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of <h1>New EPCG Scheme Boosts India's Manufacturing: Zero Duty Imports, Export Obligations, Green Tech Incentives</h1> The Export Promotion Capital Goods (EPCG) Scheme under the Foreign Trade Policy 2023 aims to enhance India's manufacturing competitiveness by allowing the import of capital goods at zero customs duty for production purposes. The scheme mandates an export obligation equivalent to six times the duties saved, to be fulfilled within six years. It covers manufacturer exporters, merchant exporters, and certified service providers, with provisions for indigenous sourcing of capital goods. Special incentives are offered for early fulfillment of export obligations and for exporters of green technology products. Certain sectors like handicrafts and agriculture are exempt from maintaining average export obligations.
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