Eximkey - India Export Import Policy 2004 2013 Exim Policy
6.15

    (a) EOU/EHTP/STP unit, including gem and jewellery units, may on the basis of annual permission from the Custom authorities, subcontract production process in DTA, which may also involve change of form or nature of goods, through job work by units in the DTA. These units may also subcontract upto 50% of the overall production of previous year in value terms for job work in DTA with the permission of the Customs authorities.

    Subcontracting of both production and production process may also be undertaken without any limit through other EOU/EHTP/ STP/SEZ units on the basis of records maintained in the unit.

    Subcontracting of part of production process may also be permitted abroad with the approval of the Development Commissioner.

    (b) EOU may, on the basis of annual permission from the Customs authorities, undertake job work for export, on behalf of DTA exporter, provided the goods are exported directly from EOU and export document shall jointly in the name of DTA/EOU. For such exports, the DTA units will be entitled for refund of duty paid on the inputs by way of Brand Rate of duty drawback.

    (c) Scrap/waste/remnants generated through job work may either be cleared from the job worker’s premises on payment of applicable duty or destroyed in the presence of Customs/ Excise authorities or returned to the unit. Destruction shall not apply to gold, silver, platinum, diamond, precious and semi precious stones.

    (d) Sub-contracting/exchange by gems and jewellery EOUs through other EOUs or SEZ units or units in DTA shall be as per procedure indicated in Appendix 14-I of Handbook (Vol-I).

(Please refer CUS CIR NO.29/2003 DATE 03/04/2003)

(Please refer CUS CIR NO.26/2003 DATE 01/04/2003)

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