On September 20, 2024, the Directorate General of Foreign Trade (DGFT) issued Public Notice No. 24/2024-25-DGFT, amending Chapter 5 of the Handbook of Procedures (HBP) 2023 regarding the Export Promotion Capital Goods (EPCG) Scheme. The amendment aims to reduce the compliance burden and improve the ease of doing business for authorization holders. Previously, exporters were required to submit an annual report on export obligation fulfillment by June 30 each year. The revised provision allows for the submission of this report only after the first block period of four years, with continuous reporting until the expiry of the valid export obligation period. The report must be submitted online and include detailed information such as shipping bill or invoice numbers, along with certification by a Chartered Accountant, Cost Accountant, or Company Secretary to verify compliance with export obligations. This change is intended to streamline processes for exporters, facilitating better adherence to obligations while minimizing the administrative burden associated with annual reporting. The DGFT emphasizes that these modifications are part of ongoing efforts to enhance the business environment in India.
GOVERNMENT OF INDIA
MINISTRY OF COMMERCE AND INDUSTRY
DEPARTMENT OF COMMERCE
DIRECTORATE GENERAL OF FOREIGN TRADE
VANIJYA BHAVAN, NEW DELHI
Public Notice No. 24/2024-25-DGFT | Dated: 20 September, 2024
Subject: Amendment in Chapter 5 of the Handbook of Procedures (HBP) 2023, related to EPCG Scheme to reduce ‘Compliance Burden’ and enhance ‘Ease of doing Business’ — reg.
In exercise of powers conferred under Paragraphs 1.03 and 2.04 of the Foreign Trade Policy, 2023, as amended from time to time, the Director General of Foreign Trade hereby makes the following amendment in Chapter 5 of the HBP, 2023 with immediate effect :-
S. No. | Para No. | Existing provision | Revised provision |
1 | 5.14 | Annual reporting of EO fulfillment
Authorisation holder shall submit to RA concerned by 30th June of every year, a report on fulfilment of export obligation through online. Such report shall contain a statement with details such as Shipping bill/GST invoice number, date of export/supply, description of product exported/supplied/service rendered and value of export/supply for both specific as well as average export |
Report for EO fulfillment
Authorisation holder shall submit to RA concerned a report on fulfilment of export obligation through online mode after expiry of first block period of four years and continuously till the expiry of valid EO period. Such report shall contain a statement with details of Shipping bill/Invoice |
Effect of this Public Notice: With a view to enhance ease of doing business and reduce the compliance burden, provision of Chapter 5 related to the Export Promotion Capital Goods Scheme of the HBP, 2023 is amended for EPCG authorizations issued under Foreign Trade Policy.
(Santosh Kumar Sarangi)
Director General of Foreign Trade &
Ex-officio Additional Secretary, Government of India
Email: [email protected]
[Issued from File No. 18/31/AM-25/P-5]