Amendment in FTP – Extension of EO Period for QCO Products under AA

Notification No./Circular No. – 28/2025-26 dated August 28, 2025         

Applicable Act/Rule – Foreign Trade (Development & Regulation) Act, 1992

Para 2.03(A)(i)(g) of FTP 2023 earlier limited the Export Obligation (EO) period for chemical products covered under mandatory Quality Control Orders (QCOs) to 180 days, while other products followed the general timelines under Para 4.40 of the Handbook of Procedures. This created operational challenges for Advance Authorisation holders, EOUs, and SEZs, who required longer timelines to meet obligations.

The Central Government has amended Para 2.03(A)(i)(g) of FTP 2023. The EO period for Advance Authorisation holders importing products under mandatory QCOs issued by the Department of Chemicals & Petrochemicals (DCPC) has been extended from 6 months to 18 months. Now, all EO periods will be governed by Para 4.40 of the Handbook of Procedures.

 The amendment can be summarised as follows:

Provision

Earlier Position

Revised Position

EO Period for QCO Products (under AA)

180 days (6 months) from the date of clearance of import consignments

18 months from the date of clearance of import consignments

General EO Period for other imports under AA

As per Para 4.40 of Handbook of Procedures

As per Para 4.40 of Handbook of Procedures (unchanged)

Disclaimer: The information contained in this Article is intended solely for personal non-commercial use of the user who accepts full responsibility of its use. The information in the article is general in nature and should not be considered to be legal, tax, accounting, consulting or any other professional advice. We make no representation or warranty of any kind, express or implied regarding the accuracy, adequacy, reliability or completeness of any information on our page/article. 

To stay updated Subscribe to our newsletter today

Explore other Legal updates on the 1-Comply and follow us on LinkedIn to stay updated 

Post Views: 121

Schedule A Demo