Setting up manufacturing in India from abroad
MOOWR is one of the few Indian customs schemes that does not ask a new manufacturer to commit to exporting. For a foreign company building a plant in India, that makes it worth understanding early, before the machinery is ordered.
What it offers a foreign manufacturer
- Capital goods and inputs imported with the duty deferred rather than paid at the port
- No export obligation, no minimum investment and no location restriction
- The Indian market and export customers served from the same unit
- Duty on inputs used in exported goods remitted rather than paid
Who holds the licence
The licence is held by the Indian entity that operates the unit, usually a subsidiary, with its own IEC and GST registration.