Terms and conditions to govern EPCG Authorizations issued to DTA unit after conversion from EOU unit. - DGFT - 79(RE:2008)/2004-09

Terms and conditions to govern EPCG Authorizations issued to DTA unit after conversion from EOU unit. F. No. 01/36/218/88/AM09/EPCG-I Government of India Ministry of Commerce Industry Department of Commerce Directorate General of Foreign Trade Udyog Bhawan, New Delhi CIRCULAR No. 79(RE:2008)/2004-09 Dated the1st April, 2009 To All RAs, Subject: Terms and conditions to govern EPCG Authorizations issued to DTA unit after conversion from EOU unit. In view of various representations received from different Regional Authorities and individual firms, the issue regarding exit from EOU Scheme and transition to EPCG Scheme has been examined and Para 5.4 of Handbook of Procedures Vol. I (RE:2008)/2004-2009 has been amended vide Public Notice No.164 dated 25.03.2009. 2. It has further been decided to clarify with regard to export obligation period and fulfillment of export obligation: (a) The export obligation period for a unit which converts from EOU/SEZ Scheme to EPCG Scheme would be the same as is available to a direct EPCG Authorization Holder i.e. 8/12 years from issue date of EPCG authorization as per Para 5.1 of Foreign Trade Policy (FTP). (b) The unit upon conversion from EOU shall be required to maintain the Annual Average Export Obligation in terms of Para 5.4(i) of FTP. This issues with the approval of DGFT. Sd/- (Akash Taneja) Joint Director General of Foreign Trade