NTF. NO. 31/1997, DT. 26/12/1997
EOUs/EPZ/EHTP/STP Units allowed to sub- contract for job work and import for repair/reconditioning
In exercise of power conferred by section 5 of the Foreign Trade (Development and Regulation Act 1992 (No 22 of 1992) read with paragraph 13 of the Export and Import Policy 1997-2002 published in the Gazette of India, extraordinary, Part Section 3-sub-section (ii) vide S.O. No. 263 (E) dated 31.3.97 the Central Government hereby make the following amendments in the Export and Import Policy 1997-2002:
1. Paragraph 9.17 shall be amended to read as follows:
‘The EOU/EPZ/EHTP/STP units may be permitted to sub-contract a part of their production process through job work by units in the DTA or other EOU/EPZ/EHTP/STP units. Request in this regard will be permitted by the Customs Authorities on the basis of factors such as fixation of input and output norms, and on furnishing of undertaking by the concerned units. EOU/EPZ/EHTP/STP units using predominantly indigenous raw materials (i.e. 90% or more) may be permitted to sub-contract part of their, production for jobwork in DTA or to other EOU/EPZ/EHTP/STP units.’
2. Paragraph 9.22 shall be amended to read as follows:
EOU/IEPZ/EHTP/STP units, maybe permitted to import goods of any origin to carry out reconditioning, repair and re-engineering activities for export in freely convertible currency. The provisions of paragraphs 9.5, 9.9, 9.10, 9.11, 9.12, 9.13, 9.16 and 9.17 of this Chapter shall not, however, apply to such activities.
2. This issues in public interest.
Sd/-
(N.L. Lakhanpal)
Director General of Foreign Trade & Ex-Officio
Additional Secretary to the Government of India
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