EOUs - Out of Bond-age
CHAPTER 6 of the Foreign Trade Policy (FTP) provides for manufacture of goods and supply of services, including repair, re-making, reconditioning, re-engineering by
1. Export Oriented Units (EOUs),
2. Electronics Hardware Technology Park Units (EHTPs),
3. Software Technology Park Units (STPIs) and
4. Bio-Technology Park Units
and undertaking to export their entire production of goods and services, except permissible sales in DTA.
Notification No. 52/2003-Customs dated 31.03.2003, exempts specified goods when imported for use in these units, from payment of Customs duties, subject to various conditions. The notification provides for warehousing of imported goods, to be used for manufacture of goods or other operations as well as their ex-bonding under certain circumstances. The Units, obtain a license as a warehouse under Section 58 of the Customs Act and permission under Section 65 of the Act, as a manufacture-in-bond facility.
Now the Government has decided to to do away with the need to comply with warehousing provisions by these units. Notification No. 52/2003-Customs dated 31.03.2003, is amended.
Consequently;
1. The warehoused goods register (warehousing bond register) shall not be required to be maintained.
2. However, in order to maintain records of receipts, storage, processing and removal of goods, imported by the units, as required under notification 52/2003-Cus dated 31.3.2003, the Board has prescribed that the units shall maintain records of imported goods, in digital form.
3. The software for maintenance of digital records must incorporate the feature of audit trail which means a secure, computer generated, time-stamped electronic record that allows for reconstruction of the course of events relating to the creation, modification, or deletion of an electronic record and includes actions at the record or system level, such as, attempts to access the system or delete or modify a record.
4. All units are required to enter data accurately and immediately upon the goods being received in or removed from the unit.
5. The digital records should be kept updated, accurate, complete and available at the unit at all times for verification by the proper officer, whenever required.
6. A digital copy of the Form containing transactions for the month, shall be provided to the proper officer, each month (by the 10th of month) in a CD or Pen drive, as convenient to the unit.
7 In view of the warehousing procedures having been dispensed with for these units, the system of sending re-warehousing certificates to the customs station of import shall also stand dispensed
Notification No. , Dated: July 29 2016
CBEC Circular No. 36/2016-Customs., Dated: July 29 2016