Rice Exporters Alert: CBIC imposes 20% Duty on Parboiled and Certain Milled Rice from May 1, 2025 [Read Order]

The Central Board of Indirect Taxes and Customs ( CBIC ) under the Ministry of Finance has notified the levy of a 20% export duty on different types of parboiled and milled rice from May 1, 2025, which impacts the exporters.

According to Notification No. 27/2025-Customs of April 30, 2025, which was published under Section 8(1) of the Customs Tariff Act, 1975, the Second Schedule of the Customs Tariff Act has been amended by the Central Government to include these new rates of duty.

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The notification states that an export duty of 20% will now be levied on parboiled rice (tariff item 1006 30 11), other parboiled rice (1006 30 19), other GI-recognized rice (1006 30 91), and semi-milled or completely milled rice (1006 30 99) not elsewhere specified. These changes override and augment past entries in the tariff schedule, informing a larger category of duty imposition on varieties of rice exports.

The government has exercised immediate action powers on the grounds of the need to impose export duties in order to effectively control domestic and foreign trade dynamics. Rice exporters are urged to check their trade contracts, pricing, and compliance mechanisms inline with the revised export duty regime that becomes effective from May 1, 2025.

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To Read the full text of the Order CLICK HERE

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