DIGITAL EXIM (Part of KTD-Ambica Group, Since 1987) Documentation Process Export Import business needs a lot of documentation for the smooth run of the business. India’s customs authorities have launched the Indian Customs Compliance Information Portal detailing customs procedures and regulatory compliances for import-export trade. This article briefly highlights relevant import-export procedures in India as well as various promotional schemes and initiatives being implemented to benefit exporters. Export and Its Document Process — To ensure the timely movement of your goods, it's important that you accurately complete a set of export documents. These documents will make sure the people transporting your goods know where they are going. The forms will help you clear your goods through customs in a timely manner and without unexpected fees, and they will make sure you get paid on time. Here are eight common export documents that may be required for your international shipments: 1. Proforma Invoice In a typical international sale, the process usually begins with a request from the buyer. Rather than providing a standard quotation form like you may use for your domestic sales, you should reply with a proforma invoice. Your potential new customer may need a proforma invoice to arrange for financing, open a letter of credit, or apply for an export license. If completed properly, a proforma invoice will look a lot like your final commercial invoice. 2. Commercial Invoice ‘Once your international buyer accepts the terms on the proforma invoice and places their order, you need to prepare your goods for shipping, including the paperwork required to accompany the goods. The commercial invoice includes most of the details of the entire export transaction The commercial invoices you prepare for your export shipment will probably include a lot more detail than the invoices you create from your accounting system for your domestic orders. It needs to include a lot of the details discussed in earlier chapters of this guide, including the Incoterms 2020 rule you agreed upon with the buyer; the proper product classifications; export license requirements, if any; and letter of credit or other banking information you need to get paid. Mac ot @ -819898976561 © ©©90> DIGITAL EXIM > DIGITAL =XIM (Part of KTD-Ambica Group, Since 1987) 3. Packing List ‘An export packing list may also include more details than a packing slip you create for your domestic shipments. + Your freight forwarder may use the information to create the necessary bills of lading + Your bank may require a detailed packing list to fulfil the requirements for a letter of credit. + Customs officials in the U.S. and the destination country may need to review certain. items in your shipment. 4. Certificate of Origin ‘Some countries require a certificate of origin to identify the appropriate duty rates to apply to the goods upon import clearance. These certificates of origin usually require a seal from a chamber of ‘commerce in the originating country. ‘An increasing number of companies are foregoing the time and expense of hand-delivering their certificates to a chamber and are relying on electronic certificates of origin (CO) for their exports, An eCO is faster and less expensive to obtain, allows for the option of delivering them electronically to the importer, and are registered with the International Chamber of Commerce— the same body that publishes the Incoterms rules—to provide added credibility with various customs authorities. In addition to the generic certificate of origin, there are also country-specific certificates of origin used to identify goods that are eligible for free or reduced duty rates under the free-trade agreements negotiated by the United States. 5. Shipper’s Letter of Instruction Your freight forwarder is an important partner in your export shipments. They typically arrange the transport of your goods with the carrier and help ensure you've taken care of all the details. The shipper's letter of instruction (SLI) form contains the details of your shipment that the forwarder will use to successfully move your goods. It may also grant the forwarder a limited power of attorney to work on your behalf and, if you prefer, to file the Electronic Export Information Mac ot @ -819898976561 © ©©90> DIGITAL EXIM > DIGITAL =XIM (Part of KTD-Ambica Group, Since 1987) (El) through the Automated Export System (AES) on the Customs and Border Protection's Automated Commercial Environment (ACE) portal. 6. ills of Lading There are three common bills of lading that may be required for your shipment: an inland bill, an ocean bill, and an air waybill The inland bill of lading is often the first transportation document created for your export. I's used to move your goods to the ocean port or airport for transport out of the country to the buyer's destination. The ocean bill of lading is used if your goods are shipping by ocean vessel. It can serve as both a contract of carriage and a document of title for the cargo. It can be a negotiable or non-negotiable document. The air waybill is required for shipments by air. It is a contract of carriage between the shipper and the carrier, and itis always non-negotiable. 7. Dangerous Goods Forms If your products are considered dangerous goods by either the International Air Transport Association (IATA) or the International Maritime Organization (IMO), you need to include the appropriate dangerous goods forms with your shipment. These forms need to be completed by ‘someone who has been trained to handle dangerous good shipping 8. Bank Draft ‘A bank draft is an important part of getting paid for your exports under a documentary collection The seller attaches the various required documents to the bank draft and presents it to the bank to get paid. Usually, the seller's bank will send the bank draft and related documents via the freight forwarder to the buyer's bank. When the buyer authorizes payment for the goods, the bank releases the documents to the buyer and transfers the funds to the seller's bank Mac ot GTO) ©©90DIGITAL EXIM (Part of KTD-Ambica Group, Since 1987) Explain Export Procedure- 1 Receipt of an Order 2 Obtaining License and Quota 3 Letter of Credit 4 Fixing the Exchange Rate 5 Foreign Exchange Formalities 6 Preparation for Executing the Oder 7 Formalities by a Forwarding Agent 8 Bill of Lading 9 Shipment Advise to the Importer 10 Presentation of Documents to the Bank 14 The Realisation of Export proceeds Import and Its Document Process — After the Government adopted the global development of LPG in India, mainly with the effect of this Liberalization and Globalization the barrier free trade in India initiated. The functioning of foreign trade mainly started after this initiation in leaps and bounds. All these give rise to the import procedures and their related documentations. Www.digitalexim ©©90 @ -919898976561 ©> DIGITAL EXIM > DIGITAL EXIM (Part of KTD-Ambica Group, Since 1987) 4 Proforma Invoice It is a record that contains points of interest with regards to the quality, review, design, mass, weight, and cost of the exported merchandise and the terms and conditions on which their transportation will occur. 2 Import order or Indent It is a documentation in which the importer orders for supply of imperative merchandise to the supplier. The order containing the data, for example, amount and nature of merchandise value, a technique for sending the merchandise, packing process, method of payment and so forth. 3 Shipment counsel The exporter sends shipment advice to the importer for telling him that the merchandise has been dispatched. It contains invoice number, bill of lading/airway bill number and date, the name of the vessel to date, the port of export, description of products and amount and the date of cruising of the vessel. 4 Bill of lading Itis readied and marked by the captain of the ship recognizing the receipt of merchandise on board. It contains terms and conditions on which the products are to be taken to the destination. 5 Bill of entry It is a form provided by the customs office to the importer who filled it at the duration of getting the merchandise. It must be in triplicate and is to be submitted to the customs office. 6 Letter of credit It is a document that contains a certification from the importer bank to the exporter’s bank that it is attempted to respect the payment up to a specific sum of the bills issued by the exporter for transportation of the products to the importer. 7 Trade Enquiry Itis a written request made by a logistic firm to the abroad provider for giving data in regards to the cost and different terms and conditions for trading merchandise. Explain Import Procedure Import procedure means all the steps involved in purchase of goods from any foreign country. The procedural steps involved in import trade differ from country to country in respect of their import policy, statutory requirements. In majority of the countries import trade is being controlled by the government. The procedure is summed into quick steps as below: @ -819898976561 © Mac ot ©©90DIGITAL EXIM (Part of KTD-Ambica Group, Since 1987) 1. Trade Enquiry Procurement of Import License and Quota Obtaining Foreign Exchange. Placing the Order. Dispatching a letter of Credit Obtaining Necessary Documents. Customs Formalities and Clearing of Goods. Making the Payment © emrnoanrkron Closing the transactions. The important regulatory documents include: + GST retum forms + GSTR refund form + Exchange Control Declaration + Bank Realization Certificate + Registration cum Membership Certificate (RCMC) List of Documents required for Exports Customs Clearance ProForma Invoice Customs Packing List Country of Origin or COO Certificate Commercial invoice Shipping Bill Bill of Lading or Airway Bill Bill of Sight Letter of Credit Bill of Exchange Export License Warehouse Receipt Health Certificates. List of Documents required for Imports Customs Clearance = Billof Entry Commercial Invoice Mac ot ©©90 GTO)GF DIGITAL 3xIM (Part of KTD-Ambica Group, Since 1987) + Billof Lading or Airway Bill Import License Certificate of Insurance Letter of Credit or LC Test Report (If any) GATTIDGFT declaration Tac stam DIGITAL EXIM Technical Write-up or Literature (Only required for specific goods) Industrial License (for specific goods) RCMC Registration cum Membership Certificate DEEC/DEPB/ECGC License for duty benefits GTO) & O@090