Import of second hand (5 years old) machinery without payment of duty

[Narendra Soni]

Dear Experts,

We are to import second hand (5 years old) machinery without payment of duty, as per new FTP it is not allowed under EPCG schem, please suggest any schem/method to import without payment of duty.

Thanks N Regards

Narendra Kumar Soni

AI Summary

Current FTP Restricts Duty-Free Import of 5-Year-Old Machinery Under EPCG; Alternatives Limited for DTA Units A discussion on importing five-year-old second-hand machinery without paying duty reveals that the current Foreign Trade Policy (FTP) does not allow such imports under the Export Promotion Capital Goods (EPCG) scheme. Experts suggest that while second-hand capital goods can be imported duty-free by EOUs, STPs, EHTPs, and BTPs, this does not apply to Domestic Tariff Area (DTA) units. The use of Duty Credit Scrips for paying customs duties is suggested as an alternative, though options are limited for DTA units under the current policy framework.