The Directorate General of Foreign Trade has announced an extension of the export obligation period for exporters operating under the Advance Authorisation and Export Promotion Capital Goods schemes, providing relief to businesses affected by disruptions in global shipping and supply chains.
The facilitation measure, issued through Public Notice No 51 2025 2026 on 6 March 2026, grants an automatic extension of the export obligation period or block wise export obligation fulfilment period until 31 August 2026 for specified authorisations whose deadlines fall between 1 March 2026 and 31 May 2026.
The decision has been taken in view of prevailing geopolitical developments that have disrupted global shipping routes, logistics corridors and international supply chains, affecting the ability of exporters to meet their commitments within the original timelines.
Under the new provision, exporters holding eligible Advance Authorisations or Export Promotion Capital Goods authorisations will receive the extension automatically. They will not be required to submit any separate application or pay composition fees to avail the benefit.
Officials said the measure is designed to provide operational flexibility to exporters who may be facing delays in shipments, procurement or logistics due to international disruptions in trade routes.
The relaxation applies to several categories of Advance Authorisations including Advance Authorisation for Annual Requirement and Special Advance Authorisation. The Export Promotion Capital Goods scheme is also covered under the extended export obligation period.
Both schemes are key export promotion mechanisms under India’s Foreign Trade Policy. The Advance Authorisation scheme allows duty free import of inputs required for the manufacture of export products, subject to the fulfilment of export obligations within a specified time frame. The Export Promotion Capital Goods scheme allows exporters to import capital goods at concessional duty rates in exchange for meeting export commitments.
According to the Directorate General of Foreign Trade, the extension granted through the public notice will operate in addition to the existing provisions under the Foreign Trade Policy and the Handbook of Procedures. These provisions already allow exporters to apply for extension of export obligation timelines by paying prescribed composition fees.
With the automatic extension announced under the latest notice, exporters affected by the current global situation will be able to meet their export obligations without additional financial or procedural burden.
The Regional Authorities of the Directorate General of Foreign Trade will verify compliance with export obligation requirements at the time of issuing the Export Obligation Discharge Certificate. Compliance verification may also take place during closure or regularisation of the authorisation.
Customs authorities have been informed of the revised timelines to ensure that export transactions under the affected authorisations are processed in accordance with the extended export obligation period.
Officials said the measure demonstrates the government’s commitment to supporting exporters and ensuring that temporary global disruptions do not adversely impact India’s export performance.
By providing additional time to fulfil export commitments, the policy aims to help businesses maintain compliance under export promotion schemes while navigating uncertainties in international trade and logistics.
