Agenda for Approval Committee meeting for SEZ Pune Cluster to be held on 28 March 2024. — 02-eon-kharadi-phase-ii

SEEPZ SPECIAL ECONOMIC ZONE ANDHERI (EAST), MUMBAI.

AGENDA FOR MEETING OF THE APPROVAL COMMITTEE FOR SECTOR SPECIFIC SPECIAL ECONOMIC ZONE FOR IT/ITES AT PUNE OF M/S. EON KHARADI INFRASTRUCTURE PVT. LTD.-SEZ, PHASE II.

DATE : 28.03.2024

TIME : 11:00 P.M.

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MEETING OF THE APPROVAL COMMITTEE FOR SECTOR SPECIFIC SPECIAL ECONOMIC ZONE FOR IT/ITES AT PUNE, UNDER THE CHAIRMANSHIP OF DEVELOPMENT COMMISSIONER, SEEPZ-SEZ ON 28.03.2024 INDEX

Agenda Item No.

Subject

Agenda Item No. 01 :- Confirmation of the Minutes of the meeting held on 29.02.2024 Agenda Item No. 02 :- Monitoring of Performance for M/s. LTI Mindtree Limited

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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. LTI Mindtree Limited. an IT/ITES unit located in EON Infrastructure Pvt. Ltd-SEZ Phase-II, Pune, of 4 years FY 2019-20 to 2022-23 out of 1st Block period. b. Specific Issue on which decision of Approval Committee is required: Monitoring of the performance of the unit for of 4 years FY 2019-20 to 2022- 23 out of 1st Block period (2019-20 to 2023-24) c. 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”. I. Approved export Projections for 1st Block Period: (Rs. In Cr.)

2019- 20 2020- 21 2021- 22 2022- 23 2023- 24 Total FOB Export 40.32 56.45 67.74 67.74 67.74 299.98 FE Outgo 8.32 5.80 6.60 7.90 6.82 35.44 NFE 32.00 50.65 61.14 59.84 60.92 264.55 A. Performance as compared to projections: (Rs. In Cr.) Year Export F.E. OUTGO Projected Actual Raw Material (Goods/Services) C.G. import Other outflow Projected Actual Projected Actual Actual 2019-20 40.32 0.18 0.00 0.00 8.43 0.22 0.0129 2020-21 56.45 1.06 0.001 0.0484 2021-22 67.74 1.17 0.00 0.0577 2022-23 67.74 37.22 0.13 0.91 Total 232.25 39.63 0.00 0.00 8.43 0.351 1.029

B. Cumulative NFE Achieved (Rs. In Crores)

Year Cumulative NFE achieved Cumulative NFE in % File No.S-SEZ-MONT0EON2/3/2022-JDCP I/4074/2024 41

2019-20 0.14 80.42% 2020-21 1.13 91.52% 2021-22 2.23 92.34% 2022-23 38.51 97.15%

D.Employment: As per SO report

Year Men Women Total 2021-22 189 105 294

E. Other Information:

LOA No. & Date SEEPZ-SEZ/EKIPL-SEZ/LTIL/38/2018- 19/385 Dated 03.01.2019 Location of Unit Office No. 1, 6th Floor, Tower B, EON Kharadi Infrastructure Pvt. Ltd.-SEZ S. No. 72/2, Kharadi, Phase-II, Pune-411014. Validity of LOA 08.12.2024 Item(s) of manufacture/ Services IT/ITES Date of commencement of production 09.12.2019 Execution of BLUT

Outstanding Rent dues No Labour Dues No Validity of Lease Agreement 30.11.2030 Pending CRA Objection, if any No Pending Show Cause Notice/ Eviction Order/Recovery Notice/ Recovery Order issued, if any No a. No. of employees as on 31.03.2022 Year Men Women Total 2021-22 189 105 294

Area allotted (in sq.ft.)

Area available for each employee per sq.ft. basis (area / no. of employees)

Investment

till date

Building

Plant & Machinery 11.99Cr. Quantity and value of goods exported under Rule 34 (unutilized goods)

Value Addition during the monitoring period

Whether all the APRs being considered now has been filed well within the time Yes File No.S-SEZ-MONT0EON2/3/2022-JDCP I/4074/2024 42

limit, or otherwise.

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

The Specified Officer vide letter dated 19.03.2024 has reported as under:

(A) EXPORT (Rs. In Crores)
Year/ Period Figures reported in APR Figures as per Softex/ Customs Records Difference if any Reason

for Difference/Rem ark (1) (2) (3) (4) (5) 2019- 20 0.18 0.21 -0.03 Description Amount Credit Note Issued due to revision of rate Rs. -0.02 Exchange

Rate Difference Rs. 0.01 Total Rs. -0.03

2020- 21 1.06 1.06 0.00

2021- 22 1.17 1.19 -0.02 Description Amount Credit Note Issued due to revision of rate Rs. -0.76 Onsite Billing not accounted under Softex. Rs. 0.74 Total Rs. -0.02

2022- 23 37.22 37.08 0.14 Description Amount Credit Note Issued due to revision of rate Rs. -0.05 Onsite Billing not accounted under Softex. Rs. 0.03 Exchange

Rate difference Rs. 0.16 Total Rs. 0.14

B. IMPORT File No.S-SEZ-MONT0EON2/3/2022-JDCP I/4074/2024 43

i. (Capital Goods including procurement done on IUT (from SEZ, EOU, STPI, EHTP) basis.) (Rs. In Crores) Year/Per iod Figures reported in APR (FOB Value) Figures as per Customs Records Difference if any Reason

for Difference/Remark (1) (2) (3) (4) (5) 2019-20 0.22 0.22 0.00

2020-21 0.00 0.00 0.00

2021-22 0.00 0.00 0.00

2022-23 0.13 0.13 0.00

ii. Raw Material (Rs. In Crores) Year/Per iod Figures reported in APR (FOB Value) Figures as per Customs Records Difference if any Reason

for Difference/Remark (1) (2) (3) (4) (5) 2019- 2020 0.00 0.00 0.00

2020- 2021 0.00 0.00 0.00

2021- 2022 0.00 0.00 0.00

2022- 2023 0.00 0.00 0.00

(‘C) BLUT (Amount in ‘Crores’) 1

Value of BLUT Executed (Duty foregone) (including for CG/ Raw Material/ Services)

Value of Additional BLUT executed • Year: Date of acceptance • BLUT amount:

TOTAL value of BLUT Executed

Rs.

18.36 crores

Dt: 17-10-2019

File No.S-SEZ-MONT0EON2/3/2022-JDCP I/4074/2024 44

Total Rs. 18.36 crores 2 Total Duty Foregone on goods & services procured

Category Wise:

Year Wise:

FY Goods Imported & Indigenous Services Imported & Indigenous 19- 20 0.49 2.00 20- 21 0.03 0.69 21- 22 0.00 0.97 22- 23 0.13 1.12

(d) Employment made as on date (31.03.2023) (as on end of block period/ year up to which monitoring is being done) Men:189 Women: 105 Total

No Employment : 294 (e) Details of Pending Foreign Remittance beyond Permissible 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. Nil

(f) Whether all Softex has been filed for the said period. If no, details thereof. SO to also check whether unit has obtained Softex condonation from DC office / RBI and if approved, whether Yes File No.S-SEZ-MONT0EON2/3/2022-JDCP I/4074/2024 45

they have filed such pending Softex. (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 pendency. Yes (h) Whether unit has filed any request for Cancellation of softex No (i) Whether any Services provided in DTA/SEZ/EOU/STPI etc. against payment in INR in r/o IT/ITES Unit during the period. If yes, details thereof (year wise details to be provided) No.

(j) SO to verify and certify whether the unit has updated the BLUT ledger Module in SEZ Online. NA (k) Has the unit cleared any Capital Goods procured duty free in DTA against Payment of Duty, or otherwise. Full details to be provided along with value of assets and duty discharged No (l) Is 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. (m ) Whether all DSPF for services procured during the said monitoring period under consideration has been filed by the unit and whether the same has been processed for approval by the SO Office.
Yes (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 Yes (o) Details of the request IDs pending for OOC in respect of DTA procurement on the date of submission of monitoring report No (p) Has the unit set up any cafeteria/ canteen/ food court in No cafeteria set up File No.S-SEZ-MONT0EON2/3/2022-JDCP I/4074/2024 46

unit premises. If yes, whether permission from UAC/DC 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 in the unit (q) Whether any violation of any of the provisions of law has been noticed/ observed by the Specified Officer during the period under monitoring. No

ADC’s observations: • The unit has achieved Export of Rs. 39.63 Cr. Against the projected export of Rs. 232.25 Cr. i.e, 17.06% in the FY 2022-23 i.e., 4th year of 1st Block period (2019-20 to 2023-24) • The unit has achieved positive NFE of Rs. 38.51 Cr. i.e, 97.15% in the FY 2022-23 i.e., on cumulative basis. • The Unit vide email dated 22.03.2024 has submitted that the reason for difference in projected v/s actual export is due to few long term projects which were considered at the time of projection were not tuned up post setting up of SEZ Unit. • Vide SO repot the unit has achieved employment as detailed below:

Year Men Women Total 2021-22 189 105 294

• Approval Committee may kindly monitor the performance of the Unit of 4 years FY 2019-20 to 2022-23 out of 1st Block period i.e., FY 2019-20 to 2023-24, in terms of Rule 54 of SEZ Rules, 2006.
File No.S-SEZ-MONT0EON2/3/2022-JDCP I/4074/2024 47