In this article an attempt is made to understand one of the most popular scheme – Export Promotion Capital Goods Scheme and its evolution in India despite the opposition by some of the WTO members. Though the scheme has been misused many a times by the license holders but due to its immense importance to the growth of India’s exports it has been carried on for importing at reduced custom duties . It is interesting to see how it survives

at a time when the import tariffs are also reducing. Will the scheme survive over the period or meet a gradual death is something to wait and watch for?

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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