Procedure to obtain EPCG License

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Ravi Jagetiya(CA Final)

Ravi Jagetiya(CA Final) (Querist)
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15 June 2011 Please Provide details in this regard.

Thanks in Advance

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
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16 June 2011
The Policy relating to Export Promotion Capital Goods (EPCG) Scheme is given in Chapter 5 of the Policy.

An application for the grant of a licence may be made to the licensing authority concerned in the form given in Appendix alongwith documents prescribed therein.

The applicant may apply for EPCG licence to the competent authority on the basis of self declaration subject to final fixation of nexus by Hqrs. EPCG Committee as per the financial power given in the table below. The applicant shall give an undertaking that in case the Hqrs EPCG Committee disallows the Capital Goods including Jigs, fixtures, dies, moulds and spares, the license holder shall pay Customs duty together with 15% interest on such goods.

firstly apply for digital key and then after getting the password apply it in concerned RLA.

for more information:-

https://dgftcom.nic.in/exim/2000/procedures/bchap-5.htm

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RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
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16 June 2011 https://dgftcom.nic.in/exim/2000/pn/pn03/pn2603.htm

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RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
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16 June 2011 https://exim.indiamart.com/indian-exim-policy/handbook-procedures1-export-promotion.html

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
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16 June 2011 For Manufacturers
The scheme is quite beneficial to Manufacturer exporters as they can import their CG at a substantial discount. Especially for those manufacturers whose final product is not excisable (Agriculture sector) or is exempt from excise duty (like those in Uttaranchal) since they cannot take the CENVAT credit of the CVD paid on imports and Excise Duty paid in Domestic markets.
Merchant Exporters tied with the supporting manufacturers can also utilize the scheme for concessional duty import of Capital Goods to be installed at the supporting manufacturers.

For Projects
EPCG can be taken for the full projects where exports of goods or services can be envisaged by the use of the project or alternative products. This can be taken for Captive Power units also. EPCG can be taken along with Project Import scheme in case of new Projects.

For Service Provider
Various service providers / exporters can take EPCG route to reduce their Capital Cost. Service Providers like Port Developers, Hotels, Hospitals, Tour Operators, Taxi Operators, Construction Companies, Logistics companies can utilize the scheme to import/procure from domestic market, their capital goods at a substantially reduced costs. The EO can be fulfilled by Forex Earnings through providing services, like that of Foreign Guests staying in the hotel, medical tourism etc.

For Others
Certain other sectors like Retail Sector in the country, Port Projects etc. can also utilize EPCG scheme to their advantage.

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Ravi Jagetiya(CA Final)

Ravi Jagetiya(CA Final) (Querist)
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16 June 2011 Thanks a Lot Mr. Ramesh.
- Whehther Service Provider (Hotelier) need to apply first for Import of Capital goods or he can simultaneously lodge request for indegeneous purchase of CG.

- Will you please through light on Application fee and Address of Department where i need to submit application for company having registered office in Mumbai.

Thanks and Regards

Ravi K Jagetiya

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
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17 June 2011 MR. RAVI,

SERVICE PROVIDER CAN ALSO AVAIL / APPLY FOR THE ISSUANCE THE EPCG LICENCE AS PER FOREIGN TRADE POLICY 2009-2014

AS PER APPENDIX 21-C PROCEDURE OF EFT FEE IS :-

TWO PER THOUSANDS OR PART THEREOF SUBJECT TO MINIMUM OF 200 & MAXIMUM OF 1 LAKH .

HOWEVER, FOR APPLICATION FILED ELECTRONICALLY THE MAXIMUM FEE WOULD BE RS. 50000.00
FOR LIST OF REGIONAL LICENSING AUTHORITIES AND THEIR JURISDICTION READ APPENDIX-1.

LINK IS:-

https://www.eximkey.com/contents/showpage1.asp?pageid=18661

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