Certificates of Origin (CoO)
26th November, 2021 Economy
Figure 1: No Copyright Infringement Intended
- The Centre has suspended till January 31 a mandatory obligation imposed on exporters from November 1 to obtain online Certificates of Origin (CoO) for every outbound consignment.
About Online Certificates of Origin :
- It was put in place in late 2019 for exports to countries with whom India had a preferential trade pact.
- It was expanded to cover all merchandise exports from November.
- It was initiated by the Directorate General of Foreign Trade (DGFT).
Benefits of it:
- This online facility provides ‘ease of doing business’ to the exporting community
- It gives a verifiable authentication mechanism to the partner countries to confirm the genuineness of the issued CoOs through a QR code which adds credibility to the issued e-CoO.
Reasons for suspension:
- Several exporters across States had reported difficulties in registering on the e-CoO platform on the Directorate General of Foreign Trade (DGFT) portal with the stipulated high-quality digital signature certificates and obtaining the certificates for their shipments.
- customs house agents had not been able to share data on exporters’ behalf, as the DGFT had not shared the API (Application Programming Interface) for the new platform.
- India’s monthly merchandise exports have crossed $30 billion for seven months in a row
- It is largely on course to reach the government’s target of a record $400 billion in 2021-22.