TO SEND OR TRANSPORT GOODS ABROAD OUR OF A CUSTOMS TERRITORY, TO SERVER THERM FROM THE MASS OF THINGS BELONGING TO ONE COUNTRY WITH THE INTENTION OF UNITING THEM TO THE MASS OF THINGS BELONGING TO A FOREIGN COUNTRY.

IN SIMPLE WORDS GOODS AND SERVICES THAT AREA PRODUCED DOMESTICALLY AND SOLD TO BUYER IN ANOTHER COUNTRY.


OR

GOODS OR ANY ARTICLES OF TRADE OR COMMERCE SENT OUT OF A COUNTRY TO ANOTHER COUNTRY.

EXPORT PROCEDURES

REGISTRATION FOR EXPORT / IMPORT

ALL INTENDING IMPORTER / EXPORTER ARE REQUIRE TO REGISTER THEMSELVES WITH DGFT (DIRECTORATE GENERAL OF FOREIGN TRADE) FOR OBTAINING IMPORTER  - EXPORTER CODE NUMBER i.e. I.E.C NUMBER

CONCERNED EXPORT PROMOTION COUNCILS / FEDERATION OF INDIAN EXPORT ORGANIZATION FOR OBTAINING REGISTRATION CUM MEMBERSHIP CERTIFICATE (RCMC).

REGISTRATION WITH VALUE ADDED TAX AUTHORITIES.

REGISTRATION WITH CENTRAL EXCISE AUTHORITIES.

IMPOTER EXPORTER CODE NUMBER (IEC)
NO PERSON IS ALLOWED TO EXPORT OR IMPORT GOODS WITHOUT OBTAINING AN IMPORTER - EXPORTER  CODE NUMBER FROM THE REGIONAL AUTHORITY, UNLESS SPECIFICALLY EXEMPTED UNDER ANY OTHER PROVISION OF FOREIGN TRADE POLICY.

EXPORTER OF GOODS TO NEPAL OR MYANMAR THROUGH INDO - MYANMAR BORDER AREAS ARE EXEMPTED PROVIDED THAT THE CIF VALUE PER CONSIGNMENT IS BELOW Rs. 25000.00.

APPLICATION FOR GRANT OF IEC NUMBER 

AN APPLICATION FOR GRANT OF IEC NUMBER SHALL BE MADE BY THE REGISTERED OFFICE / HEAD OFFICE IN CASE OF THE COMPANY OR HEAD OFFICE IN CASE OF FOTHERS FILLS IN THE AYYAT - NIRYAT FORM AND SHALL BE ACCOMPANIED BY:

 * DD OR BANK RECEIPT FOR Rs. 1000.00.

 * SALES TAX REGISTRATION CERTIFICATE OR PASSPORT COPY (FOR AN INDIVIDUAL) OR COPY OF THE LEGAL AUTHORITY LETTER WHEN THE APPLICATION IS SIGNED BY AN AUTHORIZED SIGNATORY.

 * CERTIFICATE FROM BANKER OF THE FIRM AS REQUIRED.

 * A COPY OF PAN CARD DULY ATTESTED, COPIES OF PASSPORT SIZE PHOTOGRAPH ETC.

THE REGIONAL OFFICE CONCERNED WILL GRANT AN IEC NUMBER TO THE APPLICANT IN THE PRESCRIBED FORMAT.  A COPY OF SUCH CERTIFICATE SHALL ALSO BE ENDORSED TO THE BANKER.

AN IEC NUMBER ALLOTED SHALL BE VALID FOR ALL ITS BRANCHES / DIVISIONS / UNITS / FACTORIES AS INDICATED ON THE IEC NUMBER CERTIFICATE.

TO FACILITATE COLLECTION OF LICENSE / OTHER DOCUMENTS, IDENTITY CARDS ARE ISSUED BY REGIONAL AUTHORITY TO THE AUTHORIZED REPRESENTATIVE OF THE APPLICANT.

REGISTRATION WITH EXPORT PROMOTION COUNCIL  / COMMODITY BOARD / AUTHORITIES.

TO ENABLE EXPORTER AVAIL OF BENEFITS / CONCESSIONS GIVEN UNDER THE FTP, THEY ARE REQUIRED TO REGISTER WITH CONCERNED EPC / C.B / ORAUTHORITY AND OBTAIN AN REGISTRATION  - CUM MEMBERSHIP CERTIFICATE (RCMC).

THE THE EXPORTER IS REQUIRED TO APPLY IN THE PRESCRIBED FORMAT TO EPC RELATING TO THEIR MAIN LINE OF BUSINESS.

STATUS HOLDER CAN ALSO OBTAIN RCMS FROM FIEO.

APPLICATION FOR OBTAINING RCMC TO BE MADE IN PRESCRIBED MANNER & ACCOMPAINED BE IEC CODE NUMNER. IF APPLICATION IS GRANTED EPC OR FIEO WILL GRANT STATUS OF THE EXPORTER AS MERCHANT EXPORTER OR MANUFACTURER EXPORTER.

REGISTRATION WITH VALUE ADDED TAX AUTHORITIES (VAT)

GOODS WHICH ARE TO BE SHIPPED OUT OF THE COUNTRY FOR EXPORTS ARE ELIGIBLE FOR EXEMPTION FROM BOTH VAT & CST.

FOR THIS EXPORTERS ARE REQUIRED TO REGISTER THEMSELVES WITH THE VAT AUTHORITIES OF THE STATE IN WHICH THE ARE LOCATED.

THE REGISTRATION HAS TO BE DONE IN THE MANNER PRESCRIBED BY THE STATE VAT AUTHORITIES.

REGISTRATION WITH CENTRAL EXCISE AUTHORITIES

GOODS MEANT FOR EXPORT ARE EXEMPTED FROM CED.

FOR THIS THE MANUFACTURER HAS TWO OPTIONS:

EITHER THEY CAN DEPOSITE CED AT THE TIME OF CLEARANCE FROM FACTORY.

OR TAKE REFUND OR AVAIL PROCEDURE FOR EXPORT OF GOODS WITHOUT PAYMENT AT THE TIME OF CLEARANCE.

OBTAINING PAN

EXPORTER AND IMPORTER WHO OBTAIN THE IEC NUMBER ARE ALSO REQUIRED TO OBTAIN PAN. AN APPLICATION IN FORM NUMBER 49 A HAS TO BE SUBMITTED.

OTHER REGISTRATIONS

ANY EXPORTER WHO WANTS TO EXPORT HIS GOODS NEEDS TO OBTAIN PAN BASED BUSINESS IDENTIFICATION NUMBER (BIN) FROM DGFT PRIOR TO FILLING OF SHIPPING BILL FOR CLEARANCE OF EXPORT GOODS.

THE EXPORTER MUST ALSO REGISTER THEMSELVES TO THE AUTHORIZED FOREIGN EXCHANGE DEALER CODE & OPEN A CURRENT ACCOUNT IN THE DESIGNATED BANK FOR CREDIT OF ANY DRAWBACK INCENTIVE.

ALL EXPORTER INTENDING TO EXPORT UNDER EXPORT PROMOTION SCHEMES NEED TO GET THEIR LICENSES, DEEC BOOKS ETC.

PROFORMA INVOICE

• THE STARTING POINT OF THE EXPORT CONTRACT IS IN THE FORM OF OFFER MADE BY THE EXPORTER TO THE FOREIGN CUSTOMER.

• THE OFFER MADE BY THE CUSTOMER IS IN THE FORM OF THE PROFORMA INVOICE.

• IT IS A QUOTATION GIVEN AS A REPLY TO AN ENQUIRY.

• IT NORMALLY FORMS THE BASIS OF ALL TRADE TRANSACTIONS & ENABLES IMPORTER TO OBTAIN IMPORT LICENSE, IF REQUIRED.

CONTENTS OF PROFORMA INVOICE ARE GENERALLY THE FOLLOWING:

–NAME & ADDRESSES OF EXPORTER & IMPORTER
–MODE OF TRANSPORTATION, PORT OF DISCHARGE, FINAL DESTINATION
–BUYER’S & SELLER'S REFERENCE NUMBERS / DATES
–DESCRIPTION OF THE GOODS, MODE OF PACKING, TOTAL NUMBER OF PACKAGES, EXPECTED TOTAL WEIGHT ETC.
–ORIGIN OF GOODS
–PRICE OFFER ON FOB & CIF BASIS
–BASIC TERMS & CONDITIONS OF SALE.

COMMERCIAL INVOICE

• COMMERCIAL INVOICE IS THE BASIC EXPORT DOCUMENT & CONTAINS ALL INFORMATION REQUIRED FOR MAKING OTHER DOCUMENTS.

• IT IS PREPARED BY THE EXPORTER AFTER THE EXECUTION OF THE EXPORT ORDER GIVING DETAILS ABOUT THE GOODS SHIPPED

• IT SHOULD BE ADDRESSED TO THE CONSIGNEE AS PER THE LETTER OF CREDIT.

• IT IS THE BASIC EVIDENCE OF THE ‘CONTRACT OF SALE’ OR PURCHASE & THEREFORE MUST BE PREPARED STRICTLY IN ACCORDANCE TO THE TERMS 7 CONDITIONS MUTUALLY AGREED BETWEEN THE BUYER & SELLER.

• IT SHOULD CONTAIN BASIC DETAILS AS IN THE PROFORMA INVOICE, THE DETAILED DESCRIPTION OF GOODS, AS WELL AS THE FINAL PACKING LISTS AND THE MARKINGS ON PACKAGES PLUS DETAILS OF SHIPMENT OF GOODS, NAME & NUMBER OF VESSEL/ VOYAGE.

• THIS DOCUMENT IS USED FOR VARIOUS EXPORT FORMALITIES, INCENTIVE CLAIMS, NEGOTIATION OF DOCUMENTS , ACCOUNTING ETC.

CERTIFICATE OF ORIGIN

• THE IMPORTERS IN SEVERAL COUNTRIES REQUIRE A CERTIFICATE OF ORIGIN WITHOUT WHICH CLEARANCES TO IMPORT IS REFUSED.

• THE CERTIFICATE OF ORIGIN STATES THAT THE GOODS EXPORTED ARE ORIGINALLY MANUFACTURED IN THE COUNTRY WHOSE NAME IS MENTIONED IN THE CERTIFICATE.

• CERTIFICATES OF ORIGIN ARE REQUIRED WHEN:

– GOODS PRODUCED IN A PARTICULAR COUNTRY ARE SUBJECT TO PREFERENTIAL TARIFF RATES IN THE FOREIGN MARKET AT THE TIME OF IMPORTATION.

– THE GOODS PRODUCED IN A PARTICULAR COUNTRY ARE BANNED FOR IMPORT IN THE FOREIGN MARKET.
TYPES OF CERTIFICATE OF ORIGIN1

• (1) CERTIFICATE OF ORIGIN FOR AVAILING CONCESSIONS UNDER GSP :

– REQUIRED BY COUNTRIES LIKE FRANCE,GERMANY, ITALY, BENELUX COUNTRIES,UK, AUSTRALIA, JAPAN, USA ETC., WHICH EXTEND GSP BENEFITS & ARE ISSUED BY SPECIALIZED AGENCIES LIKE:

  • EXPORT INSPECTION AGENCIES
  • JOINT DGFT, COMMODITY BOARDS & THEIR REGIONAL OFFICES
  • DEVELOPMENT COMMISSIONER, HANDICRAFTS
  • TEXTILE COMMITTEE FOR TEXTILES
  • MARINE PRODUCT EXPORT DEVELOPMENT AUTHORITY FOR MARINE PRODUCTS.
  • DEVELOPMENT COMMISSIONER FOR EPZS