Lok Sabha Question No. 1869 (UNSTARRED), answered on 2016-11-28
Subject: Export Oriented Units
Ministry: COMMERCE AND INDUSTRY
Asked by: R. GOPALAKRISHNAN, GOPAL CHINAYYA SHETTY

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 1869 TO BE ANSWERED ON 28 th  NOVEMBER, 2016

## EXPORT ORIENTED UNITS

## 1869.   SHRI R. GOPALAKRISHNAN: SHRI GOPAL SHETTY:

Will the Minister of COMMERCE & INDUSTRY ( वाͨणÏय एवं उɮयोग मंğी ) be pleased to state:

- (a) the  total  number  of  Export  Oriented  Units  (EOUs)  set  up  in  the  country  during  the  last three years and the current year including those which are functional and non-functional, State/UT-wise;
- (b) whether there has been a gradual decline in the number of EOUs in the country and if so, the details  thereof and  the  reasons  therefor  along  with the steps  taken  by  the Government for revival of non-functional EOUs;
- (c) the percentage of business done by the EOUs in total import-export trade of the country during the last three years along with the amount of foreign currency earned therefrom during the said period; and
- (d) whether  these  EOUs  are  getting  several  economic  concessions  and  if  so,  the  details thereof?

## ANSWER

okf.kT; ,oa m|ksx jkT; ea=h ¼Jherh fueZyk lhrkje.k½ ¼Lora= izHkkj½

## THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (INDEPENDENT CHARGE) (SMT. NIRMALA SITHARAMAN)

(a): The total number of Export Oriented Units (EOUs) set up in the country during the last three years and the current year including those which are functional and non-functional, State/UTwise are at Annex-I.

(b):  Yes  Madam,  there  is  decline  in  number  of  EOUs  from  1993  functional  units  in  the  year 2013-14 to 1886 functional units in the current year. Primarily, EOUs are getting debonded and less  number of new EOUs are coming because of discontinuance of Income Tax Exemption under Section 10B of Income Tax Act.

There is no provision for revival of non-functional EOUs as EOUs are private enterprises and operate on market forces.

(c): The percentage of business done by the EOUs in total import-export trade of the country during the last three years along with the amount of foreign currency earned therefrom during the said period is as below:

|   Year | Import (% of total India's Import)   | Export (% of total India's Import)   | Foreign Currency Earned (Rs. in crores)   |
|--------|--------------------------------------|--------------------------------------|-------------------------------------------|
|   1.33 | 5.48                                 | 73817.60                             | 2013-14                                   |
|   1.44 | 5.56                                 | 75022.10                             | 2014-15                                   |
|   1.5  |                                      | 5.68 64536.96                        | 2015-16                                   |

(d): Yes, the incentives/concessions provided by Government to EOUs are as follows:

- i. Exemption  from  payment  of  Customs  Duty  and  Central  Excise  Duties  on  goods imported or procured from domestic market.
- ii. Reimbursement  of  Central  Sales  Tax  (CST)  on  inputs  used  which  have  been manufactured in India.
- iii. Reimbursement of duty paid on fuel procured from Domestic Oil Companies.
- iv. Reimbursement of additional duty of excise levied on fuel.

## Annex-I

| Zone   | State/ UT          | 2013-2014          | 2013-2014        | 2013-2014             | 2014-2015          | 2014-2015        | 2014-2015             | 2015-2016          | 2015-2016        | 2015-2016             | 2016-2017          | 2016-2017        | 2016-2017             |
|--------|--------------------|--------------------|------------------|-----------------------|--------------------|------------------|-----------------------|--------------------|------------------|-----------------------|--------------------|------------------|-----------------------|
|        |                    | No. of EOUs set up | Functi onal EOUs | Non- functio nal EOUs | No. of EOUs set up | Functi onal EOUs | Non- functio nal EOUs | No. of EOUs set up | Functi onal EOUs | Non- functio nal EOUs | No. of EOUs set up | Functi onal EOUs | Non- functio nal EOUs |
| NSEZ   | Chan digarh        | 0                  | 3                | 1                     | 0                  | 3                | 0                     | 0                  | 2                | 0                     | 0                  | 2                | 0                     |
| NSEZ   | Delhi              | 1                  | 25               | 22                    | 0                  | 19               | 19                    | 1                  | 16               | 14                    | 0                  | 12               | 15                    |
| NSEZ   | Harya na           | 2                  | 78               | 12                    | 1                  | 71               | 10                    | 2                  | 63               | 10                    | 0                  | 57               | 9                     |
| NSEZ   | Hima chal Prade sh | 0                  | 6                | 1                     | 0                  | 4                | 1                     | 1                  | 5                | 1                     | 0                  | 5                | 1                     |
| NSEZ   | Jamm u & Kash mir  | 0                  | 3                | 1                     | 0                  | 3                | 1                     | 0                  | 2                | 0                     | 0                  | 2                | 0                     |
| NSEZ   | Punja b            | 0                  | 13               | 10                    | 0                  | 12               | 8                     | 0                  | 10               | 8                     | 0                  | 8                | 8                     |
| NSEZ   | Rajas than         | 0                  | 65               | 13                    | 0                  | 61               | 12                    | 5                  | 54               | 13                    | 1                  | 54               | 7                     |
| NSEZ   | Uttar Prade sh     | 3                  | 81               | 28                    | 2                  | 60               | 26                    | 4                  | 56               | 20                    | 1                  | 56               | 19                    |

|       | Uttrak hand                |   0 |    3 |   2 |   0 |    3 |   2 |   0 |    2 |   2 |   0 |    2 |   3 |
|-------|----------------------------|-----|------|-----|-----|------|-----|-----|------|-----|-----|------|-----|
| KASEZ | Gujara t                   |   3 |  211 |  26 |   5 |  203 |  34 |   9 |  191 |  16 |   3 |  185 |  21 |
| ISEZ  | Madh ya Prade sh           |   0 |    9 |   0 |   1 |   10 |   0 |   0 |    8 |   0 |   0 |    7 |   0 |
| CSEZ  | Kerala                     |   7 |  404 | 145 |   4 |  412 | 148 |   6 |  420 | 149 |   4 |  422 | 149 |
| CSEZ  | Karnat aka                 |  18 |   76 |  25 |  24 |   77 |  18 |  21 |   78 |  17 |  13 |   80 |  16 |
| VSEZ  | Andhr a Prade sh           |   1 |   83 |  39 |   8 |   83 |  39 |   7 |   75 |  42 |   1 |   77 |  40 |
| VSEZ  | Telang ana                 |   6 |  160 |  18 |   9 |  167 |  22 |   7 |  171 |  26 |   2 |  173 |  28 |
| VSEZ  | Chhatt isgarh              |   0 |    0 |   6 |   0 |    0 |   6 |   0 |    0 |   6 |   0 |    0 |   6 |
| VSEZ  | Yana m                     |   0 |    0 |   0 |   0 |    0 |   0 |   0 |    0 |   0 |   0 |    0 |   0 |
| FSEZ  | West Benga                 |   1 |   59 |   0 |   0 |   45 |  12 |   1 |   43 |  12 |   0 |   37 |  12 |
| FSEZ  | l Orissa                   |   0 |   14 |   3 |   0 |    3 |  13 |   0 |    3 |   7 |   1 |    2 |   6 |
| FSEZ  | Jharkh and                 |   0 |    2 |   0 |   0 |    2 |   0 |   0 |    2 |   0 |   0 |    2 |   0 |
| FSEZ  | Megha laya                 |   0 |    1 |   0 |   0 |    1 |   0 |   0 |    1 |   0 |   0 |    1 |   0 |
| FSEZ  | Mizora m                   |   0 |    1 |   0 |   0 |    0 |   1 |   0 |    0 |   1 |   0 |    0 |   1 |
| FSEZ  | Bihar                      |   0 |    1 |   0 |   0 |    1 |   0 |   0 |    1 |   0 |   0 |    1 |   0 |
| MEPZ  | Tamil Nadu                 |  22 |  409 |   3 |  20 |  408 |   1 |  15 |  410 |   3 |  10 |  403 |   3 |
| MEPZ  | Pondic herry               |   0 |   12 |   1 |   0 |   13 |   1 |   2 |   13 |   1 |   0 |   13 |   1 |
| MEPZ  | Anda man & Nicob ar Island |   0 |    3 |   2 |   0 |    3 |   3 |   0 |    3 |   3 |   0 |    3 |   3 |
| SEEPZ | Mahar ashtra               |   5 |  216 |   2 |  12 |  219 |   4 |   8 |  224 |   0 |   7 |  224 |   0 |
| SEEPZ | Goa, Dama n & Diu          |   2 |   36 |   0 |   2 |   37 |   1 |   3 |   37 |   0 |   0 |   38 |   0 |
| SEEPZ | Dadra & Nagar Haveli       |   0 |   19 |   1 |   0 |   20 |   1 |   0 |   20 |   0 |   1 |   20 |   0 |
| Total |                            |  71 | 1993 | 361 |  88 | 1940 | 383 |  92 | 1910 | 351 |  44 | 1886 | 348 |