Automatic Extension of Export Obligation Period

DGCF Alert: Automatic Extension of Export Obligation Period

Date: March 10, 2026

Source: Public Notice No. 51/2025-26 dated 06.03.2026  

In light of current geopolitical developments impacting global trade and shipping routes, the Directorate General of Foreign Trade (DGFT) has provided significant relief to exporters by amending the Handbook of Procedures, 2023.  

Key Highlights of the Extension

• Eligibility: The extension applies to all Advance Authorisations (including Annual and Special categories) and EPCG Authorisations.  

• Qualifying Period: Authorisations where the Export Obligation (EO) period or Block-wise EO period is expiring between 01.03.2026 and 31.05.2026.  

• New Deadline: The EO period for eligible licenses is now automatically extended up to 31.08.2026.  

• No Costs/Formalities: This extension is automatic. There is no requirement for a separate application, payment of composition fees, or physical endorsement from Regional Authorities.  

Important Notes for Compliance

• Additional Benefit: This relaxation is in addition to any extensions already permissible under the Handbook of Procedures (HBP) upon payment of fees.  

• No Refunds: If a holder has already paid a composition fee to obtain an extension for this period, no refund of that fee will be permitted.  

• Customs & Monitoring: Customs authorities will allow exports based on this notice. Compliance will be verified by the Regional Authority at the time of issuing the Export Obligation Discharge Certificate (EODC) or during the closure/regularisation of the authorisation.