EPCG License

[Mathi Bharathi]

Hi, We have obtained EPCG license by the year of 2016 and we have achived the Export obligation by 50 percentage only (AA Nil ) We don't have the exports further . From this scenario, Shall go for redemption by 50% of EO and shall pay the customs duty along with interest for balance 50% portion which is not achived? Please guide

AI Summary

EPCG License Redemption: Options for 50% Export Obligation Fulfillment, Customs Duty Payment, and Amnesty Scheme Details. A user inquired about redeeming an EPCG license after fulfilling only 50% of the export obligation and whether they could pay customs duty and interest for the shortfall. Responses provided guidance based on the Foreign Trade Policy (FTP) 2023. One response outlined procedures for regularizing defaults and exiting the EPCG scheme, including payment of customs duties and interest proportionate to the shortfall. Another response noted that an amnesty scheme available until December 31, 2023, allowed for reduced interest and waived penalties for redemption applications made during that period.