In this presentation, we will discuss about the procedure of importing goods, acquiring licenses, various types of licenses, import evidence, acquisition of foreign currency. WE will also discuss about the rules and restrictions of import and exports.
To know more about Welingkar School’s Distance Learning Program and courses offered, visit: http://www.welingkaronline.org/distance-learning/online-mba.html
OBJECTIVE
Import of all kinds of goods and on the export of goods on certain situations attracts customs duty. The Customs Act,1962 contains provisions which govern the levy of customs duty. In this webinar, we shall understand the types customs duty levied and the duty drawback allowed under the customs law.
This document defines and describes various types of entities involved in international trade from India. It explains that manufacturer exporters produce and export their own goods. Merchant exporters act as middlemen between Indian producers and foreign buyers. Export houses must be registered and hold an export certificate. Star trading houses and star export houses are recognized for high export performance. Other entities discussed include trading houses, canalizing agencies, state export corporations, export consortia, and government trading corporations.
The document discusses export promotion in India. It describes how the Government of India established Export Promotion Councils (EPCs) and other institutions to promote and assist Indian exports. EPCs are responsible for specific industries and products. They provide registration, market information, trade fair participation and other support services to exporters. Key EPCs include those for various commodities, textiles, engineering goods and autonomous bodies like APEDA and NAFED.
The document discusses India's customs laws and procedures. It notes that customs duties were established in 1786 with the creation of a board of revenue in Calcutta. Over time, various acts standardized customs duties and procedures, including the Customs Act of 1962 and Customs Tariff Act of 1975. Customs aims to generate government revenue, protect domestic industries, and prevent smuggling. Goods are subject to customs checks and duty assessments when imported or exported. Drawback allows refunds or rebates of customs duties paid on goods that are later exported.
1) The document outlines the 8-step procedure for importing goods into India, including obtaining an import license, procuring foreign exchange, placing orders, obtaining shipping documents, clearing customs, and making payment.
2) Key steps include obtaining an import license depending on the importer category, applying to exchange banks to release foreign currency, dispatching letters of credit to exporters, collecting shipping documents from exporters, and completing customs formalities and payments.
3) Importers must follow strict regulations set by the government and Reserve Bank of India regarding licenses, foreign exchange, customs, and payments for imported goods.
Import - Export Policy of India(EXIM POLICY)Sandip Besra
policies in the sphere of Foreign trade i.e. with respect to import & export from the country and more especially export promotion measures, policies and procedure related there to.
The document summarizes India's foreign trade policy. It outlines the key objectives of the policy which include developing export potential, improving export performance, and creating a favorable balance of payments. The major features of the policy are tariffs, import quotas, and export subsidies. The policy is regulated by the Directorate General of Foreign Trade and aims to raise India's share of world exports. Potential advantages include optimal resource use and employment generation, while disadvantages can include economic dependence and restriction of domestic industries.
The document discusses India's institutional infrastructure for export promotion. It outlines the various government organizations that work to promote exports, including the Department of Commerce, Export Promotion Councils, Commodity Boards, autonomous bodies like APEDA and MDEDA, and state-level export promotion agencies. The roles of these institutions include creating export awareness, providing assistance and incentives to exporters, addressing trade barriers, and facilitating international marketing operations.
OBJECTIVE
Import of all kinds of goods and on the export of goods on certain situations attracts customs duty. The Customs Act,1962 contains provisions which govern the levy of customs duty. In this webinar, we shall understand the types customs duty levied and the duty drawback allowed under the customs law.
This document defines and describes various types of entities involved in international trade from India. It explains that manufacturer exporters produce and export their own goods. Merchant exporters act as middlemen between Indian producers and foreign buyers. Export houses must be registered and hold an export certificate. Star trading houses and star export houses are recognized for high export performance. Other entities discussed include trading houses, canalizing agencies, state export corporations, export consortia, and government trading corporations.
The document discusses export promotion in India. It describes how the Government of India established Export Promotion Councils (EPCs) and other institutions to promote and assist Indian exports. EPCs are responsible for specific industries and products. They provide registration, market information, trade fair participation and other support services to exporters. Key EPCs include those for various commodities, textiles, engineering goods and autonomous bodies like APEDA and NAFED.
The document discusses India's customs laws and procedures. It notes that customs duties were established in 1786 with the creation of a board of revenue in Calcutta. Over time, various acts standardized customs duties and procedures, including the Customs Act of 1962 and Customs Tariff Act of 1975. Customs aims to generate government revenue, protect domestic industries, and prevent smuggling. Goods are subject to customs checks and duty assessments when imported or exported. Drawback allows refunds or rebates of customs duties paid on goods that are later exported.
1) The document outlines the 8-step procedure for importing goods into India, including obtaining an import license, procuring foreign exchange, placing orders, obtaining shipping documents, clearing customs, and making payment.
2) Key steps include obtaining an import license depending on the importer category, applying to exchange banks to release foreign currency, dispatching letters of credit to exporters, collecting shipping documents from exporters, and completing customs formalities and payments.
3) Importers must follow strict regulations set by the government and Reserve Bank of India regarding licenses, foreign exchange, customs, and payments for imported goods.
Import - Export Policy of India(EXIM POLICY)Sandip Besra
policies in the sphere of Foreign trade i.e. with respect to import & export from the country and more especially export promotion measures, policies and procedure related there to.
The document summarizes India's foreign trade policy. It outlines the key objectives of the policy which include developing export potential, improving export performance, and creating a favorable balance of payments. The major features of the policy are tariffs, import quotas, and export subsidies. The policy is regulated by the Directorate General of Foreign Trade and aims to raise India's share of world exports. Potential advantages include optimal resource use and employment generation, while disadvantages can include economic dependence and restriction of domestic industries.
The document discusses India's institutional infrastructure for export promotion. It outlines the various government organizations that work to promote exports, including the Department of Commerce, Export Promotion Councils, Commodity Boards, autonomous bodies like APEDA and MDEDA, and state-level export promotion agencies. The roles of these institutions include creating export awareness, providing assistance and incentives to exporters, addressing trade barriers, and facilitating international marketing operations.
The document provides an overview of import-export management and policy in India. It discusses key concepts related to international trade including imports, exports, entreport trade, and foreign trade. It also outlines India's simplification of export-export documentation through the introduction of a single online application form. The document then covers various topics related to international marketing environment, trade barriers, export-import financing procedures, required documentation, and processing of an export order.
This document discusses three methods of pre-shipment inspection: consignment-wise inspection, in-process quality control, and self-certification. Consignment-wise inspection involves inspecting each export consignment before shipment. In-process quality control allows continuous process industries to conduct their own inspections if they have the required quality control infrastructure. Self-certification allows reputable manufacturers with a proven quality track record to issue their own inspection certificates. The document outlines the procedures for obtaining inspection certificates under each method.
Customs regulations differ by country and govern the import and export of goods between countries. Certain items are prohibited, and duties must be paid on items exceeding allowance limits. India's customs regulations aim to prevent illegal trade and extend nationwide, dividing arriving passengers into green and red channels depending on whether they have dutiable goods. Tourists are allowed duty-free import of used personal effects and gifts up to specified value limits, with some variation based on nationality, and can export some personal electronics, sports equipment, and limited quantities of alcohol, tobacco, and currency. Strict controls govern import and export of restricted items like firearms, wild animals, and narcotics.
The document provides an overview of India's foreign trade, including its composition, direction, and the country's foreign trade policy. It discusses the major commodity sectors for India's exports and imports. It also examines the direction of India's foreign trade in terms of key trading partners and groups. The document then outlines India's foreign trade policy framework, including the objectives and highlights of the Foreign Trade Policy 2015-2020. It discusses the legal framework governing foreign trade and various committees that have shaped trade policy. Finally, it provides context on FERA and its replacement by FEMA in regulating foreign exchange transactions in India.
The document summarizes various export promotion incentives and policies available to Indian exporters, including tax exemptions, duty drawbacks, import concessions, and special economic zones. It discusses sales tax/VAT exemptions, excise exemptions, duty drawback rates, income tax concessions, import concessions like the Export Promotion Capital Goods Scheme and Duty Free Import Authorization Scheme, and special zones like Special Economic Zones, Export Oriented Units, and Software Technology Parks that provide tax holidays and other benefits.
India's foreign trade is dominated by a few key sectors. Major exports include petroleum products, gems and jewelry, engineering goods and chemicals. Major imports include crude oil, gold, machinery, fertilizers and pearls. Over time the composition has shifted from mainly agricultural goods to now include more manufactured products in both exports and imports. The main trading partners for both exports and imports are countries in Asia, Europe and North America. India's foreign trade policy aims to promote exports and make trade a contributor to economic growth and development.
The document discusses India's foreign trade policy and expectations for the new policy 2021-2026. Some key points:
- The current policy extended due to COVID was set to expire but has been extended again until September 2022.
- The new policy is eagerly awaited to help the economy recover from the pandemic's effects and boost exports, which are key to the projected 7.3% growth in 2021.
- Stakeholders expect the new policy to include WTO-compliant tax incentives, improved infrastructure, less subsidies and more support for skills and technology, digitization initiatives, and greater awareness of trade opportunities to make Indian exports more competitive.
The document outlines key aspects of India's Foreign Trade Policy which is announced every five years by the Ministry of Commerce. The current policy for 2009-2014 aims to double India's exports by 2014 and share in global trade by 2020 in order to arrest the declining export trend and boost foreign exchange earnings. It introduces various incentive schemes focused on sectors like agriculture, textiles, leather and gems to promote exports and employment.
This document provides an overview of recent trends in India's foreign trade since 2000. It discusses India's foreign trade policy, the importance of foreign trade, documents used in foreign trade transactions, key features of India's foreign trade, benefits and limitations of foreign trade, and India's export and import performance by key commodities and countries. The conclusion is that India's foreign trade has undergone positive changes since implementing its foreign trade policy in 2000, with exports and imports among foreign countries increasing and becoming more secure, helped by the establishment of special economic zones.
This document provides an overview of Export Oriented Units (EOUs) in India. EOUs were established to boost exports by enabling additional production capacity with minimum value addition. Their key objectives are to transfer latest technologies and stimulate direct foreign investment. EOUs are required to achieve a positive net foreign exchange over 5 years and maintain input/output norms. In return, EOUs receive benefits like duty-free imports, excise and sales tax exemptions, ability to sell in the local market, and 100% foreign ownership. Major sectors for EOUs include food processing and coffee.
The document discusses India's export and import policies. It provides definitions of key terms like export, import, and trade balance. It outlines the various types of exports and imports, the role of government in promoting trade, and processes involved like market analysis, financing, and regulations. It also summarizes India's export-import policies from 2009-2014, objectives to double exports and trade share, and provides trade statistics.
The success of export promotions can be judged from the growth of exports and the dynamism of the export sector. An effective export promotion should compensate for the disadvantages of the national exporters and should make the export business profitable enough to lure entrepreneurs to this sector.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/ZEcPAc
The document discusses various import procedures and financing methods. It begins by outlining the key steps in the import process: 1) obtaining licenses, 2) placing orders and sending indents, 3) obtaining foreign exchange, 4) arranging payment, and 5) paying customs duties. It then examines various payment methods including letters of credit, documentary collections, cash-in-advance, and open accounts. It also discusses bills of lading and the roles of various parties in a letter of credit transaction.
Key Takeaways:
Export Promotion Schemes in India
Analysis of WTO' Ruling
Schemes adopted by Member Nations
Alternatives to Export Promotion Schemes
Way forward
This document discusses India's duty drawback procedures. Duty drawback allows exporters to obtain a refund of customs duties paid on imported goods that are later exported or incorporated into exported goods. It is governed by the Customs Act of 1962 and aims to promote exports. There are two categories of duty drawback: drawback on re-exported imported goods and drawback on goods manufactured from imported materials for export. Exporters must follow certain procedures to claim duty drawback, including endorsing shipping bills and retaining claims, and there are also rules around payment and recovery of drawback amounts.
This document discusses Export Promotion Councils (EPC) in India. EPCs were set up by the Government of India to promote and support Indian firms in international markets. Their objectives are to project India as a reliable supplier, monitor adherence to international standards, keep members informed of trends and opportunities abroad, and offer advice on technology, quality and design upgrades. EPCs work to increase participation in trade fairs, provide useful export information and assistance to members, and organize visits and interactions to explore new overseas opportunities and promote exports. They collect and distribute new export opportunities to members through various communications channels.
The document discusses customs duties in India. It outlines that [1] customs duties are levied on imports and exports according to the Customs Act of 1962 and Customs Tariff Act of 1975, [2] basic customs duty is charged on all imported goods at rates specified in the Customs Tariff Act, and [3] additional duties include an additional countervailing duty equal to internal excise duties and an education cess.
The document outlines several Indian government export promotion schemes. It discusses schemes that provide duty credits or exemptions for exports of goods and services. These include the Served From India Scheme for service exports, Vishesh Krishi and Gram Udyog Yojana for agricultural and village industry exports, and Focus Market Scheme, Focus Product Scheme, and Market Linked Focus Products Scrip for specific export products and markets. It also describes Duty Exemption and Remission Schemes as well as the Export Promotion Capital Goods Scheme. Special focus is given to initiatives supporting market diversification, technological upgrading, status holders, and sectors like agriculture, handlooms, gems and jewelry, and electronics.
In this presentation, we will discuss about Instruments of Foreign Trades, focusing on the details of documents used, bills, insurance policies, claims, bills of exchange, invoices, certificates, packing lists.
To know more about Welingkar School’s Distance Learning Program and courses offered, visit: http://www.welingkaronline.org/distance-learning/online-mba.html
This document provides information on import and export procedures and documentation in India. It discusses the key steps in the import process, including trade enquiry, obtaining an import license, acquiring foreign exchange, opening a letter of credit, obtaining necessary documents, customs formalities, payment, and closing the transaction. Similarly, it outlines the export process and various pre-shipment documents, shipping documents, regulatory documents, and other auxiliary documents involved. The document aims to explain the standardized documentation requirements and procedures for imports and exports according to Indian laws and regulations.
The document provides an overview of import-export management and policy in India. It discusses key concepts related to international trade including imports, exports, entreport trade, and foreign trade. It also outlines India's simplification of export-export documentation through the introduction of a single online application form. The document then covers various topics related to international marketing environment, trade barriers, export-import financing procedures, required documentation, and processing of an export order.
This document discusses three methods of pre-shipment inspection: consignment-wise inspection, in-process quality control, and self-certification. Consignment-wise inspection involves inspecting each export consignment before shipment. In-process quality control allows continuous process industries to conduct their own inspections if they have the required quality control infrastructure. Self-certification allows reputable manufacturers with a proven quality track record to issue their own inspection certificates. The document outlines the procedures for obtaining inspection certificates under each method.
Customs regulations differ by country and govern the import and export of goods between countries. Certain items are prohibited, and duties must be paid on items exceeding allowance limits. India's customs regulations aim to prevent illegal trade and extend nationwide, dividing arriving passengers into green and red channels depending on whether they have dutiable goods. Tourists are allowed duty-free import of used personal effects and gifts up to specified value limits, with some variation based on nationality, and can export some personal electronics, sports equipment, and limited quantities of alcohol, tobacco, and currency. Strict controls govern import and export of restricted items like firearms, wild animals, and narcotics.
The document provides an overview of India's foreign trade, including its composition, direction, and the country's foreign trade policy. It discusses the major commodity sectors for India's exports and imports. It also examines the direction of India's foreign trade in terms of key trading partners and groups. The document then outlines India's foreign trade policy framework, including the objectives and highlights of the Foreign Trade Policy 2015-2020. It discusses the legal framework governing foreign trade and various committees that have shaped trade policy. Finally, it provides context on FERA and its replacement by FEMA in regulating foreign exchange transactions in India.
The document summarizes various export promotion incentives and policies available to Indian exporters, including tax exemptions, duty drawbacks, import concessions, and special economic zones. It discusses sales tax/VAT exemptions, excise exemptions, duty drawback rates, income tax concessions, import concessions like the Export Promotion Capital Goods Scheme and Duty Free Import Authorization Scheme, and special zones like Special Economic Zones, Export Oriented Units, and Software Technology Parks that provide tax holidays and other benefits.
India's foreign trade is dominated by a few key sectors. Major exports include petroleum products, gems and jewelry, engineering goods and chemicals. Major imports include crude oil, gold, machinery, fertilizers and pearls. Over time the composition has shifted from mainly agricultural goods to now include more manufactured products in both exports and imports. The main trading partners for both exports and imports are countries in Asia, Europe and North America. India's foreign trade policy aims to promote exports and make trade a contributor to economic growth and development.
The document discusses India's foreign trade policy and expectations for the new policy 2021-2026. Some key points:
- The current policy extended due to COVID was set to expire but has been extended again until September 2022.
- The new policy is eagerly awaited to help the economy recover from the pandemic's effects and boost exports, which are key to the projected 7.3% growth in 2021.
- Stakeholders expect the new policy to include WTO-compliant tax incentives, improved infrastructure, less subsidies and more support for skills and technology, digitization initiatives, and greater awareness of trade opportunities to make Indian exports more competitive.
The document outlines key aspects of India's Foreign Trade Policy which is announced every five years by the Ministry of Commerce. The current policy for 2009-2014 aims to double India's exports by 2014 and share in global trade by 2020 in order to arrest the declining export trend and boost foreign exchange earnings. It introduces various incentive schemes focused on sectors like agriculture, textiles, leather and gems to promote exports and employment.
This document provides an overview of recent trends in India's foreign trade since 2000. It discusses India's foreign trade policy, the importance of foreign trade, documents used in foreign trade transactions, key features of India's foreign trade, benefits and limitations of foreign trade, and India's export and import performance by key commodities and countries. The conclusion is that India's foreign trade has undergone positive changes since implementing its foreign trade policy in 2000, with exports and imports among foreign countries increasing and becoming more secure, helped by the establishment of special economic zones.
This document provides an overview of Export Oriented Units (EOUs) in India. EOUs were established to boost exports by enabling additional production capacity with minimum value addition. Their key objectives are to transfer latest technologies and stimulate direct foreign investment. EOUs are required to achieve a positive net foreign exchange over 5 years and maintain input/output norms. In return, EOUs receive benefits like duty-free imports, excise and sales tax exemptions, ability to sell in the local market, and 100% foreign ownership. Major sectors for EOUs include food processing and coffee.
The document discusses India's export and import policies. It provides definitions of key terms like export, import, and trade balance. It outlines the various types of exports and imports, the role of government in promoting trade, and processes involved like market analysis, financing, and regulations. It also summarizes India's export-import policies from 2009-2014, objectives to double exports and trade share, and provides trade statistics.
The success of export promotions can be judged from the growth of exports and the dynamism of the export sector. An effective export promotion should compensate for the disadvantages of the national exporters and should make the export business profitable enough to lure entrepreneurs to this sector.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/ZEcPAc
The document discusses various import procedures and financing methods. It begins by outlining the key steps in the import process: 1) obtaining licenses, 2) placing orders and sending indents, 3) obtaining foreign exchange, 4) arranging payment, and 5) paying customs duties. It then examines various payment methods including letters of credit, documentary collections, cash-in-advance, and open accounts. It also discusses bills of lading and the roles of various parties in a letter of credit transaction.
Key Takeaways:
Export Promotion Schemes in India
Analysis of WTO' Ruling
Schemes adopted by Member Nations
Alternatives to Export Promotion Schemes
Way forward
This document discusses India's duty drawback procedures. Duty drawback allows exporters to obtain a refund of customs duties paid on imported goods that are later exported or incorporated into exported goods. It is governed by the Customs Act of 1962 and aims to promote exports. There are two categories of duty drawback: drawback on re-exported imported goods and drawback on goods manufactured from imported materials for export. Exporters must follow certain procedures to claim duty drawback, including endorsing shipping bills and retaining claims, and there are also rules around payment and recovery of drawback amounts.
This document discusses Export Promotion Councils (EPC) in India. EPCs were set up by the Government of India to promote and support Indian firms in international markets. Their objectives are to project India as a reliable supplier, monitor adherence to international standards, keep members informed of trends and opportunities abroad, and offer advice on technology, quality and design upgrades. EPCs work to increase participation in trade fairs, provide useful export information and assistance to members, and organize visits and interactions to explore new overseas opportunities and promote exports. They collect and distribute new export opportunities to members through various communications channels.
The document discusses customs duties in India. It outlines that [1] customs duties are levied on imports and exports according to the Customs Act of 1962 and Customs Tariff Act of 1975, [2] basic customs duty is charged on all imported goods at rates specified in the Customs Tariff Act, and [3] additional duties include an additional countervailing duty equal to internal excise duties and an education cess.
The document outlines several Indian government export promotion schemes. It discusses schemes that provide duty credits or exemptions for exports of goods and services. These include the Served From India Scheme for service exports, Vishesh Krishi and Gram Udyog Yojana for agricultural and village industry exports, and Focus Market Scheme, Focus Product Scheme, and Market Linked Focus Products Scrip for specific export products and markets. It also describes Duty Exemption and Remission Schemes as well as the Export Promotion Capital Goods Scheme. Special focus is given to initiatives supporting market diversification, technological upgrading, status holders, and sectors like agriculture, handlooms, gems and jewelry, and electronics.
In this presentation, we will discuss about Instruments of Foreign Trades, focusing on the details of documents used, bills, insurance policies, claims, bills of exchange, invoices, certificates, packing lists.
To know more about Welingkar School’s Distance Learning Program and courses offered, visit: http://www.welingkaronline.org/distance-learning/online-mba.html
This document provides information on import and export procedures and documentation in India. It discusses the key steps in the import process, including trade enquiry, obtaining an import license, acquiring foreign exchange, opening a letter of credit, obtaining necessary documents, customs formalities, payment, and closing the transaction. Similarly, it outlines the export process and various pre-shipment documents, shipping documents, regulatory documents, and other auxiliary documents involved. The document aims to explain the standardized documentation requirements and procedures for imports and exports according to Indian laws and regulations.
LIST OF DOCUMENTS AND PROCEDURE OF EXPORTSSaloni Aul
This document discusses international marketing procedures and documentation for exports. It begins by defining exports as goods produced in one country and shipped to another for sale or trade. Some key points include:
- Commercial documents needed for exports include invoices, bills of lading, airway bills, bills of exchange, and letters of credit.
- Regulatory documents include those for registration and shipment like shipping bills and marine insurance policies.
- Assistance documents allow exporters to avail incentives, including applications for registration and documents needed to claim duty drawbacks.
- Importing countries may require consular invoices, certificates of origin, customs invoices, and certified invoices from exporters.
The document concludes by outlining the export procedure
AD Category I Banks may allow advance remittance for import payments without bank guarantees or standby LOCs up to certain limits:
- For goods imports: USD 5 million for reputed importers with good track record.
- For rough diamond imports: No limit for recognized mining companies.
- For aircraft/helicopter imports: USD 50 million for permitted entities, USD 5 million for others.
- For service imports: Require bank guarantee for amounts over USD 200,000 equivalent.
Advance payments must follow sale contract terms and be directly to supplier accounts. Imports must be physically made within specified timelines. AD banks must follow KYC norms, create ORMs in IDPMS, and
Objectives & Agenda :
The Regulations under FEMA regulate the Import transactions of Goods, Services and Currencies. In this Webinar we shall understand the Definition of the term 'Import', 'Services' and 'Currencies'. We will also look at various procedures and compliances involved while Importing goods or services or currencies.
This document provides information on export procedures and documentation in India. It discusses the key types of exports (physical and deemed), types of exporters (manufacturer and merchant), and the various documents required for export including commercial documents and regulatory documents. The commercial documents discussed in detail are the commercial invoice, inspection certificate, and marine insurance policy. The commercial invoice provides important shipment details, the inspection certificate confirms quality standards are met, and marine insurance protects goods in transit.
This document provides an overview of provisions relating to Non-Resident Indians (NRIs) under the Foreign Exchange Management Act (FEMA) and the Income Tax Act, 1961. It discusses key topics such as the definitions of NRIs under both acts, residential status, transactions permitted for NRIs like acquiring shares/property and remittances. The presentation also outlines professional opportunities for NRIs under FEMA regulations. Key sections of FEMA governing NRI transactions and related schedules specifying permitted, prohibited and restricted transactions are summarized.
This document provides an overview of factoring and forfaiting processes used in international trade finance. It discusses that factoring involves the sale of book debts or invoices by an exporter to a factor, who provides financing and collects payment. Forfaiting involves the purchase of export receivables by a financial intermediary without recourse to the exporter. The key differences are that factoring may involve credit risk transfer, while forfaiting is done on a non-recourse basis. Both tools help companies raise working capital by discounting outstanding receivables. The document outlines the various parties, documents, costs and applicable regulations for these financial services.
This document provides an overview of import procedures. It discusses the key steps, including obtaining an import license, procuring foreign exchange, placing orders, obtaining necessary documents, clearing goods through customs, and making payment. The main types of imports are industrial/consumer goods and intermediate goods/services. An import's balance of trade represents the difference between import and export values, with a trade deficit occurring when imports are larger than exports.
The document discusses various modes of entry into international business, including export trade, import trade, contract manufacturing, licensing, franchising, joint ventures, and wholly owned subsidiaries. Export trade involves selling goods and services to foreign firms, while import trade is purchasing goods and services from foreign firms. Contract manufacturing involves outsourcing production to foreign firms. Licensing and franchising allow firms to profit from their intellectual property through fees and royalties paid by foreign partners. Joint ventures and wholly owned subsidiaries establish ongoing foreign operations through partnerships or full ownership of foreign subsidiaries.
The document discusses various export promotion schemes and fiscal incentives in India. It outlines schemes that provide duty exemptions or remissions on imports of inputs for export production, including Advance Authorizations, Duty Free Import Authorizations, and Duty Entitlement Passbook schemes. It also discusses duty drawback schemes that provide refunds of import duties on raw materials. Other topics covered include Export Promotion Capital Goods scheme, excise duty refunds, income tax exemptions, and marketing assistance available to exporters in India.
Overview of international banking businessshivangi1991
International banking involves facilitating cross-border transactions related to trade, remittances, and capital flows. It encompasses trade financing through methods like letters of credit, collections, and advances. It also includes managing foreign exchange transactions and maintaining correspondent banking relationships. International banks help support a country's trade performance by providing export financing through pre-shipment and post-shipment credits. Regulations from authorities like RBI and guidelines from organizations like FEDAI must be followed for international banking operations.
The document outlines the 5 main stages of the export procedure in India:
1. Registration which involves registering the business and obtaining necessary licenses and certifications.
2. Pre-shipment procedures such as finding buyers, obtaining orders, and arranging financing and production.
3. Shipment which includes booking cargo space, transporting goods to ports, and completing customs clearance.
4. Realizing export incentives provided by the Indian government such as duty exemptions and financing.
5. Post-shipment including submitting shipping documents, negotiating payments, and processing forms.
In this presentation, we will discuss various features and types of foreign trade. We will also discuss the favorable and unfavorable conditions for trading, important legal terms and agreements that needs to be maintained, methods of foreign trade, off-shore banking and overview on European currency units.
To know more about Welingkar School’s Distance Learning Program and courses offered, visit: http://www.welingkaronline.org/distance-learning/online-mba.html
The document discusses the needs of customers in international banking business. It covers key areas like international trade, money transfers, foreign currency accounts, and services provided by banks in these areas. For international trade, banks offer services like bill collection, financing for exports and imports. For money transfers, banks facilitate encashment of foreign currency, payment of inward transfers, and outward remittances through currency exchange. The document also defines key terms and outlines regulatory aspects like Foreign Exchange Management Act and RBI directives governing international banking operations in India.
Trade finance refers to the financial tools and methods that businesses use to facilitate international trade and manage associated risks. It involves third parties like banks, insurers, and export credit agencies to provide trade financing instruments that allow importers and exporters to complete transactions. Common trade financing methods include letters of credit, factoring, and export working capital loans that help balance risks for both parties and support global trade and sales. Radisson provides trade finance services for countries like India, China, and Hong Kong to support international business transactions.
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Online PGDM Program in Finance Mgmt Descriptionibes the role of Finance Manager, beneficial for professionals interested in a career in finance-related sectors.
WeSchool offers AICTE approved Diploma in Marketing Management. It is a specialized Management program with focus on marketing as a core business function
WeSchool Offers Online MBA Program in Operations Mgmt. Production planning, project management & world-class manufacturing are among the critical concepts.
This document summarizes the PGDM in Marketing Management program offered by WeSchool. The 1-year hybrid learning program covers topics in marketing, social media marketing, marketing research, management, and accounting. Students gain strong understanding of marketing principles, exposure to branding strategies, learn CRM implementation, and develop soft skills through industry visits and experienced trainers. The program increases students' brand visibility and positions them as experts in their field.
This document discusses human resource management. It explains that HRM deals with understanding how to best utilize individuals to achieve organizational and human goals. It outlines some key challenges in HRM like dealing with heterogeneous humans with unpredictable behavior. It also discusses the benefits of HRM like improved recruitment and retention. Finally, it notes that the scope of HRM includes personnel management, employee welfare, and industrial relations.
This document provides information about the PGDM in Travel & Tourism program offered through WeSchool's hybrid learning model. The program covers topics related to travel and tourism including tourism marketing, travel agency management, and tour operation management. Through the hybrid edge, students gain access to an e-learning toolkit, industry visits, weekend workshops, online guest lectures, and virtual sessions on soft skills development. The degree in Travel & Tourism offers global opportunities in a fast-growing industry, teaches transferable business skills, allows students to make an impact through tourism, and provides a versatile career with opportunities to work in different sectors while traveling the world.
Personal budgeting involves tracking income and expenses to understand how to allocate money and achieve financial goals. It is important to prepare a budget to identify goals, manage money better, increase savings, and prepare for emergencies. A personal budget should determine income sources, average income over 6 months, categorize expenses as fixed, variable or discretionary, average expenses over 2-3 months, compare income to expenses, set financial goals, and regularly review progress. Proper budgeting leads to financial security.
In today's increasingly competitive business environment, organizations are engaged in a rat race to retain customers, build up clientele and simultaneously ensure steady growth. Unfortunately, they often get caught in a web of issues which may not be easily controlled and affect performance. Here comes the play of Financial Accounting. Professional accountants have a vital role in commercial success by using their valuable knowledge to provide their organizations/clients a competitive advantage and an accurate picture of their financial position and performance.
British Aerospace Asset Management Case study will tech you how important is asset management for your business. lern from the experts about the Asset management.
This document discusses the importance of team management and building in football/soccer. It provides examples of teams that were successful through cohesion, camaraderie, and understanding their roles, such as Greece's 2004 Euro victory. Total Football is described as an influential tactical theory where every team member assimilates principles. Sir Alex Ferguson is discussed for transforming Manchester United through a long-term rebuilding process focused on team spirit, high standards, and not being afraid to change. The 2005 Champions League final between Liverpool and Milan is used to show how teams can battle adversity with great cohesion. The document emphasizes that team building requires good management skills in areas like planning, communicating, and motivating to form a cohesive team.
McDonald's faces steady employee turnover at its restaurants. To address this issue, McDonald's strives to attract and hire the best employees through a strategic recruitment process. Each McDonald's restaurant is responsible for its own recruitment efforts through various avenues like advertising. McDonald's uses interviews to identify applicants' potential fit based on behavioral evidence of meeting job requirements. New employees then undergo training through a welcome meeting and probationary period. McDonald's aims to develop employees into managers through its management development curriculum, with over half of managers coming from promoted hourly employees.
More from We Learn - A Continuous Learning Forum from Welingkar's Distance Learning Program. (20)
How to Fix the Import Error in the Odoo 17Celine George
An import error occurs when a program fails to import a module or library, disrupting its execution. In languages like Python, this issue arises when the specified module cannot be found or accessed, hindering the program's functionality. Resolving import errors is crucial for maintaining smooth software operation and uninterrupted development processes.
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This slide is special for master students (MIBS & MIFB) in UUM. Also useful for readers who are interested in the topic of contemporary Islamic banking.
How to Add Chatter in the odoo 17 ERP ModuleCeline George
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Reimagining Your Library Space: How to Increase the Vibes in Your Library No ...Diana Rendina
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Walmart Business+ and Spark Good for Nonprofits.pdfTechSoup
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1. Chapter No. 3 Page No. 42
International Finance
IMPORT / EXPORT CONTROL
IMPORTS OF GOODS
TODAY, PARTICULARLY THE IMPORT OF GOODS IS
NOT UNDER CONTROL UNDER GLOBALIZATION.
WHAT GOODS MAY BE IMPORTED, IN WHAT
QUANTITIES, BY WHOM AND HOW, HOW EXPORTS CAN
BE PROMOTED, WHAT INCENTIVES SHOULD BE
OFFERED TO EXPORTERS etc. ARE LOOKED AFTER BY
MINISTRY OF COMMERCE.
FINANCIAL ASPECTS i.e. RATE OF EXCHANGE,
METHODS OF PAYMENT, PERMITTED CURRENCIES,
REMITTANCES AGAINST IMPORTS, etc. ARE
CONTROLLED BY THE EXCHANGE CONTROL BY THE
RESERVE BANK OF INDIA.
2. Chapter No. 3 Page No. 42
International Finance
IMPORT / EXPORT CONTROL
IMPORT TRADE CONTROL
ADMINISTRATION:
DIRECTOR GENERAL OF FOREIGN TRADE (DGFT) AND ITS
REGIONAL OFFICES CONTROL OVER THE IMPORT OF
GOODS. THE RULES AND PROCEDURES OBSERVED BY THE
IMPORT CONTROL ARE CONTAINED IN THE HAND BOOK OF
IMPORT-EXPORT PROCEDURES.
OBJECTIVES:
o THE MOST ESSENTIAL GOODS SUCH AS RAW MATERIALS
SPARES etc ARE IMPORTED ON MERITS.
o FOREIGN EXCHANGE PAID OUT, AN EQUIVALENT VALUE
IN GOODS IS RECEIVED IN INDIA.
o THE PRICE OF THE IMPORTS IS PAID OUT IN A PERMITTED
METHOD OF PAYMENT.
3. Chapter No. 3 Page No. 43
International Finance
IMPORT / EXPORT CONTROL
IMPORT LICENCE
IMPORT LICENCES ARE ISSUED BY THE OFFICE OF
THE DIRECTOR GENERAL OF FOREIGN TRADE.
LICENCE CONTAINS:
A DESCRIPTION AND VALUE IN RUPEES OF THE
GOODS TO BE IMPORTED.
THE COUNTRY FROM WHICH IMPORT IS PERMITTED.
THE DATE UP TO WHICH THE LICENCE WILL REMAIN
VALID.
IT IS ISSUED IN DUPLICATE , FIRST COPY FOR
CUSTOMS PURPOSES AND THE SECOND FOR
EXCHANGE CONTROL PURPOSES.
4. Chapter No. 3 Page No. 43
International Finance
IMPORT / EXPORT CONTROL
IMPORT LICENCE
(EXCEPTION)
UNDER IMPORT POLICY CONTROL, THE IMPORT OF
SAMPLES IS ALLOWED WITHOUT AN IMPORT LICENCE
WHERE---
THE VALUE DOES NOT EXCEED RS. 50,000.
THE IMPORT IS MADE BY POST OR BY AIR FREIGHT.
THE IMPORTER IS A REGISTRED MANUFACTURER-
EXPORTER.
5. Chapter No. 3 Page No. 44
International Finance
IMPORT / EXPORT CONTROL
TYPES OF IMPORT LICENCE
IMPORT LICENCE MAY BE ISSUED ON
CASH BASIS OR ON DEFERRED PAYMENT BASIS.
A DEFERRED PAYMENT LICENCE IS ISSUED ON
CONDITION THAT THE PAYMENT AUTHORIZED UNDER
THE LICENCE WOULD BE SPREAD OVER A PERIOD OF
YEARS. FOR THE IMPORT OF CAPITAL GOODS IT IS AS
(CG) AND FOR IMPORT OF HEAVY ELECTRICAL PLANT AS
AN (HEP) LICENCE.
AS INCENTIVES FOR CERTAIN SPECIFIED EXPORTS TO
REGISTERED EXPORTERS SUCH LICENCES ARE KNOWN
AS REPLENISHMENT (REP) IMPORT LICENCE.
FOR THE IMPORT OF GOODS UNDER FOREIGN LOANS /
CREDITS.
6. Chapter No. 3 Page No. 45
International Finance
IMPORT / EXPORT CONTROL
IMPORTS WITHOUT LICENCE
IMPORT UNDER OGL: GOODS UNDER AN OPEN GENERAL
LICENCE (OGL) DOES NOT REQUIRE ANY IMPORT LICENCE.
PRIVATE IMPORTS: IMPORTS BY INDIVIDUALS OR
INSTITUTIONS FOR THEIR OWN USE OF CERTAIN ARTICLES
SPECIFIED UNDER THE IMPORT TRADE CONTROL ORDER /
NOTIFICATION AND THE C.I.F. VALUE DOES NOT EXCEED
THE PRESCRIBED VALUE.
POSTAL IMPORTS: BY INDIVIDUALS, INSTITUTIONS OR
HOSPITAL FOR THEIR OWN USE WHERE THE VALUE DOES
NOT EXCEED U.S. $ 5000.
IMPORTS INTO BONDS: GOODS TO BE EXPORTED ARE
SOME TIMES IMPORTED AND KEPT IN BONDS.
THROUGH REGISTERED COURIER: WHERE VALUE DOES
NOT EXCEED THE SPECIFIED LIMIT.
7. Chapter No. 3 Page No. 46
International Finance
IMPORT / EXPORT CONTROL
EVIDENCE OF IMPORT
THE IMPORTER SHOULD SUBMIT THE EXCHANGE CONTROL
COPIES OF THE BILLS OF ENTRY OR THE POSTAL /
COURIER WRAPPERS TO THE AUTHORIZED DEALER
THROUGH WHOM THE REMITTANCE HAS BEEN OR IS TO BE
MADE.
THE AUTHORIZED DEALER SHOULD ACKNOWLEDGE THE
RECEIPT OF THE EXCHANGE CONTROL COPIES.
THE INTERNAL INSPECTORS / AUDITORS SHOULD MAKE A
100 % VERIFICATION OF THE EXCHANGE CONTROL COPIES.
THE AUTHORIZED DEALER SHOULD FORWARD TO THE
RESERVE BANK A STATEMENT AT THE END OF EACH
CALENDAR QUARTER IN FORM BEF ALONG WITH THE
COPIES OF THE BILL OF ENTRY WITHIN 15 DAYS FROM THE
END OF THE QUARTER.
8. Chapter No. 3 Page No. 47
International Finance
IMPORT / EXPORT CONTROL
IMPORT OF GOLD, SILVER, JEWELLERY,
FOREIGN EXCHANGE, INDIAN CURRENCY
GOLD / SILVER: GOLD AND SILVER CAN BE IMPORTED UP
TO A CERTAIN QUANTITY BY PERSONS OF INDIAN
NATIONALITY OR ORIGIN, SUBJECT TO CONDITIONS AND
ON PAYMENT OF THE PRESCRIBED DUTY IN FOREIGN
EXCHANGE.
IMPORT OF PERSONAL JEWELLERY: PERSONAL
JEWELLERY MADE OF GOLD OR SILVER IS ALLOWED
UNDER THE CUSTOMS BAGGAGE RULES FREE OR ON
PAYMENT OF DUTY.
CONT…..
9. Chapter No. 3 Page No. 47
International Finance
IMPORT / EXPORT CONTROL
IMPORT OF GOLD, SILVER, JEWELLERY,
FOREIGN EXCHANGE, INDIAN CURRENCY
IMPORT OF SECURITIES: THERE ARE NO RESTRICTIONS
ON THE IMPORT INTO INDIA OF ANY SECURITIES
WHETHER INDIAN OR FOREIGN.
IMPORT OF INDIAN CURRENCY: THE IMPORT OF INDIAN
CURRENCY IS PERMITTED UNDER THE RESERVE BANK’S
NOTIFICATION NO. FERA 81/89 RB DATED. 9-8-89
SUBJECT TO CONDITIONS.
IMPORT OF FOREIGN EXCHANGE: THE RESERVE BANK
HAS PERMITTED THE IMPORT PROVIDED IT IS DECLARED
TO CUSTOMS AUTHORITIES ON ARRIVAL THE
PARTICULARS OF ALL SUCH FOREIGN CURRENCY
BROUGHT ON THE CURRENCY DECLARATION FORM CDF.
10. Chapter No. 3 Page No. 48
International Finance
IMPORT / EXPORT CONTROL
IMPORTS UNDER FOREIGN CURRENCY LOAN / CREDIT
ANY FOREIGN CURRENCY LOAN OR CREDIT, SUCH AS
BUYER’S CREDIT, SUPPLIER’S CREDIT, OR A LINE OF
CREDIT GRANTED BY A FIRM, COMPANY, LENDING
INSTITUTION OR BANK FOR FINANCING IMPORT OF
GOODS, TECHNOLOGY ETC, OR FOR ANY OTHER
PURPOSE OTHER THAN EXCEPTING CERTAIN
CATEGORIES REQUIRES PRIOR PERMISSION OF THE
GOVERNMENT OF INDIA AS WELL AS OF THE RESERVE
BANK.
11. Chapter No. 3 Page No. 50
International Finance
IMPORT / EXPORT CONTROL
ACQUISITION OF FOREIGN CURRENCY / EXCHANGE
a. RESERVE BANK PERMITS ANY PERSON TO ACQUIRE
FOREIGN EXCHANGE.
BY WAY OF SCHOLARSHIP OR STIPEND FROM A
CHARITABLE TRUST OR EDUCATIONAL INSTITUTION OR
FOUNDATION OR FROM A FOREIGN GOVERNMENT TO
ENABLE HIM TO UNDERGO A COURSE OF STUDY OR
TRAINING OR BOTH.
BY WAY OF INCOME FROM ASSETS HELD OR BY WAY OF
INHERITANCE, SETTLEMENT OR GIFT.
BY WAY OF REMUNERATION FOR SERVICES RENDERED
OR IN SETTLEMENT OF ANY LAWFUL OBLIGATION.
CONT….
12. Chapter No. 3 Page No. 50
International Finance
IMPORT / EXPORT CONTROL
ACQUISITION OF FOREIGN CURRENCY / EXCHANGE
b. THE PROVISION WILL NOT APPLY TO PERSONS OUTSIDE
INDIA IN RESPECT OF FOREIGN EXCHANGE EARNED BY
THEM BY WAY OF REMUNERATION FOR SERVICES
RENDERED OUTSIDE INDIA UNTIL THEY CEASE TO BE
RESIDENT OUTSIDE INDIA.
c. WHEN SUCH FOREIGN EXCHANGE IS BROUGHT OR SENT
TO INDIA THE PERSON BRINGING OR THE PERSON
RECEIVING IT, SHALL , BEFORE THE EXPIRY OF 7 DAYS
FROM THE DATE WHEN IT IS BROUGHT OR RECEIVED,
OFFER IT FOR SALE TO AN AUTHORIZED DEALER.
13. Chapter No. 3 Page No. 50
International Finance
IMPORT / EXPORT CONTROL
OPENING OF L / C
FOR CUSTOMERS ONLY: A LETTER OF CREDIT MAY BE
OPENED BY A BANKER ON BEHALF OF A CUSTOMER WHO
MAINTAINS AN ACCOUNT WITH HIM AND KNOWN TO BE
PARTICIPATING IN THE PARTICULAR TRADE.
FOR IMPORTS UNDER OGL: WHERE THE GOODS ARE
COVERED BY AN OPEN GENERAL LICENCE.
FOR IMPORTS UNDER LICENCE: WHERE THE GOODS ARE
TO BE IMPORTED AGAINST A SPECIFIC IMPORT LICENCE
ON PRODUCTION OF THE “FOR EXCHANGE CONTROL
PURPOSE” COPY OF THE IMPORT LICENCE.
CONT….
14. Chapter No. 3 Page No. 52
International Finance
IMPORT / EXPORT CONTROL
OPENING OF L/C
AMOUNT: A LETTER OF CREDIT FOR THE IMPORT OF
GOODS COVERED BY AN OGL MAY BE FOR ANY AMOUNT,
WHILE AN L/C FOR THE IMPORT OF GOODS AGAINST AN
IMPORT LICENCE MUST NOT BE FOR AN AMOUNT
EXCEEDING THE VALUE OF THE GOODS SPECIFIED IN THE
LICENCE.
PERIOD: FOR IMPORTS UNDER OGL, THE PERIOD OF THE
L/C MUST NOT BE LONGER THAN THE VALIDITY PERIOD
OF THE RELATIVE OGL. FOR L/C OPENED UNDER AN
IMPORT LICENCE, THE DATE OF EXPIRY MUST NOT BE
LATER THAN 75 DAYS.
PAYMENT: THE LETTER OF CREDIT MUST PROVIDE FOR
PAYMENT ONLY AGAINST THE DELIVERY OF SHIPPING
DOCUMENTS.
CONT….
15. Chapter No. 3 Page No. 53
International Finance
IMPORT / EXPORT CONTROL
OPENING OF L/C
UNDER AN f.o.b. CONTRACT FREIGHT PAID BY THE
EXPORTER IS RECOVERABLE AND THE SAME SHOULD BE
STIPULATED IN THE L/C.
WHERE AN L/C IS ESTABLISHED FOR THE IMPORT FOR
GOODS FROM TWO OR MORE COUNTRIES UNDER A
SPECIFIC LICENCE, THE AMOUNT OF CREDIT SHOULD BE
STATED SEPARATELY.
THE OPENING OF AN L/C FOR IMPORT INTO BOND FOR
EXPORTS REQUIRES THE PRIOR APPROVAL OF THE
RESERVE BANK.
CONT….
16. Chapter No. 3 Page No. 53
International Finance
IMPORT / EXPORT CONTROL
OPENING OF L/C
A LETTER OF CREDIT AGAINST AN IMPORT LICENCE
ISSUED FOR THE IMPORT OF GOODS UNDER A FOREIGN
LOAN / CREDIT MAY BE OPENED WITHOUT REFERENCE TO
THE RESERVE BANK.
MARGIN: THE MARGIN ACCEPTED AGAINST A LETTER OF
CREDIT MUST BE RETAINED IN RUPEE AND NOT
CONVERTED INTO ANY FOREIGN CURRENCY UNTIL THE
BILLS ARE DRAWN.
PURCHASE OF SHIP: IF THE L/C IS AGAINST THE PURCHASE
OF A SHIP FROM ABROAD THE BANKER SHOULD VERIFY
THAT THE PURCHASER HAS OBTAINED THE APPROVAL OF
THE MINISTRY OF TRANSPORT, GOVT. OF INDIA.
17. Chapter No. 3 Page No. 53
International Finance
IMPORT / EXPORT CONTROL
RESTRICTIONS
NO OPENING DURING GRACE PERIOD: NO L /C SHOULD BE
OPENED DURING THE GRACE PERIOD OF THE LICENCE.
REVOLUTION CREDIT: THE OPENING OF A REVOLVING
CREDIT FOR IMPORTS IS NOT PERMISSIBLE.
BENEFICIARY: AN L/C MAY BE OPENED ONLY IN FAVOUR OF
THE MANUFACTURER, SUPPLIER OR SHIPPER OF THE
GOODS OR IN FAVOUR OF AN OVERSEAS BUYING AGENT
OF THE IMPORTER PROVIDED THE RESERVE BANK’S
PERMISSION HAS ALREADY OBTAINED.
NO READY EXCHANGE : THE OPENING OF A “CASH”
LETTER OF CREDIT INVOLVING AN IMMEDIATE SALE OF
READY FOREIGN EXCHANGE AGAINST SHIPMENT TO BE
MADE AT A FUTURE DATE IS NOT PERMISSIBLE.
CONT….
18. Chapter No. 3 Page No. 54
International Finance
IMPORT / EXPORT CONTROL
RESTRICTIONS
UNDER CONTRACT WITH GOLD CLAUSE: A LETTER OF
CREDIT FOR THE IMPORT UNDER A CONTRACT
CONTAINING A “GOLD CLAUSE” FROM ANY COUNTRY IN
THE FORMER BILATERAL GROUP OTHER THAN ROMANIA,
POLAND AND CZECK AND SLOVAKIA , MAY BE OPENED
ONLY WITH THE PRIOR APPROVAL OF THE RESERVE BANK.
ON EXPIRY OF LICENCE: IF AN IMPORT LICENCE EXPIRES
BEFORE SHIPMENT IS MADE, THE LETTER OF CREDIT
SHOULD NOT BE EXTENDED UNTIL THE LICENCE IS
REVALIDATED.
ANOTHER’S GUARANTEE / MARGIN: NO CREDIT SHOULD BE
ESTABLISHED AGAINST AN IMPORT LICENCE, ON BEHALF
OF THE HOLDER OF THE LICENCE AGAINST A GUARANTEE
OFFERED OR MARGIN DEPOSITED BY A PERSON OTHER
THAN THE CUSTOMER IN WHOSE NAME THE CREDIT HAS
TO BE OPENED.
19. Chapter No. 3 Page No. 55
International Finance
IMPORT / EXPORT CONTROL
EXPORT CONTROL
THE EXPORT OF GOODS EXCEPT TO NEPAL AND
BHUTAN IS UNDER CONTROL.
THE MAIN PURPOSES OF CONTROL ARE:
1. TO PREVENT THE EXPORT OF THE GOODS WHICH ARE
ESSENTIAL FOR THE DEVELOPMENT AND OR
MAINTENANCE OF THE COUNTRY’S ECONOMY.
2. TO ENSURE THAT THE FULL VALUE OF THE EXPORTED
GOODS IS RECEIVED IN INDIA WITHIN THE TIME LIMIT
AND IN A PERMITTED METHOD OF PAYMENT.
20. Chapter No. 3 Page No. 56
International Finance
IMPORT / EXPORT CONTROL
EXPORT TRADE NOTICES
THE OFFICE OF THE DIRECTOR GENERAL OF FOREIGN
TRADE ISSUES EXPORT NOTICES:
PROHIBITING THE EXPORT OF CERTAIN COMMODITIES.
MAKING THE EXPORT OF CERTAIN COMMODITIES
SUBJECT TO LICENCE FROM THE EXPORT TRADE
CONTROL.
PRESCRIBING THE MINIMUM EXPORT PRICES FOR
SOME COMMODITIES AND / OR THE METHODS BY
WHICH PAYMENT FOR THE EXPORT OF SOME
COMMODITIES SHOULD BE RECEIVED.
REGULATING THE EXPORT.
21. Chapter No. 3 Page No. 56
International Finance
IMPORT / EXPORT CONTROL
EXPORT OF GOLD, etc.
GOLD / SECURITIES: THE EXPORT OF GOLD FROM INDIA
TO ANY DESTINATION, OR TAKING OR SENDING OF
SECURITIES TO ANY PLACE OUTSIDE INDIA, REQUIRES
RESERVE BANK’S PERMISSION.
CURRENCY NOTES / FOREIGN EXCHANGE: NO PERSON
CAN, EXCEPT WITH THE SPECIAL PERMISSION OF THE
RESERVE BANK TAKE OR SEND OUT OF INDIA ANY INDIAN
CURRENCY OR FOREIGN EXCHANGE OTHER THAN THE
FOREIGN EXCHANGE OBTAINED BY HIM FROM AN
AUTHORIZED AGENT.
THE RESERVE BANK PERMITS ANY PERSON RESIDENT IN
INDIA TO TAKE OR SEND OUT OF INDIA TO ANY COUNTRY
OTHER THAN NEPAL , CURRENCY NOTES UP TO RS. 5000
PER PERSON AT ANY TIME. CONT….
22. Chapter No. 3 Page No. 57
International Finance
IMPORT / EXPORT CONTROL
EXPORT OF GOLD, etc.
UNITS OF UTI: THE UNIT TRUST OF INDIA HAS BEEN
GRANTED GENERAL PERMISSION BY THE RESERVE
BANK TO EXPORT CERTIFICATES COVERING UNITS
PURCHASED BY NON-RESIDENT INVESTORS OUT OF
FOREIGN EXCHANGE REMITTANCES.
COMPUTER SOFTWARE: COMPUTER SOFTWARE MAY
BE EXPORTED EITHER IN PHYSICAL FORM OR
NON-PHYSICAL FORM.
23. Chapter No. 3 Page No. 58
International Finance
IMPORT / EXPORT CONTROL
PRESCRIBED PERIOD FOR REALIZATION FOR EXPORTS
THE PERIOD PRESCRIBED FOR REALIZATION OF THE
PROCEEDS OF EXPORTS TO ALL OTHER COUNTRIES IS
SIX MONTHS FROM THE DATE OF SHIPMENT. THE
RESERVE BANK MAY EXTEND THE SAID PERIOD OF
THREE TO SIX MONTHS.
EXPORTS MADE BY A UNIT SITUATED IN A SPECIAL
ECONOMIC ZONE, THE EXPORT PROCEEDS SHALL BE
REALIZED AND REPATRIATED WITHIN 12 MONTHS
FROM THE DATE OF EXPORT.
CONT….
24. Chapter No. 3 Page No. 59
International Finance
IMPORT / EXPORT CONTROL
PRESCRIBED PERIOD FOR REALIZATION FOR EXPORTS
IN CASE, WHERE AN EXPORTER HAS NOT BEEN
ABLE TO REALIZE PROCEEDS OF A SHIPMENT MADE
WITHIN THE PRESCRIBED PERIOD AND EXPECTS TO
REALIZE IF EXTENSION IS ALLOWED, NECESSARY
APPLICATION IN FORM ETX SHOULD BE MADE TO RBI
THROUGH HIS BANKERS.
CONT….
25. Chapter No. 3 Page No. 59
International Finance
IMPORT / EXPORT CONTROL
PRESCRIBED PERIOD FOR REALIZATION FOR EXPORTS
EXPORT PROCEEDS ARE EXPECTED TO BE REALIZED AS
PER THE ORIGINAL CONTRACTED TERMS BUT IF THE
EXPORT BILL IS NOT REALIZED WITHIN THE ORIGINAL
CONTRACTED TERMS, IT WILL BE TERMED AS OVERDUE
EXPORT BILL AND IS SUBJECTED TO CRYSTALLIZATION
AS PER FEDAI REGULATIONS.
THE PERIOD OF REALIZATION FOR EXPORTS UNDER
DEFERRED PAYMENTS ARRANGEMENT MAY BE
EXTENDED BY THE RESERVE BANK TO - 2 YEARS IN CASE
OF CONSUMER DURABLES, 11 YEARS IN CASE OF
CAPITAL AND PRODUCER GOODS AND12 YEARS IN CASE
OF TURNKEY PROJECTS.
26. Chapter No. 3 Page No. 60
International Finance
IMPORT / EXPORT CONTROL
EXEMPTED CATEGORIES
DECLARATION ON A PRESCRIBED FORM REGARDING
THE REALIZATION OF THE VALUE OF EXPORTS IS NOT
NECESSARY.
TRADE SAMPLES OF GOODS AND PUBLICITY.
PERSONAL EFFECTS OF TRAVELERS.
SHIP’S STORES TRANSSHIPMENT CARGO AND GOODS
UNDER CENTRAL GOVT.ORDER FOR DEFENCE
REQUIREMENTS.
GOODS EXPORTED UNDER ORDER OF MILITARY,
NAVAL AND AIR FORCE. CONT….
27. Chapter No. 3 Page No. 60
International Finance
IMPORT / EXPORT CONTROL
EXEMPTED CATEGORIES
GOODS OR SOFTWARE ACCOMPANIED BY A DECLARATION
THAT THE VALUE DOES NOT EXCEED RS. 25,000.
GOODS IMPORTED FREE OF COST ON RE-EXPORT BASIS.
AIRCRAFT OR AIRCRAFT ENGINES AND SPARE PARTS FOR
OVERHAULING AND /OR REPAIRS WITHIN A PERIOD OF
6 MONTHS FROM THE DATE OF THEIR EXPORT.
GOODS NOT EXCEEDING US $ 1000 OR ITS EQUIVALENT IN
VALUE PER TRANSACTION EXPORTED TO MYANMAR
UNDER BARTER TRADE AGREEMENT BETWEEN THE
CENTRAL GOVT. AND THE GOVT. OF MYANMAR.
CONT….
28. Chapter No. 3 Page No. 60
International Finance
IMPORT / EXPORT CONTROL
EXEMPTED CATEGORIES
FOLLOWING GOODS WHICH ARE PERMITTED TO BE
RE-EXPORTED:
IMPORTED GOODS FOUND TO BE DEFECTIVE.
GOODS IMPORTED FROM FOREIGN SUPPLIERS /
COLLABORATION ON LOAN BASIS.
GOODS IMPORTED FOUND SURPLUS AFTER PRODUCTION
OPERATIONS.
REPLACEMENT GOODS EXPORTED FREE OF CHARGE IN
ACCORDANCE WITH THE PROVISION OF EXIM POLICY.
GOODS SENT FOR TESTING OUTSIDE INDIA.
DEFECTIVE GOODS SENT FOR REPAIRS OUTSIDE INDIA.
EXPORTS PERMITTED BY THE RESERVE BANK .
29. Chapter No. 3 Page No. 64
International Finance
IMPORT / EXPORT CONTROL
EXCHANGE CONTROL REGULATIONS VIS-À-VIS
NEPAL AND BHUTAN
a) FOR TRANSACTIONS IN INDIAN RUPEES THE UNDER
NOTED PERSONS, FIRMS, COMPANIES RESIDENTS IN
NEPAL OR BHUTAN ARE TREATED AS RESIDENTS IN
INDIA.
b) RUPEE ACCOUNTS THE AUTHORIZED DEALER IN INDIA
OF PERSONS, FIRMS COMPANIES etc ARE REGARDED
AS RESIDENTS ACCOUNTS.
c) EXPORT OF GOODS FROM INDIA TO NEPAL OR
BHUTAN IS NOT SUBJECT TO DECLARATION IN GR / PP
FORM.
CONT…
30. Chapter No. 3 Page No. 65
International Finance
IMPORT / EXPORT CONTROL
EXCHANGE CONTROL REGULATIONS VIS-À-VIS
NEPAL AND BHUTAN
d) RUPEE TRANSFERS FROM ACCOUNTS IN INDIA OF INDIAN,
NEPALESE OR BHUTANESE RESIDENTS IN NEPAL OR
BHUTAN AS WELL AS INDIAN, NEPALESE OR BHUTANESE
FIRMS, COMPANIES FUNCTIONING IN THESE COUNTRIES
AGAINST EXPORTS TO THESE COUNTRIES FROM INDIA CAN
BE MADE FREELY.
e) PAYMENTS BETWEEN NEPAL AND INDIA ARE NOT ELIGIBLE
FOR SETTLEMENT THROUGH ASIAN CLEARING UNION.
f) PAYMENTS FROM INDIA TO SUPPLIERS IN THIRD
COUNTRIES AGAINST IMPORTS INTO NEPAL OR BHUTAN
ARE NOT PERMITTED.
CONT….
31. Chapter No. 3 Page No. 66
International Finance
IMPORT / EXPORT CONTROL
EXCHANGE CONTROL REGULATIONS VIS-À-VIS
NEPAL AND BHUTAN
g) FREIGHT ON EXPORTS FROM NEPAL OR BHUTAN TO
FOREIGN COUNTRIES THROUGH AN INDIAN PORT MAY BE
FREELY RECEIVED IN INDIAN RUPEES WHERE SHIPMENT IS
MADE BY AN INDIAN, NEPALESE OR BHUTANESE CARRIER,
AND FREIGHT ON IMPORTS FROM COUNTRIES OUTSIDE
INDIA IF PAYABLE AT DESTINATION AT AN INDIAN PORT.
h) PAYMENTS OF CLAIMS AGAINST INSURANCE POLICIES,
MARINE OR NON-MARINE MAY BE MADE IN INDIAN RUPEES
TO INDIANS, NEPALESE, BHUTANESE RESIDENTS IN NEPAL
OR BHUTAN. PAYMENT IN FOREIGN CURRENCY TOWARDS
CLAIMS UNDER INSURANCE POLICIES IS NOT PERMISSIBLE
WITHOUT APPROVAL OF THE RESERVE BANK.
CONT….
32. Chapter No. 3 Page No. 66
International Finance
IMPORT / EXPORT CONTROL
EXCHANGE CONTROL REGULATIONS VIS-À-VIS
NEPAL AND BHUTAN
i) NEPALESE NATIONALS RESIDENTS BUT NOT
PERMANENTLY RESIDENT IN INDIA ARE NOT ELIGIBLE FOR
THE BENEFIT OF BASIC TRAVEL QUOTA.
j) EXCHANGE CONTROL IN NEPAL DOES NOT PERMIT
TRANSIT PASSENGERS AND FOREIGN TOURISTS TO TAKE
INTO NEPAL RUPEE INSTRUMENTS ISSUED TO SUCH
PERSONS SHOULD BE ENDORSED ‘NOT VALID FOR
NEGOTIATION IN NEPAL’.
k) ANY PERSON CAN BRING WITH HIM FROM NEPAL
CURRENCY NOTES OF THE GOVT. OF INDIA OF
DENOMINATION NOT ABOVE RS. 100.
CONT….
33. Chapter No. 3 Page No. 66
International Finance
IMPORT / EXPORT CONTROL
EXCHANGE CONTROL REGULATIONS VIS-À-VIS
NEPAL AND BHUTAN
l) OBLIGATION TO SURRENDER FOREIGN CURRENCY ON
ARRIVING IN INDIA TO AN AUTHORIZED AGENT IS NOT
APPLICABLE TO CURRENCIES OF NEPAL AND BHUTAN.
m) SETTING UP OF JOINT VENTURES IN NEPAL BY RESIDENTS
IN INDIA REQUIRES APPROVAL OF THE RESERVE BANK
INCASE ANY REMITTANCE OF FOREIGN EXCHANGE OR
EXPORT OF GOODS ARE INVOLVED.
n) ISSUE AND TRANSFER OF INDIAN RUPEE SHARES AND
SECURITIES TO RESIDENTS OF FIRMS IN NEPAL REQUIRES
PERMISSION FROM RESERVE BANK.
CONT….
34. Chapter No. 3 Page No. 67
International Finance
IMPORT / EXPORT CONTROL
EXCHANGE CONTROL REGULATIONS VIS-À-VIS
NEPAL AND BHUTAN
o) INDIAN NATIONALS RESIDENT IN INDIA AND FIRM/
COMPANIES REGISTERED / INCORPORATED IN INDIA ARE
REQUIRED TO OBTAIN PERMISSION OF THE RESERVE BANK
TO ACQUIRE, HOLD, TRANSFER OR DISPOSE BY SALE,
MORTGAGE, LEASE FOR A PERIOD EXCEEDING 5 YEARS,
GIFT, SETTLEMENT OR OTHERWISE, ANY IMMOVABLE
PROPERTY SITUATED IN NEPAL OR VICE VERSA EVEN
THOUGH THE TRANSACTION IS SETTLED IN INDIAN RUPEES.
35. Chapter No. 3 Page No. 67
International Finance
IMPORT / EXPORT CONTROL
THE 2002-2007 EXIM POLICY
THE LIBERALIZED EXPORT-IMPORT (EXIM) POLICY THOUGH
IT SUPERSEDES THE PREVIOUS 1992-97 POLICY, IS
VIRTUALLY AN EXTENSION OF THE SAME. THE PREVIOUS
POLICY FOCUSED ON LIBERALIZATION, OPENNESS,
TRANSPARENCY AND GLOBALIZATION AND PROVIDED
INCENTIVES FOR GROWTH OF EXPORTS AND SIMPLIFIED
PROCEDURES.
THE MOST IMPORTANT FEATURES OF THE POLICY IS THAT
AS MANY AS 542 ITEMS (18% OF TOTAL) HAVE BEEN
REMOVED FROM RESTRICTED LIST OF WHICH 392 HAVE
BEEN PLACED ON THE FREE LIST AND OTHER 150 ITEMS
ON SPECIAL IMPORT LICENCE (SIL) LIST AND 60 ITEM HAVE
BEEN TRANSFERRED FROM SIL TO FREE LIST.
36. Chapter No. 3 Page No. 68
International Finance
IMPORT / EXPORT CONTROL
THE 2002-2007 EXIM POLICY
(NOTE WORTHY IMPROVEMENTS)
THE DUTY PAYABLE ON IMPORT OF CAPITAL GOODS
UNDER THE EXPORT PROMOTION CAPITAL GOODS (EPCG)
SCHEME HAS BEEN REDUCED FROM 15% TO 10%.
THE BENEFIT OF THE EPCG SCHEME HAS BEEN EXTENDED
TO SERVICES INDUSTRIES.
THE THRESHOLD LEVEL UNDER THE ZERO –DUTY IMPORT
SCHEME HAS BEEN REDUCED FROM RS. 20 CRORES TO RS.
5 CRORES FOR AGRICULTURE AND ALLIED SECTORS.
PROVISION HAS BEEN MADE FOR GIVING DOUBLE
WEIGHTAGE TO AGRO EXPORTS.
37. Chapter No. 3 Page No. 69
International Finance
IMPORT / EXPORT CONTROL
THE 2002-2007 EXIM POLICY
(NOTE WORTHY IMPROVEMENTS)
DOMESTIC SALES FOR EOUs AND EPZs IN AGRICULTURE
AND ALLIED SECTORS HAVE BEEN LIBERALIZED SO THAT
THE UNITS CAN SELL 50% OF THE PRODUCTION.
AGENCIES FOR STOCKING GOLD TO FACILITATE EXPORTS
HAS BEEN INCREASED.
THE SOFTWARE SECTOR HAS BEEN GIVEN A BOOST.
THE INITIAL VALIDITY PERIOD OF DUTY-FREE LICENCE AND
EXPORT OBLIGATION IS BEING EXTENDED FROM 12
MONTHS TO 18 MONTHS WITH PROVISION FOR A FURTHER
EXTENSION OF THE EXPORT OBLIGATION PERIOD BY
6 MONTHS.
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