India imposes port restrictions on supply of prohibited/restricted ...

14 days ago
Maldives

In a fresh move against the Maldives, India’s Directorate General of Foreign Trade (DGFT) has introduced port restrictions on the export of several prohibited and restricted essential items that were permitted for shipment earlier. 

As per the new guidelines, the export of essential commodities will now take place only via four custom stations.

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“Export of essential commodities under Prohibited/restricted category to the Republic of Maldives during 2024-25 shall be permitted only through the following 4 Customs Stations: - Mundra Sca Port, Tuticorin Sea Port, Nhava Sheva Sea Port (JNPT) and ICD Tughlakabad,” DGFT’s notification read. 

On April 5, amid diplomatic tensions between India and the Maldives, India gave authorisation for the export of precise amounts of basic goods for 2024-25 using a unique bilateral mechanism at the request of the Maldives government.

Earlier on April 5, India had removed the restrictions on the export of a specified quantity of nine products. This included potatoes, onions, eggs, rice, wheat flour and sugar to Maldives for 2024-25.

Approved volumes under this bilateral agreement are now the greatest since it was established in 1981 when India and the Maldives inked a trade deal allowing for the export of vital goods.

The quota for river sand and stone aggregates, crucial items for the booming construction industry in the Maldives, were also increased by 25% to 1,000 metric tons, a government notification said. 

India implemented export bans on wheat in May 2022, non-basmati rice in July 2023, and onions in December. Despite this, India selectively supplied these commodities to neighbouring countries like Bangladesh and key partners such as the UAE and Indonesia based on specific cases, prioritising domestic needs.

Recently, without naming India, Muizzu said he intends to reduce the Maldives’ dependence on any one country for food security. He also said all Indian troops stationed in the country will be withdrawn by May 10. He said the withdrawal process is already underway.

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