Import Capital Goods at Zero Duty – Expand Your Export Capacity
The Export Promotion Capital Goods (EPCG) Scheme is a flagship export incentive under India’s Foreign Trade Policy. It enables Indian manufacturers and service providers to import capital goods at zero customs duty, subject to an export obligation of six times the duty saved, to be fulfilled within six years.
At SS Industrial Consultancy, we provide complete support for EPCG licensing, documentation, and post-approval compliance, ensuring you meet obligations without delays or penalties.
Application filing and DGFT liaison for EPCG license
Documentation for capital goods import and installation certification
Export Obligation (EO) tracking and fulfillment strategy
Assistance in maintaining Average Export Performance (AEP)
Filing of Export Obligation Discharge Certificate (EODC)
Support for redemption, extension, and compliance audits
Zero Customs Duty import of new capital goods including spares, jigs, dies, fixtures, and computer software
Applicable to manufacturers, merchant exporters tied to manufacturers, and service providers
EO of six times the duty saved amount to be completed in six years
Local sourcing of capital goods also permitted with reduced EO (5x duty saved)
Partial fulfillment allowed via third-party exports (with proper documentation)
EPCG not allowed for second-hand goods or certain sectors like power export and car rentals
Minimum 50% of EO must be completed in the first four years
Remaining EO to be fulfilled in the 5th and 6th year
Delay in EO fulfillment may lead to penalty, interest, and duty repayment
Composition fee applicable in case of EO extension
info@ssconsultancy.net
+91 92468 22006
Hyderabad
+91 92468 22006