Export incentives for Importing

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Indian exporters shipping goods to Africa can potentially benefit from reduced import duties on machinery for domestic use under the EPCG Scheme. This scheme allows for the import of capital goods at 0% duty, provided they are used for the pre-production, production, or post-production of export goods. Even if the import occurs after initial export consignments, the benefits can still be applied towards future export activities.

Swapnil Jain

Swapnil Jain (Querist)
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24 January 2023 Dear All
I am exporting some good from India to africa. The value is approximately 18 lakhs FOB. In near future I am going to import few machine for domestic use. Which benefits can I avail during import of machines. Please suggest

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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24 January 2023 Under the EPCG Scheme, Manufacturer exporter or a merchant exporter tied with a supporting manufacturer can import capital goods/machinery required for pre-production, production & post-production of export goods at 0% duty

Swapnil Jain

Swapnil Jain (Querist)
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24 January 2023 Dear Sir

I will be importing machine after few months, say after 8 export consignments. Can I avail the benefit of exports done before import of machines?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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24 January 2023 Yes, you can use the machine for future exports.

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