IOPEPC starts issuing groundnut export certificates

After the Madras High Court’s interim order on groundnut exports on Friday, the Indian Oilseed and Produce Export Promotion Council (IOPEPC) has started issuing export certificates to the exporters of groundnut and groundnut products from today.

“The High Court on Friday had granted an interim relief on the stay and directed us to issue export certificates to the groundnut exporters. We have started issuing certificates from today,” said Rajesh Bheda, chairman, IOPEPC.

The court observed that the counsel of IOPEPC had submitted that by virtue of the order of stay granted by the court on February 1, 2013, all other exporters numbering over 500 are not able to export their peanuts.

"Therefore, it is clarified and made clear that the order of stay granted by this court on February 1, 2013 will not affect the other exporters exporting their peanuts," the court noted in its order on Friday.

The matter has been put for further hearing on March 5, 2013.

Earlier on February 1, the High Court had put an interim stay on implementation of the regulations of export of groundnut and groundnut products through control of aflatoxin, amendment-3 dated January 9, 2013.

The stay was given following a petition filed by Chennai-based exporter Agrocrops Exim Ltd challenging Apeda’s new regulations.

However, Bheda further mentioned that the new export registrations are being made under the same amendment-3 of Apeda’s regulations announced on January 9, 2013. “This is a misinterpretation of the court’s order. We will file contempt of court against this,” said Saravanan L, the petitioner and director of Agrocrops Exim Ltd.

In its petition, Agrocrops had stated that the order by Apeda was not in line with the notification issued by the Directorate General of Foreign Trade (DGFT), which requires groundnut exporters to register themselves with the Apeda.

The petitioner had alleged that in its new regulations for groundnut exports, Apeda had incorporated those rules, which were specifically made keeping in view the European Union’s regulations.

“Rules which were earlier applicable for EU market alone are now made applicable for non-EU countries too. This has affected our shipments. Buyers are now shifting from India to elsewhere,” said the Agrocrops official.

As per the industry estimate around 300 containers (each having around 20 tonnes of groundnut) have been stalled at the ports for non-clarity on export guidance.

“Our goods are stacked Mundra port. We are unable to move it because customs require certificate from IOPEPC and it had stopped issuing the same after the court’s stay order earlier this month,” said an exporter from Mumbai.