India Reportedly Introduces New Harmonised System (HS) Codes For GI Tagged Rice | Current Affairs | Vision IAS
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An amendment to the Customs Tariff Act (1975) was introduced to provide an HS (Harmonised System) code for GI-recognised rice varieties.

  • The amendment will make it possible for the exports of GI-tagged rice without any problem or special notification from the Ministry of Finance. 

About HS

  • Definition: HS is a global product classification system developed by the World Customs Organization (WCO).
  • Classification Structure: 
    • HS assigns specific six-digit codes for varying classifications and commodities. 
    • Countries are allowed to add longer codes to the first six digits for further classification.
  • Governance and Updates
    • HS is governed by "The International Convention on the Harmonized Commodity Description and Coding System".
    • HS Committee, made up of member countries, oversees the HS classification system and also updates HS every 5 – 6 years.
  • Widespread adoption
    • Classifies approximately 98% of international trade
    • Encompasses over 5,000 commodity groups
    • Implemented by more than 200 countries
  • Benefits of HS 
    • Common coding method helps countries organize and track products in global trade.
    • Extensively used by governments, international organizations and private organisations for internal taxes, trade policies, etc.
    • Reduces international trade costs and spports economic research

About World Customs Organization (WCO)

Headquarters: Brussels, Belgium 

  • Genesis:  WCO, established in 1952 as the Customs Co-operation Council (CCC) 
  • Role: is an independent intergovernmental body whose mission is to enhance the effectiveness and efficiency of Customs administrations. 
  • Focus: It is exclusively focused on customs matters. Its work includes the development of global standards, the simplification and harmonization of customs procedures, trade supply chain security, the facilitation of international trade, etc. 
  • Members:  WCO represents 186 Customs administrations (including India).
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