In sync with Prime Minister Narendra Modi’s ambitious plans to giving boost to the power sector, the ASSOCHAM has approached the Commerce Ministry, seeking extension of the EPCG scheme to the power plant equipment used in the manufacture of export goods as the Export Promotion Capital Goods (EPCG) allows import of capital goods meant for manufacturing facility of exports at zero duty.
“Electrical energy forms a significant part of the cost of production of most of the export goods. For instance, about 35-45% of the cost of production of cement is due to electrical energy. Like any other component, electrical energy is consumed in the manufacture of export goods and gets embedded in its value. Therefore,SThe Chamber spokesman said, “The Prime Minister has been quite pro-active in giving a boost to the power sector. Energising exports is equally important as the domestic production; thus the power units generating energy for exporters should be given an encouragement”.