Export Duty of 20% Imposed on Non-Basmati Rice from Sept 9

The government on Thursday, 8 Sept 2022 imposed a 20 per cent export duty on non-Basmati rice except for parboiled rice to boost domestic supplies amid a fall in area under the paddy crop in the current Kharif season.

According to a notification by the revenue department, an export duty of 20 per cent has been imposed on 'rice in husk (paddy or rough)' and 'husked (brown) rice'.

The Central Board of Indirect Taxes & Customs further said the export of 'semi-milled or wholly-milled rice, whether or not polished or glazed (other than Parboiled rice and Basmati rice)' will also attract a customs duty of 20 per cent.

The export duty will come in force from September 9, the notification added. The area under the paddy crop has been down by 5.62 per cent at 383.99 lakh hectares in the ongoing Kharif season so far due to poor rains in some states, as per the latest data released by the agriculture ministry.

The government has already restricted exports of wheat.

[Notification No. 49/2022-Customs dated 8 September 2022]

Seeks to amend Second Schedule to the Customs Tariff Act to prescribe export duty on specified Rice products.

G.S.R. ......(E). - Whereas, the Central Government is satisfied that export duty should be levied on certain articles and that circumstances exist which render it necessary to take immediate action.

Now, therefore, in exercise of the powers conferred by sub-section (1) of section 8 of the Customs Tariff Act, 1975 (51 of 1975) (hereinafter referred to as the Customs Tariff Act), the Central Government, hereby directs that the Second Schedule to the Customs Tariff Act shall be amended in the following manner, namely: -

In the Second Schedule to the Customs Tariff Act, -

(i) after Sl. No. 6 and the entries relating thereto, the following Sl. Nos. and entries relating thereto shall be inserted, namely: -

(1)	(2)	(3)	(4)
“6A.	1006 10	Rice in the husk (paddy or rough)	20%
6B.	1006 20	Husked (brown) rice	20%”;

(ii) after Sl. No. 7 and the entries relating thereto, the following Sl. No. and entries relating thereto shall be inserted, namely: -

(1)	(2)	(3)	(4)
“7A.	1006 30 90	Semi-milled or wholly-milled rice, whether or not polished or glazed (other than Parboiled rice and Basmati rice)	20%”;

2. This notification shall come into force on the 09^th of September, 2022.

[F. No. CBIC-190354/242/2022-TO(TRU-I)]