Clarification on eligibility of Exports made from SEZ/EOU units on behalf of the DTA units, but not through DTA units: DGFT

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The Director General of Foreign Trade (“DGFT”) vide its Policy Circular No. 20/2015-2020 dated February 22, 2019 has issued clarification on eligibility of Exports made from SEZ/EOU units on behalf of the DTA units, under the MEIS, in the context of Para 3.06ineligible categories of MEIS, sub para (v), which states that SEZ/ EOU /EHTP/BTP /FTWZ products exported through DTA units are ineligible for MEIS rewards.

It is clarified that the exports which are made/have been made directly from a EOU/SEZ unit to Foreign consumer in which export documents are prepared and filed at the customs office of concerned SEZ/EOU Unit, mentioning the name of the EOU/SEZ unit along with the name of the DTA unit on whose behalf the exports is made, would be eligible for MEIS benefits subject to condition that only one of the said units i.e. either EOU/SEZ unit or the DTA unit can claim the benefits under MEIS.

It is also clarified that above eligibility is applicable to only those cases where goods are produced by the EOU/SEZ unit and are exported directly to the foreign consumer, with the name of the DTA. Furthermore clarified that the MEIS benefits may be taken by the SEZ/ EOU or DTA and not both, on the basis of disclaimer from the other firm, and subject to fulfilment of each of the criterion as mentioned in policy circular for every shipping bill for which claim is made under MEIS.

Complete Policy Circular can be accessed at: