EOU Scheme
Export Oriented Unit Scheme or EOU scheme is one of the export promotion schemes of the Government of India and is in existence since 1980. Sector Specific EOU scheme are also known as Software Technology Park (STP) scheme for export of software; or Electronic Hardware Technology (EHTP) Park Scheme for export of electronic Hardware; or Bio-technology Park (BTP) Scheme for export of Biotechnology Products.
Under EOU Scheme, manufacturing or service sector units are allowed to be set up with the purpose of exporting entire production of goods manufactured or services apart from limited sale in Domestic Tariff Area (DTA) as provided under the Foreign Trade Policy (FTP).
The EOU scheme is formulated by Government of India in the Ministry of Commerce & Industry. The provisions of EOU scheme are contained in Chapter 6 of the Foreign Trade Policy (FTP). Establishment of units and their performance is monitored by the jurisdictional Development Commissioner (DC) in accordance with the FTP provisions
