Minutes of the 43rd meeting of Approval Committee

MINUTES OF THE 43" APPROVAL COMMITTEE MEETING HELD ON 24-02-2011 AT 3.00 P.M. UNDER THE CHAIRMANSHIP OF SHRI PRAVIR KUMAR, IAS DEVELOPMENT COMMISSIONER, KANDLA SPECIAL ECONOMIC ZONE.

The meeting was held through Video Conferencing from KASEZ DC, Dahej SEZ at Ahmedabad. Following were present:

At Ahmedabad:-

1. Shri Pravir Kumar, DC, KASEZ - Chairman

2. Shri A.N. Mishra 3. Sri S.N. Patil

• Jt. DGFT - JDC (Dahej) — representing MoCI

At KASEZ, Gandhidham:

i. Shri Upindra Vasisht - JDC, KASEZ pa Shri C.J. Maniar - Addl. Commissioner Income-tax 2. Shri P. Satish - Asstt. Commissioner (Cus) 4. Shri B.H. Patel - GM, DIC, Bhuj 5, Shri K.C. Pancholi - GPCB, Bhuj 6. Shri M.R. Makwana - DEE, GPCB, Bhuj

Absent:

1. Asst. Collector/SDM om Director (Banking)

43.1 Proposals to set up units in KASEZ:

43.1.1 M/s. Deo Moonge Medical Devices Pvt. Ltd.

Proposal is to set up a unit for manufacture of Non Woven Textile Made Ups. Shri Chandradhar Prasad Singh, Director appeared for interview. He put forth the following:-

• The proposal was for manufacture of Non-Woven Textile Made Ups such as face masks, gowns and other hygiene products etc., basically for medical use.

• M/s. Dina-Hitex Ltd. in Czech Republic will market their products in Czech Republic, Austria, Germany, Great Britain, Netherlands, etc.

• Capital goods include cutting machines, stitching machines, DG sets, etc.

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MINUTES OF THE 43 APPROVAL COMMITTEE MEETING HELD ON 24-02-2011 AT 3.00 P.M. UNDER THE CHAIRMANSHIP OF SHRI PRAVIR KUMAR, IAS DEVELOPMENT COMMISSIONER, KANDLA SPECIAL ECONOMIC ZONE.

• » Raw material is easily available at Mundra from M/s. Alstrom.

• Project cost of Rs.14.50 lakhs will be met by the Directors

• Employment - 18.

• Power requirement - 12 KW.

• » Water requirement - 300 KL per month.

• » Space requirement - 500 sq. mtrs. built up and 500 sq.mtrs, land.

Observation/clarification of the Committee:

• FOB value of export projected for five year period is Rs.840 lakhs with a NFE of Rs.840 lakhs.

• It was informed to the applicant that there was shortage of space and that they can only be offered a N-II type shed and the current lease rent was also informed to the applicant. Applicant agreed for the same.

• Proposal was accordingly approved subject to standard terms and conditions and also subject to the condition of the applicant’s acceptance of|the offer of allotment of N-II type shed.

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MINUTES OF THE 43 APPROVAL COMMITTEE MEETING HELD ON 24-02-2011 AT 3.00 P.M. UNDER THE CHAIRMANSHIP OF SHRI PRAVIR KUMAR, IAS DEVELOPMENT COMMISSIONER, KANDLA SPECIAL ECONOMIC ZONE.

43.1.2 M/s. Keshwani Exim Pvt. Ltd., Mandvi (Kutch):

Proposal is to set up a unit for trading activity of Raw Salt, Industrial Salt, Refined Free Flow Iodized Salt, Sugar, Grains, Pulses, Spices, Cereals Flour.| Shri Dolar Keshwani, Director appeared for interview. He put forth the following:-

• They are already doing the business in Salt.

• Basically, the unit in KASEZ was proposed as a packing unit. They will import these items in bulk and export in consumer packs. There shall be no domestic purchase.

• » Project cost of Rs.50 lakhs will be met from their own sources.

• » Employment - 13.

• Space requirement - 5000-8000 sq.mtrs. land for storage and 1000-2000 sq.mtrs. built up area.

• » During the meeting the applicant submitted request to include honey also in the LOA.

Observation/clarification of the Committee:

• FOB value of export projected for five year period was Rs.500 lakhs with a NFE of Rs.100 lakhs.

• Applicant was informed that except for the Salt, approval) of other items was required to be taken up with BOA. It was decided recommend the proposal to BOA for consideration in the next meeting scheduled for 25" March, 2011, subject to the condition that regulated items like grains, pulses etc. would be Page 3 of 10 —

MINUTES OF THE 43™ APPROVAL COMMITTEE MEETING HELD ON 24-02-2011 AT 3.00 P.M. UNDER THE CHAIRMANSHIP OF SHRI PRAVIR KUMAR, IAS DEVELOPMENT COMMISSIONER, KANDLA SPECIAL ECONOMIC ZONE.

imported from outside the country only for packaging and) would be subject to control, in accordance with prevailing Government policies and regulations. It was informed to the applicant that their proposal for Salt)and honey can only be approved, to which they agreed.

• » It was informed to the applicant that there was shortage of land in KASEZ and that they can be offered two N-II type sheds and the current lease rent was also informed to the applicant. Applicant agreed for the same.

• » Proposal was accordingly approved for salt and honey, subject to standard terms and conditions and also subject to the condition of the applicant’s accepting the offer of allotment of two nos. N-II type sheds. For other items, the proposal may be sent to BOA.

(Action: IA-I)

43.2.1 M/s. Creative Free Trade Warehousing Pvt. Ltd., KASEZ:

M/s. Creative Free Trade Warehousing Pvt. Ltd. was an existing) unit in KASEZ for carrying out the authorized operations of warehousing services and was also accorded permission for manufacturing services under Rule 18(6) of SEZ Rules, 2006. Their new proposal was for establishing manufacturing of Pyrolysis Oil (BIO OIL), a renewable energy source. Main raw material will be waste rubber tires or rubber components, which will be sourced indigenously, as well as imported. Shri Gulab Gidwani, representative of the unit who appeared for the interview clarified that cut tires were freely importable under OGL.

It was informed to the Committee that there was a similar unit, namely, M/s. B.S. Hydrocarbons located at Manor, Maharashtra and the Development Commissioner, Surat SEZ had been requested to visit the unit and report the process. The Development

MINUTES OF THE 43 APPROVAL COMMITTEE MEETING HELD ON 24-02-2011 AT 3.00 P.M. UNDER THE CHAIRMANSHIP OF SHRI PRAVIR KUMAR, IAS DEVELOPMENT COMMISSIONER, KANDLA SPECIAL ECONOMIC ZONE.

Commissioner, Surat SEZ had reported that their officer Mr. Manoj Karan, Preventive Officer had visited the unit and it was observed that the whole |process appeared to be pollution free, however, some portion of the carbon black in powder form was found scattered on the production area/floor.

GPCB officials stated that the unit had applied for their consent and some information was sought from them regarding disposal of residual waste.

Committee noted that for carrying out the said activities, NOC/Consent is required from the Pollution Control Board and approved the proposal subject to their obtaining necessary permission from Gujarat Pollution Control Board.

43.3. Warehousing applications:

Committee noted that following applications were received by the Zone Administration:-

• L M/s. Flamingo Logistics

• 2 M/s. Aditya Marine Ltd.

• 3, M/s. Oswal Extrusion Ltd.

4. M/s. Unique Warehousing & Allied Services

• 2: M/s. Global Commodities Trading Impex

6. M/s. Strands Textiles Mills Pvt. Ltd. 7, M/s. HRJ Warehousing and Trading Co.

Committee further noted that in the 42" Approval Committee it was decided that in view of scarcity of land in KASEZ, the proposals of warehousing which required additional land/space should be deferred and proposals of only such units that proposed to utilize their existing premises, should be considered by the Approval Committee. Accordingly,

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HELD ON 24-02-2011 PRAVIR KUMAR, IAS

MINUTES OF THE 43" APPROVAL COMMITTEE MEETING AT 3.00 P.M. UNDER THE CHAIRMANSHIP OF SHRI PRAVIR DEVELOPMENT COMMISSIONER, KANDLA SPECIAL ECONOMIC ZONE.

following applications, which did not require additional land/space were considered by the Committee:

1. M/s. Global Commodities Trading Impex

2. M/s. Strands Textiles Mills Pvt. Ltd.

3. M/s. HRJ Warehousing and Trading Co.

43.3.1 M/s. Global Commodities Trading Impex:

Proposal is to set up a unit for carrying out warehousing activity. Shri Deven Bansal, promoters’ representative appeared for interview and put forth the following:

• » They have an existing unit in KASEZ for trading activity and have always maintained positive NFE.

• » They are also into the CHA and warehousing activity outside the Zone.

• Warehousing activity proposed was for the overseas clients for dry and liquid cargo. They will also deal with olive oil and wood products.

• » They will re-export and also sell in DTA as per the Rules.

• Project cost of Rs.16 lakhs will be met from the Partners‘Capital.

• » They will generate an employment of 20 persons.

• » They will utilize the existing premises admeasuring an this project.

area of 4430 sq.mtrs. for

Observation/clarifications of the Committee:

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MINUTES OF THE 43" APPROVAL COMMITTEE MEETING HELD ON 24-02-2011 AT 3.00 P.M. UNDER THE CHAIRMANSHIP OF SHRI PRAVIR KUMAR, IAS DEVELOPMENT COMMISSIONER, KANDLA SPECIAL ECONOMIC ZONE.

• FOB value of exports projected for the 5 year period was shown as Rs.96.92 lakhs with a Net Foreign Exchange Earning of Rs.96.92 lakhs.

• » It was clarified to the applicant that no worn clothing and /plastic scrap shall be permitted to be warehoused in the proposed warehouse, to which the applicant agreed.

• » Regarding premises, the applicant was asked to clearly demarcate and separate the area proposed for the warehouse from the existing trading |unit.

• Proposal was accordingly approved, subject to standard terms and conditions and also subject to the condition that no worn clothing/plasti¢ scrap shall be allowed to be warehoused in the warehouse.

43.3.2 M/s. Strands Textiles Mills Pvt. Ltd.

Proposal is to set up a unit for carrying out warehousing activity. Shri Pradip Jain, Director appeared for interview and put forth the following:

• » They are an existing unit in KASEZ in textile sector. Promoters are also partners in M/s. Shell Exports, another unit in KASEZ for readymade garments and are maintaining positive NFE.

• » They will be using the warehouse for storage of Caterpillar’s evacuation systems and equipments.

• Project cost of Rs.205 lakhs will be met from own funds.

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MINUTES OF THE 43 APPROVAL COMMITTEE MEETING HELD ON 24-02-2011 AT 3.00 P.M. UNDER THE CHAIRMANSHIP OF SHRI PRAVIR KUMAR, IAS DEVELOPMENT COMMISSIONER, KANDLA SPECIAL ECONOMIC ZONE.

• » They will generate an employment to 15 persons.

• » They will utilize the existing premises admeasuring an area of 10,000 sq.mtrs. for this project.

Observation/clarifications of the Committee:

• » FOB value of exports projected for the 5 year period was| shown as Rs.344.70 lakhs with a Net Foreign Exchange Earning of Rs.319.40 lakhs.

• » It was clarified to the applicant that no worn clothing and plastic scrap shall be permitted to be warehoused in the proposed warehouse, to which the applicant agreed.

• » Regarding premises, the applicant was asked to clearly demarcate and separate the area proposed for the warehouse from the existing trading unit.

• » Committee noted that the unit had a good track record. Proposal was accordingly approved, subject to standard terms and conditions and) also subject to the condition that no worn clothing/plastic scrap shall be allowed to be warehoused in the warehouse.

43.3.3 M/s.HRJ Warehousing and Trading, Haryana:

Proposal is to set up a unit for carrying out (1) warehousing and trading activity and (2) trading of all items, except prohibited items. Shri Nitin Jindal, Partner appeared for interview and put forth the following:

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MINUTES OF THE 43" APPROVAL COMMITTEE MEETING HELD ON 24-02-2011 AT 3.00 P.M. UNDER THE CHAIRMANSHIP OF SHRI PRAVIR KUMAR, IAS DEVELOPMENT COMMISSIONER, KANDLA SPECIAL ECONOMIC ZONE.

• » They are already having a unit in KASEZ, namely, M/s.| Jindal Fibres, in the textile sector (recycling of used cloths).

• » Warehousing activity proposed is for the overseas clients for warehouse of textile items such as yarn, etc.

• » Project cost of Rs.15 lakhs will be met from own sources.

• »

  • They will generate an employment to 30 persons.

• » They will utilize the existing premises of sister concern M/s.| Jindal Fibres for this project.

Observation/clarifications of the Committee:

• » FOB value of exports projected for the 5 year period was shown as Rs.240 lakhs with a Net Foreign Exchange Earning of Rs.140 lakhs.

• » It was clarified to the applicant that no worn clothing plastic scrap shall be permitted to be warehoused in the proposed warehouse, |to| which the applicant agreed.

• » Regarding premises, the applicant was asked to clearly dematcate and separate the area proposed for the warehouse from the existing trading unit.

• » Proposal was accordingly approved, subject to standard terms and conditions and also subject to the condition that no worn clothing/plastic scrap shall be allowed to be warehoused in the warehouse.

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MINUTES OF THE 43 APPROVAL COMMITTEE MEETING HELD ON 24-02-2011 AT 3.00 P.M. UNDER THE CHAIRMANSHIP OF SHRI PRAVIR KUMAR, IAS DEVELOPMENT COMMISSIONER, KANDLA SPECIAL ECONOMIC ZONE.

43.4 Ratification of Broad-banding/change of name permissions for the month of February 2011:-

• (1) Committee noted and ratified the broad-banding permission issued to M/s. Plast-O-Fine Industries for undertaking manufacturing activity of Plastic Box Strapping & Plastic Extruded & Moulded Articles.

• (2) | Committee noted and ratified the broad-banding permission issued to M/s. Satguru Polyfab Pvt. Ltd. to undertake manufacturing activity of Pellets, Agglomerates/Granules of LDPE/HDPE/PP/ABS, etc. Committee also noted the change of Registered address of the Company from B-426, 4™ Floor, Supermall, Nr. Lal Bunglow, CG Road, Navrangpura, Ahmedabad — 380006 to Shed No.299/300/302 & 303, Sector-III, Kandla SEZ, Gandhidam 370230. Committee further took note of the names of Directors of the Company as Shri Anand Jhawar and Shri Uttam Kapoor.

(Pravir Kumar) Development Commissioner, KASEZ

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