Conversion of MOOWR Unit to EOU Unit

[CHICKMAGALUR SRIKANTHA]

An existing company operating under MOOWR scheme wish to switch over to EOU scheme. Whether the said company apply for an EOU license / permission to Development Commissioner, without canceling the MOOWR license. On receipt of the license /eou approval from DC, then the company wish to transfer the capital goods and materials imported under MOOWR to EOU unit under bond to bond transfer without payment of duty and without physical movement of the goods. Then MOOWR unit will surrender the license. 

In the said scenario, is it possible to apply for Eou status license while operating under moowr scheme till the eou license is obtained. the moowr unit and eou unit location is one and the same. 

AI Summary

Conversion from MOOWR to EOU requires EOU approval, customs reconciliation, and possible duty treatment on transfers.
Apply for EOU approval while retaining the MOOWR licence, transfer capital goods and materials via bond-to-bond transfer without physical movement, complete Customs reconciliation, and then surrender the MOOWR licence. Note practical constraint that retaining MOOWR in the same premises while taking EOU is generally not permitted, and that Customs may require a Bill of Entry for home consumption with payment of deferred duty unless a government representation secures a different treatment.