The Cabinet today approved signing of a pact between India and Turkey on trade in poppy seeds to ensure transparent processing for import from Turkey.
As per the Memorandum of Understanding (MoU) to be signed between the two countries, Turkish Grain Board (TMO) would maintain an online system to enable regulation of export of poppy seeds from Turkey to India.
"The MoU will promote quick and transparent processing of quota allocation and prior authorisation for poppy seeds import from Turkey. In this way, genuineness of import contract can be easily ensured as well as many litigation matter resulting in delay in the import can be avoided," an official statement said.
Briefing reporters after the meeting of the Cabinet, Prasad said close to 89 per cent of poppy seeds are imported from Turkey and there were complaints that imports were higher than permissible limit.
There were complaints that people import poppy seeds for medicinal purpose but they misuse it.
"There was a need to have a more transparent mechanism for monitoring it. With this MoU, the government of India will on yearly basis assess the requirement (of poppy seeds import from Turkey)," Prasad told reporters.
He said with this MoU, data would be available online as to how much was the production of poppy seeds in Turkey and how much was exported to India.
"This would help keep tab that the export to India does not exceed the production by that country," Prasad said.
The MoU provides that exporting companies shall submit application through the Aegean Exporters Association (EIB) to TMO for obtaining membership of the online System.
"Each year, the quantity of poppy seeds which shall be imported by India from Turkey shall be decided by Government of India in consultation with Government of Turkey taking into account the production of poppy seeds in Turkey in a crop year, balance from previous crop years and domestic or other export requirement of Republic of Turkey," an official statement said.
The import of poppy seeds from Turkey got withheld due to litigation resulting in great hike of price of poppy seeds in domestic market of India and hoarding of the same by some importers.
"To avoid such legal complication, price rise and hoarding, an alternative mechanism needs to be evolved by way of an MoU between Government of India and Government of Turkey in which real time data can be exchanged to ensure the quantity of poppy seeds imported from Turkey is genuine and legally produced in Turkey," the statement added.
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