Circular No.ES/59/2018-19 May 24, 2018
To: Members of the Council
Sub: Maintenance of Annual Average Export Obligation
DGFT has issued Public Notice No. 10/2015-2020 dated 22nd May, 2018 by clarifying that condonation from non-maintenance of Annual Average in some year (s) offset by excess exports in other year(s) in respect of Export Promotion Capital Goods (EPCG) authorisations has been granted.
After paragraph 5.19 of HBP 2015- 2020 relating to Relief in Average Export Obligation, a new paragraph 5.19 relating to Maintenance of Annual Average Export Obligation is inserted as under:-
5.19A: Maintenance of Annual Average Export Obligation
The excess exports done towards the average export obligation fulfilment of an EPCG authorization during a year can be used to offset any shortfall in the Average EO done in other year(s) of the EO period or the block period as the case may be provided Average EO imposed is maintained on an overall basis, within the block period or the EO period as applicable.
Members may kindly make a note of the above.