JUDGMENT

VIBHU BAKHRU, J.

1. The petitioners in these set of petitions are inter alia engaged in the business of trading in rice. They impugn Trade Notice no. 08/2023 dated 20.06.2023 (hereafter ‘the impugned Trade Notice’) issued by the Directorate General of Foreign Trade (hereafter DGFT), inter alia, Signature Not Verified Digitally Signed W.P.(C) Nos. 8625/2023, 10144/2023 & 8631/2023 Page 2 of 30 setting out the conditions of eligibility and procedure for allocation of quota for export of broken rice on humanitarian food security grounds. 2. The petitioners are, essentially, aggrieved by the conditions that restrict the eligibility for securing allocation of quota to only those exporters, who had exported rice to the countries in question (Senegal, Gambia and Indonesia) in the three preceding financial years. The petitioners state that they have a verifiable track record of exporting rice, thus, restricting the eligibility to export rice only to those persons that had exported rice to the specified countries offends Article 14 and Article 19(1)(g) of the Constitution of India.

3. Export of broken rice, which is otherwise proscribed, has been permitted to certain countries (Senegal, Gambia and Indonesia) in limited quantities on humanitarian grounds and to address the food security concerns of those nations.

4. Whilst the quantitative restriction as imposed for the export of broken rice to the countries in question is not challenged, the petitioners contend that excluding all rice exporters with established track record from applying for a quota to export to those countries, is discriminatory and also curtails the freedom to carry on legitimate trade.

Factual Matrix

5. Prior to 08.09.2022, export of broken rice (HS Code 1006 40 00)

was classified as ‘free’ under the export policy.

Signature Not Verified Digitally Signed W.P.(C) Nos. 8625/2023, 10144/2023 & 8631/2023 Page 3 of 30

6. However, on 08.09.2022, the Central Government issued a Notification (Notification no.31/2015-2020) in exercise of powers under Section 3 of the Foreign Trade (Development and Regulation) Act, 1992 (hereafter ‘FTDR Act’) amending the export policy in respect of broken rice and prohibiting export of broken rice from India. 7. The prohibition to export broken rice came into effect on 09.09.2022. However, as a transitional arrangement, the Notification dated 08.09.2022 stipulated certain exceptions to the rule where consignments of broken rice were permitted to be exported during the period 09.09.2022 to 15.09.2022. The consignments in respect of which exceptions were carved out is set out below:

“i. where loading of broken rice on the ship has commenced before this Notification;

ii. where the shipping bill is filed and vessels have already berthed or arrived and anchored in Indian ports and their rotation number has been allocated before this Notification; The approval of loading in such vessels will be issued only after confirmation by the concerned Port Authorities regarding anchoring/berthing of the ship for loading of broken rice prior to the Notification; and iii. where broken rice consignment has been handed over to the Customs before this Notification and is registered in their system.”

8. By a subsequent Notification dated 20.09.2022 (Notification No.34/2015-2020) issued by the Central Government under Section 3 of the FTDR Act, the period during which rice could be exported subject to the conditions as stipulated in the Notification dated 08.09.2022, was Signature Not Verified Digitally Signed W.P.(C) Nos. 8625/2023, 10144/2023 & 8631/2023 Page 4 of 30 extended from 15.09.2022 till 30.09.2022. This period was further extended till 15.10.2022 in terms of the Notification dated 27.09.2022. 9. On 12.10.2022, the Central Government issued another Notification fixing the export quota of broken rice as 3,97,267 metric tons, which was to be allocated amongst those applicants where letters of credit were opened prior to 08.09.2022 or the date of message betw