v. The apportionment of quota of yarn, fabric and made-up, of individual units shall be based on the investments under the respective segments, as per the certificate given by the Chartered Accountant/Chartered Engineer/Cost & Works Accountant of the applicant unit.

  vi. The investments made in the spinning, weaving, processing and state-of-the-art processing machinery for the purpose of the allotment of the M.E.E. quotas would be given weightage as follows:

Processing machinery used for fibre/yarn, dyeing/processing will be given weightage of its value coupled with the spinning section machinery(annexure-II) weightage for the allotment of yarn quota.

  vii. Allotments for a given country-category shall be made pro-rata on the basis of the investments (weighted) made in the specified machinery during the base period, by the individual units, vis-à-vis the total investments (weighted) made in such machinery during the base period by all the units applying for quotas under the MEE system. Allotment of the quotas will be made on the following basis :
    (a) For yarn, on the basis of investment made on the spinning section machines;
    (b) For greycloth, on the basis of the investments made on the spinning section machines restricted to the level of investments made in the weaving section machines of matching capacity, plus the investments made in the weaving section machines;
    (c) For processed fabrics, on the basis of the investments made on the spinning section machines restricted to the level of investments made in the weaving section machines of matching capacity, plus the investments made in the weaving section machines and the investments made on the processing section machines; and
    (d) For made-ups, on the basis of the investments made on the spinning section machines restricted to the level of the investments made on the weaving section machines of matching capacity plus the investments made in the weaving, processing and stitching sections machines.
    (e) Applicants who submit their application for country-categories 9 (EU) and 363 (USA)-terry towels, will be given quota on the basis of investments on the spinning section machines restricted to the level of investments made on matching capacity of terry-towel automatic shuttle or shuttleless looms with proportionate investment on the preparatory machines of the full weaving section, plus the investments made on terry towel automatic shuttle or shuttleless looms, proportionate investment on proprietory machinery of weaving section and the investments made on the processing section machines and stitching machines. Terry-towel looms should be clearly specified, mentioning (that these are terry-towel looms). Units which have not installed terry-towel looms under the modernisation programme within the base period will not be considered eligible for quotas for country-categories 9 (EU) and 363 (USA).

  viii. All such units registered as Manufacturer-exporters with the competent registering authorities shall be eligible to participate under this scheme. If no registration or licensing is required, an acknowledgment for the receipt of the Information Memorandum (I.M.), issued by the competent authority, for commercial production, should have been obtained. For a Domestic Tariff Area (DTA) unit, where Industrial Licence (IL) is prescribed, a Letter of Intent (LI) will not be considered. To be eligible in such cases, the LI should have been converted to an Industrial Licence (IL).

  ix. The Executive Director, TEXPROCIL shall intimate to the Quota Administrating Authority concerned, the details of entitlement of the eligible applicants for allocation of quota and administration thereof.

  x. Allotments under this system are not transferable. The allottees shall, at the time of the certification of their shipment, submit proof thereof, viz. AR 4 form, etc., to the satisfaction of the Quota Administering Authority concerned, to the effect that the goods being exported have been manufactured in their production unit concerned and on the specified machines only.

  xi. If the quantity allotted to any applicant in any one country-category is too small, the Executive Director, TEXPROCIL may reallocate such quantity in such a manner that the quantity allotted to each of the applicants is reasonable enough.

  xii. The base period for the MEE quota shall be from the 1st of July 1995 to 30th of June 1999 for the purpose of quotas to be considered for allotment in the year 2000.

  xiii. (a) Category 369 is excluded from this scheme.
    (b) Choice regarding countries/categories:-
Manufacturer-Exporters will be permitted a choice of upto a maximum of five country-categories (being produced in the unit concerned) of yarn, fabrics, processed fabrics and made-ups, of cotton, synthetic and wool, in combination, in the order of priority given by the applicant units in their applications for allotment of quotas under this system. They should submit in separate sheets, in quadruplicate, with their applications the details of their requirements, indicating the country-categories of which they want the quotas. It may be noted that without an exercise of the country-category options in the application, it will not be possible to allot quotas. Therefore, the applications not accompanied by country-category options will be rejected.

4. The provisions in respect of the validity and extension of the validity of quotas shall be the same for the MEE system as are applicable for the Past Performance Entitlement (PPE) System, mutatis mutandis.

5. Two sets of application (in two separate file covers) with the superscription, "Applications for MEE allotment for the year2000" alongwith a choice of country- categories in quadruplicate, should be sent in the prescribed proforma (copy enclosed as annexure-I). The following documents duly attested by the Chief Executive of the applicant unit should be furnished alongwith each copy of the application: (In case of SSI Units, the photocopies of documents must be additionally certified/attested as true copy by a Gazetted officer not below the rank of a Deputy Collector) :-