The Ministry of Commerce and Industries has allocated a separate HS code for Khadi.
HS stands for Harmonized System and it is a six digit identification code. It was developed by the WCO (World Customs Organization) and custom officers use HS Code to clear every commodity that enters or crosses any international border. Governments use HS codes and product descriptions to detect fraudulent activities.
Khadi and Village Industries Commission (KVIC) Chairman Vinai Kumar Saxena said that this decision of government will open a new chapter in the field of Khadi export.
"Earlier, Khadi did not have its exclusive HS code. As a result, all the data regarding export of this signature fabric used to come as a normal fabric under the textile head. Now, we will be able to keep a constant eye not only on our export figures, but it will also help us in planning our export strategies," said Saxena.
Recognising its potential to generate exports and its significance as an eco-friendly product, the Ministry of Commerce had accorded deemed Export Promotional Council Status (EPCS) to KVIC in 2006, to boost the export of Khadi products. However in the absence of separate HS code, the export of Khadi products was difficult to categorize and calculate.
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