Ref: MR/2022-23/60 27th July, 2022
TO: THE MEMBERS OF THE COUNCIL
Sub : Implementation of Law by USA banning imports of goods produced with forced labour from Xinjiang (China) – Government Advisory - Reg.
As you may be aware that USA has implemented the Uyghur Forced Labour Prevention Act, with the objective of banning importation of goods produced with forced labour from Xinjiang (China), with effect from 21.06.2022.
In this regard, this Council has received a communication from the Ministry of Textiles, Government of India that in lieu of the said enactment, Cotton and Cotton Products have been identified as high priority sectors. Hence, member mills sourcing raw material, intermediaries and other inputs from Xinjiang have been advised to exercise due diligence by constantly tracking the supply chain, to avoid negative impact on the international business.
Members exporting value added final products especially apparels may take note that the burden of proof to rule out presence of forced labour in the supply chain will remain on the exporters. The link to the list of Entities, import from which is banned directly by the USA (to be reviewed annually) is as follows:
Member may kindly take note of the stringent execution of the law by USA and be vigilant about the supply chain.