Export Prohibited & Restricted Goods in India. Complete List 2026

How Does India's Export Policy Work?

India's export policy is governed by the Foreign Trade (Development & Regulation) Act, 1992 and the Foreign Trade Policy (FTP). The current FTP 2023, effective from 1 April 2023 and running until 31 March 2028, establishes the framework for what can and cannot leave the country.

The operational backbone of the policy is ITC-HS Schedule 2 (Indian Trade Classification based on Harmonized System). This schedule maps every tradeable product to an HS code and assigns one of four export policy categories to each.

The vast majority of Indian goods (over 95% of tariff lines) fall under the "Free" category. The remaining items are split across Restricted, Prohibited, and STE categories. The challenge is that the policy can change through DGFT notifications at any time, especially for agricultural products.

Prohibited Exports. Complete List

These items cannot be exported from India under any circumstances. No license or authorization will be granted by DGFT. Attempting to export these attracts criminal penalties under both the Customs Act and the Foreign Trade Act.

Note that "prohibited" under FTP is absolute. Unlike restricted items, there is no provision for DGFT to issue a special license or authorization for prohibited goods. The only exceptions are where the prohibition itself is carved out. For example, sandalwood oil (as opposed to sandalwood logs) may be exported under specific conditions.

Restricted Exports. License Required

Restricted items can be exported, but only with a valid license or authorization from DGFT. The license application process, processing time, and conditions vary by category. Here are the major restricted categories.

3.1 SCOMET Items (Special Chemicals, Organisms, Materials, Equipment & Technologies)

India's dual-use export control list. SCOMET covers 9 categories of items that can serve both civilian and military purposes. These are listed in Appendix 3 of Schedule 2 of the ITC-HS classification.

SCOMET license applications require end-user certificates, end-use declarations, and sometimes government-to-government assurances. Processing typically takes 4. 8 weeks. Read our detailed SCOMET guide for the full application process.

3.2 Chemicals under CWC (Chemical Weapons Convention)

Schedule 1, 2, and 3 chemicals under the Chemical Weapons Convention are restricted for export. These overlap partly with SCOMET Category 1 but also include chemicals monitored by the National Authority Chemical Weapons Convention (NACWC). Exports require a DGFT license plus an end-use certificate from the importing country's national authority. Schedule 1 chemicals can only be exported to other CWC signatory states.

3.3 Agricultural Items with Periodic Restrictions

This is the category that changes most frequently. The government uses export restrictions on food items as a domestic price control tool. Here are the key items.

Onions (HS 0703 10)

Subject to Minimum Export Price (MEP) notifications that can change multiple times a year. When domestic prices spike, DGFT raises the MEP or imposes outright bans; when they fall, it withdraws both. In 2023-24, onion exports were banned for nearly 6 months, then reopened under an $800/MT MEP that was cut and later withdrawn. No MEP or duty figure is quoted here for that reason. Check the current Schedule 2 entry for HS 0703 10 before you quote a price.

Non-Basmati Rice (HS 1006)

Non-basmati white rice was banned in July 2023, reopened under a floor-price mechanism, and the floor price was subsequently withdrawn. So the $490/MT figure this page used to carry is not a live condition. Basmati rice (HS 1006 30) has remained Free throughout. Non-basmati parboiled rice carries an export duty whose current rate is not stated here. The restrictions were imposed, partly lifted, re-imposed and relaxed again inside three years. A pattern that makes forward contracting on any figure older than the last notification extremely risky.

Wheat (HS 1001)

Prohibited from May 2022 (DGFT Notification No. 06/2015-2020 dated 13 May 2022), with partial relaxations for government-to-government sales to food-deficit countries. That entry was amended in August 2026 and this page does not state the resulting position, which could not be confirmed against the notification itself. Treat the May 2022 prohibition as history, not as the live rule, and read the current Schedule 2 entry for HS 1001 before you contract.

Sugar (HS 1701)

This page previously described sugar as sitting under an annual DGFT export quota, with 10 MMT set for the 2025-26 season and individual exporters drawing an allocation from their mill. That entry was amended during 2026 and the quota figure is no longer a live condition. The resulting position could not be confirmed against the notification itself and is not stated here. Sugar has moved between Free, Restricted and Prohibited inside a single season before now, so do not assume an allocation is available to draw: read the current Schedule 2 entry for HS 1701 and the notification that last amended it before you contract or accept a mill allocation.

Pulses (HS 0713)

Periodic restrictions on specific varieties. Tur, urad, and moong dal exports have faced bans and MEPs at different times. As of August 2026, most pulse exports are allowed with quantity monitoring.

3.4 Seeds and Planting Materials

Export of seeds, planting materials, and germplasm of certain indigenous species requires authorization from DGFT and clearance from the National Bureau of Plant Genetic Resources (NBPGR). This includes foundation seeds, breeder seeds, and certain varieties developed by ICAR institutions. Commercial seed exports of non-restricted varieties are generally Free.

3.5 Drug Precursor Chemicals (NDPS Act)

Precursor chemicals listed under the Narcotic Drugs and Psychotropic Substances Act, 1985 require export authorization. This includes acetic anhydride, ephedrine, pseudoephedrine, and about 25 other chemicals. The Narcotics Control Bureau issues NOCs, and DGFT grants the export license. End-use certificates from the importing country are mandatory.

3.6 Certain Leather and Hides

Raw hides and skins (HS 4101. 4103) and semi-processed leather (wet blue, crust) face export restrictions. The policy is designed to protect the domestic leather processing industry. Finished leather goods, footwear, and garments are Free for export. The dividing line is the degree of processing. Raw and semi-processed are restricted, finished products are free.

3.7 Cotton (Raw). Periodic Restrictions

Raw cotton (HS 5201, 5203) has faced periodic export restrictions when domestic prices surge. The government uses stock limits and registration requirements to monitor and control cotton exports. As of August 2026, raw cotton exports are allowed but subject to registration with the Textile Commissioner. Yarn, fabrics, and garments made from cotton are Free.

STE-Channeled Exports

Certain items can only be exported through designated State Trading Enterprises (STEs). Private exporters cannot export these items directly. They must route the transaction through an STE.

The STE mechanism was historically more extensive but has been progressively liberalized. Under FTP 2023, the list of STE items is shorter than it has ever been. MMTC (Metals and Minerals Trading Corporation) is the primary designated STE for mineral exports. The State Trading Corporation (STC) handles certain other commodities.

If your product is STE-channeled, you negotiate the sale with the buyer but the export transaction is executed through the STE. The STE charges a commission (typically 1. 3% of FOB value) and handles the export documentation and customs filing.

How to Check If Your Product Is Restricted

Before committing to any export order, verify your product's export policy. Here are three reliable methods.

Method 1: DGFT ITC-HS Website

1. Go to dgft.gov.in and navigate to Exim Policy > ITC-HS Classification > Schedule 2 (Export Policy) .
2. Enter your product's HS code or search by description.
3. The result shows the Export Policy column. It will read Free, Restricted, Prohibited, or STE.
4. Check the Nature of Restriction column for any conditions, MEPs, or licensing requirements.

Method 2: Customs Tariff on ICEGATE

1. Log in to icegate.gov.in .
2. Navigate to Enquiry > Customs Tariff .
3. Look up your HS code. The export policy notation is shown alongside duty information.

Method 3: DGFT Policy Circulars

Even if your HS code shows "Free" in Schedule 2, check the latest DGFT policy circulars and trade notices. Agricultural items especially can be moved from Free to Restricted (or vice versa) through a notification without updating the main schedule immediately. Subscribe to DGFT notification alerts at dgft.gov.in > Notifications to stay current.

How Restrictions Change

Export policy is not static. Restrictions can be imposed, modified, or lifted through several channels.

DGFT Notifications

The primary instrument. DGFT issues notifications amending ITC-HS Schedule 2 to change the export policy for specific HS codes. These are published in the Gazette of India and take effect on the date specified (often immediately).

Ministry of Commerce Orders

For politically sensitive items (food staples), the Ministry of Commerce issues orders directing DGFT to impose or lift restrictions. The wheat export ban and onion MEP changes originate at the ministerial level.

DGFT Trade Notices

Clarificatory notices that interpret existing notifications. These do not change policy but can significantly affect how restrictions are applied in practice.

Central Government Orders (under FT Act)

Under Section 3 of the Foreign Trade (D&R) Act, the Central Government can impose export restrictions by order for reasons of national security, public order, or conservation of natural resources.

Timeline Examples

Penalties for Exporting Prohibited/Restricted Goods Without Authorization

The consequences are severe and come from multiple directions.

Customs Act, 1962

• Section 113(d): Goods exported or attempted to be exported contrary to any prohibition are liable to confiscation.
• Section 114: Penalty of up to 5 times the value of the goods, or imprisonment up to 7 years, or both for knowingly exporting prohibited goods.
• Section 114A: Where duty has been short- levied or not levied due to the prohibited export, penalty equal to the duty amount plus interest.

Foreign Trade (D&R) Act, 1992

• IEC suspension or cancellation: DGFT can suspend or cancel the exporter's Importer Exporter Code, effectively shutting down all trade activity.
• Denied Entity List (DEL): The exporter may be placed on DGFT's Denied Entity List, which bars them from any foreign trade activity and is publicly searchable.

FEMA and RBI

• FEMA violations for proceeds of prohibited exports carry separate penalties. Up to 3 times the amount involved or Rs. 2 lakh, whichever is more, under the compounding framework.
• The AD bank is also liable for penalties if it processes export documents for prohibited or restricted goods without proper authorization verification.

Common Confusion: Similar Product, Different HS Code, Different Policy

One of the most dangerous traps in export compliance is assuming that similar-looking products share the same export policy. The policy is assigned at the HS code level, and closely related products can have completely different classifications.

The lesson: always verify at the 8-digit HS code level. Do not assume that because one form of a product is free, the raw material or a closely related variant is also free. Read our HS code classification guide for best practices on getting the right code.

Agricultural Export Restriction Tracker. August 2026

Major agricultural export restrictions, with the grain, onion and sugar rows removed. Wheat, wheat flour, non-basmati white rice, onions and sugar were all carried here as live restrictions on figures that have since been superseded. The wheat entry was amended in August 2026, the sugar quota was overtaken by a 2026 amendment to the HS 1701 entry, and the rice floor price and the onion MEP and duty were withdrawn earlier. Rather than restate a position that could not be confirmed against the notifications themselves, those rows are gone. The rows below have not been re-verified against a current notification either.

Source: DGFT notifications and Ministry of Commerce orders. Status as of 12 August 2026. Agricultural export policies are subject to frequent change. Always verify against the latest DGFT notification before booking export orders.

Recent FTP 2023 Changes. Liberalization Trends

FTP 2023 continues India's long-term trend of liberalizing export policy. Several notable changes have reduced the restricted and prohibited lists.

• STE list shortened. Several mineral and commodity items that were STE-channeled have been moved to Free, allowing private exporters to trade them directly.
• SCOMET aligned with international regimes. India's SCOMET list has been updated to align with the Wassenaar Arrangement, Australia Group, MTCR, and NSG control lists. Some items have been moved from SCOMET to Free as India's domestic production capacity has matured.
• Export promotion focus. FTP 2023 explicitly states a target of $2 trillion in goods and services exports by 2030. The policy bias is toward removing restrictions rather than adding them. With the notable exception of food items where domestic supply concerns override export targets.
• Town of Export Excellence expanded. More towns and product clusters have been recognized, making it easier for smaller exporters in these regions to access simplified licensing for restricted items.
• Online licensing. DGFT has moved SCOMET and other restricted-item license applications fully online through the DGFT portal , reducing processing times and improving transparency.

Frequently Asked Questions

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Update history

• 2026-08-12 First published.