 of ITC(HS) includes Tea, Pepper, Vanilla, Cinnamon and Cinnamon tree flowers, cloves, nutmeg, mace and cardamoms, seeds of anise, badian, fennel, coriander, cumin or caraway; juniper berries, ginger, saffron, turmeric (curcuma), thyme, bay leaves, curry and other spices.

Spices (Pepper, Cardamom, Chillies): The export obligation period for imported spices used for value addition (VA) purposes like crushing, grinding, sterilization, or the manufacture of oils and oleoresins of pepper, cardamom, and chillies has been extended from 120 days to 6 months from the date of importation of the first consignment. However, these value added purposes exclude simple cleaning, grading, and repacking.

Spices (Other than Pepper, Cardamom, Chillies): The export obligation period for imported spices (other than pepper, cardamom, and chillies) used for manufacturing spice oils and oleoresins remains unchanged at 12 months.

Summary of Amended Para 6.06:

Imported ItemPrevious EO PeriodAmended EO Period
Items under Chapter 9 of ITC(HS)90 days6 months
Coconut Oil90 days6 months
Spices (Pepper, Cardamom, Chillies) for VA (crushing/grinding/sterilization/manufacture of oils and oleoresins, excluding cleaning/grading/repacking)120 days6 months
Spices (Other than Pepper, Cardamom, Chillies) for manufacture of spice oils and oleoresins12 months12 months

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