New Delhi, Feb 7 The Directorate General of Foreign Trade (DGFT) has made amendment and added new provisions for import/export items under Export Promotion Capital Goods (EPCG) Scheme in the Foreign Trade Policy 2015-20.
According to the new provision, “An application for amendment in the list of import item(s) including addition(s)/deletion(s), if any, may be filed with RA concerned provided the authorisation is valid for import. The applicant would give justification for seeking such amendment(s) along with fresh nexus certificate from an independent Chartered Engineer.”
Also, “An application for amendment in the list of export item(s) including addition(s)/deletion(s) if any, may be filed with RA concerned provided the Export Obligation period of the authorisation is valid and the CG has nexus with original export product. The applicant would give justification for seeking such amendment(s) along with fresh nexus certificate from an independent Chartered Engineer."
While, in the amended para, the DGFT said, “Proof of having dispatched the goods from authorization holder's factory premises to the ultimate exporter/port of export viz. (a) ARE-1 Certificate issued In Central Excise with due authentication by the Customs verifying the exports along with the shipping bill number date and
EPCG authorization number or (h) Invoice duly incorporating the relevant EPCG authorization number & date at the time of dispatch in case the unit is not registered with Central Excise.”
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 date.
EPCG scheme covers manufacturer exporters with or without supporting manufacturer(s)/ vendor(s), merchant exporters tied to supporting manufacturer(s) and service providers. The Scheme also covers a service provider who is designated / certified as a Common Service Provider (CSP).
Source: knnindia.co.in