The government on Wednesday notified exports of 8,606 tonnes of raw cane sugar under the tariff-rate quota (TRQ) scheme to the US for the fiscal year 2024. Shipments under the TRQ enjoy relatively lesser customs duties. After the quota is reached, a higher tariff applies to additional imports.
"The quantity of 8,606 MTRV raw cane sugar to be exported to USA under TRQ scheme from 01.10.2023 to 30.09.2024 has been notified," the Directorate General of Foreign Trade (DGFT) said in a public notice.
India, the world's second-biggest producer and the largest consumer of sugar, has a preferential quota arrangement for sugar export with the European Union as well. The DGFT said that the quota will be operated by Agriculture and Processed Food Products Export Development Authority (APEDA).
In July 2023, the Office of the U.S. Trade Representative (USTR) had announced the country-specific (including from India) and first-come, first-served in-quota allocations of the TRQs on imported raw cane sugar, refined and specialty sugar, and sugar-containing products for Fiscal Year 2024 (October 1, 2023, through September 30, 2024).
TRQs allow countries to export specified quantities of a product to the United States at a relatively low tariff, but subject all imports of the product above a pre-determined threshold to a higher tariff.
Source Name : Economic Times