5.10 — Conditions for fulfillment of Export Obligation

In addition to conditions in paragraph 5.04 of FTP, the following conditions shall also be applicable for fulfillment of export obligation:

• (a) Name of the supporting manufacturer as well as the exporter shall be indicated on export documents.

• (b) In case the Authorisation holder wants to export through a third party, export documents viz., shipping bills/Bill of exports etc. shall indicate name of both authorisation holder and supporting manufacturer, if any, along with EPCG authorisation number. Shipping bill/Bill of Export, GST invoice and e-BRC/ export realisation from RBI’s EDPMS should be in the name of third party exporter. The goods exported through third party should be manufactured by the EPCG authorisation holder or the supporting

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manufacturer where the capital goods imported under the authorisation have been installed. The goods manufactured by the authorisation holder shall be exported as it is by the ultimate exporter (third party exporter) without further processing. Proceeds realised through normal banking channel from third party exporter’s account to the authorisation holder’s account on account of such exports shall only be counted towards fulfillment of export obligation.

• (c) Disclaimer certificate from third party that they shall not use such proceeds towards EO fulfillment of any EPCG authorisation (s) obtained by them.

• (d) The EPCG authorisation holder shall submit the following additional documents for discharge of EO through third party exporter(s):

ulfillment of any EPCG authorisation (s) obtained by them.

• (d) The EPCG authorisation holder shall submit the following additional documents for discharge of EO through third party exporter(s):

  • (i) Proof of having dispatched the goods from authorisation holder’s factory premises to the ultimate exporter/port of export viz.

    • (a) ARE 1 certificate issued by Central Excise/Tax invoice for export prescribed under the GST rules with due authentication by the Customs verifying the exports along with the shipping bill number, date and EPCG authorisation number, or

  • (b) Invoice duly incorporating the relevant EPCG authorisation number & date at the time of dispatch in case the unit is not registered with Central Excise/GST.

  • (ii) Lorry Receipt (LR) /Logistical evidence for transportation of goods from the premises of the authorisation holder to the third party exporter/Port of export.

  • (iii) An undertaking from the third party exporter on a stamp paper, declaring that the products exported for fulfillment of EO by them on behalf of the license holder as per details given in the statement of exports, were manufactured by the license holder.

  • (iv) Financial evidence for having received proceeds through normal banking channel from third party exporter’s account to the authorisation holder’s account on account of such exports towards such third party supplies.

  • (v) Disclaimer certificate from third party exporter that they shall not use such proceeds towards EO fulfillment of any EPCG authorisation(s) obtained by them.

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