Government of India
Ministry of Commerce & Industry
Department of Commerce
Directorate General of Foreign Trade
Udyog Bhawan, New Delhi
Trade Notice No. 08/2013, dated 17th December,
2013
To
All RAs of DGFT
Members of Trade
Export Promotion Councils
Subject: Inviting Suggestions on import of power generating equipment under EPCG
scheme
Notification No. 7 dated 18.4.2013 disallows import of captive power plants and
power generator sets under Export Promotion Capital Goods (EPCG) scheme with
effect from 18th April 2013.
- Representations have been received from trade and industry that uninterrupted
supply of quality power at competitive rates is essential for production
activities and maintaining export competitiveness. Import of capital goods under
EPCG scheme at concessional duty reduces the overall cost of setting up of a
power plant which in turn reduces the cost of power and ensures uninterrupted
power supply. Their representation, accordingly, pleads for import of power
generating equipment under the EPCG scheme.
- Views/suggestions/comments on the request contained in para 2 above are
solicited. While submitting such feed-back, care may be taken also to suggest
how to count fulfillment of Export Obligation because the resultant product of
such capital good, i.e. ‘power’ is mostly not exportable per-se. Similarly, how
a common service provider installing power equipments would fulfill Export
Obligation may also be conveyed. One suggestion is to take into account the
imputed value of power in the export products of the respective EPCG
authorisation holders while calculating the EO.
- All stakeholders are requested to give their feed-back /suggestion preferably
through e-mail addressed to the undersigned as soon as possible but not later
than by Monday, the 6th January, 2014.
(Akash Taneja)
Joint Director General of Foreign Trade
Email: [email protected]
Tel: 011-23061562-217
(Issued from F.No. 01/37/218/32/AM14/EPCG II)