Raw Material More Than 3 Years

[Amit Apshankar]

If Eou cant utalize duty free raw materail within period of three year, than custom impose any penlty /interest on the same  

AI Summary

Penalties for EOUs on Unused Duty-Free Materials: Options Under Paragraph 6.15 of Foreign Trade Policy Explained A discussion on the forum addressed the issue of penalties or interest imposed by customs if an Export Oriented Unit (EOU) cannot utilize duty-free raw materials within three years. Two responses referenced paragraph 6.15 of the Foreign Trade Policy (FTP), which outlines options for EOUs, such as transferring materials to another unit, disposing of them in the Domestic Tariff Area (DTA) with customs approval, or exporting them. It also details procedures for handling obsolete capital goods and spares, and conditions for the destruction of materials and disposal of used packing materials.