Eximkey - India Export Import Policy 2004 2013 Exim Policy
DGFT Hand Book of Procedures (Pdf)'>Foreign Trade Procedure (wef 05/06/2012) (Pdf) 5.11

5.11

Extension of Export Obligation Period

(a) In respect of EPCG authorizations (other than zero duty EPCG) issued upto 17.4.2013, concerned RA, may consider one or more requests for grant of extension in export obligation period, on payment of composition fee equal to 2% of proportionate duty saved amount on unfulfilled export obligation or an enhancement in export obligation imposed to the extent of 10% of total export obligation imposed under authorization, as the case may be, at the choice of exporter, for each year of extension sought. Such first extension in EO period can be for a maximum period of 2 years.

(b) Extension in EO period beyond two years’ period available above, may be considered, for a further extension upto 2 years with a condition that 50% of duty payable in proportion to the unfulfilled export obligation is paid by authorization holder to Custom authorities before an endorsement of extension is made on EPCG authorization by RA concerned. In such cases, no composition fee is to be paid or additional EO is to be imposed as prescribed in the Para above. In case the firm is still not able to complete the export obligation, duty already deposited will be deducted from total duty plus interest to be paid for EO default.

(c) However, for zero duty EPCG Authorizations only one extension of 2 years in export obligation period may be considered by concerned RA, on payment of composition fee equal to 2% of proportionate duty saved amount on unfulfilled export obligation or an enhancement in export obligation imposed to the extent of 10% of total export obligation imposed under authorization, as the case may be, at the choice of the exporter.

(d) Request for extension in EO Period shall be made to RA within 30 days from the date of expiry of original EO Period.

(e) Extension in export obligation period shall also be subject to such terms and conditions as may be prescribed by competent authority.

[Para 5.11 has been subsituted vide PUBLIC NOTICE No.01/2013, DT. 18/04/2013 ]

[OLD 5.11

Extension of Export Obligation Period

(a) Concerned RA, may consider one or more requests for grant of extension in export obligation period, on payment of composition fee equal to 2% of proportionate duty saved amount on unfulfilled export obligation or an enhancement in export obligation imposed to the extent of 10% of total export obligation imposed under authorization, as the case may be, at the choice of exporter, for each year of extension sought. Such first extension in EO period can be for a maximum period of 2 years.

(b) Extension in EO period beyond two years’ period available above, may be considered, for a further extension upto 2 years with a condition that 50% of duty payable in proportion to the unfulfilled export obligation is paid by authorization holder to Custom authorities before an endorsement of extension is made on EPCG authorization by RA concerned. In such cases, no composition fee is to be paid or additional EO is to be imposed as prescribed in the Para above. In case the firm is still not able to complete the export obligation, duty already deposited will be deducted from total duty plus interest to be paid for EO default.

(c) However for zero duty EPCG scheme only one extension of 2 years in export obligation period shall be available, subject to conditions mentioned above.

(d) Extension in export obligation period shall also be subject to such terms and conditions as may be prescribed by competent authority.]

 

Trade Intelligence
Search for latest information on item wise exports and imports, from all major Indian ports.

Username
Password