Pre-export test for fruits not mandatory, Nirmala Sitharaman tweets

In a bid to minimise transaction cost and enhance the ease of doing business, the Commerce and Industry Ministry on June 10 announced that pre-export test for fruits was no longer a must.

The announcement came in the form of a tweet from the Commerce and Industry Nirmala Sitharaman who said “pre-export test for fruit products no longer mandatory”.

The move to remove the tests gained approval from the Commerce and Industry as it would certainly make doing business easier.

The Export Inspection Council (EIC) fees for the export of fruit products has also been slashed by 25%.

These steps are crucial given the downward slide of exports from India. The export of fruits and vegetables from India saw a drop of 0.68% to USD 202 million in April 2016.

FIEO, the exports body highly appreciated the move, stating that fruit exporters will benefit greatly from the cut in the transaction costs.

What remains to be seen is how the Commerce and Industry Minister will manage to boost India’s flailing exports. The country’s exports fell for the 17th month in a row in April. Significant fall in shipments of petroleum and engineering products as a result of poor global demand means exports contracted by 6.74% to USD 20.5 billion.

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