Concessional duty on capital goods subject to EPCG licence and prescribed export obligation schedule and conditions. Imports of capital goods, components and specified spares under the EPCG scheme are exempt from duty above the concessional rate provided a valid EPCG licence is produced, a bond with security is executed to meet a staged export obligation based on CIF or net foreign exchange, proof of block-wise fulfilment is submitted within prescribed periods, duty and interest are payable proportionate to any shortfall, installation is certified within a limited period, and limited extensions or condonations may be granted by licensing or customs authorities.