DGFT Extends Export Obligation Deadline for Key Schemes Amid Global Disruption
Officials clarified that the new extension will operate in addition to existing provisions under the Foreign Trade Policy (FTP) and Handbook of Procedures (HBP).
- Country:
- India
In response to ongoing geopolitical tensions affecting global shipping routes, logistics corridors and international supply chains, the Directorate General of Foreign Trade (DGFT) has announced a relief measure for exporters by extending the Export Obligation (EO) period under key export promotion schemes.
The move, announced through Public Notice No. 51/2025–26 issued on March 6, 2026, aims to provide operational flexibility to exporters facing delays due to disruptions in global trade and transportation networks.
Automatic Extension Until August 31, 2026
Under the notification, the EO period or block-wise EO fulfilment period for specified Advance Authorisations and Export Promotion Capital Goods (EPCG) Authorisations has been automatically extended up to August 31, 2026.
The relaxation applies to authorisations where the EO period is scheduled to expire between March 1, 2026 and May 31, 2026.
Notably, exporters will not be required to submit any separate application or pay a composition fee to avail themselves of the extension.
Schemes Covered Under the Relaxation
The facilitation measure applies to several export promotion schemes, including:
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Advance Authorisation
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Advance Authorisation for Annual Requirement
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Special Advance Authorisation
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Export Promotion Capital Goods (EPCG) Authorisation
These schemes allow exporters to import inputs or capital goods at concessional or zero customs duty, subject to fulfilling export obligations within a specified time period.
Additional Relief Beyond Existing FTP Provisions
Officials clarified that the new extension will operate in addition to existing provisions under the Foreign Trade Policy (FTP) and Handbook of Procedures (HBP).
Under current rules, exporters can request EO extensions by paying a prescribed composition fee. However, the latest relaxation grants an automatic extension without any additional compliance burden, offering immediate relief to exporters impacted by global trade disruptions.
Compliance to Be Verified Later
The Regional Authorities of DGFT will verify whether exporters have fulfilled their export obligations at the time of issuing the Export Obligation Discharge Certificate (EODC) or during the closure or regularisation of the authorisation.
Customs authorities have also been informed of the revised timelines so that export shipments can proceed without procedural hurdles.
Supporting Exporters During Global Trade Challenges
The DGFT said the measure reflects the government's commitment to ensuring that temporary disruptions in international shipping and supply chains do not adversely affect India's exporters.
By providing additional time to meet export obligations, the government aims to safeguard India's export performance while maintaining compliance under export promotion schemes.