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of <h1>Finance Ministry Allows 100% EOUs to Subcontract to Domestic Units with Customs and Excise Approval Under Amended Policy.</h1> The circular issued by the Ministry of Finance, Department of Revenue, permits 100% Export Oriented Units (EOUs) to subcontract part of their production for job work to units in the Domestic Tariff Area (DTA). This is allowed on a case-by-case basis following the amendment to the Import and Export Policy, 1985-88. Approval from the Collectors of Customs and Central Excise is required, considering factors like bonding feasibility, goods identification post-job work, input-output norms, and necessary undertakings. Safeguards must be implemented to prevent leakage of non-duty paid materials into the DTA. Requests from 100% EOUs should adhere to these stipulations.
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