. /.   WORLD TRADE  
ORGANIZATION  G/STR/Q1/IND/3 
17 September 2010 
 (10-4695) 
Working Party on 
State Trading Enterprises Original:   English 
 
 
 
STATE TRADING 
 
Questions Posed by AUSTRALIA Concerning   
the Notifications of INDIA  
 
  The following communication, dated 16 September 2010, is being circulated at the request of the Delegation of Australia.    
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Overdue notifications
 
 
 Australia welcomes India's notifications covering the period 2001/02-2005/06.  Australia 
notes that notifications for the period 2006/07 to date are still outstanding. 
 
• Could India please indicate when it intends to submit these outstanding notifications?  
We would be grateful if India could obser ve "best practice" and provide its response 
in writing.   
 Review of new and full notifications submitted by Members
 
 
India G/STR/N/8, G/STR/N/9, G/STR/N/10, G/STR/N/11 
 
 Australia welcomes India's notificati on covering the period 2001/02-2005/06.   
 
 Section 3 of India's notification describes the functioning of its state trading enterprises.  
Subsection E, covering imports, states that India's STEs sell agricultural goods at prices lower than 
their purchase prices.  
• Could India provide further details to expl ain how agricultural goods imported by the 
STEs are resold on the domestic market "based on commercial considerations"? 
 
• India's notification states that bulk importers "are able to negotiate fairly competitive 
rates".  Could India explain how? 
  Australia notes that the Food Corporation of India (FCI) administers the purchase and distribution of certain agricultural produc ts for the purposes such as food security. 
 
• How does India determine the price offere d for the purchase of agricultural goods 
intended for such purposes? 
 G/STR/Q1/IND/3 
Page 2  
 
   In India's notification Australia notes that the Food Corporation of India also administers the 
imports of certain agricultural products.  
•  Could India provide more specific inform ation regarding how the Food Corporation 
of India administers the imports of goods, including any role in the administration of 
its agricultural tariff quotas? 
  Notifications usually indicate those entities authorised to, amongst other things, control 
imports (or exports).  It is not clear, however, wh ich entities are responsible for the administration of 
India's agricultural tariff quotas.  Australia also recalls that India has not notified the WTO's Committee on Agriculture to describe the administra tion of its agricultural tariff quotas, nor provided 
fill rates of tariff quotas for a range of agricultural products. 
 
• Could India advise which entities administer India's agricultural imports covered by 
tariff quotas? 
 
o How do these entities administer the imports of such goods, e.g. through 
first come-first served basis, or on historical usage? 
 
• In particular, could India explain which entity administers the tariff quotas for 
products set out in WT/Let/440 (including, for example, skim milk powder, corn, 
crude sunflower and safflower oil, and refi ned rape, colza, canola and mustard oil)?  
 
• Could India provide further details regardi ng the fill rates of items covered by its 
agricultural tariff quotas?  
  In section 1 of India's notification, Australia  observes that the State Trading Corporation 
(STC) of India is listed as having import privileges for copra, crude oil and other oils derived from 
coconut and its fractions.  Australia  understands that the STC has a role  in importing a variety of other 
bulk agricultural goods not listed in this notifica tion, including pulses, wheat, oilseeds and sugar. 
 
• Could India clarify what the STC's role is in regards to importing other agricultural 
goods beyond those listed under sec tion 1 of its notification? 
 
• Could India clarify whether the special privile ges granted to the STC also apply to the 
import of these other agricultural goods? 
 
• Could India clarify the roles of the Nati onal Agricultural Cooperative and Marketing 
Federation of India (Ltd), the Minerals and Metals Trading Corporation and the 
Project Equipment Commodities Ltd in the imports of wheat, pulses and oilseeds? 
 
• Could India clarify the role of the National Agricultural Cooperative and Marketing 
Federation of India (Ltd) in the export of cotton? 
 
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