How To Export Goods From India? Steps For Exporting Goods

Step 1. Receipt of an order

The exporter has to teach himself registered amongst diverse authorities similar RBI, income taxation authorities, etc. In addition, he has to appoint agents or distributors for collection of orders from unusual countries. Exporter receives an social club from importer guide or through Indent House.

Step 2. Obtaining License as well as Quota

After obtaining order, exporter has to secure export license from the government. For this, he has to apply to the Export Trade Control Authority as well as obtain the valid license. Quota is the total quantity of goods that is permitted for exports.

Step 3. Letter of Credit

Exporter demands alphabetic lineament of credit from importer or sometimes importer may mail it himself along amongst the order.

Step 4. Fixing telephone substitution rate

Exchange charge per unit of measurement way the charge per unit of measurement at which the currency of 1 province is exchanged for the currency of unopen to other country. It fluctuates from fourth dimension to time. Hence the exporter as well as importer ready the telephone substitution charge per unit of measurement mutually.

Step 5. Foreign telephone substitution formalities

Here the exporter has to undergo certainly unusual telephone substitution formalities equally position downward nether telephone substitution command regulations. According to FERA (Foreign Exchange Regulation Act of India) every exporter has to render a proclamation inwards the cast prescribed for this purpose.

The proclamation states :-

1. Foreign telephone substitution earned past times way of exports volition live on disposed inwards the mode as well as inside the current specified past times RBI.
2. Negotiations of transportation documents volition live on through authorised dealers inwards unusual exchange.
3. The payment for goods exported volition live on collected solely through approved method.

Step 6. Preparation for executing the order

The exporter makes necessary arrangements for executing the order.

In this observe he performs the next activities :-

1. Packing as well as marker of the goods equally per the specifications of the importer.
2. Arranging the pre-shipment inspection past times the Export Inspection Agency as well as getting the inspection certificate from it.
3. Securing insurance policy from the Export Credit Guarantee Corporation (ECGC) to teach protection against the credit risks.
4. Obtaining a suitable marine insurance policy, consular invoice as well as certificate of origin, if required.
5. Appointing a forwarding agent for treatment the customs as well as forwarding activities.

Step 7. Formalities done past times forwarding agent

The Forwarding Agent completes the next formalities :-

1. He obtains the Customs' Permit from the Customs Department for exporting goods.
2. The Forwarding Agent discloses the details of the goods such equally their nature, size, quantity, weight, etc. to the transportation company.
3. The Forwarding Agent prepares a Shipping Bill.
4. The Forwarding Agent prepares ii copies of the dock challans as well as pays the dock dues.
5. The Captain of the ship gets the goods loaded on the ship on the footing of the Shipping Order inwards the presence of client officers.
6. When the goods are loaded on the ship, the Mate (Vice Captain or the Captain) issues a receipt, called Mate's or Captain's Receipt.

Step 8. Bill of Lading

The exporter approaches the transportation company, presents the Mate's Receipt as well as inwards telephone substitution receives a document called Bill of Lading. It is an official receipt given past times the transportation fellowship equally an acknowledgement of the receipt of goods to live on transported to the port of destination. It is too a contract for the wagon of goods. It gives total description of goods loaded on the ship, cite of the port of destination, etc.

Step 9. Shipment advice to importer

The exporter sends Shipment Advice to the importer informing him nigh the dispatch of the goods. He sends a re-create of packing list, commercial invoice as well as a non-negotiable re-create of the Bill of Lading, along amongst the Advice Note.

Step 10. Presentation of documents to the bank

The exporter confirms that he has secured a consummate position of the transportation documents namely, the Bill of Lading, Marine Insurance Policy, Certificate of Origin, the Consular Invoice as well as the Commercial Invoice. He thus draws a Bill of Exchange on the footing of the commercial invoice. The Bill of Exchange accompanied past times these documents is called Documentary Bill of Exchange. Such a neb may live on a D/P (Documents against payment) neb or D/A (Documents against Acceptance) bill. The exporter hands over the documnetary neb to his bank.

Step 11. Realisation of export proceeds

For realisation of export proceeds, the exporter has to undergo certainly banking formalities. Generally he receives payment inwards unusual currency past times neb of telephone substitution or past times banking concern draft.

Step 12. Follow up

After the sales, exporter should ever accept a follow-up, to discovery out buyer's reactions towards the goods. Such follow upwardly builds goodwill as well as the exporter tin teach to a greater extent than as well as to a greater extent than orders inwards future.

How to import Goods inwards India?

Related Article :- Steps for Importing Goods inwards India.