The Tirupur Exporters' Association (TEA) today thanked Union Commerce Minister Nirmala Seetharaman for exempting the 'job working' units from fulfillment of export obligation, under the EPCG scheme, a long pending demand of the exporters.
Job work is to do the work on behalf of other person on the material provided by him.
The notice issued by Director General of Foreign Trade (DGFT) in this regard has come as a great relief to the job working units in Tirupur Cluster, which had been facing problems and were deprived of importing machinery, owing to the new clause under the scheme, TEA President, A Shaktivel said in a statement here.
The job working units are the backbone for the garment exporting units, as only about 30 garment exporting units are having the integrated facilities and others are depending on job working units for their manufacturing activities, he said.
Shaktivel further said, he has sent a letter thanking the Union Commerce Minister for issuing the notice in this regard.
On June 6 last, the TEA had requested the Union Minister to relax the condition imposed under Export Promotion Capital Goods (EPCG) scheme for fulfillment of export obligation by job working units.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)