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Export Promotion Council for EOUs & SEZ Units
(Ministry of Commerce and Industry, Govt. of India)

EPCES CIRCULAR NO.67 DATED 24.10.2005


Subject : Information on various Non Tariff Barriers faced by Indian exporters in respect of various commodities

I have received a letter dated 21st October, 2005 from Mr. K. T. Chacko, DGFT, informing that DGFT intends to put into place, along with the Annual Supplement to the Foreign Trade Policy, a mechanism which will take into consideration the complaints made by the Indian exporters in respect of any non tariff barrier faced by a Indian exporter, in respect of any commodity, for exports to any country.

DGFT has desired to seek information in respect of various non tariff barriers faced by Indian exporters. Hence I request you to send the details of various non tariff barriers faced by you. DGFT has informed that European Community put into place Trade Barrier Regulation (Council Regulation) (EC) No. 3286/94 of 22.12.1994 of European Community. Under this Regulation any EC exporter can complain about a Trade Barrier or a Regulation in any third country which impedes or adversely affects EU exports to that country.

I order to consider adopting a similar mechanism which can effectively address the complaints of Non-Tariff Barriers by Indian exporters in third countries certain proposals are being mooted. Such a system will help in addressing the concerns of the Indian exporters when faced with Trade Barriers in USA, EC and China.

A copy of the letter received from DGFT is enclosed along with.

Hence I request all of you to take this seriously and please send to us the details of all such non tariff barriers faced by you giving the name of the company, name of the product, nature of non tariff barrier, country which is imposing such non tariff barriers and any other details which you think are appropriate. This may please be submitted to EPCES latest by 31st October 2005.

K. T. Chacko
Director General

Government of India Ministry of Commerce & Industry
Directorate General of Foreign Trade
Udyog Bhawan, New Delhi 110 011
DO No. 01/94/180/Misc.41/AM06/PCIA/1339

Dated the 21st October 2005

Dear Shri Singhal,

I would like to draw your attention to the Trade Barrier Regulation (Council Regulation) (EC) No. 3286/94 of 22.12.1994 of European Community. Under this Regulation any EC exporter can complain about a Trade Barrier or a Regulation in any third country which impedes or adversely affects EU exports to that country. The investigation itself is time bound. At its conclusion, if a prima facie case is made out of any measure violative of EC’s WTO rights, they are bound by the Regulation to go to the WTO and initiate a dispute.

However, a dispute is not necessarily the only conclusion to a complaint. During the investigation the EC itself consults and negotiate with the country concerned to find a mutually acceptable solution. If such a solution is found, the process is suspended and kept under review.

I order to consider adopting a similar mechanism which can effectively address the complaints of Non-Tariff Barriers by Indian exporters in third countries certain proposals are being mooted. Such a system will help in addressing the concerns of the Indian exporters when faced with Trade Barriers in USA, EC and China.

I would, therefore, request you to furnish information on the various Non-Tariff Barriers faced by the exporters of the commodities under your jurisdiction in order to implement a system which will allows a systematic consideration of the complaints made by the Indian exporters. Since this mechanism is to be put in place along with the Annual Supplement to the Policy, I would request you to send the required information within 15 days.

With regards,

Yours sincerely,

Sd/-
(K.T. CHACKO)

Shri L. B. Singhal
Director General
Export Promotion Council for EOUs & SEZ Units
705, Bhikaji Cama Bhavan, Bhikaji Cama Place,
New Delhi 110 066.