Minutes of the 68th meeting of Approval Committee

. Minutes of the 68 Approval Committee Meeting of Kandla SEZ, held on 1%t May, : 2014 at KASEZ under the Chairmanship of Shri Mahondra Thin, IAS, Development i Commissioner, KASEZ

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----- Start of picture text -----<br> Following were present:-<br>11 | Shri Krishan Kumar Jt. Development Commissionet, KASEZ<br>B, Shri Paras Saankhla Dy.Commissioner (Cus) — Rep, of Commissioner<br>of Customs. |<br>Shri R.G. Khairkar FTDO, KASEZ - Rep. of Jt. DGFT.<br>----- End of picture text -----<br>

Absentees: (1) Director (Banking) (Banking) (2} Asstt. Collector/SDM (3) Asst.Commissioner (Income-tax) (4) GM, DIC, DIC, Bhuj

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----- Start of picture text -----<br> (1) Director (Banking) (Banking) | | |<br>(2} Asstt. Collector/SDM b |<br>(3) Asst.Commissioner (Income-tax)<br>(4) GM, DIC, DIC, Bhuj<br>68. Review/confirmation of the minutes of last meeting of the Approval Committee:<br>Minutes ; |<br> of the last meeting of the Approval Committee were confirmed. |<br>68.1 New Proposals to set up Units in KASEZ:<br>68.1.1 M/s. Bharti Enterprises, Delhi: Bharti Enterprises, Delhi: Enterprises, Delhi: Delhi: |<br>----- End of picture text -----<br>

68.1.1 M/s. Bharti Enterprises, Delhi: Bharti Enterprises, Delhi: Enterprises, Delhi: Delhi:

‘The proposal of the applicant is for setting up a unit for manufacturing activity of Pan Masala ITC (HS) 21069020 and Pan Masala containing Tobacco Gutkha ITC (HS) 24039990, Zarda ITC (HS) 24039910, Khaini ITC (HS) 24039930 and Betel Nut Product ITC (HS) 21069030. The Company’s representative who appeared before the Committee mentioned following facts:-

1. They are presently in the field of trading of food grain. This is a jew activity for them, 2. They have buyer ftom UAE, | |

2. Mostly raw material will be indigenous. Betel nut is proposed to be imported from UAE, 4. No DTA sale is envisaged by them.

3. Investment in project is Rs.40 lakhs which is to be met from capital contribution.

4. Export projected for 5 year period is Rs.10760 lakhs and they ate likely to achieve NFE of Rs.10085 lakhs.

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5. Employment 20 persons.

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Employment 20 persons.

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. ' ' : | i Minutes of the 68* Approval Committee Meeting of Kenda SEZ, held on 1* May, 2014 at KASEZ under the Chairmanship of Shri Mahendra Jain, IAS, Development Commissioner, KASEZ | | i Dy. Commissioner (Cus), Kandla informed that the import duty on Betel Nut is 108%. It is 7 available in India and there is no need for import. Committee infornted the applicant that since this is a new line of activity for them and asked them whether they ah do their business without i import of betel nut. The applicant agreed to this suggestion and stated that they will not import betel nut for the present. |

The Committee approved the proposal subject to the condition that no DTA sale shall be permitted and also no import of betel nut is permitted, which can be considered by UAC ata Jater stage. The unit shall be required to follow all the rules/guidelines, policy of the Govt. of India and Govt. of Gujarat on manufacturing/export of these products. If at any stage, Govt, of Gujarat withdraws permission for operating of export unit for manufacture of Pan Masala & Gutka, the firm shall close its operations at KASEZ. The permission shall also be subject to all standard terms & conditions and availability of space in the Zone/acquiting of space by the unit in the Zone. They will have to make bid for acquiring space in SDF Latneete the auction taken place.

l standard terms & conditions and availability of space in the Zone/acquiting of space by the unit in the Zone. They will have to make bid for acquiring space in SDF Latneete the auction taken place. Formal LoA will be issued only after issue of offer of allotmentlof space. =SO

68.1.2 M/s. Om Shiva Products, Bangalore:

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The proposal of the applicant is for setting up a unit for manufactuting activity of Pan Masala ITC (HS) 21069020 and Pan Masala containing Tobacco Gutkha ITC (HS) 24039990, Zarda ITC (HS) 24039910, Khaini ITC (HS) 24039930 and Betel Nut Product ITC (HS) 21069030. The Company’s representative who appeared before the Committee mentioned following facts:| ! i. 1. | | , exportingThey have toa khainiNairobimanufacturingand Uganda unitmarkets.at Bangalore.Now, theyTheirintend brandto namemanufactureis Thambaaboveand products in KASEZ. 2. No DTA sale is envisaged by them. | 3, Raw material is indigenous. | i:

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| Minutes of the 68° Approval Committee Meeting of Kandla SEZ, held on 15 May, 2014 at KASEZ under the Chairmanship of Shri Mahendra J ain, IAS, Development | Commissioner, KASEZ : 4. Investment in project in project project is Rs.110 lakhs which is to be met from capital contribution. Rs.110 lakhs which is to be met from capital contribution. lakhs which is to be met from capital contribution. which is to be met from capital contribution. is to be met from capital contribution. to be met from capital contribution. be met from capital contribution. capital contribution. | 5.

l contribution. which is to be met from capital contribution. is to be met from capital contribution. to be met from capital contribution. be met from capital contribution. capital contribution. | 5. Export projected for 5 year period projected for 5 year period for 5 year period 5 year period year period period is Rs.12160 lakhs and they are likely to achieve NFE Rs.12160 lakhs and they are likely to achieve NFE lakhs and they are likely to achieve NFE and they are likely to achieve NFE they are likely to achieve NFE are likely to achieve NFE likely to achieve NFE achieve NFE NFE of Rs,12160 lakhs. Rs,12160 lakhs. lakhs. | i 6. Employment 20 persons. The Committee approved the proposal subject to the condition that no no DTA sale shall ; permitted and the unit shall be required to follow all the rules/guidelines, policy of the the Govt. of India India and Govt. Govt. of Gujarat on manufacturing/export of these Gujarat on manufacturing/export of these on manufacturing/export of these manufacturing/export of these of these these products. If at any any stage, Govt, |

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on manufacturing/export of these Gujarat on manufacturing/export of these on manufacturing/export of these manufacturing/export of these of these these products. If at any any stage, Govt, |

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4. Investment in project in project project is Rs.110 lakhs which is to be met from capital contribution. Rs.110 lakhs which is to be met from capital contribution. lakhs which is to be met from capital contribution. which is to be met from capital contribution. is to be met from capital contribution. to be met from capital contribution. be met from capital contribution. capital contribution. 5. Export projected for 5 year period projected for 5 year period for 5 year period 5 year period year period period is Rs.12160 lakhs and they are likely to achieve NFE Rs.12160 lakhs and they are likely to achieve NFE lakhs and they are likely to achieve NFE and they are likely to achieve NFE they are likely to achieve NFE are likely to achieve NFE likely to achieve NFE achieve NFE NFE of Rs,12160 lakhs. Rs,12160 lakhs. lakhs. | |

likely to achieve NFE and they are likely to achieve NFE they are likely to achieve NFE are likely to achieve NFE likely to achieve NFE achieve NFE NFE of Rs,12160 lakhs. Rs,12160 lakhs. lakhs. | |

The Committee approved the proposal subject to the condition that no no DTA sale shall be ; permitted and the unit shall be required to follow all the rules/guidelines, policy of the the Govt. of India India and Govt. Govt. of Gujarat on manufacturing/export of these Gujarat on manufacturing/export of these on manufacturing/export of these manufacturing/export of these of these these products. If at any any stage, Govt, | of Gujarat withdraws permission for operating of export unit for manufacture of Pan Masala & Gutka, the firm shall close its operations at KASEZ. The permission shall also be subject to all | standard terms & conditions and availability of space in the Zone/acquiting of space by the unit ; in the Zone. They will have to make bid for acquiring space in SDF whenever the auction taken as place. Formal LoA will be issued only after issue of offer ofallotment[of][space.]

68.1.3 M/s. B.S. Trading Co., Gandhidham:

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The proposal of the applicant is for setting up a unit for manufacturing activity of Pan Masala (ITC HS 21069020), Pan Masala Containing Tobacco (ITC HS 24039990), Scented Supari (ITC HS 21069030) and scented Zarda (ITC HS 24039930). The Company’s representative appeared before the Committee. It was noted that tHey are presently trading in mutilated cloths ed ter excrenionce in the activity for the permission is sought. He was also not able toreply 0 the aiaties The Committce did not approve the proposal.

68.1.4 M/s. Veritas (India) Ltd., Mumbai.

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The proposal of the applicant is for setting up a unit for manufacturing of Information Technology software Development/Information Technology ‘enabled services. The applicant did not turn up for the meeting due to non-availability of air tickets, as intimated by them. The Committee went through the project application and observed as under:-

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: | Minutes of the 68% Appreval Committee Meeting of Kandla SEZ, held on 1* May, i 2014 at KASEZ under the Chairmanship of Shri Mahendra Jain, IAS, Development | Commissioner, KASEZ i 1. Investment in the project is Rs.40 lakhs, which will be met from their internal accruals. j 2. Export projected for 5 year period is Rs.10500 lakhs and they are likely to achieve NFE | of Rs. 10475 lakhs. i 3. Employment 30 persons. 30 persons. persons. ~

t from their internal accruals. j 2. Export projected for 5 year period is Rs.10500 lakhs and they are likely to achieve NFE | of Rs. 10475 lakhs. i 3. Employment 30 persons. 30 persons. persons. ~

3. Employment 30 persons. 30 persons. persons. ~ The Committee approved the proposal subject to all standard terms & paaiiers and availability of space in the Zone/acquiring of space by the unit in the Zone. They will have to make bid for acquiring space in SDF whenever the auction taken place. Formal LoA will be issued only after issue of offer of allotment of space | | 68.2 Broad Banding request in existing LoA: | | | 68.2.1 M/s. Mascot Plast-O-Therm, KASEZ:; M/s. Mascot Plast-O-Therm is an existing unit in KASEZ approved for Inanutfachuting of Stretch Cling Film, Shrink wrap film, Shrink Wrap film, Plastic liners. Representative of the unit came for discussions and informed that presently their plant is not running for quite some time due to lack of orders, They have the machineries for carrying out the activities| for which broad-banding permission is sought. |

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‘he present proposal is for broad-banding of LOA for manufacturing offollowing items:

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----- Start of picture text -----<br> St.No. | Item 1 TTC (HS) Code<br>2 | Plastic Ropes<br>5 Plastic granules | 390139042210 1010/39021000/39041090/.<br>|<br>,<br>----- End of picture text -----<br>

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text -----<br> St.No. | Item 1 TTC (HS) Code<br>2 | Plastic Ropes<br>5 Plastic granules | 390139042210 1010/39021000/39041090/.<br>|<br>,<br>----- End of picture text -----**<br>

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: oe |_| Ytem ITC (HS) Code - 39011010/39021000/39041090/ i Plastic granules ; 39042210 i 2 Plastic agglomerates/Pallets/Flacks/Bars/Powdet/ 3901 1090/9090/39039090/ 1910/ d Floor sweeps 39122021/1 110/39212120/1290 a eS ee | : For manufacturing the unit proposed to install additional capital goods like Agglomerate i mixture machine, Extrudet, etc. amounting to Rs.47.00 lakhs approximately. The unit projected NEE earning of Rs.5196.00 lakhs in next five year period. Afller interacting with the unit’s representative the Committee approved broad-banding of manufacturing, activity only.

‘ Minutes of the 68 Approval Committee Meeting of Kandla SEZ, held on 1st May, 2014 at KASEZ under the Chairmanship of Shri Mahendra Jain, IAS, Development Commissioner, KASEZ |

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{n addition to above, they also want to do trading of following items:

68.2.2 M/s.Mikasa Cosmetics Lid, KASEZ:

M/s. Mikasa Cosmetics Ltd. is an existing unit approved for manufacture of Perfumes & Toilet Waters, Beauty & Make up preparpations, hair & body care products, Pre-shave & after shave preparations. |

They have requested to broad band their existing LoA for trading of following items:-

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----- Start of picture text -----<br> Sr.No. | Item ITC (HS) Code | { Category<br>Perfumes & Toilet preparations 3303 0050 =—s«d| | Free<br>2 Beauty & make up preparations 3304 9910 | | Free ;<br>3 flair, Body & Beauty Care products 3305 9090<br>Pre-shave & after shave preparations 3307 1000 Free<br>5 Perfumes Fragrances/Perfumery Compounds | 3303 0040 Free<br>& industrial perfumery compounds |<br>----- End of picture text -----<br>

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Minutes of the 68% | Approval Committee Meeting ofKandla SEZ, held on 1* May, 2014 at KASEZ under the Chairmanship of Shri Mahendra Jain, IAS, Development Commissioner, KASEZ

Their representative came for discussions and stated that they are already manufacturing the similar products either as their own products or are cartying out job work for Hindustan Unilever Ltd., KASEZ

They have stated to procure these items from Far Bast and export it to Gulf| Countries. FOB value of exports projected for five year period for the trading activity is Rs.28.60 crores with a NFE carnings of Rs.25.10 crores.

The proposal was approved subject to standard terms and conditions. 68.2.3. M/s. Ashok & Company-Pan Bahar Ltd:

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e trading activity is Rs.28.60 crores with a NFE carnings of Rs.25.10 crores.

The proposal was approved subject to standard terms and conditions. 68.2.3. M/s. Ashok & Company-Pan Bahar Ltd:

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M/s.Ashok & Company — Pan Bahar Ltd. is an existing unit approved for manufacture of Pan Masala and Pan Masala containing tobacco. Their representative came for discussions and stated that they are operating since last 10 months. They wanted to broad-band their LoA for ~ manufacturing of Khaini ITC (HS) 24039930. The unit has projected FOB value of exports for five years on account of export of Khaini as Rs.6700 lakhs with a NFB of Rs.6700 lakhs.

The request for broad-banding of manufacturing activity of Khaini was approved subject to the condition that no DTA sale ofKhaini shall be allowed and also subject to the standard terms and conditions as applicable to Pan Masala/Gutka manufacturing units.

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_ Supplementary agenda:

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4. Request for change of name from M/s.Guardian Textiles Pvt. Ltd. to M/s.JTM

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Minutes of the 68 Approval Committee Meeting of Kandla SEZ, held on 1% May, 4014 at KASEZ under the Chairmanship of Shri Mahendra Jain, IAS, Development Commissioner, KASEZ |

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Minutes of the 68 Approval Committee Meeting of Kandla SEZ, held on 1% May, 4014 at KASEZ under the Chairmanship of Shri Mahendra Jain, IAS, Development Commissioner, KASEZ |

The case of change of name from M/s.Guardian Textiles Pvt. Lid. to M/s.IT™M Safety Pvt. Ltd. was also discussed. The Committee noted that the change of name would mean merger of M/ 5Guardian Textiles Pvt. Ltd. with M/s.ITM Safety Pvt. Ltd. The Committee also noted that the pame of Directors of two units as pet records with the KASEZ Administration is different. The representative of the unit mentioned that the Directors are same. However, they were not aware of the names available in the KASEZ records. The Committee decided that the unit should first complete its formalities for change of name of Directors in the KASEZ records. Afterwards, the issue of in-principle approval for change of name to M/s. ITM Safety Pvt. Ltd. may be submitted and that final approval shall be considered only after necessary formalities regarding change of name/merger is completed with the concerned Registrar of Companies. | | Not part of Agenda item: | | During discussions, Shri Sankhla, DC(Cus) mentioned that Kandla cdetem has a laboratory for checking of plastic virgin material and the laboratory can provide taining to staff of KASEZ (POs & AOs) in drawing of sample which are sent to approved jab for testing. The Committee decided that Kandla Customs will be requested to arrange the training, as suggested by Shri Sankhla.

f KASEZ (POs & AOs) in drawing of sample which are sent to approved jab for testing. The Committee decided that Kandla Customs will be requested to arrange the training, as suggested by Shri Sankhla. The Committee also decided that DC(Customs) may also send sample to any approved laboratories of CIPET (i.e. other than at Ahmedabad also) without intimation to the concerned | unit. ;

The meeting ended with thanks to all.

| (Mahendra Jain) | | DC, KASEZ. | || Page 7 of 7 |

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