On May 19, 2025, the DGFT (Directorate General of Foreign Trade) issued Notification No. 09, introducing important amendments to Schedule-II (Export Policy) under ITC (HS) 2022, aligning it with the Finance Act 2025. This update mainly focuses on revising the HS code related to the export.

This policy shift ensures better classification, streamlines trade procedures and brings Indian trade laws in line with the latest financial laws. The updated export rules are now in immediate effect.

Key Highlights of the DGFT Updates

These are key major updates introduced under the DGFT Notification and their practical implications:

• Deletion of Old HS Codes: Previously used HS codes like 10063010 (Parboiled), 10063020 (Basmati), and 10063090 (Others) have been deleted to eliminate confusion and simplify product classification under the new Finance Act, 2025.
• Introduction of New Specific Codes: New detailed sub-categories like 10063011, 10063012, and 10063019 have been introduced to clearly distinguish between parboiled, Basmati, and GI-recognized rice, ensuring better traceability and quality monitoring.
• Mandatory Inspection for Specific Exports: Exports to EU member states and select European countries such as the UK, Norway, and Switzerland now need a Certificate of Inspection from Export Inspection Council/Agency reinforcing food safety and compliance.
• Temporary Inspection Relief to Other European Markets: For a period of 6 months from the date of notification, exporters sending rice to other European countries are temporarily exempted from the mandatory inspection certificate requirement, reducing operational friction.

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Table: Revised ITC HS Codes for Exports

The following section highlights` the revised ITC HS codes as per the amendments made to Schedule-II (Export Policy), ITC (HS) 2022, aligned with the Finance Act, 2025. These amendments cover a range of export items from different regions and include code-level updates such as- introduction, deletion, modification, split, and mergers.

Also Read: DGFT Compliance Service in India

Impact of the Notification on Exporters

This notification affects several sectors of export operations. Some of its impact include:

• Updated Licensing and Documentation Needs: Exporters will have to revise their product classification and their DGFT license and shipping match the new HS codes introduced in this update.
• Improved Access to Premium Markets: GI-recognized exporters may benefit from easy access to many premium European markets, provided they meet the new certification and classification criteria.
• Temporary Flexibility on Certifications: The 6-month certification relief provides a transitional benefit for non-EU countries, allowing exporters time to adjust to new documentation requirements without facing immediate penalties.

Conclusion

The 2025 alignment of India’s export policy with the Finance Act demonstrates the government’s commitment to smooth international trade. With an intense focus on product classification, traceability and quality assurance, this update particularly affects the export sector. Exporters should adapt soon by updating the HS code, ensuring DGFT license compliance and arranging mandatory inspections where required. While these amendments may need operational adjustments, they are expected to improve long-term trade efficiency and global confidence in Indian agricultural exports.

By staying informed and proactive, Indian exporters can efficiently transition into this updated regulatory landscape and make the most of emerging trade opportunities.