The EPCG Scheme is a premier initiative under India’s Foreign Trade Policy that allows exporters to import capital goods for pre-production, production, and post-production at 0% Customs Duty. In exchange, the importer commits to a Specific Export Obligation, exporting goods worth six times the duty saved within 6 years duration.
Key Benefits of the EPCG Scheme
- Zero Initial Capital Outlay: Eliminate customs duty on capital goods to significantly reduce your upfront technology and machinery acquisition costs.
- Enhanced Competitiveness: Lower production costs enable you to price products more aggressively and effectively in competitive international markets.
- Technological Upgradation: Access the world’s finest machinery and tools to improve your overall product quality and manufacturing efficiency.
- Wide Coverage: Comprehensive benefits available for manufacturer exporters, merchant exporters, and service providers across various industrial sectors.
- IGST & Compensation Cess Exemption: Boost your business liquidity by exempting integrated taxes and compensation cess on all eligible imports.