vision & mission, executive summary,objective of study,Stage 1 Pre-shipment Procedure,Stage 2 Pre-shipment Procedure,Stage 3 Realizing Export incentives and Stage 4 Post shipment

1. Ajeenkya D Y Patil University
(School of Management)
ORDER PROCESSING
RELIANCE INDUSTRIES
BACHELOR OF BUSINESS ADMINISTRATION
(International Business)
Subject- International Trade Operation
SEMESTER- V
By
MANSI MAHENDRA DEOKAR
Submitted To
(Prof. Atul R Kadam)

2. Index
Sr. No Particulars Page No.
1
Company Profile
1
2
About Company
2
3
Vision & Mission
3
4
Executive Summary
4
5
Objectives of Study
5
6
Last 5 Year Global Trade (Any Product)
6
7
Last 5 Year Export from India to all Countries
7
8
Import by India from all Countries
8
9
Export of 5 Years to anyone major Market
9
10 Stage 1 Pre-shipment Procedure
• Receipt of enquiry and sending quotation
• Receipt or order of indent
• Assessing importer credit worthiness
• Obtaining export license
10
11 Stage 2 Shipment Procedure
• Obtaining pre shipment finance
• Production or procurement of goods
• Pre shipment inspection
• Excise clearance
11-12
12 Stage 3 Realizing Export incentives
• origin
• Reservation of shipping space
• Packing and forwarding
• Insurance of goods
13-14
13 Stage 4 Post shipment
• Custom clearance
• Obtaining mates receipts
• Payment of freight and issuance of bill of lading
• Securing payment
15-16

3. Company Profile
Company: - Reliance Industries
Address: - 19, Walchand Hirachand Marg Ballard Estate, Mumbai-400 038, India
Founded: - 1966
Headquarters: Mumbai
Chairman and Managing Director: Shri Mukesh Ambani
Annual Revenue: - $70.5B
Employees: - 187,729
Reliance Industries Limited (RIL), for the past several years, is India's largest private sector
company on all major financial parameters. The group's activities span exploration & production
of oil & gas, petroleum refining and marketing, petrochemicals (polyester, fiber intermediates,
polymers and chemicals), textiles, retail and special economic zones (SEZs).
Their company is featured in the list of ‘World’s Largest Corporations’ for the fourth
consecutive year and is among the Top 25 climbers for two years in a row. They are ranked
182nd in the (up from previous year’s 284th rank). Further, their company ranks amongst the as
per a list compiled by the US financial publication- in collabouration with the Boston Consulting
Group in April 2008.
They operate the third largest petroleum refinery in the world at any single location. Further,
they are setting-up an export-oriented refinery at Jamnagar through their subsidiary Reliance
Petroleum Ltd, after which, Jamnagar will become home to the single largest location for
refinery assets.
Their textile division at Naroda, Ahmedabad is one of the largest and most modern textile
complexes in India. Their flagship brand ‘VIMAL’ is one of the most trusted brands of premium
textiles in the country. It also meets the requirements of automotive textile and apparel.

4. About Company
Reliance Industries is India's largest private sector company on all major financial parameters. In
2004, Reliance Industries (RIL) became the first Indian private sector organisation to be listed in
the Fortune Global 500 list. The company operates world-class manufacturing facilities across
the country at Allahabad, Barabanki, Dahej, Hazira, Hoshiarpur, Jamnagar, Nagothane, Nagpur,
Naroda, Patalganga, Silvassa and Vadodara.
Reliance Industries' activities span hydrocarbon exploration and production, petroleum refining
and marketing, petrochemicals, retail and telecommunications. The petrochemicals segment
includes production and marketing operations of petrochemical products. The refining segment
includes production and marketing operations of the petroleum products. The oil and gas
segment includes exploration, development and production of crude oil and natural gas. The
other segment of the company includes textile, retail business and special economic zone (SEZ)
development.
In the year 1966 the RIL was founded by Shri Dhirubhai H.Ambani, it was started as a small
textile manufacturer unit. In May 8, 1973 RIL was incorporated and conformed their name as
RIL in the year 1985. Over the years, the company has transformed their business from
manufacturing of textiles products into a petrochemical major.
India and Reliance Industries rely on each other. The company is India's largest petrochemical
firm and among the country's largest companies (along with Indian Oiland Tata Group),
accounting for 14% of India's total exports and 4% of its total market capitalization. Oil refining
and the manufacture of polyolefins and related chemicals account for the bulk of Reliance
Industries' sales. It also makes textiles and explores for oil and gas. Reliance Industries operates
more than a dozen manufacturing plants in India. The company has fully integrated its oil and
gas refining subsidiary, Reliance Petroleum, in an effort to consolidate the company's position as
a major player in the global refining business.
Their motto “Growth is Life” aptly captures the ever-evolving spirit of Reliance. Their activities
span hydrocarbon exploration and production, petroleum refining and marketing, petrochemicals,
retail and telecommunications. In each of these areas, they are committed to innovation-led,
exponential growth. Their vision has pushed them to achieve global leadership in many of their
businesses – including our position as the largest polyester yarn and fiber producer in the world.
Reliance Industries Limited is a Fortune 500 company and the largest private sector corporation
in India.
Their ultimate aim has always been – and will always be – to touch the lives of people in a
positive way.

5. Vision and Mission
Mission:-
Reliance’s mission is:-
 To provide the best and most value-adding advice within investor relations, financial
communications, media relations, crisis communications, issues management and CSR
reporting
 To be an independent sparring-partner and to provide excellent advice for our clients in
connection with IPOs, ECM and M&A transactions, corporate governance-related issues
as well as in connection with preparations of contingency communications plans
regarding public takeovers
Reliance’s activities shall be of benefit for both our clients, collaboration partners,
employees and shareholders
Vision:-
Reliance’s vision is:-
 To be our clients’ ’first call’ and preferred collaboration partner within our business areas
 To consistently exceed our clients’ expectations for professional and value-adding advice
Our objective is long-standing and trustful client relationships created via excellent
advice and service
Values:-
We are governed by our fundamental values:-
 Quality: We do not compromise – we have a passion for the best quality
 Innovation: We are innovative and wish to enthuse our clients
 Ambition: We set high objectives and push to achieve the best results
 Honesty: We are honest towards our clients, also when it may be unpleasant
 Integrity: We keep our word, guard confidentiality, and maintain a high level of integrity

6. Executive Summary
Reliance Industries Limited (RIL) is world’s leading and India’s fastest revenue generating
company. RIL group is a highly diversified group and is in to multiproduct business like oil and
gas exploration, retail of petroleum and consumer products and manufacturing of petrochemical
and refining and textile products.
They are also operating in the infrastructure and transportation sectors. The Reliance Group,
founded by Dhirubhai H. Ambani (1932-2002), is India's largest private sector enterprise, with
businesses in the energy and materials value chain. Group's annual revenues are in excess of US$
44 billion.
Reliance Industries Limited is a Fortune Global 500 company and is the largest private sector
company in India. Backward vertical integration has been the cornerstone of the evolution and
growth of Reliance. Starting with textiles in the late seventies, Reliance pursued a strategy of
backward vertical integration - in polyester, fiber intermediates, plastics, petrochemicals,
petroleum refining and oil and gas exploration and production - to be fully integrated along the
materials and energy value chain.
The Group's activities span exploration and production of oil and gas, petroleum refining and
marketing, petrochemicals (polyester, fiber intermediates, plastics and chemicals), textiles, retail
and special economic zones.
Reliance enjoys global leadership in its businesses, being the largest polyester yarn and fibre
producer in the world and among the top five to ten producers in the world in major
petrochemical products.
This project is aimed at understanding Import -Export procedure & documentation. It begins
with what Import and export is all about and which documents are required for Import and export
Methodology used for the data collection is secondary which is collected through Invoices and
Sales report of Company. All the data collected is kept in a systematic manner starting from
procedure to documents required for the carried out this activity Then the different terms of
shipment and international commercial terms are discussed in detail on which business deals are
done like FOB, CIF, FCA etc. and then covering different types of risks involved in export like
currency risk, credit risk, country risk and carriage risk is discussed. Import Export document
which are required are divided into 3 parts
A. commercial documents, B Auxiliary Documents, and c regulatory documents. Further Octroi
which is the local tax levied by the civic body on goods entering into the city. Further Export
(Quality Control and Pre-Shipment Inspection) Act 1963 were Compulsory Quality Control and
Pre-Shipment Inspection of over 1050 items of export, Systems of Quality Control: Self-
Certification, In-Process Quality Control, Consignment Wise Inspection And then SHIPPING
AND CUSTOMS FORMALITIES the goods cannot be loaded on board the ship unless a formal
permission is obtained from the custom authorities.
There are different methods of payment depending upon the terms of payment, and each method
of payment involves varying degrees of risks for the exporter. The methods are: Payment in
advance, Documentary Bills, Letter of Credit, Open Account, Counter Trade

7. Objectives of Study
 To study the export process from order booking to shipment
 To understand the export market plan
 To study the export documentation process
 To understand the overall process involved in the export management system

8. Last 5 Year Global Trade
This is the record of the global trade for medicines for the past years:-
(US $ Million)
Year Exports (Including
Re exports)
Imports Trade Balance
2008 60645 60798 -153
2009 15350 16340 -990
2010 64277 61221 -3056
2011 67114 12549 -5838
2012 325539 43198 -10645
2013 203571 230873 -27302
2014 571779 840506 -268727
2015 840755 1374436 -533681
2016 845543 1363736 -518202
2017 1142649 1683467 -540818
2018 1024707 1651240 -626533

9. Last 5 Year Export from India to all Countries
 India is the 17th largest export economy in the world. In 2016, India exported $261B and
imported $339B, resulting in a negative trade balance of $78B. In 2016 the GDP of India
was $2.26T and its GDP per capita was $6.57k.
 The top exports of India are:-
1. Diamonds :- ($29.4B)
2. Refined Petroleum :- ($22.8B
3. Packaged Medicaments :- ($14.6B)
4. Jewellery :- ($8.48B)
5. Cars :- ($5.99B) using the 1992 revision of the HS (Harmonized System) classification.
 Its top imports are:-
1. Crude Petroleum :- ($54.8B)
2. Gold :- ($22.9B)
3. Diamonds :- ($19.9B)
4. Coal Briquettes :- ($12.3B)
5. Telephones :- ($10.1B).
 The top export destinations of India are:-
1. United States :- ($45.5B
2. The United Arab Emirates :- ($15.5B)
3. Hong Kong ($15.5B)
4. China :- ($10.7B)
5. United Kingdom :- ($8.66B).
 The top import origins are:-
1. China :- ($58.9B)
2. The United States :- ($19.9B)
3. The United Arab Emirates :- ($18.4B)
4. Saudi Arabia :- ($17.2B)
5. Switzerland :- ($14.8B).
 India borders Afghanistan, Bangladesh, Bhutan, China, Burma, Nepal and Pakistan by
land and Indonesia, Sri Lanka, Maldives and Thailand by sea.

10. Import by India from all Countries
India shipped US$295.8 billion worth of products around the globe in 2017. That figure
represents roughly 1.9% of overall global exports estimated at $15.952 trillion one year earlier in
2016.
From a continental perspective, half (50.5%) of Indian exports by value were delivered to fellow
Asian countries. Another 18.7% was sold to European importers while 17.6% went to North
America.
India exported smaller percentages to Africa (8%) and Latin America excluding Mexico but
including the Caribbean (2.8%).
Below is a list highlighting 15 of India’s top trading partners– countries that imported the most
Indian shipments by dollar value during 2017. Also shown is each import country’s percentage
of total Indian exports.
1. United States: US$46.1 billion (15.6% of total Indian exports)
2. United Arab Emirates: $30 billion (10.1%)
3. Hong Kong: $15 billion (5.1%)
4. China: $12.5 billion (4.2%)
5. Singapore: $11.6 billion (3.9%)
6. United Kingdom: $9 billion (3%)
7. Germany: $8.2 billion (2.8%)
8. Vietnam: $8.1 billion (2.7%)
9. Bangladesh: $7.2 billion (2.4%)
10. Belgium: $6.2 billion (2.1%)
11. Italy: $5.7 billion (1.9%)
12. Malaysia: $5.5 billion (1.9%)
13. Nepal: $5.5 billion (1.9%)
14. Netherlands: $5.4 billion (1.8%)
15. Saudi Arabia: $5.2 billion (1.8%)
Over three-fifths (61.3%) of Indian exports in 2017 were delivered to the above 15 trade
partners.
Singapore increased its import purchases from India from 2016 to 2017 by 57.4%. In second
place was China with a 40.1% gain in value. Vietnam boosted its imports from India by 36.3%,
trailed by a 32.2% improvement for Malaysia and a 27.2% boost from Bangladesh-based
importers.
United Arab Emirates was the only top trade partner to cut back on its imports from India,
posting a modest 0.1% year-over-year decline.

11. Export of 5 Years to anyone Major Market
Export of Basmati Rice from India to different countries
SL Country
2015-16 2016-17 2017-18
Lakh
MT
US $ Million Lakh
MT
US $ Million Lakh
MT
US $ Million
1. Saudi Arabia 8.26 1,108.90 9.67 1,188.23 9.49 842.22
2. Iran 14.40 1,834.55 9.36 1,108.50 6.95 571.19
3. UAE 1.48 196.51 2.79 314.76 6.12 475.18
4. Iraq 2.20 271.14 2.35 259.13 4.18 340.97
5. Kuwait 1.76 247.95 1.66 250.53 1.81 211.68
6. UK 1.19 130.73 1.36 147.63 1.88 143.14
7. USA 1.03 143.86 0.89 132.30 1.21 131.55
8. Yemen
Republic
1.47 183.94 1.74 196.15 1.42 110.49
9. Oman 0.43 58.63 0.56 68.83 1.05 92.84
10. Canada 0.29 37.97 0.26 37.51 0.36 38.49
11. Other
countries
5.03 650.73 6.37 814.69 5.97 519.64
Total 37.54 4,864.91
Rs. 29,299.96
Cr
37.02 4,518.26
Rs. 27,597.89
Cr
40.45 3,477.39
Rs. 22,718.44
Cr

12. Stage 1 Pre-shipment Procedure
Receipt of an inquiry:-
The first stage in the export trade is the receipt of an inquiry by the exporter forms an importer or
his agent. An inquiry is a written request by a prospective importer regarding the quantity, quality,
design, price, mode of payment, etc., of goods, which he intends to purchase.
Sending quotation:-
In reply to the inquiry, the exporter sends a quotation (or Proforma invoice) in which all necessary
details are given as required by the importer. The type for price quotation depends upon the inquiry
of the importer.
Receipt of an indent:-
In case the importer is satisfied about the quotation from the exporter, he will send an order (or
indent) for the supply of goods. The exporter should carefully check indents begin received from
the importer, so that all necessary details of the goods, its packing, bank guarantee, payment, etc.,
are clearly mentioned.
Assessing importer’s creditworthiness:-
After receipt of the indent, the exporter makes necessary enquiry about the creditworthiness of
the importer. The purpose underlying the enquiry is to assess the risks of nonpayment by the
importer once the goods reach the import destination. To minimize such risks, most exporters
demand a letter of credit from the importer. A letter of credit is a guarantee issued by the
importer’s bank that it will honour payment up to a certain amount of export bills to the bank of
the exporter. Letter of credit is the most appropriate and secure method of payment adopted to
settle international transactions
Obtaining export licence:-
Having become assured about payments, the
Exporting firm initiates the steps relating to compliance of export regulations. Export of goods in
India is subject to custom laws which
Demand that the export firm must have an export licence before it proceeds with exports.
Important pre-requisites for getting an export licence are as follows:
• Opening a bank account in any bank authorised by the Reserve
Bank of India (RBI) and getting an account number.
• Obtaining Import Export Code (IEC) number from the Directorate

13. Stage 2 Shipment Procedure
Obtaining Pre shipment procedure:-
On securing the letter of credit, the exporter' Procures a pro-shipment finance from his bank for
procuring raw materials and other components, processing and packing of goods an transfer of
goods to the port of shipment.
Production or procurement of goods:-
Once export contract is confirmed, exporter has to arrange manufacture of goods meant for
export, if they are not readily available. In case, there are production constraints, priority is to be
given for exports as timely delivery is the most important criterion in case of exports and, if
necessary, certain rescheduling of production for meeting indigenous requirements may have to
be made. If the goods are not to be manufactured but are to be procured from the local market,
necessary action has to be initiated to meet the delivery schedule.
If exporter is a manufacturer, a detailed plan of action is to be drawn as manufacturing process is
not as simple as procuring finished goods. The details of inputs required for production should be
presented in the form of a document called Bill of Materials. The manufacturer/exporter has to
prepare backward pass calculations to ascertain the time Schedule of requirement of materials.
For calculating this, it is desirable to leave a margin of ten to fifteen days to the date of shipment
of goods to face unforeseen contingencies. It is also prudent to plan for labelling, packing and
packaging, simultaneously. A careful cost and time schedule and their periodical review are
essential meet the deadline date delivery schedule and achieve the anticipated level of profits.
Pre shipment inspection:-
A pre-shipment inspection (PSI) is a random inspection comprising a detailed inspection of
finished goods before shipment. It generally takes place in the manufacturer’s premises or at the
harbour on samples randomly selected according to the defined statistical sampling procedure
ISO 2859-1 or otherwise agreed with the customer. The inspection criteria may cover type
identification, product conformity, safety, function, marking and safety hints, quality (consistent
workmanship), quantity, packaging, unit completeness and compliance with the agreed
specification.

14. Excise clearance:-
An indirect tax levied on goods manufactured or produced in India for home consumption.
Goods subject to excise duty can leave the factory only after the duty on them has been paid.
Excise duty exemption is available on inputs as well as finished goods manufactured in India and
exported.
The exporter may pay the duty initially and seek refund later or seek exemption from payment of
duty.

15. Stage 3 Realizing Export incentives
Origin:-
To qualify for preferences, products must:-
(a) Fall within a description of products eligible for preferences in the country of destination. The
description entered on the form must be sufficiently detailed to enable the products to be
identified by the customs officer examining them;
(b) Comply with the rules of origin of the country of destination. Each article in a consignment
must qualify separately in its own right; and
(c) Comply with the consignment conditions specified by the country of destination. In general,
products must be consigned direct from the country of exportation to the country of destination
but most preference-giving countries accept passage through intermediate countries subject to
certain conditions.
Reservationofshipping space:-
As soon as confirmed export contract is received from the importer, exporter has try make the
necessary arrangements for shipping Space. The exporter has to make the necessary reservation,
in case goods are to be sent by sea. The reason is there is shortage of shipping space and equally
their frequency is also limited. Exporter has to gather information about the sailings for the port
of destination, matching the delivery schedule. Necessary information can be gathered from
Daily Shipping intelligence to which exporters may subscribe.
Shipping agents work on behalf of the shipping. Companies who can be contacted too about the
availability of the required space to match the schedule of delivery, at economic cost. Clearing
and Forwarding agents are the specialized people in this line of activity who can be appointed.
Exporter sends the cargo to the clearing and forwarding agents who take care of shipment of
goods. In case, goods are to be sent by air, the problem is not that difficult as there are adequate
airlines for booking the cargo.
There are two kinds of acceptance in case of shipment by sea, Shipping Advice and Shipping
Order (Dead Freight). Shipping advice is only an intimation by the shipping company to the
exporter that the goods would be accepted on the ship if there is availability of space on the ship.
In this case, shipping company is not bound to accept and there is no commitment at the part of
shipping company to provide space on board.
Exporter would be running the risk if there is no space soon after the goods are sent for shipping
and may not be able to send the goods as per delivery schedule. Where delivery schedule is not
important, exporter can book on this basis which is not, normally, the case in exports. Shipping
order, on the other hand, is a total commitment on the part of shipping company to provide the

16. space on board and reserves the area for that exporter to whom commitment is made. If shipping
company fails to provide the shipping space after issuing shipping order, shipping company can
be sued for damages. As and when shipping order is issued to the exporter, shipping company
sends a copy of shipping order to the commander of the ship for earmarking the space to the
exporter.
Packing and forwarding:-
Package forwarding is an international shipping service offered by shipping companies to
international online shoppers who want to do cross-border online shopping. Package forwarding
is becoming more and more popular among international shoppers nowadays because of the high
growth rate of e-commerce websites and shipping limitations of most such websites.
Package forwarding service is provided by package forwarders to make cross-border shopping
convenient and easy, getting rid of the problems in payment and shipping. A package forwarding
service is different from mail forwarding. Mail forwarding refers to the mails in traditional
meaning, or magazines or papers that are normally called mails, while package forwarding refers
to the online purchases or orders that are shipped within a package.
Insurance Of goods:-
A smart entrepreneur makes sure his or her inventory and goods are properly insured. This way a
company can quickly get back on its feet, after a fire for example, without losing any clients.
Inventory and Goods insurance covers the loss of your inventory and goods as the result of a fire.
You can also take out additional coverage for natural disasters and break-ins. In the event of a
break-in, Insurance covers lost or damaged business assets, such as goods (including those
owned by third parties), machines and inventory. Break-in insurance is always offered in
combination with fire insurance.

17. Stage 4 Post shipment
Custom clearance:-
The documented permission to pass that a national customs authority grants to imported goods so
that they can enter the country or to exported goods so that they can leave the country. The
custom clearance is typically given to a shipping agent to prove that all applicable customs duties
have been paid and the shipment has been approved
Customs clearance involves preparation and submission of documentations required to facilitate
export or imports into the country, representing client during customs examination, assessment,
payment of duty and co taking delivery of cargo from customs after clearance along with
documents.
Some of the documents involved in customs clearance are:
1. Exports Documentation: Purchase order from Buyer, Sales Invoice, Packing List, Shipping
bill, Bill of Lading or air way bill, Certificate of Origin and any other specific documentation as
specified by the buyer, or as required by financial institutions or LC terms or as per importing
country regulations.
2. Imports Documentation: Purchase Order from Buyer, Sales Invoice of supplier, Bill of Entry,
Bill of Lading or Air way bill, Packing List, Certificate of Origin, and any other specific
documentation required by the buyer, or financial institution or the importing country regulation.
The rules, regulations, and laws are a bit different from country to country, sometimes from port
to port within a country, making someone who specializes in customs clearance very important
to a shipper exporting and importing goods.
These specialists are called customs brokers and the work they do is called customs brokerage or
sometimes customs broking.
Shipping containers are warehoused as they go through customs clearance. Warehousing and
storage fees can add up quickly. If there is a problem with your customs brokerage and your
customs clearance does not happen smoothly, your shipping costs could go up.
On top of these costs, the delay in getting your shipping containers released to you because of
customs clearance problems could cost your business more money because the arrival of your
shipment is delayed.
Your freight forwarder should also be able to handle your customs clearance, but you can choose
to handle it separately with your own customs broker.
When choosing a freight forwarder, you want a company with the experience to handle your
customs clearance well and who knows what to do should any issues arise.

18. Obtaining mates receipts:-
A document issued by the carrier to the shipper, indicating receipt of the goods, but not loading
on board. Like a Bill of Lading B/L, a mate´s receipt can be either clean or claused/dirt/foul,
depending on whether or not the goods have been received in apparent good condition The
mate´s receipt can later be exchanged for the bill of lading. Mate´s receipts are used only for
charter shipments. Shipments made on liner terms (where the sip line handles vessel loading an
unloading) are covered by dock receipts signed when de goods are delivered to the ship lines
terminal.
Payment of freight and issuance ofbill of lading:-
A bill of lading (sometimes abbreviated as B/L or BoL) is a document issued by a carrier (or
their agent) to acknowledge receipt of cargo for shipment. In British English, the term relates to
ship transport only, and in American English, to any type of transportation of goods.
A bill of Lading must be transferable, and serves three main functions:
It is a conclusive receipt, i.e. an acknowledgement that the goods have been loaded and
It contains or evidences the terms of the contract of carriage; and
It serves as a document of title to the goods, subject to the nemo dat rule.
Bills of lading are one of three crucial documents used in international trade to ensure
that exporters receive payment and importers receive the merchandise. The other two documents
are a policy of insurance and an invoice. Whereas a bill of lading is negotiable, both a policy and
an invoice are assignable.
In international trade outside of the USA, Bills of lading are distinct from waybills in that they
are not negotiable and do not confer title.
Security Payment:-
It is more important for exporters in international business to offer appropriate payment methods
to their customers. The growingly popular payment method now is cash against document.
Buyers are more interested in this method while sellers always look for security of payment and
export against contract. There are, however, five primary methods of payment for international
transactions.
Export trade presents a spectrum of risk, which causes uncertainty over the timing of payments
between the exporter and foreign buyer. For exporters, any sale is not complete until the payment
is received. Therefore, exporters want to receive payment as soon as possible - preferably as
soon as an order is placed or before the goods are sent to the importer.
For importers, any advance payment is a risk until the goods are received. Therefore, importers
want to receive goods as soon as possible. They also want to make delay in payment as far as
possible - preferably until after the goods are resold to generate enough income to pay the
exporter. The modes of payment in international trade include: (a) Cash-in-advance (b) Letter of
credit (LC), (c) Collection against documents (d) Open account etc.