Minutes of the 1st meeting of Approval Committee

Minutes of the 1st meeting of Approval Committee (2009-10) held on 08/05/2009 at 1300 hrs. at KASEZ, under the Chairpersonship of Dr.(Mrs.) Maya D. Kem, Development Commissioner.

Following were present:

1 Shri Upendra Vasishth, JDC Nominee of MOC 2 Shri Jeetash Nagori, Jt. Commissioner of Customs
Nominee of Commissioner (Cus) 3 Shri B.N. Pani, Asstt. Collector & SDM Nominee of Dist. Collector 4 Shri H.C. Dave Nominee of DIC

Absent:

(1) Director (Banking)
(2) Addl.Commissioner Income-tax (3) Jt.Director General of Foreign Trade

I. Review/confirmation of minutes of last meeting of the Approval Committee:

Minutes of last meeting of the Approval Committee were confirmed.

II. Following proposals for setting up units in Kandla Special Economic Zone were taken up for consideration:

(i) M/s. Zetts Cosmetics Pvt. Ltd., Mumbai:

Proposal is to set up a unit for manufacturing-cum-trading unit for Essential Oil/Perfumery products/Cosmeticis & Toiletries Preparations, Preparation for Oral or Dental Hygiene, Perfumes, etc. Mr. Arun B . Desai, Director of the company appeared for interview and put forth.

¾ They are in the same field as a merchant exporter. ¾ Last year their export was Rs.18 crores. ¾ Project cost is Rs.265 lakhs, which will be met from promoters contribution/past internal accruals and bank finance. ¾ 100% will be exported. ¾ Land requirement is 3000 sq.mtrs.

Committee’s observation/clarifications:

¾ FOB value of exports for 5 year period is Rs.9900 lakhs with a NFE of Rs.1400 lakhs.

e. ¾ 100% will be exported. ¾ Land requirement is 3000 sq.mtrs.

Committee’s observation/clarifications:

¾ FOB value of exports for 5 year period is Rs.9900 lakhs with a NFE of Rs.1400 lakhs. ¾ Promoter was asked to give their IEC Code, which they gave. Their IEC number given was 0304037940 dated 23/8/2004.
Proposal is approved subject to verification of their IEC by the Jt. Commissioner(Cus). (Action: IA-I)

• 2 -

(ii) M/s. Inno Mag Industries, Rajasthan:

Propoal is to set up a unit for trading of Magnesium Sulphate. Shri Virendra Agrawal, Director appeared for interview and put forth following:

¾ They are manufacturing chemicals for formulation applications. ¾ There are good potential for the proposed product in nearby countries. ¾ Raw material is Magnesium Oxide and Sulphuric Acid. Magnesium Oxide will be imported and sulphuric acid is available locally. ¾ Investment in plant and machinery Rs.54 lakhs. Project cost would be met from own capital and term loan. ¾ Plant capacity 50 T/day. ¾ Space requirement is 5000 sq.fr5. ¾ Value addition would be 20%. ¾ They will get required clearances from GPCB.

Committee’s observation/clarifications:

¾ FOB value of exports for 5 year period is Rs.2509.09 lakhs with a NFE of Rs.934.09 lakhs.

Proposal is approved subject to standard terms and conditions. (Action: IA-I)

(iii) M/s. Airfly Traders, Gandhidham:

Propoal is to set up a unit for Service/trading. Mr.

f Rs.934.09 lakhs.

Proposal is approved subject to standard terms and conditions. (Action: IA-I)

(iii) M/s. Airfly Traders, Gandhidham:

Propoal is to set up a unit for Service/trading. Mr. Sanjay Gosai, Promoter appeared for interviewand put forth following:

¾ Promoter is presently engaged in recycling of used clothing in the Zone. ¾ Project of Rs.1.16 crores will be met from his own sources. ¾ Packing materials, etc will be imported from China and exported to African countries. ¾ Land requirement is 4000 sq.mtrs.

Committee’s observation/clarifications:

¾ FOB value of exports for 5 year period is Rs.13546 lakhs with a NFE of Rs.4170 lakhs. ¾ Committee noted that proposal was vague and promoter was not clear as to what is exactly planned. Therefore, promoter was asked to rework on his proposal and give specific list of items for trading.

Proposal was deferred. (Action: IA-I)

(iv) M/s. Shree Saibaba Petroleum, Ahmedabad:

Promoter did not turn up for interview. Deferred.

(Action: IA-I) (v) SKY Enterprises, Gandhidham:

Propoal is to set up a weighbridge and warehouse. Promoter appeared for interview and put forth following:

t turn up for interview. Deferred.

(Action: IA-I) (v) SKY Enterprises, Gandhidham:

Propoal is to set up a weighbridge and warehouse. Promoter appeared for interview and put forth following:

• 3 - ¾ Out of the total area required for the project, the warehousing facility will be very small and the remaining area would be developed for weighbridge.
  ¾ Project cost Rs.80 lakhs, which will be met from his own capital and term laond and unsecured loans. ¾ Land requirement is 8000 sq.mtrs.

Committee’s observation/clarifications:

Proposal was approved subject to standard terms and conditions. (Action: IA-I) (vi) M/s. Easy Warehousing, Gurgaon:

Proposal is to set up a unit Free Trade and Warehousing Service facility. Mr. Rajinder Singh Kohli appeared for interview and explained about their proposed project in the Zone. Jt. Commissioner (Cus) requested that the proposal need to be analyzed further from the Customs point of view. Deferred. (Action: IA-I)

(vii) M/s. Armstrong Pellets Pvt. Ltd.,Mumbai:

Promoter did not turn up for interview. Deferred.
(Action: IA-I) (viii) M/s. Bharat Chemicals, Gandhidham:

Propoal is to set up a unit for Trading of Furnace Oil, Diesel/HSD and other Petroleum products for supplies to foreign vessels. Mr. Vinod Bhanushali appeared for interview and put forth following:

¾ Products will be supplied to foreign vessels. They are already in the same business and their yearly filing of shipping bill is approximately 40 to 50.

for interview and put forth following:

¾ Products will be supplied to foreign vessels. They are already in the same business and their yearly filing of shipping bill is approximately 40 to 50. ¾ Project cost is s.19.20 lakhs, which will be met entirely from promoters contribution. ¾ They require a 2500 sq.mtrs. land.

Committee’s observation/clarifications:

¾ FOB value of exports for 5 year period is Rs.5959.08 lakhs with a NFE of Rs.358 lakhs.

Proposal was approved subject to subject to verification of their IEC by Customs. (Action: IA-I)

(ix) M/s. Parkview Enterprises Pvt. Ltd., Rajkot:

Propoal is to set up a unit for warehousing services. Promoters Mr. Suhel Ismail Bhesania and Shri Sikandar G. Vapiwala for interview and put forth the following:-

¾ One of the promoter is an NRI and having his worldwide business of Auto Parts trading in Dubai. ¾ Project cost is Rs.10.00 lakhs.

¾ FOB value of exports for 5 year period is Rs.217.82 lakhs with a NFE of Rs.217.82 lakhs. Proposal was approved subject to standard terms and conditions. (Action: IA-I)

ost is Rs.10.00 lakhs.

¾ FOB value of exports for 5 year period is Rs.217.82 lakhs with a NFE of Rs.217.82 lakhs. Proposal was approved subject to standard terms and conditions. (Action: IA-I)

• 4 -

(x) M/s. VED Telecommunication:

Promoter did not turn up for interview. Deferred. (Action: IA-I) (xi) M/s. Apex Lubricants:

Proposal is to set up a trading unit for lubricants. Mr. Vishal Sinh Jadeja appeared for interview. He was asked to give a detailed write up. Deferred. (Action: IA-I)

II. Annual performance monitoring:-

Committee noted that out of 165 units as on 31-3-2008, 128 units have submitted APRs so far and 37 units have not submitted the same. 25 units have failed to achieve positive NFE during 2007-2008 out of which 22 units falling under the 1&2 years of the first five years block and remaining 3 units failed to achieve NFE positive under the 3-5 years of the first five years block. It was decided to issue SCN to those units who have not submitted APR. Units falling under 1&2 years of the first five year block was decided to be kept under watch and SCN for not achieving positive NFE for the remaining three units (3-5 years of the 5 year block) may be issued.

DC 14-05-2009