Govt amends trade policy, bans import of goods produced with forced labour
New Delhi, Jul 14, 2026
The Indian government on Tuesday issued a notification to ban the import of goods made using forced labour, aligning with global labour standards
The Union government on Tuesday amended its Foreign Trade Policy (FTP), 2023, to prohibit the import of goods that are produced, either wholly or partly, through the use of forced labour.
The change was notified by the Directorate General of Foreign Trade (DGFT) through a gazette notification dated July 13, 2026. The new provision will take effect 30 days after its publication in the official gazette.
A new paragraph has been added to the policy, saying: "The import of goods produced or manufactured, wholly or in part, through the use of forced labour is prohibited."
Move comes amid US scrutiny
The amendment comes at a time when the United States is examining forced labour practices in 60 economies, including India.
The Office of the US Trade Representative (USTR) is carrying out investigations under Section 301, alleging that these countries have not properly enforced restrictions on the import of goods made with forced labour.
On June 3, the US proposed a 12.5 per cent tariff on imports from 54 countries, including India, over the issue. Canada, Ecuador, the European Union, Indonesia, Mexico and Pakistan could face an additional 10 per cent import duty.
Government empowered to prohibit specific imports
Under the amended policy, the central government may issue a notification at any time to ban the import of particular goods if an inquiry or other relevant evidence shows that they have been produced using forced labour.
The DGFT said the procedure for conducting such inquiries will be laid down in the Handbook of Procedures, 2023.
Definition aligned with ILO convention
The DGFT has also inserted a new provision in Chapter 11 of the FTP, 2023, defining forced labour. Under the policy, 'forced labour' will include all work or service exacted from any person under the menace of any penalty and for which the said person has not offered himself voluntarily, as defined under the ILO Forced Labour Convention, 1930 (No. 29).
[The Business Standard]
