Date: |
25-10-2017
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Notification No: |
Public Notice No. 35/2015-2020
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Issuing Authority: |
DGFT
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Type: |
Public Notice
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File No: |
F. No. 18/42/AM-18/P-5 |
Subject: |
Onetime condonation of time period in respect of obtaining block-wise extension in Export Obligation period under EPCG Scheme
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Government of India Ministry of Commerce and Industry Department of
Commerce Directorate General of Foreign Trade Udyog Bhawan
Public
Notice No. 35/2015-20
New Delhi, Dated the 25th October, 2017
Subject: Onetime condonation of time period in respect of obtaining
block-wise extension in Export Obligation period under EPCG Scheme.
In exercise of powers conferred under Paragraph 2.04 read with Paragraph 2.58
of FTP 2015-20, the Director General of Foreign Trade in Public interest hereby
makes the following one time relaxations in procedures in respect of obtaining
block-wise extension in Export Obligation period under EPCG scheme.
1.
The EPCG authorization holders, while maintaining the average export obligation,
fulfill the specific export obligation over the prescribed block period as
applicable.
2. Para 5.14 (c) of the Handbook of Procedures 2015-2020
states as under:
“Where EO of the first block is not fulfilled in terms
of the above proportions, except in cases where the EO prescribed for first
block is extended by the Regional Authority subject to payment of composition
fee of 2% on duty saved amount proportionate to unfulfilled portion of EO
pertaining to the block, the Authorization holder shall, within 3 months from
the expiry of the block, pay duties of customs (along with applicable interest
as notified by DOR) proportionate to duty saved amount on total unfulfilled EO
of the first block”
3. The Para 5.14 (d) of the Handbook of Procedures
2015-20 specifies the governance of the relevant provisions for block-wise
Export Obligation in respect of EPCG authorizations issued between 1st April
2002 and 18.04.2013
4 In view of the time limit of 3 months prescribed in
the relevant provisions, during which time the EPCG authorization holder was
required to obtain the block extension in Export obligation from the RA on
payment of composition fee, the RAs concerned are unable to consider such
requests wherein submissions are made after 3 months. Many times such requests
are for regularization of exports already made. A large number of requests for
condonation of this period of non-submission within the prescribed time period
for obtaining block period extension are received in the DGFT Hqrs. This has
caused hardship and delay in closure of EPCG authorizations.
5. The EPCG
authorization holders were required to approach RA within the prescribed period
for obtaining the requisite extension on payment of composition fee or should
have paid the proportionate duty to the Customs to regularize the block-wise EO
period. Therefore, as a onetime measure in relaxation of procedure, it has been
decided that the RAs concerned may consider the requests for block-wise Export
Obligation period extension for the requests already submitted but submitted
beyond the time on payment of additional composition fee of ₹ 5000/- in addition
to payment of regular composition fee as applicable. The RA may also consider
the requests that may be received upto 31.03.2018 under this facility. This
shall be subject to the condition that the case is otherwise in order and
submission of installation certificate for the capital goods imported to the RA
concerned. This facility is for EPCG authorizations issued from 1st September,
2004
6. This facility would not be available in respect of the
following cases:
i. Where the issue is under investigation/adjudicated by
RA/customs authority/ any other investigating agency.
ii. Where the EPCG
committee has rejected such extension requests.
Effect of the Public
Notice: Onetime relaxation in condonation of delay of submission for obtaining
block-wise extension in Export Obligation under EPCG scheme is provided
(Alok Vardhan Chaturvedi) Director General of Foreign Trade (Issue from
F. No. 18/42/AM-18/P-5)
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