Under the EPCG scheme, spares (including reconditioned and refurbished ones), tools, jigs, dies, moulds, fixtures and other capital goods for production, preproduction or post production can be imported at 3 Customs duty subject to an export obligation of 8 times the duty that was saved due to import. This condition should be fulfilled over a period of 8 years from the date of issuance of the authorization. Payment of DEPB or other duty credit scrips would be allowed with effect from 10-1-2009. EPCG authorization can also be issued for two more reasons - one, for import of capital goods for certain projects as notified by Central Board of Excise and Customs under which the customs duty on imports is 10% with a CVD of 14%. The second reason is for import of components of capital goods which are required for the assembly or manufacture of the above mentioned capital goods by the holder of the authorization.
Buy export promotion of capital goods (epcg-scheme)
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