Minutes of the 208th meeting of Approval Committee

Minutes of the 208th Unit Approval Committee Meeting of Kandla SEZ held on 27.11.2024 at Development Commissioner, Kandla Special Economic Zone. 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Following were present: : Joint Development Commissioner, KASEZ.

1. Shri. Marut Tripathi : Joint DGFT,Office of Jt. DGFT, Rajkot. (Video Conferencing mode).

2. Shri. Rohit Soni : Assistant Commissioner of Income Tax, Gandhidham.

3. Shri. Vincent Colaco : Superintendent of Customs, Rep. of Commissioner of Customs, Kandla.

4. Shri Manoj Yadav : Senior Inspector, DIC, Bhuj (Video Conferencing mode).

5. Shri. M. U. Sumra : Deputy Development Commissioner, KASEZ (Special Invitee)

6. Shri. Himanshu Gunawat : Deputy Commissioner of Customs, KASEZ (Special Invitee)

7. Shri. BhanuJain Absentees:-

8. Director (Banking)

9. SDM of the minutes of last meeting (207thUAC) 208.1 Review/Confirmation of the Approval Committee:- Minutes of the last meeting of Unit Approval Committee were confirmed. 1

10. Director (Banking)

11. SDM of the minutes of last meeting (207thUAC) 208.1 Review/Confirmation of the Approval Committee:- Minutes of the last meeting of Unit Approval Committee were confirmed. 1

Minutes of the 208th Unit Approval Committee Meeting of Kandla SEZ held 27.11.2024 at 11:00 hrs under the Chairmanship of Shri on Dinesh Singh, 208.1 NEW UNIT APPLICATION AGENDA ITEM NO. 208.1.1 Application for setting up of a Manufacturing Unit in KASEZ namely M/s. Jindal Textile Industries Pvt Ltd., E-l, Industrial Area, Near Old Court, Panipat, Hariyana. A proposal has been submitted by M/s. Jindal Textile Industries Pvt Panipat, Haiyana for setting up a unit in Kandla SEZ for manufacturing activity. Ltd., Shri Navnish Mittal, General Manager along with Shri Ashwani Goyal and Shri Himanshu Mittal, Authorised Representatives of the company explained the proposal. Shri Navnish stated that they are having two units for manufacturing of blankets in Panipat and about 90% of their manufactured blankets being exported having annual turnover of Rs. 222 crores in 2023-24. He further stated that now they propose to set up a manufacturing unit in KASEZ for Blankets, Comforters, Quilts, Bedsheets, Cushions, etc. and the raw materials will be imported from China as they getting at cheaper rates compared to domestic procurement. are are The Committee asked the unit representatives about the machines being installed for the proposed manufacturing activity and the details of investments proposed in capital goods and export market for the proposed manufactured goods.

entatives about the machines being installed for the proposed manufacturing activity and the details of investments proposed in capital goods and export market for the proposed manufactured goods. In reply, Shri Navnish stated that they are going to install quilting machines, stitching machines & other machines and they going to make investment of Rs. 65 lakhs in plant & machinery (Rs. 25 lakhs imported & Rs. 40 lakhs indigenous). He further stated that they will export their finished goods to Middle East, Dubai, Iraq, Saudi, Spain & U.K. The Committee further asked the unit representatives as to why they want to set up a manufacturing unit in KASEZ as they are already having 2 manufacturing units in Panipat. In reply, Shri Navnish stated in Panipat they are manufacturing blankets only which require very large production area and in KASEZ they propose to manufacture quilts, comforters, cushions, blankets, bed sheets etc. The Committee perused the balance sheets submitted by the unit for the financial year 2022-23 & 2023-24 and noticed that there is huge difference in the trade receivables figures and trade payable figuresagainst their export under the categoiy of less than one year for the year 2022-23 & 2023-24 and asked the unit representatives about the differences in both the years. In reply, Shri Navnish stated that they are having 5 company in Panipat in the name of M/s. Jindal Woollens Pvt. Ltd. and the Directors have decided to windup the said company. Out of the 5 companies, 2 companies were taken over by M/s. Jindal Textile Industries Pvt.

t in the name of M/s. Jindal Woollens Pvt. Ltd. and the Directors have decided to windup the said company. Out of the 5 companies, 2 companies were taken over by M/s. Jindal Textile Industries Pvt. Ltd.’in January 2022 and as the new company was started in Februaiy 2023 hence are 2

27.11.2024 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, the trade receivables were shown for the 2 months only in 2022-23. The Committee directed the unit representatives to submit balance sheet of M/s. Jindal Woollens Pvt. Ltd. for the year 2022-23 and further directed to submit brief write up of M/s. Jindal Woollens Pvt. Ltd. as to when the said company was sold/taken over by the unit company and the committee directed to submit a detailed report for the transfer of asset and liability duly certified by the CA. Therefore, the Approval Committee after due deliberation decided to defer their proposal with direction to the applicant to submit BRC’s for the F.Y. 2022-23 and 2023-24, brief write up of M/s. Jindal Woollens Pvt. Ltd. with regard to sale/transfer of the said company along with audited balance sheets for the year 2022-23 and also drawing/layout plan of the proposed manufacturing activity. AGENDA ITEM NO. 208.1.2 Application for setting up of a Manufacturing unit in KASEZ by M/s. Manash Foods Pvt Ltd., Flat No. 1, VKAI, Jaipur- 302 013. A proposal has been submitted by M/s. Manash Foods Pvt Ltd., Flat No.

2 Application for setting up of a Manufacturing unit in KASEZ by M/s. Manash Foods Pvt Ltd., Flat No. 1, VKAI, Jaipur- 302 013. A proposal has been submitted by M/s. Manash Foods Pvt Ltd., Flat No. 1, VKAI, Jaipur-302 013 for setting up a unit in Kandla SEZ for manufacturing activity. Shri Vishal Khandelwal, Director along with Shri Tarun Sharma, Chartered Accountant and Shri S. D. Sharma, Technical person of the company explained the proposal.ShriTarun Sharma stated that they propose to set up a palm oil manufacturing plant in KASEZ and one of the Director is already in the business of packing materials in the name of M/s. Freddo Agrotech Pvt. Ltd. and supplying the laminated packing materials tokingfisher and other companies. The Committee asked the unit representatives about the turnover of M/s. Freddo Agrotech Pvt. Ltd. In reply, Shri Tarun stated that the turnover of their company i.e. M/s. Freddo Agrotech Pvt. Ltd. during current year is Rs. 32 crores and Rs. 7.50 crores last year. He further stated that they are expecting to have turnover of Rs. 100 crores in next 2-3 years. The Committee further asked the unit representatives about the source of funds for the proposed manufacturing activity. In reply, Shri Tarun stated that they are proposing to invest Rs. 25 crores in the proposed project out of which Rs. 18 crores will be obtained from bank loan and they have already approached SIDBI Bank and HDFC Bank for the same and once they will get approval from KASEZ they will apply for bank finance. He further stated that about Rs.

from bank loan and they have already approached SIDBI Bank and HDFC Bank for the same and once they will get approval from KASEZ they will apply for bank finance. He further stated that about Rs. 7 crores will be funded from Director’s capital and the company has already having unsecured loan. 3

on The Committee noted that the applicant has submitted finished goods items at Sr. No. 2 & 4 and 3 & 5 which are having same ITC HS Code and asked the unit representatives about the same. In reply, Shri Tarun stated that manufacturing goods proposed at Sr. No. 2 & 3 are refined olein &stearin which is having ratio of 99.5% and Sr. No. 4 & 5 are neutralized olein & stearin which is having ratio of 99.995% and hence they have submitted the same HSN codes for the said items. The Committee directed the unit representatives to submit details of source of funds/financial strength/net worth of Directors/Company. The Approval Committee after due deliberation decided to approve the proposal for setting up a manufacturing unit and subject to furnishing documents supporting source of funds/financial strength/net worth of Directors/Company.

ue deliberation decided to approve the proposal for setting up a manufacturing unit and subject to furnishing documents supporting source of funds/financial strength/net worth of Directors/Company. This approval is also subject to standard terms and conditions as under: i) Any restrictions on import/export of manufacturing items and its raw materials will apply. None of the items which are restricted or prohibited will be allowed to be manufactured/importedand any restrictions import/export of any items will apply unless specifically permitted by the UAC. In case of any discrepancy/mismatch between the ‘Description of Goods’ as provided by the Unit & ‘Description of goods as per DGFT Import Policy’, the later will prevail. Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable. Further, the applicant will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities. Further, the applicant will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA. rurcher, ihe applicant wiii give an undertaking that none of the items proposed and its raw materials are falling under negative list and if the items are found in negative list, penal action may be initiated against them. ii) on iii) iv) V) Vi) V11J AGENDA ITEM NO. 208.1.3 Application for setting up of a Manufacturing and Tradingunit in KASEZ by M/s.

ound in negative list, penal action may be initiated against them. ii) on iii) iv) V) Vi) V11J AGENDA ITEM NO. 208.1.3 Application for setting up of a Manufacturing and Tradingunit in KASEZ by M/s. SRG OLEUM, 46 A, Samundar Singh Rathore, Bhagat Ki Kothi, Extension Scheme, Opp JNVU New Campus, Near Skoda Showroom, Jodhpur, Rajasthan. 4

27.11.2024 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, A proposal has been submitted by M/s. SRG OLEUM, Jodhpur, Rajasthan for setting up a unit in Kandla SEZ for manufacturing activity and trading activity. Shri Samundar Singh Rathod, Proprietor along with Shri Gajendra Singh, authorised representative of the firm explained the proposal. Shri Gajendra Singh stated that they propose to set up a manufacturing unit in KASEZ for Thinner & MHO and further stated that they are already having a LLP trading unit in Dubai dealing in submersible pumps. He further stated that they are also in the business of mining, scrap and other business and in Karnataka at Hubli they have a mall of 70,000 sq. ft. dealing in tiles, plywood and sanitary items. The Committee asked the unit representatives about the capital investment being proposed for the manufacturing unit in KASEZ and the of funds & employment for the proposed project. In reply, Shri Gajendra Singh stated that they will make investment of about Rs. 3.50 for the proposed project and source of funds will be from Proprietor’s and they have also submitted net worth certificate of the source crores own source Proprietor.

e investment of about Rs. 3.50 for the proposed project and source of funds will be from Proprietor’s and they have also submitted net worth certificate of the source crores own source Proprietor. He further stated that they will employ about 18 persons initially which will be increased later to about 50-60 persons. The Committee noted that the applicant has requested for setting up a manufacturing and trading unit in KASEZ and informed the unit representatives that in the new Zone i.e. 100 acres being developed, the Committee is considering the proposal for setting up of manufacturing unit only and if the applicant wants to set up a trading unit also along with their manufacturing unit then they have to participate for SDFs and sheds/plots in the old Zone and not in the new Zone which is only for manufacturing activity. In reply, Shri Gajendra Singh stated that they also want to include trading activity along with manufacturing activity and will submit a letter in this regard of their decision within a day or two. The Approval Committee after due deliberation decided to approve the proposal for setting up a manufacturing unit as well as trading activity either in old zone based on their request discussed above. This approval is also subject to standard terms and conditions as under: The Approval Committee after due deliberation decided to approve the proposal for setting up a manufacturing unit and trading unit except item at Sr. No. 22 of the traded goods of the Agenda.

nder: The Approval Committee after due deliberation decided to approve the proposal for setting up a manufacturing unit and trading unit except item at Sr. No. 22 of the traded goods of the Agenda. This approval is also subject to standard terms and conditions as under: Any restrictions on import/export of manufacturing items and its raw materials will apply. None of the items which are restricted or prohibited will be allowed to be traded/manufactured/imported and any i) ii) 5

Minutes of the 208* Unit Approval Committee Meeting of Kandla SEZ held on restrictions on import/export of any items will apply unless specifically permitted by the UAC. In case of any discrepancy/mismatch between the ‘Description of Goods’ as provided by the Unit & ‘Description of goods DGFT Import Policy’, the later will prevail. Further, no DTA sale is allowed for the approved traded item. Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable. Further, the applicant will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities.

r applicable. Further, the applicant will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities. Further, the applicant will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA. Further, the applicant will give an undertaking that none of the items proposed and its raw materials are falling under negative list and if the items are found in negative list, penal action may be initiated against them. 208.2 REQUEST FOR BROADBANDING/ITEM ADDITION iii) as per iv) v) vi) vii) viii) AGENDA ITEM NO. 208.2.1 Permission for broad banding of manufacturing activity in the existing Letter of Approval No. KASEZ/IA/09/2022-23/3942 dated 18.07.2022 - Request of M/s Imperial Overseas Pvt. Ltd. (Unit-II), a unit of Warehousing service activity in KASEZ. M/s Imperial Overseas Pvt. Ltd. (Unit-II), KASEZ, is an approved unit for Warehousing service activity vide LoA No. KASEZ/IA/09/2022-23/3942 dated 18.07.2022, as amended from time to time. Now the said unit has requested for addition of manufacturing activity in their existing LoA and submitted that presently their warehousing activity is operational at Plot No. 455, Sector-I, KASEZ which is having total constructed area of 972 SM in the said premises. For their proposed manufacturing activity, they will be utilizing area of 672 SM. Shri Raj Shah, Director along with Shri Ramesh Pradhan, Manager of the company explained the proposal.

id premises. For their proposed manufacturing activity, they will be utilizing area of 672 SM. Shri Raj Shah, Director along with Shri Ramesh Pradhan, Manager of the company explained the proposal. Shri Shah stated that they are having Unit-II in KASEZ which for warehousing activity only and now they propose to include manufacturing activity also in their existing LoA for warehousing. The Committee perused the list of items proposed for manufacturing and its raw materials submitted by the unit and noticed that the unit has submitted huge list of items covering entire chapters and have submitted specific list of items required for their not acturing activity and manu: 6

its materials and directed the unit to submit specific list of items for manufacturing and its raw materials and also detailed layout plan. defer their proposal with direction to the unit to submit specific list of items for manufacturing activity and its raw materials and also detailed layout plan showing the area demarcated for manufacturing activity. AGENDA ITEM NO. 208.2.2 Request for Addition of items in Trading Activity by M/s. La Spirit Liquor Trading Co., KASEZ. M/s. La Spirit Liquor Trading Co., is an approved unit for trading activity in KASEZ. The unit have been granted Letter of Approval No. 018/2010-11 dated 24.08.2010 issued vide F.No.

ng Co., KASEZ. M/s. La Spirit Liquor Trading Co., is an approved unit for trading activity in KASEZ. The unit have been granted Letter of Approval No. 018/2010-11 dated 24.08.2010 issued vide F.No. KASEZ/IA/018/2010-11, as amended. Now the said unit has requested for addition of new items in their existing LoA for trading activity and submitted list of additional items in trading activity. Shri Indrajeetsinh Zala along with Shri Sunil Saini, authorised representative of the firm explained the proposal. Shri Indrajeetsinh stated that they have requested for permission for additional items in their trading activity and also stated that they have permission in their LoA for import of cigarettes for supply to Bonded Warehouses, Foreign Vessels calling at Kandla & Mundra Ports and the duty free shops in these ports and they have requested for supply of cigarettes to foreign bound vessels arriving major ports all over India and also for physical exports. The Committee noted that permission for import of Cigarettes was permitted to the unit by the Board of Approval vide letter F.No.

arriving major ports all over India and also for physical exports. The Committee noted that permission for import of Cigarettes was permitted to the unit by the Board of Approval vide letter F.No. F.3/ 1/2010- SEZ dated 05.04.2011 subject to the following conditions :-

1. No DTA procurement of cigarettes shall be made by the unit
2. There will be no DTA sale of cigarettes
3. The cigarettes shall be supplied only to Bonded Warehouses, Foreign Vessels calling at Kandla Port and Mundra Port and the duty free shops in these ports In view of the above, the permission of the unit to supply cigarettes to foreign bound vessels arriving at major ports all over India, customs bonded warehouses, duty free shops and for physical exports and to supply the cigarettes to landlocked countries like Nepal, Bhutan, Bangladesh and Myanmar appears to be beyond the jurisdiction of the UAC and as such the

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on UAC is not competent to approve the same and decided to reject their request for supply of cigarettes as stated above. The Approval Committee after due deliberation decided to approve the proposal for addition of items in trading activity in their existing LoA and also subject to the following standard terms and conditions. The approval for trading items will be granted subject to payment of outstanding rental dues. i) None of the items which are restricted or prohibited will be allowed to be traded and any restrictions on import/export of any items will apply unless specifically permitted by the UAC.

l dues. i) None of the items which are restricted or prohibited will be allowed to be traded and any restrictions on import/export of any items will apply unless specifically permitted by the UAC. This clause will have overriding effect for any approval granted in LoA now or before. In case of any discrepancy/mismatch between the above ‘Description of Goods’ as provided by the Unit & ‘Description of goods as per DGFT Import Policy’, the later will prevail. Further, no DTA sale is allowed for the approved traded item. Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable. The above permission is also subject to further condition that the unit shall maintain separate accounts for trading and warehousing and earmark separate space for both the activities. Further, the unit will submit separate APRs for their trading and warehousing activity. Further, the unit will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities. Further, the unit will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA. Further, the unit will give an undertaking that none of the items proposed are fading under negative list and are not hazardous or require environmental clearance for storage/ transmission/ handling and if the items are found in negative list or hazardous in nature, penal action will be initiated against them.

ot hazardous or require environmental clearance for storage/ transmission/ handling and if the items are found in negative list or hazardous in nature, penal action will be initiated against them. Further, in order to ensure genuine trading business in this commodity, the Committee directed the applicant that the unit should have confirmed orders of the items within 3 months of granting of this approval. The Committee further directed that periodical review regarding functioning of the unit with regard to the above approved items may be conducted every six months as they are sensitive in nature. Further, the above permission is also subject to condition that the same will be supplied to foreign bound vessels arriving at major sea ports all over India, cuslzbms bonded warehouses, ii) iii) iv) v) vi) vii) viii) ix) x) xi) 8

27.11.2024 at on 11:00 hrs under the Chairmanship of Shri Dinesh Singh duty free shops & physical exports and also an Affidavit that no DTA sale of any traded goods even if damaged or otherwise will be allowed and if the traded goods are found to be sold in DTA penal action will be initiated against them and will be liable for cancellation of the above approval of trading activity. AGENDA ITEM NO. 208.2.3 Enlargement of Manufacturing Activity (Addition of new products in unit’s LoA) - Request of M/s. R R Vibrant Polymers Ltd., KASEZ. M/s R R Vibrant Polymers Ltd., KASEZ is an approved unit for manufacturing of Recycled Polymer Pellets of LDPE/HDPE/PP/PVC/ABB and Agglomerates in Kandla Special Economic Zone vide Letter of Approval No.

Vibrant Polymers Ltd., KASEZ is an approved unit for manufacturing of Recycled Polymer Pellets of LDPE/HDPE/PP/PVC/ABB and Agglomerates in Kandla Special Economic Zone vide Letter of Approval No. KFTZ/IA/1655(A)/96 dated 27.11.1996, as amended. Now the said unit has requested for Enlargement of Manufacturing Activity (Addition of new products in unit’s LoA) and submitted the list of items to be manufactured along with their ITC HS Code. Shri Apar Agarwal, Director alongwith Shri Deepak Patel, Authorised Representative of the company appeared before the Committee to explain the proposal. Shri Agarwal stated that they have requested for addition of value added products in their manufacturing LoA such as roto moulding powder, garbage bags, etc. which will be 100% exported and requested to grant permission for the same. The Committee noted that the unit is not undertaking any exports from March’24 and are only indulged in DTA sales and are not following the DoC’s extant policy for plastic recycling units and directed the unit to submit concrete proposal with regard to export potential and the minimum quantum of export obligations required to be achieved by such units. defer their proposal regarding additional items in manufacturing activity with direction to the unit to submit complete proposal with regard to additional items & export potential and as to whether they have achieved the required minimum quantum of export obligations required to be achieved by such units and also subject to payment of outstanding rental dues. AGENDA ITEM NO.

nd as to whether they have achieved the required minimum quantum of export obligations required to be achieved by such units and also subject to payment of outstanding rental dues. AGENDA ITEM NO. 208.2.4 Request for broad banding of additional item in manufacturing activity in their existing Letter of Approval No. KASEZ/IA/010/2015-16 dated 08.09.2015 for Manufacturing, Trading and Warehousing service Activity, as amended issued to M/s Shrine Chemicals Pyt. Ltd., KASEZ. 9

on M/s Shrine Chemicals Pvt. Ltd., KASEZis an approved unit forManufacturing (Blending) Activity of Chemicals and Trading Activity & Warehousing service activity vide LoA No. F. No. KASEZ/IA/010/2015-16 dated 08.09.2015 as amended from time to time. Now the said unit has requested for broad banding of their LoA for manufacturing activity of 01 item. Shri Rajesh Karatela, Manager Operations Department of the company appeared before the Committee to explain the proposal.

ested for broad banding of their LoA for manufacturing activity of 01 item. Shri Rajesh Karatela, Manager Operations Department of the company appeared before the Committee to explain the proposal. Shri Rajesh stated the}' propose to include one item in their manufacturing activity as they are having ready orders for the The Approval Committee after due deliberation decided to approve the proposal for addition of one item in manufacturing activity in their existing LoA subject to unit submitting the layout plan of their unit and also subject to standard terms and conditions:- Any restrictions on import/export of manufacturing items and its raw materials will apply. In case of any discrepancy/mismatch between the ‘Description of Goods’ as provided by the Unit & ‘Description of goods DGFT Import Policy’, the later will prevail. Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable. Further, the unit will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities. Further, the unit will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA. Further, the unit will give an undertaking that none of the items proposed and its raw materials are failing under negadve iisc and if the items are found in negative list, penal action will be initiated against them. same. i) ii) as per iii) iv) v) vi) 208.3 MISCELLANEOUS ITEMS

raw materials are failing under negadve iisc and if the items are found in negative list, penal action will be initiated against them. same. i) ii) as per iii) iv) v) vi) 208.3 MISCELLANEOUS ITEMS AGENDA ITEM NO. 208.3.1 Permission for transfer of Goods Consolidation/Agreegator for various brands under Warehousing Approval - Request of M/s Milak Warehouse, KASEZ. from FTWZ for M/s Milak Warehouse, KASEZ, is an approved unit for trading, manufacturing and warehousing service activity subject to certain terms 10

and conditions enumerated in the LoA. The unit has been granted Letter of Approval no. 1836/2001-02 dated 10.08.2001, as amended. The request of M/s Milak Warehouse, KASEZ for permission for transfer of goods from Kandla SEZ to other FTWZ and vice-versa was placed before 207th UAC meeting held on 28.10.2024 and the UAC decided to defer their proposal with direction to the unit to submit details of their brand MNC clients for consideration of their specific request. Now, the unit has submitted details of activities undertaken for the promotional underlying process of consolidation/aggregation/packing packs, etc. Shri Vivek Milak, Partner of the firm explained their proposal. Shri Milak stated that their proposal was deferred in the last UAC and now they have submitted the brief of the activities being undertaken by them alongwith the details of their 3 brand owners under their various global registration and brand partners as well as agenda/stockists/consignment stockists/distributors, etc.

ing undertaken by them alongwith the details of their 3 brand owners under their various global registration and brand partners as well as agenda/stockists/consignment stockists/distributors, etc. for consolidation, aggregations, packing, repacking. The Committee noted that the unit is into cargo consolidation type of activity such as promotional packaging - Kit packing/assembling, speciality packaging products and aggregator & service provider in SEZs on behalf of their brand owners their dealers & distributors. The Committee further noted that the Department of Commerce vide Instruction No. 117 dated 24.09.2024 has issued guidelines for Operational Framework of FTWZ and Warehousing units in SEZ and vide condition no. (vi) of the said Instruction it has been stipulated that “The transfer of goods from one FTWZ to another FTWZ should not be allowed except in specific and exceptional cases after consideration by the UAC.” approve the request of the unit for transfer of goods from Kandla FTWZ to other FTWZ and vice-versa on behalf of their 3 brand owners under their various stockists/consignment stockists/distributors, etc. aggregations, packing, repacking as submitted by the unit. global registration and brand partners as well as agenda/ for consolidation, AGENDA ITEM NO. 208.3.2 SEZ/FTWZ transfer of Goods for Permission for Inter Consolidation/Agreegator for various brands under Warehousing Approval - Request of M/s. Vishvajoti Packaging, a unit of Warehousing activity 8b Packaging service activity, KASEZ. 11

on for Inter Consolidation/Agreegator for various brands under Warehousing Approval - Request of M/s. Vishvajoti Packaging, a unit of Warehousing activity 8b Packaging service activity, KASEZ. 11

on M/s. Vishvajoti Packaging, Plot No. 453/472, Sector-1, KASEZ, is an approved unit for Warehousing and Packaging service activity. The unit has been granted Letter of Approval dated 22.06.2007, issued vide F.No. KASEZ/IA/07/2007-08, as amended and is valid up to 20.04.2029. The request of M/s. Vishvajoti Packaging, KASEZ for permission for transfer of goods from Kandla SEZ to other FTWZ and vice-versa was placed before 207th UAC meeting held on 28.10.2024 and the UAC decided to defer their proposal with direction to the unit to submit details of their brand MNC clients for consideration of their specific request. Now, the unit has submitted details of activities undertaken for the underlying process of consolidation/aggregation/packing - promotional packs, etc. Shri Vivek Milak, Authorised Representative of the firm explained their proposal. Shri Milak stated that their proposal was deferred in the last UAC and now they have submitted the brief of the activities being undertaken by them alongwith the details of their 3 brand owners under their global registration and brand partners as well as agenda/stockists/consignment stockists/distributors, etc.

ities being undertaken by them alongwith the details of their 3 brand owners under their global registration and brand partners as well as agenda/stockists/consignment stockists/distributors, etc. for consolidation, aggregations, packing, repacking. various The Committee noted that the unit is into cargo consolidation type of activity such as promotional packaging - Kit packing/assembling, speciality packaging products and aggregator & service provider in SEZs on behalf of their brand owners their dealers & distributors. The Committee further noted that the Department of Commerce vide Instruction No. 117 dated 24.09.2024 has issued guidelines for Operational Framework of FTWZ and Warehousing units in SEZ and vide condition no. (vi) of the said Instruction it has been stipulated that “The transfer of goods from one FTWZ to another FTWZ should not be allowed except in specific and excepuonai cases after consideration by the UAC." approve the request of the unit for transfer of goods from Kandla FTWZ to other FTWZ and vice-versa on behalf of their 3 brand owners under their various global registration and brand partners as well as agenda/ stockists/consignment stockists/distributors, aggregations, packing, repacking as submitted by the unit. etc. for consolidation, AGENDA ITEM NO. 208.3.3 Permission to warehouse goods on behalf of DTA client/Foreign clients

• Request of M/s. Ajanta Packmart Pvt. Ltd.(Unit-II), KASEZ. 12

ed by the unit. etc. for consolidation, AGENDA ITEM NO. 208.3.3 Permission to warehouse goods on behalf of DTA client/Foreign clients

• Request of M/s. Ajanta Packmart Pvt. Ltd.(Unit-II), KASEZ. 12

hrs under the Chairmanship of Shri Dinesh Singh, on 27.11.2024 at 11:00 The Committee noted that M/s. Ajanta Packmart Pvt. Ltd.(Unit-II), KASEZ has requested for permission for warehousing activity of additional items. Shri Anand Mehta and Shri Karan Jadeja, Authorised Representative of the firm explained their proposal. Shri Mehta informed that they have requested for permission for 02 items in warehousing activity. He further stated that the 2 items proposed will be imported from Vietnam, China, behalf of their client and same be sold to Gujarat and Middle East on Maharashtra. The Committee noted that the unit is having rental dues of about Rs. 39 00 lakhs and asked the unit representatives about delay in payment of their rental dues. In reply, Shri Mehta stated that they would clear the rental dues within 30 days.

ntal dues of about Rs. 39 00 lakhs and asked the unit representatives about delay in payment of their rental dues. In reply, Shri Mehta stated that they would clear the rental dues within 30 days. The Committee directed the unit representatives to submit a written submission with regard to clearance of pending rental dues that they will clear the 1st instalment by 10.12.2024 and balance outstanding rental dues by another 15 days’ time. The Committee after due deliberation decided to permit the additional items to be warehoused by the above unit on behalf of DTA/Foreign clients as submitted by the unit subject to payment of outstanding rental dues and also subject to the unit fulfilling NFE criterion and subject to unit submitting KYC of their clients alongwith ITR of last 3 years on whose behalf they will warehouse goods and also subject to following conditions: None of the items which are restricted or prohibited will be allowed to be warehoused and any restrictions on import/export of any items will apply unless specifically permitted by the UAC. This clause will have overriding effect for any approval granted in LoA now or before. Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable. Further, the unit must ensure that they should have a tamper­ proof ERP/SAP/Tally system with provisions of CCTV with sufficient longer duration of storage & other equipments.

e wherever applicable. Further, the unit must ensure that they should have a tamper­ proof ERP/SAP/Tally system with provisions of CCTV with sufficient longer duration of storage & other equipments. Further, the transfer of goods from one FTWZ to another FTWZ shall not be allowed except in specific and exceptional after consideration by the UAC. In case of any discrepancy/mismatch between the ‘Description of Goods’ as provided by the Unit & ‘Description of goods as per DGFT Import Policy’, the later will prevail. Further, the unit will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities. i) ii) hi) iv) cases v) vi) 13

vii) Further, the unit will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA. Further, the unit will give an undertaking that none of the items proposed are falling under negative list and are not hazardous or require environmental clearance for storage/ transmission/ handling and if the items are found in negative list or hazardous in nature viii) penal action will be initiated against them. AGENDA ITEM NO. 208.3.4 Permission to warehouse goods on behalf of DTA client/Foreign clients

• Request of M/s. Cargo Care Agency, KASEZ. The Committee noted that M/s. Cargo Care Agency, KASEZ has requested for permission for warehousing activity of additional items. Shri Goda Prabhakar and Shri Rakesh Makhijani, Partners of the firm explained their proposal.

/s. Cargo Care Agency, KASEZ has requested for permission for warehousing activity of additional items. Shri Goda Prabhakar and Shri Rakesh Makhijani, Partners of the firm explained their proposal. Shri Prabhakar informed that they have requested for permission for warehousing of additional items. The Committee noted that the unit is having rental dues of about Rs. 38.00 lakhs and further noted that in one of the earlier UAC meeting the unit representatives have given the assurance that rental dues will be cleared in next 2 to 3 months, however, till date rental dues of about Rs. 38.00 lakhs are still pending and the unit has not fulfilled the commitment made in the earlier UAC and asked the unit representatives about reasons for non-payment of rental dues. In reply, Shri Prabhakar stated that their business was streamlined and the volume of their warehousing items were also increased however due to the MIP scheme in some of the items their warehousing business has come down and for the other items they trying to explore business which would take some time and hence there delay in payment of rental dues as committed by them earlier. He further scaled chac chey wiii ciear aii ihe pending renial dues in 2 inscaimencs before December’24.

take some time and hence there delay in payment of rental dues as committed by them earlier. He further scaled chac chey wiii ciear aii ihe pending renial dues in 2 inscaimencs before December’24. The Committee directed the unit representatives to submit a written submission with regard to clearance of pending rental dues that they will clear the outstanding rental dues by 31.12.2024. The Committee further noted that the unit has been granted approval for n-number of items and the unit has undertaken warehousing activity of only few items and asked the unit representatives the reasons for undertaking the warehousing activity only in very less items compared to items approved in their LoA for warehousing and if they are not indulging in such warehoused items approved in LoA, then they can surrender/delete the said items from their warehousing LoA. In reply, Shri Prabhakar stated that they may be given 10 days’ time so that they will decide and submit the list of items of warehoused items which they are not carrying out any are was 14

g LoA. In reply, Shri Prabhakar stated that they may be given 10 days’ time so that they will decide and submit the list of items of warehoused items which they are not carrying out any are was 14

transactions with a request to exclude the same from the approved warehousing list of their LoA. The Committee after due deliberation decided to permit the additional items to be warehoused by the above unit on behalf of DTA/Foreign clients as submitted by the unit except items at Sr. No. 3, 5, 17, 29, 30, 31, 34, 38, 39, 4085 46 of their proposal, subject to payment of outstanding rental dues, subject to submitting the list of items as committed by the party in which unit is not operating and also subject to the unit fulfilling NFE criterion and subject to unit submitting KYC of their clients alongwith ITR of last 3 years on whose behalf they will warehouse goods and also subject to following conditions: None of the items which are restricted or prohibited will be allowed to be warehoused and any restrictions on import/export of any items will apply unless specifically permitted by the UAC. This clause will have overriding effect for any approval granted in LoA now or before. Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable. Further, the unit must ensure that they should have a tamper­ proof ERP/SAP/Tally system with provisions of CCTV with sufficient longer duration of storage & other equipments.

e wherever applicable. Further, the unit must ensure that they should have a tamper­ proof ERP/SAP/Tally system with provisions of CCTV with sufficient longer duration of storage & other equipments. Further, the transfer of goods from one FTWZ to another FTWZ shall not be allowed except in specific and exceptional cases after consideration by the UAC. Further, with respect to warehousing of items for human consumption/food preparation items the same is allowed subject to compliance of FSSAI norms and all other statutory compliance viz. NOC from Ministry of Health and other concerned agencies before such clearance. In case of any discrepancy/mismatch between the ‘Description of Goods’ as provided by the Unit & ‘Description of goods as per DGFT Import Policy’, the later will prevail. Further, the unit will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities. Further, the unit will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA. Further, the unit will give an undertaking that none of the items proposed are falling under negative list and are not hazardous or require environmental clearance for storage/ transmission/ handling and if the items are found in negative list or hazardous in nature, penal action will be initiated against them. i) ii) iii) iv) v) vi) vii) viii) ix) 15

arance for storage/ transmission/ handling and if the items are found in negative list or hazardous in nature, penal action will be initiated against them. i) ii) iii) iv) v) vi) vii) viii) ix) 15

on AGENDA ITEM NO. 208.3.5 Permission to warehouse goods on behalf of Overseas/ DTA client - Request of M/s. Harmann Lever Exim, KASEZ. The Committee noted that M/s. Harmann Lever Exim, KASEZ has requested for permission for warehousing activity of additional items. Shri Bipin Singh, Partnerof the firm explained their proposal. Shri Singh informed that they have requested for permission for warehousing of additional items. The Committee noted that the unit’s request for permission for warehousing of additional items was discussed in the last UAC wherein the Committee on perusal of the KYC details of their indian client noted that the GST registration of the client has already been cancelled w.e.f. 26.07.2024 and therefore the Committee decided to reject their proposal regarding additional items in warehousing activity with direction to the unit to first clear their outstanding rental dues. The Committee further noted that in the present proposal the unit has stated that they will deposit Rs. 3 lakhs out of the outstanding rental dues and asked the partner as to why they have not cleared the outstanding rental dues and to intimate the time line by which they will clear outstanding rental dues. In reply, Shri Singh stated that they will clear the outstanding rental dues by 5th December 2024.

nding rental dues and to intimate the time line by which they will clear outstanding rental dues. In reply, Shri Singh stated that they will clear the outstanding rental dues by 5th December 2024. The Committee directed the unit representatives to submit a written submission with regard to clearance of pending rental dues that they will clear the outstanding rental dues by 05.12.2024. The Committee also noted that the ITR of their DTA client submitted are very meagre and asked the partner as to how their DTA client will import the goods proposed for warehousing activity having such turnover or meagre ITRs. In reply, Shri Singh stated their DTA client annual turnover is Rs. 1 crores and they will import about 7-8 containers per month on behalf of their client. The Committee did not find the reply of the unit satisfactory as no co-relation was established between the financials of the client and the investment proposed to be made. No clarity was made w.r.t the financial arrangements, market tie ups and intelligence as well as how their DTA clients would be able to import 7-8 containers with such meagre income. reject their proposal regarding additional items in warehousing activity with direction to the unit to first clear their outstanding rental dues. AGENDA ITEM NO. 208.3.6 16

with such meagre income. reject their proposal regarding additional items in warehousing activity with direction to the unit to first clear their outstanding rental dues. AGENDA ITEM NO. 208.3.6 16

Permission to warehouse goods on behalf of DTA/Foreign clients - Request of M/s. Soobaika Warehouse LLP, Shed No.380, AS-IV Type, SECTOR-IV, KASEZ. The Committee noted that M/s. Soobaika Warehouse LLP, KASEZ has requested for permission for warehousing activity of additional items. Shri Mohit Bhanushali, Partnerof the firm explained their proposal. Shri Mohit informed that they have requested for permission for warehousing of additional items. The Committee noted that the unit has requested for warehousing of plastic items at Sr. No. 1 to 7 which the UAC is not permitting as per past precedent for warehousing. Further, with regard to items at Sr. No. 8 & 9 the Committee noted that the items proposed are chemical items and as the space allotted to the unit is only 162 sq. mtrs., then how they will undertake the chemical items which require PESO licence, Fire NOC, other safety norms etc. reject their proposal. AGENDA ITEM NO. 208.3.7 Addition of items in Warehousing Activity in their existing LoA- Request of M/s. V. Milak Enterprises, KASEZ. The Committee noted that M/s. V. Milak Enterprises, KASEZ has requested for permission for warehousing activity of additional items. Shri Vivek Milak, Partner of the firm explained their proposal. Shri Milak informed that they have requested for permission for warehousing of additional items.

ousing activity of additional items. Shri Vivek Milak, Partner of the firm explained their proposal. Shri Milak informed that they have requested for permission for warehousing of additional items. He further stated that the items proposed for warehousing are already approved in their another unit in KASEZ however due to space constraint they want to include the said items in this unit also. The Committee after due deliberation decided to permit the additional items to be warehoused by the above unit on behalf of DTA/Foreign clients as submitted by the unit subject to the unit fulfilling NFE criterion and subject to unit submitting KYC of their clients alongwith ITR of last 3 years whose behalf they will warehouse goods and also subject to following conditions: on None of the items which are restricted or prohibited will be allowed to be warehoused and any restrictions on import/export of any items will apply unless specifically permitted by the UAC. This clause will have overriding effect for any approval granted in LoA now or before. i) 17

nd any restrictions on import/export of any items will apply unless specifically permitted by the UAC. This clause will have overriding effect for any approval granted in LoA now or before. i) 17

on ii) Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable. Further, the unit must ensure that they should have a tamper­ proof ERP/SAP/Tally system with provisions of CCTV with sufficient longer duration of storage 86 other equipments. Further, the transfer of goods from one FTWZ to another FTWZ shall not be allowed except in specific and exceptional cases after consideration by the UAC. In case of any discrepancy/mismatch between the ‘Description of Goods’ as provided by the Unit 8& ‘Description of goods as per DGFT Import Policy’, the later will prevail. Further, the unit will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities. Further, the unit will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA. Further, the unit will give an undertaking that none of the items proposed are falling under negative list and are not hazardous or require environmental clearance for storage/ transmission/ handling and if the items are found in negative list or hazardous in nature, penal action will be initiated against them. iii) iv) v) vi) vii) viii) AGENDA ITEM NO.

rance for storage/ transmission/ handling and if the items are found in negative list or hazardous in nature, penal action will be initiated against them. iii) iv) v) vi) vii) viii) AGENDA ITEM NO. 208.3.8 Violation of terms and conditions of LoA and BLUT - unauthorised activity- Report has been received from Police Department, Gandhidham vide letter dated 25.11.2024 wherein it was intimated that M/s F.N. Impex, KASEZ warehousing unit of KASEZ is indulged in the illicit activity of smuggling Areca Nuts by mis-declaration. M/s. F.N. Impex, KASEZ, is an approved unit of Warehousing activity 8& Trading vide LoA No. 11/2021-22 dated 16.09.2021. The LoA is valid up lo 15.09.2026. The Committee was informed that a letter is received from the Superintendent of Police of East-Kutch, Gandhidham informing the incident in respect of M/s F.N. Impex wherein it is informed that, Gandhidham-B DV. Police Station has registered the case and case is being investigated by Local Crime Branch. In the case, quantity of betel nut was seized from the trailer reg. no. reg.no-GJ- 12-BY-6342 with a total weight-27170 kg and trailer reg no-GJ - 12-BZ-9563 from container no.CAXU9715380-45Gl Quantity of betel nuts total weight-26780 kg. During their investigation the quantity of betel nut found was ordered by F.N. Impex company through UAE's Anant Star General Trading LLC company under the guise of Rock salt in Container No. CAXU9715380 and 18

nvestigation the quantity of betel nut found was ordered by F.N. Impex company through UAE's Anant Star General Trading LLC company under the guise of Rock salt in Container No. CAXU9715380 and 18

Container no. YMLU8484179 and unloaded at Mundra Port which actually container betel nut. Both the containers were taken to the parking lot of Gautam Transport Company at Chudwa, Gandhidham through trailers. One container No. CAXU9715380-45G1 was loaded on Trailer No. GJ-12-BZ- 9563 and there were no seal on it and the above mentioned quantity of betel nut was found in it. Also the container no. YMLU8484179 was primarily loaded on the Trailer No. GJ-12-BV-8782 which was packed with betel nut, thereafter the bags of betel nut in the container was transferred to the other trailer Reg. GJ-12-BX-6342.In the said case, Junaid, Babulal and Vishal has been arrested on 22.11.2024 at 11.00A.M. Further, it has been requested to take the appropriate legal action against the company. The Committee deliberated on the issue and noted that the unit has been indulged in un-authorized activity as reported by the Superintendent of Police of East-Kutch, Gandhidham and decided to initiate action for cancellation of their LoA under Section 16 of the Act for violation of terms and conditions of LoA and its obligation as laid down in the SEZ Act and Rules made thereunder. Therefore, the Approval Committee after due deliberation authorised the Development Commissioner, KASEZ being the Adjudicating Authority to

n as laid down in the SEZ Act and Rules made thereunder. Therefore, the Approval Committee after due deliberation authorised the Development Commissioner, KASEZ being the Adjudicating Authority to initiate action against the unit by issuance of Show Cause Notice and decide further course of action against the said unit. Further, the Committee also decided to temporary suspend the NSDL ID of the unit so that no further transactions are being carried out by the unit in the SEZ online system. on M/s. Green Polyplast Industries, KASEZ. The Deputy Commissioner of Customs, KASEZ informed the Committee that based on NCTC alert, the Mundra Customs has put on hold the consignment imported by M/s. Green Polyplast Industries wherein it has been noticed that in the guise of HDPE Regrind the unit has imported Arecanut which is valued at about R. 1.59 crores and further investigation is going on. The Committee deliberated on the issue and noted that the unit has been indulged in un-authorized activity as reported by the Customs authorities and decided to initiate action for cancellation of their LoA under Section 16 of the Act for violation of terms and conditions of LoA and its obligation as laid down in the SEZ Act and Rules made thereunder. Therefore, the Approval Committee after due deliberation authorised the Development Commissioner, KASEZ being the Adjudicating Authority to initiate action against the unit by issuance of Show Cause Notice and decide on further course of action against the said unit.

e Development Commissioner, KASEZ being the Adjudicating Authority to initiate action against the unit by issuance of Show Cause Notice and decide on further course of action against the said unit. Further, the Committee also decided to temporary suspend the NSDL ID of the unit so that no 19

on further transactions are being carried out by the unit in the SEZ online system and further directed the Deputy Commissioner of Customs, KASEZ to get detailed report from Mundra Customs. TABLE AGENDA ITEM NO. 208.4.2 Permission for addition of manufacturing activity in the existing Letter of Approval No. KASEZ/IA/24/2006-07dated 01.09.2017- Request of M/s. Kahuna Industries Pvt. Ltd. (Unit II), KASEZ. M/s. Kahuna Industries Pvt. Ltd. (Unit II), KASEZ were issued a letter of Approval by the Development Commissioner, Kandla Special Economic Zone vide LOA No. KSEZ/IA/24/2006-07 dated 01.09.2017, as amended from time to time for the authorised operations of manufacturing activity. Now the said unit has requested for broad banding of manufacturing activity in their existing LoA and has envisaged undertaking the manufacturing activity of additional products. Shri Rakesh Bansal, Director alongwith Shri Prakash Chaudhary, Technical Expert of the company explained the proposal. Shri Bansal stated that they have requested for addition of items in their manufacturing LoA. The Committee asked the unit representatives about the investment proposed for the broad-banded items and as to whether they will install any new machinery.

ion of items in their manufacturing LoA. The Committee asked the unit representatives about the investment proposed for the broad-banded items and as to whether they will install any new machinery. In reply, Shri Bansal stated that they are already having machinery installed and if required they will purchase additional machineiy and the estimated investment for additional machinery will be about Rs. 50 lakhs. The Committee further asked the unit representatives as to whether they will manufacture the proposed items on their own or otherwise. In rcpy, cuifi ocuQ&cu t>i_ULcu tnat some of the items will them and in some items they will undertake fabrication work. The Committee further asked the unit representatives as to whether they have made any tie-up with any unit and whether they have submitted copy of the agreement to the DC office. In reply, Shri Bansal stated that they have made agreement with one of the units of KASEZ for undertaking the fabrication work on their behalf, however they have not submitted the copy of the agreement to the DC office. be manufactured by approve their proposal subject to submission of the tie up made and submission of the agreement between them and another unit of KASEZ. Other observations 20

nt to the DC office. be manufactured by approve their proposal subject to submission of the tie up made and submission of the agreement between them and another unit of KASEZ. Other observations 20

The Committee also directed the DC office that the units who have been granted approval in the UAC may be given 3 weeks’ time to submit the requisite documents/undertaking otherwise the approval granted by the UAC will be liable for cancellation. Notwithstanding to the decisions of the Committee, if the DC Office/Approval Committee notices any instance of default in rent or pending legal proceedings as on date of decision of the Committee or any legal proceedings that may be initiated after the decision of the Committee against the unit/firm/company and/or its Proprietor/Partner/Director, which has a bearing on the decision taken/LoA issued to the firm in any manner, the LoA granted will be liable for cancellation including action under the FT (D&R) Act and necessary action will be taken against such units in terms of applicable provisions of law. The meeting ended with a vote of thanks to the Chair. Development Commissioner Kandla Special Economic Zone 21