My export obligation period is defined for six years from the date of issuance of the authorisation. The first block period is for the first four years from the date of issuance of the authorisation. Whereas, the following two years are known to be the second block period of your authorisation.

What is export obligation under EPCG?

Export Promotion Capital Goods (EPCG) scheme allows import of capital goods including spares for pre production, production and post production at zero duty subject to an export obligation of 6 times of duty saved on capital goods imported under EPCG scheme, to be fulfilled in 6 years reckoned from Authorization issue- …

What is EPCG in import?

The objective of the Export Promotion Capital Goods (EPCG) Scheme is to facilitate import of capital goods for producing quality goods and services and enhance India’s manufacturing competitiveness.

What is export obligation discharge certificate?

On being satisfied, RA concerned shall issue a certificate of discharge of export obligation to the EPCG authorization holder and send a copy to customs authorities with whom BG/LUT has been executed. RA shall ensure disposal of such applications within 30 days.

What is EPCG obligation?

The EPCG scheme allows import of capital goods including spares for pre production, production and post production at zero duty subject to an export obligation of six times of duty saved on capital goods imported under the scheme, to be fulfilled in six years from authorisation issue date.

How is export obligation calculated?

The specific export obligation is calculated as 6 times of duty saved value i.e. 8,26,560 *6 =49,59,360 INR to be completed in 6 years.

What is STP in export?

Software Technology Parks (STPs) are export oriented projects catering to the needs of software development for exports. STPs can be set up by the Central Government, State Government, Public or Private Sector Undertakings or any combination thereof.

What is drawback scheme in export?

The Duty Drawback Scheme allows exporters to get a refund on customs duty paid on imported goods, where those goods are: to be treated, processed, or incorporated in other goods for export, or. are exported unused since importation.

What do you mean by DGFT?

Directorate General of Foreign Trade. Ministry of Commerce and Industry.

What is the meaning of EODC?

Introduction of Online Export Obligation Discharge Certificate (EODC) / Redemption for Advance Authorization and Duty Free Import Authorization.

Which is the best definition of an export obligation?

Export Obligation means obligation to export product or products covered by Authorisation or permission in terms of quantity, value or both, as may be prescribed or specified by Regional or competent authority.

When to use export obligation ( Eo ) in EPCG?

The scheme is applicable when the imported goods are: Export Obligation (EO) is an arrangement used in the import of capital goods under the EPCG scheme. Such imports are made under an EO, which must be six times the duty that would otherwise be paid on the import of the capital goods.

Why is it important for countries to import and export goods?

Once countries start exporting whatever they are rich in, as well as importing goods they lack, their economies begin developing. Importing and exporting goods is not only important for businesses; it is important for individual consumers, too.

Do you have to pay sales tax when exporting goods?

Even If the goods to be exported are excisable, no excise duty need be charged at the time of Export, as export goods are exempt from Central Excise, but the AR4 procedure is to be followed for claiming such an exemption. Similarly, no Sales Tax also is payable for export of goods.