In addition, india allows an individual firm to be designated an export oriented unit eou. Indian customs manual, export oriented unit scheme. The prime importance of export oriented units is duty free movement of goods. Compilation of statistics pertaining to eous with the assistance of special economic zones. If the unit is having outstanding export commitmentunder the advance licensing scheme, it will discharge the same aswell, as per its conditions before conversion into eou scheme. Trading not allowed under exportoriented unit scheme. It is contended that since the 100% export oriented units are not entitled to the benefit under the scheme, therefore, the purchasers from such export oriented. Guidelines for conversion of domestic tariff area dta unit into export oriented unit eouelectronic hardware technology part ehtp software technology park stp bio technology part btp unit. Service export from india scheme seis get 57% rebate. Since 1996 eximguru has been the most authoritative, searchable encyclopedia of india foreign trade rules, regulations and policies. As per the policy, the period of bonding is initially for five years, which is extendable to another five years by the development commissioner. List of products and list of markets eligible under merchandise exports from india scheme meis download.
However, granite quarrying units, agriculture and allied sector units are allowed to supply transfer the capital goods and the inputs in the farmsfields with prior permission of customs. Service export from india scheme seis get 57% rebate on. A committee has recommended a host of tax incentives like exemption from customs duty, central excise and service tax to revamp the 30year old export oriented unit eou scheme. After expiry of tax benefits for the eous, the government in february has set up a committee under the chairmanship of development commissioner, noida sez, to re. Units that are undertaking to export their entire production of goods are allowed to setup as a eou. Wheat is the meaning of export oriented unit answers. Presentation on eou foreign exchange reserves exports. Export oriented unit scheme the eou scheme was introduced in the year 1980 vide ministry of commerce resolution dated 31st december 1980. Aug, 2014 a brief synopsis on export oriented units. It was done to bolster the export of notified services in india. Read more about trading not allowed under exportoriented unit scheme on business standard.
Introduction the purpose of this scheme was basically to boost exports by creating additional production capacity with certain minimum value addition. Concentration of export oriented unites in india is shown in india map. A brief synopsis on export oriented units caclubindia. Recent developments in special economic zone and export oriented unit schemes 3 january 2014 background in order to revive investors interest in export oriented units eous, the government of india had formed a committee to revamp the eou scheme in sync with the changing business environment. Under eou scheme, units registered as a eou are required to export their entire production of goods and services.
Export oriented units eou scheme was introduced to boost exports, increase foreign earnings and created employment in india. Download pdf reader if you do not have adobe reader, download from here. Jun 06, 2017 gst exemption withdrawn for hospital equipment, export oriented units. The purpose of the scheme was basically to boost exports by creating. Comm min notifies exemption from igst, compensation. The gst council, headed by finance minister arun jaitley and comprising state counterparts, extended the exemption available for domestic procurement made under advance authorisation, epcg and export oriented unit schemes by six months till october 1. Job work on behalf of domestic exporters for direct export allowed. Msme can play a big role in making the country take the next big leap in manufacturing. The eou scheme was introduced in the year 1980 vide ministry of commerce resolution dated 31 st december 1980. In this eexercise, attempts have been made to understand the concept of 100% eou scheme in the customs and excise department. Appendices 20152020 directorate general of foreign trade. The export oriented unit scheme eou was launched in december 1980, eighteen years after the first export processing zone epz was formed in kandla and twenty years before sezs came into being. What procedure will be followed by eou to import g oods without payment of. Makarand lele vikas agarwal partner team leader mrm.
However, duties of customs and central excise already suffered shallnot be refunded on. It is contended that since the 100% export oriented units are not entitled to the benefit under the scheme, therefore, the purchasers from such export oriented units will also. Of ftp 20152020 1 april, 2015 31st march, 2020 ibef. To make the country a manufacturing hub the unfavorable factors must be removed. Conversion of existing dta unit into an eou permitted. The schemes for export oriented unit eou are formulated by ministry of commerce and industry. Export oriented unit scheme the purpose of the scheme was basically to boost exports by creating additional production capacity. The seis or the service export from india scheme, under the foreign trade policy of india, was launched with the primary aim to issue various rewards to the exporters to neutralize the infrastructural inefficiencies and other related costs.
Export oriented industrialization eoi sometimes called export substitution industrialization esi, export led industrialization eli or export led growth is a trade and economic policy aiming to speed up the industrialization process of a country by exporting goods for which the nation has a comparative advantage. The eou scheme is complementary to the scheme for free trade zone, export processing zone. An eou can be set for manufacturing, rendering service, repairing, reconditioning, remaking or reengineering but trading activity is not allowed. Download pdf reader if you do not have adobe reader. Proposals for setting up units under eou scheme under automatic route shall be considered by the unit approval. Foreign trade policy 201520 and other schemes provide promotional measures to boost indias exports with the objective to offset infrastructural inefficiencies and associated costs involved to provide exporters a level playing field. The facility for trading units under the eou scheme was withdrawn in 2002 by continuing to use this site you consent to the use of cookies on your device as described in our cookie policy unless you have disabled them. Export oriented units blogs, comments and archive news on. On the other hand, advance authorisation is issued to allow duty free import of input, which is physically incorporated in export product.
Export oriented units eous, electronics hardware technology parks ehtps, software technology parks. Jun 18, 2016 the exportoriented unit eou scheme was launched in india in 1980 to boost exports and increase production. All about 100 % export oriented units eou scheme setting. Raakesh saraff, has been hosting this content mostly free for the benefit of export import community. Government devise a series of export promotional schemes. Existing dta units or epcg units are permitted for conversion intoeou scheme. The goods are required to be imported into the eou premises directly.
Download as pptx, pdf, txt or read online from scribd. Eou registration the export oriented units eous are immensely renowned for increasing exports from the concerned country, earning huge foreign money every year, transfer the latest technologies, entice foreign direct investment in the given country, and offer massive employment to native people. Performance audit on export oriented unit scheme union. May 22, 2019 the seis or the service export from india scheme, under the foreign trade policy of india, was launched with the primary aim to issue various rewards to the exporters to neutralize the infrastructural inefficiencies and other related costs. Chapter 2 performance of eous and system issues pdf file. Units undertaking to export their entire production of goods and services except permissible sales in dta, may be set up under the export oriented unit eou scheme, electronics hardware technology park ehtp scheme, software technology park stp scheme or biotechnology park btp scheme for manufacture of goods, including repair, re. Export oriented unit means an export oriented unit or electronic hardware technology park unit or software technology park unit or biotechnology park unit approved in accordance with the provisions of chapter 6 of the foreign trade policy 201520. In doing so, these producers become exempt from duty payments on a range of resources used in production. Under the scheme, indian companies that produce goods solely for export can register as exportoriented units. Whether the eou scheme will continue to be in operation in the gst regim e. All of these schemes are governed by separate rules and granted different benefits. Under this scheme, the units are eligible to procure the machinery, raw materials, components, consumables, etc. Gst exemption withdrawn for hospital equipment, export. Procedure for re export of capital goods stp units are allowed to re export the capital goods which are imported, as per clause 6.
Paperless customs electronic communication of pdf based gatepass and. To service board of approval boa for proposals relating to eous. Units undertaking to export their entire production of goods and services, except permissible sales in the dta, as per this policy, may be set up under the export oriented unit eou scheme, electronic hardware technology park ehtp scheme or software technology park stp scheme for manufacture of goods, including repair, remaking. Export oriented units services, export consultants r and. Aug 07, 2012 existing dta units or epcg units are permitted for conversion intoeou scheme. India should also be ready to give tax concessions to companies who come and set up unit in the country. Epces asks government to further extend eou scheme industry body epces today asked the government to extend the tax benefits offered under the export oriented unit eou scheme for another five years in the forthcoming budget. Objectives of the eou scheme transfer of latest technologies. Export oriented unit scheme was introduced by government to increase exports, to increase foreign exchange earnings in the country and generate additional employment. Over the years the scheme has undergone various changes and its scope also expanded. The scheme for 100 % export oriented units eous was introduced in 1980 for generating production capacity for exports.
The units are required to export their entire product and. Appendices 20152020 directorate general of foreign. It was introduced as a complementary scheme to the free trade zones export. Organisation and methodsinternal work study unit career management and training. As part of the scheme,the exporters set up units with long term commitment to exports under customs bond. It was introduced as a complementary scheme to the free trade zones export processing zone epz. Under the eou scheme, the units are allowed to import or procure locally without payment of duty all types of goods including capital goods, raw materials.
Export oriented units free download as powerpoint presentation. The facility for trading units under the eou scheme was withdrawn in 2002 by continuing to use this site you consent to the use of cookies on your device as described. The appellant is purchaser from the said 100% export oriented unit and claiming benefit of the scheme in respect of exports made by it. States with highest concentration of export orinented units are located here. Formulation of policy for export oriented units eous. Biotechnology park btp scheme for export of bio technology products. Institutional infrastructure for export promotion free download as powerpoint presentation.
Export oriented units eous introduction and objectives major export sectors in eous activities need for special license and choosing the location for eou unit with obligations and bonding period of eou defined in exim policy. Under this scheme, the units undertaking to export. The scheme of export oriented undertaking eou has been one of our governments efforts on export front. Salient features contd2 access to domestic market upto 50% fob value of export on payment of concessional rate of duty.
Gst exemption withdrawn for hospital equipment, export oriented units. Export oriented unit scheme the export oriented unit eou scheme was introduced in the year 1980 vide ministry of commerce resolution dated 31st december 1980. Concept of 100% eou scheme prepared by nacen, rti, kanpur page 1 foreword the elearning book on 100% export oriented unit scheme is a step towards making available learning material to all the departmental officers. Export oriented units eous, special economic zones sezs, software technology parks stp, ehtp, etc.
For the businesses who wish to set up or are running under the above mentioned schemes, we provide the following services. It adopts the same production regime but offers a wide option in locations with reference to factors like sources of raw material, ports of export, hinterland facilities, availability of technological skills, existence of an. Export oriented units latest breaking news, pictures, videos, and special reports from the economic times. On completion of the bonding period, it is for the unit to decide whether to continue under, or to opt out, of the scheme. The purpose of the scheme was basically to boost exports by creating additional production capacity. Government of pakistan revenue division federal board of revenue islamabad, the 29th march, 2008. Mar 22, 2018 export promotion capital goods epcg is an export promotion scheme under which an exporter can import certain amount of capital goods at zero duty for upgrading technology related with exports. Export oriented units the export oriented units eou scheme, introduced in early 1981, is complementary to sez scheme. Objectives of these schemes are to promote exports, enhance foreign. The main objectives of the eou scheme is to increase exports, earn foreign exchange to the country, transfer of latest. Export oriented units eous introduction and objectives. Read more about trading not allowed under export oriented unit scheme on business standard.