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ADMA opposes introduction of certification scheme by commerce ministry
Ramesh Shankar, Mumbai | Saturday, May 10, 2008, 08:00 Hrs  [IST]

The introduction of certification scheme by the union commerce ministry has come in for sharp criticism from the ayurveda, sidda and unani (ASU) manufacturers in the country who termed that the government decision will only help create many regulatory roadblocks and also result in cost escalation of ASU products.

Opposing the proposal tooth and nail, Ayurvedic Drug Manufacturers' Association (ADMA) general secretary Ranjit Puranik said that the introduction of such a scheme for the ASU exporters will lead to unnecessary cost escalation as the exporters have to get certification from the Export Inspection Council (EIC) for every assignment before exporting them. Since the ASU exports are traditionally in small quantities and frequency of exports is more, the new scheme will prove to be a major hurdle as the exporters have to pay for every consignment for getting the certification from the EIC, he said.

Expressing the concern that the new scheme of the commerce ministry will kill a substantial part of the ASU exports from the country, Puranik said that if the government seriously wanted to ensure the quality of ASU exporting products, it has to tighten the informal exporting in the sector. For the formal exporting, in any case there is already a quality agreement between the buyer in the foreign country and the seller in India. The exporters cannot afford to compromise on that in the formal exporting, he said.

Appreciating the intentional of the government, the ADMA general secretary said that the government should understand the genuine concerns of the exporters. The ayurveda export business, which is at its nascent stage, has to cater to even to the small orders because the exporters are not selling the products, instead they are selling a concept to other countries. As per the new scheme, for sending a small export consignment, the exporter has to spend certification fee which will prove to be financially unviable.

As per the proposal, the ASU exporters have to route their products through Export Inspection Council (EIC). The ASU exporters should get their each and every consignment tested from the EIC-approved laboratories before exporting the same to different countries. After testing the products at these EIC labs, the ASU exporters have to enclose the certificate for getting clearance from the customs officers and the zonal drug controllers for exporting their products.

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