Export normally is effected through Sea, Air, and Land or through post or courier service.
Documents pertaining to this are: Invoice, Packing List, Shipping Bill (For availing the benefits of Duty Draw back Schemes or Duty Free), Marine Insurance Cover, Certificate of Origin, Inspection or Test Certificate.
Other documents that is required after these documents are Airway bill/ Consignment note, Goods receipt note, Bill of Lading, Mate receipt duly stamped by customs, Bank attested invoice, Bank certificate of Export and realization.
The purposes of preparing these documents are:
Declaration of export as per exchange control regulation
Transportation of goods
Customs clearance of goods
Any other purpose.
Documents for Declaration of Goods Under Foreign Exchange Regulation:
In the Statutory Control every exporter has to submit the declaration on specified form supported by evidence as and when required.
Export of goods or services may be made without a declaration is: -
Trade samples of goods, publicity material free of cost
Personal effects of travelers
Goods supplied under Govt of India (Defense purpose)
Goods supplied by the exporter below Rs 25,000.
Way of gift goods but not more than Rs 5 Lakhs.
Goods imported free of cost on re-export basis.
Goods that are permitted for EPZ areas.
Goods sent for testing and to be re-imported in India.
Defective goods sent out of India for re-import.
GR Form: In duplicate for exports.
SDF Form: In duplicate and appended to the Shipping Bill.
PP Form: In duplicate for export by post.
SOFTEX: In triplicate for software export
Where does one get these forms?
RBI or Authorized dealers.
They have distinct colors and
INTERNATIONAL BUSINESS CONTRACTS
In order to avoid any dispute or displeasure in international business it is always suggested to enter into a business contract with the overseas buyer.
Export contract should be:- Carefully drafted but, all relevant and important conditions of the business be entered into.
The different aspects of a business contracts are:-
Product, Standards & Specifications
Total value of the contract
Terms of delivery
Taxes, duties and charges
6. Period of delivery/shipment
Packing/marking and labeling Discount/Commission
Terms of Payment-Amount/Mode & Currency
Licence & Permits
Force Majeure of Contract
The contract is made on the above-mentioned guidelines and normally such printed forms of contracts are mostly available with authorized dealers.
Arbitrator in case of disputes is authorized to carry out the proceedings in privacy and the awards are kept confidential.
Court proceedings do not provide a satisfactory solution to such commercial disputes.
ARRANGEMENTOF FINANCE FOR EXPORTS
Finances for export are provided by commercial banks in two modes.
Pre-shipment finance and (b) Post shipment finance.
Pre shipment finance is given as a working capital and the post shipment finance is given to bridge the gap between the shipment of goods and for realization of business proceeds.
Pre shipment finance will require the following documents:
Confirmed export order/contract or L/C in original.