Friday, 1 July 2016

Historical Development of Indian Export Controls


In early 1993, a "Small Group on Strategic Export Controls" was constituted by the GOI to initiate the process of institutionalizing a system of controls over strategic exports from India. The Group finalized a list of items whose export was to be made subject to licensing. This list, described as "Special Materials, Equipment and Technology (SMET)", was notified in the Export Import Policy announced on March 31, 1995, effective April 1, 1995 (Public Notice 68EXP(PN)/92-97).
Separately, but effective from the same fiducial date (i.e. April 1, 1995), the DAE issued gazette notifications, under the Atomic Energy Act, 1962, listing prescribed equipment and prescribed substances, that are subject to export licensing by the DAE.
India's signature to the Chemical Weapons Convention (CWC) in January 1993 required notification of dual-use chemicals contained in the three schedules annexed to the CWC. In a Public Notice, effective 31 March 1993, the Director General of Foreign Trade specified a list of dual-purpose chemicals, the export of which is either prohibited or permitted only under license.
Given the growing importance of biotechnology and advances in recombinant DNA technology, the export of micro-organisms from India was also administered. Pursuant to the Environment Protection Act, 1986, a gazette notification was issued by the Government of India in 1989 on rules for the manufacture, use, import, export and storage of hazardous microorganisms/genetically engineered organisms or cells.
A second Small Group on Strategic Export Controls was set up in 1999 to review the implementation of the existing system and make recommendations for enhancing its effectiveness. Subsequently, through a notification effective April 1, 2000, the Director General of Foreign Trade specified a list of Special Chemicals, Organisms, Materials, Equipment and Technologies (SCOMET), the export of which is either prohibited or permitted only under license. The grant of license inter alia depends upon end-use cum end-user certification. The SCOMET list is now notified in the Foreign Trade Policy in Schedule 2 of the Appendix 3 of the Indian Tariff Classification (Harmonized System) - ITC(HS) Classifications of Export and Import Items.

 
 

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