TDAP to establish EOUs

Karachi: The Trade Development Authority of Pakistan (TDAP) is working on modalities for establishing Export Oriented Units (EOUs) as envisaged by the Trade Policy 2007-08.

The authority has convened a meeting of stakeholders for consultation on Friday to prepare a working paper so that final shape could be given to the scheme.

As per government policy small and medium sized units operating in tariff areas and are engaged in exports up to 80 per cent of their total production could be declared as EOUs so that they could get benefits enjoyed by units in Export Processing Zones or free zones.

The Federal Board of Revenue (FBR) has already prepared draft rules for EOUs but had been delayed in implementing the entire scheme which was causing a lot of anxiety among SMEs who are faced with multiple problems of high cost of production.