UPSC Economy
Export Oriented Units (EOU)
Everything on EOUs for Prelims and Mains, in five short pages and one practice quiz.
EOU Meaning, Objectives and Eligibility
An EOU is an approved unit that undertakes to export its production of goods or services, apart from permissible domestic sales.
EOU Approval, Administration and Net Foreign Exchange
EOUs are approved and monitored through the Development Commissioner system, and must achieve positive Net Foreign Exchange earnings.
EOU Benefits and Domestic Tariff Area (DTA) Sales
EOUs receive duty concessions on inputs used for exports, but domestic sales are permitted only within policy limits and with duties.
EOU vs SEZ vs STP/EHTP: Comparison Table
The core distinction: EOU is unit-based, SEZ is area-based, and STP/EHTP are sector-specific schemes within the same FTP chapter as EOUs.
EOU Scheme: History, Performance and Evaluation for Mains
Introduced in 1981 to complement Export Processing Zones, the EOU scheme let export units locate outside zones.
EOU practice quiz (15 MCQs)
Easy, moderate and difficult Prelims-style questions with explanations.
Related: Study Library — trade deficit · Daily quiz