Law Updates

Subject

Summary: The Ministry of Commerce and Industry, through the Directorate General of Foreign Trade (DGFT), has announced an important amendment to the Foreign Trade Policy (FTP) 2023. This change affects Advance Authorisation holders, EOUs, and SEZ units that import inputs covered under mandatory Quality Control Orders (QCOs) issued by the Department of Chemicals & Petrochemicals (DCPC). Earlier, the export obligation (EO) period for such imports was only 6 months (180 days) from the date of clearance of consignments. With the latest DGFT notification, the EO period has now been extended to 18 months. This aligns the export obligation period with Para 4.40 of the Handbook of Procedures. The amendment provides more flexibility to Advance Authorisation holders while ensuring compliance with QCO requirements. This notification comes into effect immediately with the approval of the Minister of Commerce & Industry.

Subject

Summary: The Central Government revised the Van (Sanrakshan Evam Samvardhan) Rules, 2023, introduces the Van (Sanrakshan Evam Samvardhan) Amendment Rules, 2025, in effect from the date of its official publication. Key updates consist of outlining “in-principle or Stage-I approval” and “final or Stage-II approval” for forest land use, simplifying the procedure for linear projects through “working permission,” and permitting non-official members to resign at any time. The laws also expand offline application submissions for defense and emergency projects and extend the expiration of in-principle approvals to two to five years, which includes further extension clauses. The changes increase the need for compensating forests, particularly for the mining of critical minerals, and elucidating land transfers and information. The statutory procedure now enables designated forestry officers to initiate proceedings against offenders under Van Adhenim, enhancing enforcement. Modifications to timelines and inspection protocols aim to increase efficiency. Overall, these amendments reinforce forest conservation while balancing development requirements and procedural clarity.

Subject

Summary: The Ministry of Environment, Forest and Climate Change (MoEFCC) has issued the Draft Environment Audit Rules, 2025 under the Environment (Protection) Act, 1986. These draft rules propose a proper system for environment audits to check if projects, industries, and activities are following environmental laws like the Air Act, Water Act, Wildlife Protection Act, and Forest Conservation rules. The draft notification states that Registered Environment Auditors will conduct audits, collect samples, check pollution control systems, and prepare reports. They will also verify compliance for Green Credit Rules 2023, Ecomark Rules 2024, waste management rules, and Environmental Impact Assessment (EIA) projects. A proposed body called the Environment Audit Designated Agency (EADA) will certify, register, and monitor auditors. Auditors must remain independent, follow a strict code of conduct, and avoid conflicts of interest. Registration will be valid for five years, with renewal possible. The draft rules also provide for a Steering Committee under MoEFCC and CPCB to monitor implementation. In case of disputes, government officers’ reports will have final authority. The aim is to promote compliance, reduce pollution, support climate action, ESG goals, green credit, and sustainable development.

Subject

Summary: The Central Government has issued a significant update related to the export of Natural Honey under ITC (HS) Code 04090000. Exercising its powers under the Foreign Trade (Development and Regulation) Act, 1992 and linked with Foreign Trade Policy 2023 the government has reviewed the Minimum Export Price (MEP). According to the latest notification, the MEP for Natural Honey has been reduced from USD 2,000 per metric ton to USD 1,400/metric ton. This change is active immediately and will remain in effect until December 31, 2025. This amendment substitutes the previous notification no. 45/ 2024-25 dated 30/12/2024. The drop in MEP aims to promote honey exports so that Indian honey has a more competitive price in global markets. Exporters should ensure compliance with the revised prices to prevent any regulatory issues. The latest policy will directly impact honey exporters, trading companies and relevant stakeholders across the country. For smooth operations, businesses are advised to update their pricing and documentation accordingly.

Subject

Summary: The Ministry of Commerce and Industry, through the Directorate General of Foreign Trade (DGFT), has issued notification on 22nd August 2025, amending the import policy conditions for specific items under Chapter 48 of ITC (HS) 2022, Schedule I. The amendment primarily targets Virgin Multi-layer Paper Board (VPB) under HS Codes 48059100, 48059200, 48059300, 48109200, and 48109900. Under the revised policy, all imports of these paper items continue to remain free but are now subject to compulsory registration under the Paper Import Monitoring System (PIMS) as per policy condition 04 of the chapter. Additionally, a Minimum Import Price (MIP) of INR 67,220 per MT on CIF value is imposed for VPB imports with a CIF value below this threshold, and such imports are classified as “Restricted” until 31st March 2026. Stock lot imports remain prohibited as per earlier notifications. This policy change aims to regulate the import of VPB, ensuring fair trade practices and protecting domestic paper manufacturers. The notification is effective immediately and has been issued with the approval of the Minister of Commerce & Industry.

Subject

Summary: The Ministry of Consumer Affairs has informed the Cross Recessed Screws Quality Control Order, under Bureau of Indian Standards Act, 2016. This order swaps the 2024 version and comes into force from the date of its publication in the Official Gazette. Under this directive, all stated cross-recessed screws must adhere with relevant Indian standards and carry BIS standard mark, which is secured through a license under Scheme I of the BIS (Conformity Assessment) Regulations, 2018. However, some categories are exempt. These consist of manufactured goods for export, imports used in finished products or sub-assemblies, and imports by domestic producers for export manufacturing. Micro and Small Enterprises, as defined under the MSME Act, 2006, are exempted on the basis of the timelines stated in the Order. Udyam registered enterprises have an investment not exceeding Rs 25 lakh and turnover less than Rs 2 crore are also excluded. In addition, imports of up to 200 kg per year for R&D purposes by OEMs are permitted, with restrictions on commercial use and the need to maintain records.