India to Ban Imported Goods made with Forced Labour

India has announced new rules to ban the import of goods produced using forced labour, marking a significant shift in its trade policy.

The measure was introduced through a notification issued by the Ministry of Commerce and Industry on July 13, 2026.

It gives the central government the authority to prohibit the import of products that have been made, either wholly or partly, through forced labour.

The new rules are designed to strengthen India’s oversight of imported goods and bring greater accountability to international supply chains.

They also arrive at a time when global governments are placing increasing pressure on businesses to prove that their products are sourced ethically.

Under the notification, India’s Directorate General of Foreign Trade (DGFT) will investigate allegations or evidence that imported goods have been produced using forced labour.

Investigations may be launched following information received from government agencies, businesses or other credible sources.

If officials conclude that sufficient evidence exists, the DGFT can recommend banning imports of those products.

The recommendation will be reviewed through consultations before the central government makes a final decision.

The notification will come into force 30 days after it is issued.

The announcement comes as the United States reviews the trade practices of several countries, including India, over concerns surrounding forced labour in global supply chains.

Washington is considering additional trade measures against countries that do not adequately prevent goods linked to forced labour from entering international markets.

At present, most Indian exports to the US are subject to a 10% tariff.

However, further tariffs could be introduced through separate US investigations into forced labour and excess industrial capacity.

India’s latest move could help demonstrate that it is taking stronger action against unethical trade practices.

While the new rules focus on imported goods rather than exports, they may strengthen India’s position during ongoing trade discussions with the US and other international partners.

Forced labour remains a major concern worldwide. According to the International Labour Organisation (ILO), nearly 28 million people were living in situations of forced labour in 2021.

Governments across the world have responded by introducing stricter laws aimed at preventing products linked to labour exploitation from entering their markets.

India’s new framework reflects that wider global trend.

It also signals the country’s intention to strengthen compliance with international trade standards while improving transparency across supply chains.

Businesses importing goods into India may now face greater scrutiny over where their products come from and how they are manufactured.