WORLD TRADE  
ORGANIZATION   
G/LIC/Q/IND/22 
1 November 2012  
 
(12-6013) 
Committee on Import Licensing Original:   English 
  
 
IMPORT LICENSING SYSTEM OF INDIA 
 
Replies by INDIA to the questions from the UNITED STATES 
  
 The following communication, dated 29 October 2012, is being circulated at the request of 
the delegation of India.  
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  India thanks United States for the follow-up questions on its Import Licensing System dated 16 April 2012 and circulated in document G/LIC/Q/IND/19.   
 
Q1. In one of its responses to a previous U.S. question regarding the ability of traders to 
apply for an import permit for boric acid (G /LIC/Q/IND/12), India stated, "Any person who 
can furnish the complete information as required  in the application pro forma can apply for a 
grant of import permit."   In response to s ubsequent questions (G/LIC/Q/IND/16), India states, 
"Any person, firm or institution can apply for im port permit only if such person/entity is the 
end user" and "import permit is issued only to an actual end user."  Please explain the current 
requirements as to who may be permitted to ap ply for an import license and provide where 
such requirements are set out in Indian law or re gulation.  Please also provide the Indian law or 
regulation that sets out the most up-to-date pro cedures required for importation of boric acid, 
including, if possible, an Internet address wh ere such law or regulation may be located.  
 
Reply:  Boric acid is a multi-use product, with one of the important functions being that of an 
insecticide. It can thus be used for both – insec ticidal and non-insecticidal purposes. Its import is, 
regulated under the Insecticide Act, 1968 and furt her by Orders issued by the Department of 
Agriculture and Cooperation under File No. 17-2/2004-PP-I (Vol. VI) dated 26 August 2005 and 
31 July 2006. 
 
The Insecticide Act, 1968 (http://www.cibrc.nic.in /insecticides_act.htm) lays down the basic 
provisions governing import of insecticide, incl uding a requirement of registration with the 
Registration Committee constituted under the Act. Th e Act, however, provides exemption to those 
substances which are intended for non-insecticidal use.    Accordingly, under the Order dated 26 August 2005, the import of boric acid has been 
allowed on the basis of: 
 (i) Registration certificates issued by the Registra tion Committee in respect of insecticidal use, or 
 (ii) Import permit issued by the Registrati on Committee on the recommendations of the 
administrative Ministry/Department concerned in respect of non-insecticidal use. 
 G/LIC/Q/IND/22 
Page 2  
 
   Thus, the Registration of the importers of Bo ric Acid with the Central Insecticides Board & 
Registration Committee (CIB&RC) under the provisions of the Insecticides Act, 1968 is a precondition for import if its use is for insecticidal purposes.   
  In case the Boric Acid is proposed to be impor ted for an identified non-insecticidal use, then 
such imports would be exempted from the requirement s of registration under the Act, on the basis of a 
certificate of end use issued by the concerne d Administrative Ministry/Department of the 
Government. Based on the aforesaid end use certifi cate, the Registration Committee grants import 
permits.  Any person, firm or ins titution, which has the intention to use boric acid for non-insecticidal 
purpose, is eligible for applying for an import permit. 
 
Q2. The United States has previously requested an exhaustive list of Government of India 
agencies that can issue end-use certificates, but India's response referred only to an illustrative 
list (G/LIC/Q/IN/14).  Could India please provi de an exhaustive list and explain how an 
importer or end-user would know precisely from which entity it should seek an end-use 
certificate (e.g., in the case of boric acid imported for non-insecticidal uses)?  
Reply: As mentioned in the previous reply, a list of Authorities of the Ministries/Departments 
authorized for issuance of end-use certificate is  given in the Department of Agriculture and 
Co-operation's letter no. 17-2/2004-PP I dated 4 May 2006 which is availa ble under "News & update" 
on the website www.cibrc.nic.in.  Moreover end-use certificates of the District  Industries Centers of 
the State Governments/State Directors of Industries are also accepted by the competent authority.  
  The end use certificate is issued by the con cerned Administrative Ministry/Department of the 
Government. Therefore the authority authorized to issue the end use certificate, would depend on the 
nature of end use itself. For instance, if the boric  acid is meant for use as "flux" in metallurgical 
operations (e.g. welding and brazing) in the steel industry, the concerned Joint Secretary in the 
Ministry of Steel would issue the end use certificate.   
Q3. The United States has previously requested  India's assistance in understanding why the 
information requested on the import license app lication is necessary, and how India's procedure 
ensures that the boric acid being imported is not being misused.  While India's response 
clarified and reiterated the need for an end use certificate (G/LIC/Q/IND/16), it was still not 
clear exactly how India import licensing procedu res achieve its objective of avoiding misuse of 
boric acid and why the information India requ ests on the import license application advances 
that objective.  We would appreciate a fuller explanation in this respect.   
 Reply: The underlying objective of import licensing of boric acid is to ensure that the imported goods 
are used for the intended purpose.  The system of registration, as explained in reply to the first 
question, monitors and ensures use in agricultu re, health programs and households for controlling 
pests.  Similarly, in order to ensure actual use of imports meant for non-insecticidal purpose, the 
system of import permits was introduced. Issuance of import permits is a kind of exemption, wherein no data on chemistry, bio-efficacy, toxicity or pack aging is required to be submitted as in the case of 
registration. However, import permits are issued based on an end-use certificate, which facilitates 
monitoring the actual use of pesticides after thei r import. If imports for non-insecticidal use are 
permitted without regulating end use condition, it w ould not be possible to monitor their fate after 
import and the possibility of their diversion fo r insecticidal purposes cannot be ruled out.   
  G/LIC/Q/IND/22 
 Page 3 
 
 
  Q4. India noted that domestic manufacturers a nd traders must register before the Central 
Insecticides Board and Registration Committee (G/LIC/Q/IND/12) and that domestic producers must maintain production and sales records (G /LIC/Q/IND/12).  What specific actions are 
required for domestic producers and traders to  fulfil these requirements, where are these 
requirements set out in Indian law, and how does India enforce them?    
 
Reply:  The requirements for registration and provi sions of enforcement are given in the Insecticide 
Act, 1968.  The domestic manufacturers are require d to maintain production and sales records as per 
Order No. 17-2/2004-PP-I (Vol. VI) dated 31.07. 06 of the Department of Agriculture and 
Cooperation.                                                     Q5. The United States understands that a 2007 ci rcular from the Central Board of Excise & 
Customs (CBEC) definitively established that bori c acid would be classified under heading 3808 
only when imported as a pesticide for insecticid al use and that in all other circumstances boric 
acid would be classified under heading 2810.  Heading 3808 covers insecticides, whereas 
heading 2810 covers oxides of boron.  
 
Reply:  This is a statement of fact. 
 
Q6. The United States understands that on 22 June 2011, the CBEC issued instructions 
(F.No.401/101/2011-Cus.III) that items that are listed in Schedule B of the Insecticides Act 
of 1968 but are "intended for purposes other than preventing, destroying, repelling or 
mitigating any insects, rodents, fungi, weeds and other forms of plant or animal life not useful to human beings" are exempted from the "requireme nt of registration / import permit from CIB 
& RC."  However, the CBEC instructions "cla rified that the import of Boric Acid would 
continue to be governed by the specific instruct ions on the items that are currently in force."  
Please clarify what the specific instructions are that non-insecticidal boric acid is required to 
meet. 
 
Reply:  Please see reply to the first question. 
 
Q7. Given the 2007 classification decision, recognizing that imports under heading 2810 are 
not insecticides, and the 2011 instructions, why are boric acid imports under heading 2810 
required to be licensed by the Central Insecticides Board?  
Reply:  The classification decision of 2007, done by th e customs authorities, was meant for charging 
of appropriate customs duty. For further clarification on import licensing, please see reply to the first 
question.   
  
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