Export Incentive is not a right and can be withdrawn anytime

In a recent case, the Supreme Court of India dismissed the appeal filed against the Assistant General of Foreign Trade and pronounced the order that the Director General of Foreign Trade (DGFT) / Union is free to change the EXIM Policy from time to time.  Granting the benefit of an incentive is a policy decision which may be varied and/or even withdrawn, and It is not the principle of promissory estoppel.

While dismissing the appeal, it was also observed by the court that the appellant (Exporter) could not be allowed to get any benefit of additional license on the ground that some others (Exporter) might have been granted such benefits under the scheme. Adding to it, the bench observed that there could not be any harmful discrimination which may perpetuate the illegality. 

To read the complete judgment, click here

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