Vizag EOUs see exports surge by10%

The 100 per cent export oriented units (EOUs) in the state have registered a 10 per cent growth in exports during the fiscal ended March 31, 2004.

For the year 2003-04, exports from the 120 EOU units touched Rs 1,600 crore as compared to exports of Rs 1,453 crore from 110 units during the preceding year. The EOUs come under the jurisdiction of the Visakhapatnam Special Economic Zone (VSEZ).

"The pharmaceutical industries and the textile and readymade garment units are mainly responsible for the spurt in exports. In the current year, we are expecting a 20 per cent growth," ASP Sarma, assistant development commissioner of VSEZ, told Business Standard.

The exports by the 100 per cent EOUs in the state were only Rs 245.32 crore during 1993-94 when about 60 units were in operation and thereafter, there was substantial growth both in the number of units as well as the export turnover.

At present, around 20 new units are coming up, out of which some units will start production during this fiscal. "We expect the export turnover to touch Rs 2,000 crore from these EOUs," Sarma said.

Giving statistics, Sarma said that Dr Reddy's Laboratories and Rain Calcining Limited's export turnover dropped in 2003-04.

In the same period, Dr Reddy's export turnover was Rs 246.99 crore and Rain Calcining's export turnover was Rs 181.45 crore, as compared to Rs 300.58 crore and Rs 288.03 crore respectively during the preceding year.

Dr Reddy's Laboratories, Rain Calcining Ltd and Sanghi Spinners are the main contributors to the growth in exports and these three units have contributed around 34 per cent of total exports from the state.