Agenda for Approval Committee meeting for Pune-Cluster to be held on 05-Dec.- 2023. — 07-7midc-aurangabad-sez

SEEPZ SPECIAL ECONOMIC ZONE ANDHERI (EAST), MUMBAI.

AGENDA FOR

MEETING OF THE APPROVAL COMMITTEE FOR SECTOR SPECIFIC SPECIAL ECONOMIC ZONE FOR MANUFACTURING MIDC-SHENDRA-SEZ, AURANGABAD.

Via Video Conferencing

DATE : 05.12.2023

TIME : 11:00 A.M.

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MEETING OF THE APPROVAL COMMITTEE FOR SECTOR SPECIFIC SPECIAL ECONOMIC ZONE FOR MANUFACTURING MIDC-SHENDRA-SEZ, AURANGABAD, UNDER THE CHAIRMANSHIP OF DEVELOPMENT COMMISSIONER, SEEPZ- SEZ ON 05.12.2023

INDEX

Agenda Item No.

Subject

Agenda Item No. 01: - Confirmation of the Minutes of the meeting held on 10.08.2023 Agenda Item No. 02: - Monitoring of Performance for M/s. Hindalco-Almex Aerospace Pvt Ltd.

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GOVT. OF INDIA, OFFICE OF THE ZONAL DEVELOPMENT COMMISSIONER, SEEPZ – SEZ (PUNE CLUSTER)

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AGENDA NOTE FOR CONSIDERATION OF THE APPROVAL COMMITTEE ---------------- a) Proposal: Monitoring of the performance of M/s. Hindalco-Almex-Aerospace Ltd., a Manufacturing unit located at Plot No.AL-1, MIDC-Shendra Industrial Area, Aurangabad-431007 Specific Issue on which decision of Approval Committee is required: Monitoring of the performance of the unit for FY 2018-19 to F.Y 22-23 of 3rd block period, in terms of Rule 54 of SEZ Rules, 2006 b) Relevant provisions: - As per Rule 54 of SEZ Rules, 2006 “Performance of the Unit shall be monitored by the Approval Committee as per the guidelines given in Annexure appended to these rules”. The details of the export projections for 5 years of 3rd block period i.e. FY 2018-19 to 2022-23 are as detailed below: (i) Approved Projections (Rs in crores) 2018-19 2019-20 2020-21 2021-22 2022-23 TOTAL FOB Value of Exports 17.25 18.15 18.13 21.04 21.14 95.71 FE Outgo 14.52 15.14 15.26 12.21 11.41 68.54 NFE 2.73 3.01 2.87 8.83 9.73 27.17 (ii) Performance as compared to projections: FY 2018-19 TO FY 2022-23
(Rs. in crores)

Year Export F.E. OUTGO Projected Actual Raw Material (Goods/Services) C.G. import Other outflow Projected Actual Projected Actual Actual 2018-19 17.25 15.37 43.19 1.67 0.00 0.03 0.00 2019-20 18.15 12.74 4.55 0.00 0.00 2020-21 18.13 16.53 5.50 0.01 0.00 2021-22 21.04 11.54 6.08 0.29 0.00 2022-23 21.14 14.76 2.88 0.03 0.00 Total 95.71 70.94 43.19 20.68 0.00 0.36 0.00 File No.S-SEZ-MONT0MIDA/2/2023-JDCP I/3296/2023 7

(II) Cumulative NFE achieved: FY 2018-19 TO FY 2022-23 (Rs. in crores) (III) Employment Achievement (Direct): FY 2022-23 The Unit has achieved employment of 106 employees (Men-61, Women-0, Indirect Employment -45) in 5th year of the 3rd block period. (d) Other Information: LOA No. & Date SEEPZ-SEZ/NEWSEZ/MIDC- SHENDRA/01/ LOA-01/07-08/2198 dt. 05.04.2007 Location of Unit Plot No.AL-1, MIDC-Shendra Industrial Area, Aurangabad-431007 Validity of LOA 25.11.2023 Item(s) of manufacture/ Services Aluminum Alloys (Billets & Rolling Slabs) Date of commencement of production 26.11.2008 Execution of BLUT 31.05.2022 (Total 72 crores.) Outstanding Rent dues NA Labour Dues NA Validity of Lease Agreement 95 years Pending CRA Objection, if any NA Pending Show Cause Notice/ Eviction Order/Recovery Notice/ Recovery Order issued, if any NA No. of employees as on 31.03.2023 Men :61 Women: 0 Indirect Employment: 45
Total: 106 Area allotted (in sq. ft.) 861,120 Sq. ft Area available for each employee per sq. ft. basis (area / no. of employees) 8123.77 Sq. ft Year Cumulative NFE Achieved Cumulative % NFE Achieved 2018-19 12.39 80.59% 2019-20 20.78 73.90% 2020-21 34.24 76.70% 2021-22 40.48 72.04% 2022-23 52.92 74.60% I/3296/2023 8

Investment till date Building 18 Crores Plant & Machiner y 76.11Crores Quantity and value of goods exported under Rule 34 NA (unutilized goods) Value Addition during the monitoring period NA Whether all the APRs being considered now has been filed well within the time limit, or otherwise. Yes

If no, details of the Year along with no of days delayed to be given.

Vide PUC, the Specified Officer has submitted a report vide letter dated 22.11.2023, in the prescribed format along with point-wise reply to the discrepancies as follows: - A) Details of year wise export as per the prescribed format:  Export:

(Figures in Crores) Year/ Period (1) Figures as per APR (FOB Value) (2) Figures as per NSDL Customs Records (FOB Value) (3) Difference (If any) 1(2)-(3)] (4) Reason for Difference/Remarks (5) 2018-19 15.3738 0.6648 14.7090 Deemed Export 14.5404 Cr. +Zone to Zone transfer Rs. 0.1686 Cr. is not reflected on NSDL But considered in APR for NFE I/3296/2023 9

calculation 2019-20 12.7422 0.2977 12.4445 Deemed Export Rs. 12.35 Cr. + Zone to Zone transfer Rs. 0.0945 Cr. is not reflected on NSDL But considered in APR for NFE calculation 2020-21 16.5299 0.3270 16.2029 Deemed Export Rs. 16.2029 Cr. is not reflected on NSDL But considered in APR for NFE calculation 2021-22 11.5397 0.4315 11.1082 Deemed Export Rs. 11.1082 Cr. is not reflected on NSDL But considered in APR for NFE calculation 2022-23 14.7569 1.9207 12.8362 Deemed Export Rs. 12.8362 Cr. is not reflected on NSDL But considered in APR for NFE calculation B) Import- Raw material in respect of manufacturing unit including procurement done on IUT (from SEZ,EOU,STPI,EHTP) basis: (Figures in Crores) Year/Period Figures as per APR AV Figures as per NSDL Customs Records Difference (If any) Reason for Difference/Remarks 2018-19 1.6746 1.6746 0 2019-20 4.5491 4.5860 -0.0369 One BOE No. 1000082 dtd. 28.03.2019 is missing in APR 2019- 20 I/3296/2023 10

2020-21 5.5022 5.5022 0 2021-22 6.0794 6.3349 -0.2555 Difference Figure 0.2555 Shown In Capital Column In APR 2021-22. 2022-23 2.8794 2.8794 0 3(C'l

BLUT

(Rs. In Crores) 1 Value of BLUT Executed (Duty forgone) (Including for CG/Raw material/ services) Value of Additional BLUT executed • Year : Date of acceptance • BLUT

amount TOTAL value of BLUT executed Year Date Import OTA Total CG RM CG RM DSPF 18-19 19-20 19.12.2019 1.3971 0 14.6030 16.00 20-21 03.01.2020 1.3971 0 0 14.6030 16.00 21-22 17.03.2022 0 3.2532 0 16.7474 20.00 22-23 31.05.2023 0 3.2532 0 16.6648 9 20.00 2 Total Duty Forgone on goods & services procured (Category-wise

BLUT value utilized separately for

imported

and indigenous goods and services) This should be based on BLUT worksheet which

provides

for estimated value and duty forgone separately for each category of procurement. YEAR CG RM TOTAL 18-19 8.3408 8.3408 19-20 0.0526 12.8869 12.9395 20-21 0.0018 10.7917 1.0936 21-22 0.0389 16.9872 1.7261 22-23 0.0942 15.0220 15.1161 3 Has the Unit procured goods and or services without having sufficient No I/3296/2023 11

balance in their BLUT ? If yes, Month & Year when the BLUT was exhausted. Details

of

the consignments and total value of Goods procured without having sufficient or nil balance in BLUT (d) Employment made as on date(as on end of the block period/year upto which monitoring is being done) Men :61 Women: 0 Indirect Employment : 45
Total : 106 ('e) Details of pending foreign remittance

beyond permission period, if any (as on 31.03.2023) To cross check the same and

verify

whether necessary permission from AD Bank/RBI has been obtained. So, to certify that the same has been verified No Pending foreign remittance beyond permission. (f) Whether all softex has been filed for the said period. If no, details thereof. SO to also whether unit has

obtained

softex condonation from DC office/RBI and if approved, whether they have filed such pending Softex. NA (g) Whether all softex has been certified, if so till which month has the same been certified. If not, provide details of the Softex and reasons for oendencv. NA I/3296/2023 12

(h) Whether unit has filed any request for cancellation of Softex NA (i) Whether

any

services provided

in DTA/SEZ/EOU /STPI etc against payment in INR in r / o IT/!TES unit during the period. If Yes, details thereof (year wise details to be provided) We have not provided any services in DTA/SEZ/EOU /STPI. (j) SO to verify and certify whether the unit has updated the BLUT ledger module in SEZ online Yes (k) Has the unit cleared any Capital Goods procured duty free in DTA against payment of Duty, or other- wise. Full details to be provided along with value of assests and duty discharged No (l) ls the unit sharing any of their infrastructure with other units or are utilizing infrastructure of another unit in the same or other SEZ. If so, details thereof, including the details of the unit with whom the sharing is being made and the payment terms. If approval for sharing of common infrastructure has been

obtained

from UAC/DC office, the date of UAC/approval letter to be indicated. No such case noticed (m) Whether all DSPF for services procured during The unit filed the DSPF form in the SEZ online system, the same has been out of charge from I/3296/2023 13

the said monitoring period under consideration has been filed by the unit and whether the same has been processed for approval for bv the SO office. the SO office. No remaining DSPF request from the SO office. (n) Whether unit has filed all DTA procurement w.r.t. the goods procured by them during the monitoring period for the relevant period. If no, details thereof As per the records, DTA filed on SEZ online system, by the unit, have been processed and approved till date. (o) Details of the request IDs pending for OOC in respect of DTA procurement on the date of submission of monitoring report. As per the records on SEZ online system, there are no pending requests for Out of charge. (p) Has the unit set up any cafeteria/

canteen/food court in unit premises. If yes, whether permission from UAC/DC office has been issued, or otherwise office has been issued, or otherwise Whether unit has availed any duty paid goods/ services for setting up such facility? If yes, whether unit has discharged such duty/tax benefit availed? details to be given including amount of duty/tax recovered or yet to be recovered No such case noticed (q) Whether any violation of No such case noticed I/3296/2023 14

anv of the provision oflaw has been noticed/ observed by the Specified Officer during the period under monitoring ADC’s observations:  The Unit has achieved export revenue of Rs. 70.94 Crores as against projected export of Rs 95.71 Crores i.e. 74.12% in 5th year of the 3rd block period.
 Approval Committee may like to monitor the performance of the Unit for FY 2018-19 to F.Y 22-23 for 3rd block period, in terms of Rule 54 of SEZ Rules, 2006. I/3296/2023 15