Export oriented units are units undertaking to export their entire production of goods. EOUs can be engaged in manufacturing, services, development of software, repair, remaking, reconditioning, re-engineering including making of gold / silver / platinum jewellery and articles. Further, units involved in agriculture, agro-processing, aquaculture, animal husbandry, bio-technology, floriculture, horticulture, pisciculture, viticulture, poultry, sericulture and granites can also obtain the status of EOU. Export Oriented Units (EOUs) now constitute a very important sector in the country’s Export Production scenario.
Benefits of Export Oriented Units
The following are the benefits enjoyed by Export Oriented Units:
•EOUs are allowed to procure raw material or capital good duty free, either through import or through domestic sources;
•EOUs are eligible for reimbursement of Central Sales Tax (CST);
•EOUs are eligible for reimbursement of duty paid on fuels procured from domestic oil companies;
•EOUs are eligible for CENVAT credit on the goods and services and refund thereof;
•Fast track clearance facilities;
•Exemption from industrial licensing for manufacture of items reserved for SSI sector.
Major Sectors in EOU:
•Granite
•Textiles / Garments
•Food Processing
•Chemicals
•Computer Software
•Coffee
•Pharmaceuticals
•Gem & Jewellery
•Engineering Goods
•Electrical & Electronics
•Aqua & Pearl Culture
For more details download PDF file.
