Re-fixation of Export Obligation for Declining Export Performance
· One Third, that is, 395 out of 1200
Four Digit HS Codes Shows more than 5% Fall in 2016-17 Over Previous Year
[Ref: Policy Circular No. 03/2015-20Dated 21.11.2017]
Subject: Relief in Average Export Obligation in terms of Para 5.19 of Hand Book of Procedures of FTP
2015-20.
Para 5.19 of the Hand Book of Procedures of FTP 2015-20
permits re-fixation of Annual
Average Export Obligation, in case the export in any sector/ product group decline by more than 5%.
This implies that the sector/product group that witnessed such decline in 2016-17 as compared to 2015-16, would be
entitled for such relief.
2. A list of such product groups showing the percentage decline
in exports during
2016-17 as compared to 2015-16 is Annexed.
3. All Regional
Offices are requested
to re-fix the annual average
export obligation for EPCG
Authorizations for the year 2016-17 .accordingly. Reduction, if any, in the
EO should be appropriately endorsed
in the licence file of the office
of RA as also in the Amendment
Sheet to be issued to the EPCG Authorisation holder.
4. Regional Offices,
while considering requests
of discharge of Export Obligation
will ensure that in case of shortfall in Export Obligation fulfilment, Policy Circulars
earlier issued in terms of Para
5.11.2 of HBP 2009-14 and Para 5.19 of Hand Book of Procedure of FTP 2015-20
are also considered before issuance of demand
notice etc. This stipulation should
also form part of Check Sheet for the purpose of EODC.
5. This issues
with the approval
of DGFT.