1. "Standing Committee" under the chairmanship of the
Additional Secretary/Chief Controller of Imports and Exports,
Ministry of Commerce (Now Director General of Foreign Trade)
was set up by the Ministry of Commerce in July, 1978 to
examine complaints regarding the export of sub-standard goods
and determine ways and means to eliminate them. The Export
Inspections Agency Bombay (which is under the administrative
and technical control of Export Inspection Council of India,
Ministry of Commerce) was made central point to collect
quality complaints from all sources and forward them to the
respective agencies for investigation and further action. In
May, 1981, ‘Regional Committees, at Mumbai, Calcutta, Kochi,
Delhi and Chennai were setup. Fire more regional Committee
have also now been setup to augment and to investigate
quality complaints at Ahmedabad, Bangalore, Kanpur, Ludhiana
Hyderabad and who will examine quality complaints
pertaining to their region and initiate prompt and effective
steps to redress the grievances of the overseas buyers. These
committees will also be responsible to suggest steps for
arresting recurrence of such complaints and to decide
effective and appropriate penal action against the erring
exporters and those found quality and/or primarily
responsible for attracting the complaints.
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The ’Regional Committees’ are composed of : |
- Joint Director General of Foreign Trade – Chairman
- Bureau of Indian Standard – Member
- Office of Agricultural Marketing Advisor – Member
- Small Industries Service Institute – Memer
- Reserve Bank of India – Member
- Officer-in-charge of Export Promotion attached to
the office of Jt. DGFT – Member
- Export Promotion Council/Commodity Board/Trade
Association – Invitees
- Export Inspection Agency – Member – Secretary
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The ‘Regional Committees’ will examine, consider and
decide quality complaints in accordance with the guidelines
for the purpose. |
2. The ‘Nodal Officer’ or the Trade Disputes Cell in
the office of Director General of Foreign Trade New Delhi
will forward one copy of the complaint received to the
‘Regional Committee’ on quality complaints for speedy
investigation, settlement and report and endorse a copy of
this letter to the concerned Territorial Division in the
Ministry of Commerce. |
3.The ‘Regional Committees’ will investigate and make
all possible efforts to settle the dispute amicable within
three months from the date of receipt of complaint. Where
required, the ‘Regional Committee’ may take the assistance of
the Export Promotion Councils/Commodity Boards for settlement
of the trade disputes. |
4.If the disputes are settled to the satisfaction of
foreign buyers through conciliations and/or if the ‘Regional
Committee’ after considering the facts of the case, decides
that there is no fault on the part of the Indian
Exporter/Manufacturer and/or that the complaint is not
genuine, the case will be treated as closed. A report will be
sent to the ‘Nodal Officer’ or the Trade disputes Cell,
office of Director General of Foreign Trade with a copy to
the Concerned Territorial Division in Ministry of Commerce. |
5.In cases where the ‘Regional Committee’ fails, to
settle a dispute amicable and conciliation does not take
place and the matter does not go for arbitration etc. in
terms of contract and the ‘Regional Committee’ find that the
fault lies with the Indian Exporters or that they are not
cooperating, such cases will be transferred to the ‘Nodal
Officer’ or the Trade Disputes Cell with a copy to the
Territorial Division in Ministry of Commerce along with their
recommendation/report for further necessary action as per
policy including in appropriate cases, legal action.
Deliberate malpractices on the part of the exporter shall be
dealt with under the penal and adjudication provisions of the
Export (Quality Control Inspection) Act, 1963 as
amended in 1984, erstwhile Import and Export (Control) Act,
Export (Control) Act, 1992 and such other laws as may be
found appropriate.
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6.The ‘Nodal Officer’ will consider such cases
reported by the ‘Regional Committees’ and after examination,
initiate appropriate penal action to de-register/debar the
exporter and/or take such action as per law as considered
necessary, including, in appropriate cases, legal action
depending upon the gravity of the offence. |
7.These Committees will submit monthly reports to the
‘Nodal Officer’ who will monitor the progress of action taken
for settlement of complaints -and disputes. |
8.As mere settlement of the complaints and dispute
would not be enough, the quality complaints and disputes
would also be examined by the Export Inspection Agency (Which
is under the administrative and technical control of the
Export Inspection Council of India, Ministry of Commerce) as
a Member—Secretary of the ‘Regional Committee” from technical
point of view, to assess whether there had been any technical
failure for which a complaint had been received. Such
technical failure may be with regard to technical deficiency
of not meeting the standard, manufacturing/design defects,
etc. To eliminate such failures and avoid such complaints in
future proper technical advice may be extended by the Export
Inspection Agency to the manufacturers. This authority will
also examine the aspect whether the incidence of complaints
have increased by way of circumvention of the law and/or
change of procedures and suggest remedial measures. This
would enable stricter enforcement of the statutes to upgrade
the quality and thereby image of country’s export. A report
in this regard would be sent to the ‘Nodal Officer’ in the
office of the Director General of Foreign Trade and also to
the concerned Division of Ministry of Commerce. |
9.The ‘Regional Committee’ will also send a
consolidated quarterly report in respect of all cases
referred to it with details of action taken to the Trade
Disputes Cell in the office of Director General of Foreign
Trade. |