Global Nod for Organic Textile Exports

08-Aug-2025 02:10 PM

New Delhi. In a significant policy change, the Directorate General of Foreign Trade (DGFT) has clarified that organic textiles are not covered under the scope of the National Programme for Organic Production (NPOP), a standard that applies to other organic products.

This new development underlines the fact that for the first time the Government of India has given the role of a private global standards body – Global Organic Textile Standard (GOTS) – to allow exports from India.

According to a circular issued by DGFT on July 31, 2025, earlier it was mandatory for textile exporters to obtain a Transaction Certificate (TC) from a government authorised body, but now this rule will not apply to organic textile products.

Thus, this decision effectively removes Para 4 of the previous policy circular and with it the requirement to submit TC at the time of export will also end.

It is worth noting that other organizations of the textile industry including AEPC and Taxprocil have confirmed that organic Exports of textile products are already certified by globally recognized frameworks like GOTS and Textile Exchange and these frameworks issue transaction certificates only at the end of the export process based on post shipment documents. This includes shipping bill and final invoice.

The Directorate General of Foreign Trade issued its circular after the confirmation by industry organizations. The decision is in stark contrast to the January 5 order in which DGFT had made it mandatory for all certified organic products to be produced and labeled as per the Enpop standard.