TaxTMI 
TaxTMI 
Exempts goods imported for export of engineering and electronic products, basic chemicals and pharmaceuticals, apparels and textiles, plastics, handicrafts, chemicals and allied products and leather and leather products (Export Promotion Capital Goods (EPCG) Scheme)
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....ms Tariff Act, 1975 (51 of 1975), and (ii) the whole of the additional duty leviable thereon ^29[ under sub-sections (1), (3) and (5) of section 3 ] of the said Customs Tariff Act, when specifically claimed by the importer. 2. The exemption under this notification shall be subject to the following conditions, namely :- ^1["(1) that the goods are imported for export of engineering and electronic products, basic chemicals and pharmaceuticals, apparels and textiles, plastics, handicrafts, chemicals and allied products, leather and leather products, paper and paperboard and articles thereof, ceramic products, refractories, glass and glassware, rubber and articles thereof, plywood and allied products, marine products, sports goods and toys and are other than those required for export of products covered under following chapters or headings of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), namely:- Chapters 1, 2, 4, 5 (except handicrafts), 6 to 24, 25 to 27, 31, 43, 44 (except plywood and allied products), 45, 47, 68 (except handicrafts), 71, 81 (metals in primary and intermediate forms only), 89, 93, 97 (except handicrafts), 98; head....
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....n. The authorization holder shall submit a Nexus Certificate from an independent Chartered Engineer (CEC) in the format specified in Appendix 32A of HBP (vol. I) notified under the Foreign Trade Policy, certifying nexus of imported capital goods with the export product, to the Customs authorities at the time of clearance of imported capital goods. A copy of the CEC shall be submitted to the concerned Regional Authority alongwith copy of the bill of entry, within thirty days from the date of import of the Capital Goods.";]. [(6)]. that the goods imported shall not be disposed of or transferred by sale or lease or any other manner till export obligation is complete. [(7)] that the importer executes a bond in such form and for such sum and with such surety or security as may be specified by the Deputy Commissioner of Customs or Assistant Commissioner of Customs binding himself to comply with all the conditions of this notification as well as to fulfill export obligation on Free On Board (FOB) basis equivalent to six times the duty saved on the goods imported as may be specified on the authorization, or for such higher sum as may be fixed or endorsed by the Licensing ....
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....sting plant and machinery (imported earlier, under EPCG or otherwise), shall be allowed to be imported under the EPCG scheme subject to an export obligation equivalent to 50% of the normal export obligation prescribed above, to be fulfilled in 6 years reckoned from the date of issue of the Authorization, subject to the condition that the CIF value of import of the above spares etc. will be limited to 10% of the CIF value of the plant and machinery imported under the EPCG authorization or 10% of the book value of the plant and machinery imported earlier otherwise than under EPCG Scheme, as the case may be. Provided also that export obligation of a particular block may be set off against the excess exports made in the said preceding block(s); [(8)]. that if the importer does not claim exemption from the additional duty leviable ^29[ under sub-sections (1), (3) and (5) of section 3 ] of the Customs Tariff Act, 1975, the additional duty so paid by him shall not be taken for computation of the net duty saved for the purpose of fixation of export obligation provided the Cenvat credit of additional duty paid has not been taken; [(9)] that the importer produces ....
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....ed at the factory or premises of such other person whose name and address are endorsed on the authorization referred to in condition (2) and also on the shipping bills and where the bond for full difference of duty, if necessary, in terms of condition (6) with or without a bank guarantee, as the case may be, is executed by the importer and such other person binding themselves jointly and severally to fulfill the export obligation and all other conditions of this notification and to pay duty with interest at the rate of 15% per annum in case of default : [(12)]. that the imports and exports are undertaken through sea ports at Bedi (including Rozi-Jamnagar), Chennai, Cochin, Dahej, ^31[Dhamra, Dharamtar, ^32[Dighi, Gopalpur,],] ^28[ Haldia (Haldia Dock Complex of Kolkata Port), Hazira (Surat), ] Kakinada, ^23[Kandla, Kattupalli (Tamil Nadu), Kolkata], ^5["Krishnapatnam ^11[Ennore (Tamil Nadu) and Karaikal (Union territory of Puducherry)]] Magdalla, Mangalore, Marmagoa, Muldwarka, Mumbai, Mundhra,Nagapattinam, Nhava Sheva, Okha, Paradeep, Pipavav, Porbander, Sikka, Tuticorin, Visakhapatnam and Vadinar or through any of the airports at Ahmedabad, Bangalore, ^24[Bhubaneswar, Ca....
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....sion of block-wise period for any block(s) or overall period of fulfilment of export obligation upto a period of two years or regularization of shortfall in export obligation, not exceeding five percent of such export obligation, the said block-wise period or overall period of export obligation shall be extended or condoned by the Deputy Commissioner of Customs or Assistant Commissioner of Customs, as the case may be : Provided that in respect of sick units referred to in the first proviso to condition (6), extension of overall period of export obligation shall not be allowed : 3. Where the goods specified in the said Table are found defective or unfit for use, the said goods may be re-exported back to the foreign supplier within three years from the date of payment of duty on the importation thereof: Provided that at the time of re-export, the goods are identified to the satisfaction of the Deputy Commissioner of Customs or Assistant Commissioner of Customs, as the case may be, to be the same as the goods which were imported. 4. This notification, for import of goods specified at Serial Nos.1 and 2 of the said table shall have effect upto ^8[31st December, ....
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....tained for goods other than fishing trawlers, boats, ships and other similar items. Provided also that the goods, excepting tools, imported under this notification by the aforesaid sectors, shall not be allowed to be transferred for a period of five years from the date of imports even in cases where export obligation has been fulfilled. Transfer of capital goods would, however, be permitted within the group companies, after fulfillment of export obligation but before five years from the date of imports, under intimation to Regional Authority and jurisdictional Central Excise Authority : ^17[Provided also that the exports made to such countries as notified by the Director General of Foreign Trade, shall not be counted for fixing average level of exports:] Provided also that exports against only such shipping bills which mention the EPCG authorization No. and date shall be counted for the discharge of the export obligation; (2) shall be fulfilled through physical exports and the export proceeds shall be realized in freely convertible currency. However the following categories of supplies, shall also be counted towards fulfillment of export ob....
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....gn Trade appointed under section 6 of the Foreign Trade (Development and Regulation) Act, 1992 (22 of 1992) or an officer authorized by him to grant an authorization under the said Act; 5. "Manufacture" has the same meaning as defined in clause (f) of section 2 of the Central Excise Act, 1944 (1 of 1944). Table S.No. Description of goods (1) (2) 1. Capital goods for pre-production, production and post production including second hand capital goods. 2. Capital goods in Semi Knocked Down (SKD) / Completely Knocked Down (CKD) conditions to be assembled into capital goods by the importer. 3. Spare parts of CIF value upto 10% of the CIF value of goods specified at Serial Nos.1 and 2 as actually imported and required for maintenance of capital goods so imported, assembled, or manufactured. 4. Spare parts of CIF value upto 10% of the book value of the existing plant and machinery of the authorization holder. F. No.605/58/2009-DBK Rajesh Kumar Agarwal Under Secretary to the Government of India. ------------------------------------------ Notes:- 1. Sustitute....
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.... Re-numbered by Notification No. 92/2010-Cus, dated 10-9-2010. in the Explanation, clause 1 shall be renumbered as clause 1A and before clause 1A as so renumbered, the following clause shall be inserted, namely: - "1. "Authorization" includes "Authorization for Annual Requirement";". 10. Substituted vide Notification No. 40 /2011 - Customs, Dated 19/05/2011, before it was read as:- "and Veerapandi (Tamil Nadu)," 11. Substituted vide Notification No. 37/2012-CUSTOMS, Dated 24/05/2012, before it was read as:- "and Ennore (Tamil Nadu)" 12. Substituted vide Notification No. 40/2012-CUSTOMS, Dated 14/06/2012, before it was read as:-"and Marripalem Village in Taluk of Edlapadu, District Guntur" 13. Inserted vide Notification No. 42/2012-Customs, Dated 22/06/2012 14. Substituted vide Notification No. 42/2012-Customs, Dated 22/06/2012 before it was read as:- "SHIS scrips which are not issued" 15. Substituted vide Notification No. 42/2012-Customs, Dated 22/06/2012 before it was read as:- "Provided further" 16. Substituted vide Notification No. 42/2012-Customs, Dated 22/06/2012 before it was read as....