38
EXPORT PROCEDURE & DOCUMENTATION VIVA College S.Y.B.M.S ROLL NO.

URUS PERIZINAN EXPORT

Embed Size (px)

DESCRIPTION

JASA PENGURUSAN PERIZINAN EXPORT IMPORTIR "CORPORATE LEGAL SERVICES " http://www.saranaijin.com http://www.licensemps.com Jakarta Komplek Ruko Segitiga Atrium Blok A1 Lt 2 Jl. Senen Raya No. 135 Jakarta Pusat 10410. Tep: (62) 21- 34833034 Fax : (62) 21- 34833038 Mobile: 081385042000 PIN BB 2BB50C80 Email: [email protected] Bekasi Ruko Ifolia 2 Blok HY 46/33 Harapan Indah 2 Kota Harapan Indah Bekasi Utara Telp: ( 62) 21-29466607 Fax : ( 62) 21-29466607 Mobile: 0813850420 00 PIN BB 2BB50C80 Email: [email protected] Medan Gedung Johar Jl. Tani Bersaudara no. 9 Medan Telp: (62) 61-77554440 Fax : (62) 61-77554440 Mobile: 08527013910 Email: [email protected] JASA PERNGURUSAN PERIZINAN EXPORT IMPORTIR - URUS API-P (ANGKA PENGENAL IMPORTIR PRODUSEN) - URUS API-U (ANGKA PENGENAL IMPORTIR UMUM) - URUS API PERUBAHAN - URUS APIP (Produsen) PMA BKPM - URUS APIU (Umum) PMA BKPM - URUS NIK EXPORT IMPORT - URUS NPIK - URUS IT ELEKTRONIKA - IT PAKAIAN JADI - IT ALAS KAKI - IT MAKANAN DAN MINUMAN IT OBAT TRADISINAL DAN HERBAL - URUS IP PLASTIK, IP BESI/BAJA, IP TEKSTIL - URUS PI BARANG MODAL BUKAN BARU - URUS ETPIK - URUS SKPLBI BARANG / LABEL PRODUK IMPORTIR - URUS POSTEL JASA PENGURUSAN LEGAL SERVICES - URUS PENDIRIAN PT – PERSEROAN TERBATAS - URUS PENDIRIAN PMA - URUS IZIN PRINSIP - URUS PENDIRIAN CV - URUS PENDIRIAN UD - URUS IZIN PRINSIP PERLUASAN - URUS SIUP - URUS TDP - URUS UKL/UPL khusus Bekasi dan Krawang Jawa Barat - URUS UUG/HO Khusus Bekasi dan Krawang Jawa Barat

Citation preview

Page 1: URUS PERIZINAN EXPORT

EXPORT PROCEDURE & DOCUMENTATION

VIVA College S.Y.B.M.SROLL NO.

61to70

Page 2: URUS PERIZINAN EXPORT

INDEX

SERIALNUMBER

CONTENT PAGE NUMBER

1 INTRODUCTION

2 FLOW CHART

3 EXPORT DOCUMENTS

4 COMMERCIAL DOCUMENTS

5 COMMERCIAL INVOICE

6 Certificate of Origin:

7 Bill of Lading

8

Page 3: URUS PERIZINAN EXPORT

INTRODUCTION

India has a mission to capture 2% of the global share of trade by 2010, up from

the present level of less than 1%. Export is one of the lucrative business activities in India. The

government also provides various promotional schemes to the exporters for earning valuable

foreign exchange for the country and for meeting their requirements for importing modern

technology and essential inputs. Besides, the income from export business is also exempted to

the specified extent under the Income Tax Act, 1961, Refund of Central Excise and Custom

Duty on export is also made under the Duty Drawback Scheme of the Government. There is no

Sales Tax on products meant for exports.

Exports can be of goods which can be moved physically from one country to

another or can be of service rendered. Detailed list of services are given in the Foreign Trade

Policy covering more than 160 items e.g. Insurance, Hospital, Postal and Telecommunication

etc.

TWO CLASSES OF EXPORTS:

Physical Exports: If the goods physically go out of the country or services are

rendered outside the country then it is called as physical export. Deemed Exports: Where the

goods do not go out of the country physically they can be termed as deemed exports. This will

be subject to certain conditions as prescribed by the DGFT. Under Deemed Exports, the goods

may be supplied to the manufacturer exporter who ultimately export a finished product of which

this supply forms a part and ultimately go out of the country. E.g. Supply of fabrics to the

garment exporter who exports the garments made out of the said fabric.

The government may announce from time to time the types of supplies that may

be considered as deemed export. The Foreign Trade Policy gives the list of supplies considered

under the Deemed Export Category. The policies and procedures are different for Physical

Exports and Deemed Exports as also the benefits available. In a nutshell, Deemed Exports do not

Page 4: URUS PERIZINAN EXPORT

enjoy all the benefits that are available under Physical Export. The Foreign Trade defines

exports as taking out of India any goods by land, sea, air. Although the act does not term them as

“Physical Exports”, we have to put phrase to distinguish it from “Deemed Exports” which is

sales in India but considered as exports for limited purpose.

TYPES OF EXPORTERS:

Exporters can be basically classified into two groups

Manufacturer Exporter: As the exporter has the facility to manufacturer the product he

intends to export and hence he exports the products manufactured by him.

Merchant Exporter: An exporter who does not have the facility to manufacture an item.

But, he procures the same from other manufacturers or from the market and exports the

same.

An exporter can be both a manufacturer exporter as well as a merchant exporter,

he can export product manufactured by him or he can export items bought from the market.

Once it is decided to export, it is mandatory on your part to follow certain

procedures, rules and regulations as prescribed by various regulatory authorities such as DGFT,

RBI, and Customs. These procedures, rules and regulations are laid down in the Exim Policy

2004-09, Exchange Control Manual, Customs Act etc. Accordingly Export documents are

required to be prepared keeping in view of the requirement of the foreign buyers and our

regulatory authorities.

Page 5: URUS PERIZINAN EXPORT

EXPORT DOCUMENTS

Any export shipment involved various documents required by various authorities such as

customs, excise, RBI, Inspection and according depending upon the requirements, there are

categorized into 2 categories, namely commercial documents and regulatory documents.

A. Commercial Documents. : - Commercial documents are required for effecting

physical transfer of goods and their title from the exporter to the importer and the

realisation of export sale proceeds. Out of the 16 commercial documents in the export

documentation framework as many as 14 have been standardised and aligned to one

another. These are proforma invoice, commercial invoice, packing list, shipping

instructions, intimation for inspection, certificate, of inspection of quality control,

insurance declaration, certificate' of insurance, mate's receipt, bill of lading or combined

transport document, application for certificate origin, certificate of origin, shipment

advice and letter to the bank for collection or negotiation of documents. However,

shipping order and bill of exchange could not be brought within the fold of the Aligned

Documentation System,

1. Commercial Invoice : Commercial invoice is an important and basic export

document. It is also known as a 'Document of Contents' as it contains all the information

required for the preparation of other documents. It is actually a seller's bill of merchandise.

It is prepared by the exporter after the execution of export order giving details about the

goods shipped. It is essential that the invoice is prepared in the name of the buyer or the

consignee mentioned in the letter of credit. It is a prima facie evidence of the contract of

sale or purchase and therefore, must be prepared strictly in accordance with the contract of

sale.

Contents of Commercial Invoice

Name and address of the exporter.

Page 6: URUS PERIZINAN EXPORT

Name and address of the consignee.

Name and the number of Vessel or Flight.

Name of the port of loading.

Name of the port of discharge and final destination.

Invoice number and date.

Exporter's reference number.

Buyer's reference number and date.

Name of the country of origin of goods.

Name of the country of final destination.

Terms of delivery and payment.

Marks and container number.

Number and packing description.

Description of goods giving details of quantity, rate and total amount in terms of

internationally accepted price quotation.

Signature of the exporter with date.

Significance of Commercial Invoice

It is the basic document useful in preparation of various other shipping documents.

It is used in various export formalities such as quality and pre-Shipment inspection

excise and customs procedures etc.

It is also useful in negotiation of documents for collection and claim of incentives.

It is useful for accounting purposes to both exporters as well as importers.

2 Inspection Certificate: The certificate is issued by the inspection authority such as the

export inspection agency. This certificate states that the goods have been inspected before

shipment, and that they confirm to accepted quality standards.

3 Marine insurance policy: Goods in transit are subject to risk of loss of goods arising

due to fire on ship, perils of sea, theft etc. marine insurance protects losses incidental to

voyages and in land transportation. Marine insurance policy is one of the most important

document used as collateral security because it protects the interest of all those who have

insurable interest at the time of loss. The exporter is bound to insure the goods in case of

Page 7: URUS PERIZINAN EXPORT

CIF quotation, but he can also insure the goods in case of FOB contract, at the request of

the importer, but the premium payment will be made by the exporter. There are different

types of policies such as

SPECIFIC POLICY: This policy is taken to cover different risks for a single

shipment. For a regular exporter, this policy is not advisable as he will have to

take a separate policy every time a shipment is made, so this policy is taken when

exports are in frequent.

Floating Policy: This is taken to cover all shipments for some months. There is

no time limit, but there is a limit on the value of goods and once this value is

crossed by several shipments, then it has to be renewed.

Open Policy: This policy remains in force until cancelled by either party i.e.

insurance company or the exporter.

Open Cover Policy: This policy is generally issued for 12 months period, for all

shipments to one or more destinations. The open cover may specify the maximum

value of consignment that may be sent per ship and if the value exceeded, the

insurance company must be informed by the exporter.

Insurance Premium: Differs upon product to product and a number of such

other factors, such as, distance of voyage, type and condition of packing, etc.

Premium for air consignments are lowered as compared to consignments by sea.

4. Consular Invoice: Consular invoice is a document required mainly by the Latin

American countries like Kenya, Uganda, Tanzania, Mauritius, New Zealand, Myanmar,

Iraq, Australia, Fiji, Cyprus, Nigeria, Ghana, Guinea, Zanzibar, etc. This invoice is the

most important document, which needs to be submitted for certification to the Embassy of

the importing country concerned. The main purpose of the consular invoice is to enable the

authorities of the importing country to collect accurate information about the volume,

value, quality, grade, source, etc., of the goods imported for the purpose of assessing

import duties and also for statistical purposes. In order to obtain consular invoice, the

exporter is required to submit three copies of invoice to the Consulate of the importing

country concerned. The Consulate of the importing country certifies them in return for

fees. One copy of the invoice is given to the exporter while the other two are dispatched to

Page 8: URUS PERIZINAN EXPORT

the customs office of the importer's country for the calculation of the import duty. The

exporter negotiates a copy of the consular invoice to the importer along with other shipping

documents.

Significance of Consular Invoice for the Exporter

It facilitates quick clearance of goods from the customs in exporter's as well as

importer's country.

Certification' of goods by the Consulate of the importing country indicarer that the

importer has fulfilled all procedural and licensing formalities for import of goods.

It also assures the exporter of the payment from the importing country.

Significance of Consular Invoice for the Importer

It facilitates quick clearance of goods from the customs at the port destination and

therefore, the importer gets quick delivery of goods.

The importer is assured that the goods imported are not banned for imported in his

country.

Significance of Consular Invoice for the Customs Office

It makes the task of the customs authorities easy.

It facilitates quick calculation of duties as the value of goods as determine by the

Consulate is considered for the purpose.

5. Certificate of Origin: The importers in several countries require a certificate of origin

without which clearance to import is refused. The certificate of origin states that the goods

exported are originally manufactured in the country whose name is mentioned in the

certificate. Certificate of origin is required when:-

The goods produced in a particular country are subject to’ preferential tariff rates in the

foreign market at the time importation.

The goods produced in a particular country are banned for import in the foreign market.

Page 9: URUS PERIZINAN EXPORT

Types of the Certificate of Origin

(a) Non-preferential Certificate, of Origin: - Non-preferential certificate of origin is required

in general by all countries for clearance of goods by the importer, on which no preferential

tariff is given. It is issued by: ¬

The authorised Chamber of Commerce of the exporting country.

Trade Association. Of the exporting country.

(b) Certificate of Origin for availing Concessions under GSP :- Certificate of origin required

for availing of concessions under Generalised System of Preferences (GSP) extended by

certain, countries such as France, Germany, Italy, BENELUX countries, UK, Australia;

Japan, USA, etc. This certificate can be obtained from specialised agencies, namely;

Export Inspection Agencies.

Jt. Director General of Foreign Trade..

Commodity Boards and their regional offices.

Development Commissioner, Handicrafts.

Textile Committees for textile products.

Marine Products Export Development Authority for marine products.

Development Commissioners of EPZs

(c) Certificate for availing Concessions under Commonwealth Preferences (CWP):

Certificate of origin for the purpose of Commonwealth Preference is also known as

'Combined Certificate of Origin and Value'. It is required by two member countries, i.e.

Canada and New Zealand of the Commonwealth. For concession under Commonwealth

preferences, the certificates or origin have to be submitted in special forms obtainable,

from the High Commission of the country concerned.

(d) Certificate for availing Concessions under other Systems of Preference:- Certificate of

origin is also required for tariff concessions. under the Global System of Trade Preferences

(GSTP), Bangkok Agreement(BA) and SAARC Preferential Trading Arrangement

(SAPTA) under which India grants and receives tariff concessions On imports and exports.

Page 10: URUS PERIZINAN EXPORT

Export Inspection Council (EIC) is the sole authority to print blank Certificates of Origin

under BA, SAARC and SAPTA which can be issued by such agencies as EPCs, DCs of

EPZs, EIC, APEDA, MPEDA, FIEO, etc...

Contents of Certificate of Origin

Name and logo of chamber of commerce.

Name and address of the exporter.

Name and address of the consignee.

Name and the number of Vessel of Flight

Name of the port of loading.

Name of the port of discharge and place of delivery.

Marks and container number.

Packing and container description.

Total number of containers and packages.

Description of goods in terms of quantity.

Signature and initials of the concerned officer of the issuing authority.

Seal of the issuing authority.

Significance of the Certificate of Origin

Certificate of origin is required for availing of concessions under Generalised System of

Preferences (GSP) as well as under Commonwealth Preferences (CWP).

It is to be submitted to the customs for the assessment of duty clearance of goods with

concessional duty.

It is required when the goods produced in a particular country are banned for import in

the foreign market.

It helps the buyer in adhering to the import regulations of the country.

Sometimes, in order to ensures that goods bought from some other country have not been

reshipped by a seller, a certificate of origin IS required.

Page 11: URUS PERIZINAN EXPORT

6. Bill of Lading: The bill of lading is a document issued by the shipping company or its

agent acknowledging the receipt of goods on board the vessel, and undertaking to deliver

the goods in the like order and condition as received, to the consignee or his order,

provided the freight and other charges as specified in the bill have been duly paid. It is also

a document of title to the goods and as such, is freely transferable by endorsement and

delivery.

Bill of Lading serves three main purposes:

As a document of title to the goods;

As a receipt from the shipping company; and

As a contract for the transportation of goods.

Types of Bill of Lading

Clean Bill of Lading: - A bill of lading acknowledging receipt of the goods apparently

in good order and condition and without any qualification is termed as a clean bill of

lading.

Claused Bill of Lading: - A bill of lading qualified with certain adversere marks such

as, "goods insufficiently packed in accordance with the Carriage of Goods by Sea Act,"

is termed as a claused bill of lading.

Transhipment or Through Bill of Lading: - When the carrier uses other transport

facilities, such as rail, road, or another steamship company in addition to his own, the

carrier issues a through or transhipment bill of lading.

Stale Bill of Lading: - A bill of lading that has been held too long before it is passed on

to a bank for negotiation or to the consignee is called a stale bill of lading.

Freight Paid Bill of Lading: - When freight is paid at the time of shipment or in

advance, the bill of landing is marked, freight paid. Such bill of lading is known as

freight bill of lading.

Freight Collect Bill of lading :- When the freight is not paid and is to be collected from

the consignee on the arrival of the goods, the bill of lading is marked, freight collect and

is known as freight collect bill of lading

Page 12: URUS PERIZINAN EXPORT

Contents of Bill of Lading

Name and logo of the shipping line.

Name and address of the shipper.

Name and the number of vessel.

Name of the port of loading.

Name of the port of discharge and place of delivery.

Marks and container number.

Packing and container description.

Total number of containers and packages,

Description of goods in terms of quantity.

Container status and seal number.

Gross weight in kg. and volume in terms of cubic meters.

Amount of freight paid or payable.

Shipping bill number and date.

Signature and initials of the Chief Officer. .

Significance of Bill of Lading for Exporters

It is a contract between the shipper and the shipping company for carriage of the goods to

the port of destination.

It is an acknowledgement indicating that the goods mentioned in the document have been

received on board for the Purpose of shipment.

A clean bill of lading certifies that the goods received on board the ship are in order and

good condition.

It is useful for claiming incentives offered by the government to exporters

The exporter can claim damages from the shipping company if the goods are lost or

damaged after the issue of a clean bill of lading.

Significance of Bill of Lading for Importers

It acts as a document of title to goods, which is transferable endorsement and delivery.

Page 13: URUS PERIZINAN EXPORT

The exporter sends the bill of lading to the bank of the importer so as to enable him to

take the delivery of goods.

The exporter can give an advance intimation to the foreign buyer about the shipment of

goods by sending him a non-negotiable copy of bill of lading

Significance of Bill of Lading for Shipping Company

It is useful to the shipping company for collection of transport charges from the importer,

if not collected from the exporter.

7. Airway Bill: An airway bill, also called an air consignment note, is a receipt issued by

an airline for the carriage of goods. As each shipping company has its own bill of lading, so each

airline has its own airway bill. Airway Bill or Air Consignment Note is not treated as a

document of title and is not issued in negotiable form.

Contents of Airway Bill

Name of the airport of departure and destination.

The names and addresses of the consignor, consignee and the first carrier.

Marks and container number.

Packing and container description.

Total number of containers and packages.

Description of goods in terms of quantity.

Container status and seal number.

Amount of freight paid or payable.

Signature and initials of the issuing carrier or his agent.

Importance of Airway Bill: It is a contract between the airlines or his agent to carry

goods to the destination. It is the document of instructions for the airline handling staff. It

acts as a customs declaration form. Since, it contains details about freight it also represents

freight bill.

Page 14: URUS PERIZINAN EXPORT

7. Shipment Advice to Importer:- After the shipment of goods, the exporter intimates the

importer about the shipment of goods giving him details about the date of shipment, the

name of the vessel, the destination, etc. He should also send one copy of non-negotiable

bill of lading to the importer.

8. Packing List: The exporter prepares the packing list to facilitate the buyer to check the

shipment. It contains the detailed description of the goods packed in each case, their gross

and net weight, etc. The difference between a packing note and a packing list is that the

packing note contains the particulars of the contents of an individual pack, while the

packing list is a consolidated statement of the contents of a number of cases or packs.

9. Bill of Exchange: The instrument is used in receiving payment from the importer. The

importer may prefer Bill of Exchange to LC as it does not involve blocking of funds. A bill

of exchange is drawn by the exporter on the importer, to make payment on demand at sight

or after a certain period of time.

B/E is a means to collect payment.

B/E is a means to demand payment.

B/E is a means to extent the credit.

B/E is a means to promise the payment.

B/E is an official acknowledgement of receipt of payment.

Financial documents perform the function of obtaining the finance collection of

payment etc.

2 sets. Each one bearing the exclusion clause making the other part of the draft

invalid.

Sight B/E.

Usance B/E.

It is known as draft.

Immediate payment – Sight draft.

There are two copies of draft. Each one bears reference to the other part A&B.

when any one of the draft is paid, the second draft becomes null and void.

Parties to bill of exchange.

1. The drawer: The exporter / person who draws the bill.

Page 15: URUS PERIZINAN EXPORT

2. The drawee: The importer / person on whom the bill is drawn for payment.

3. The payee: The person to whom payment is made, generally, the exporter /

supplier of the goods.

B Auxiliary Documents: These documents generally form the basic documents based on which

the commercial and or regulatory documents are prepared. These documents also do not have

any fixed formats and the number of such documents will wary according to individual

requirements.

1. Proforma Invoice: The starting point of the export contract is in the form of offer made

by the exporter to the foreign customer. The offer made by the exporter is in the form of

a proforma invoice. It is a quotation given as a reply to an inquiry. It normally forms the

basis of all trade transactions.

Contents of Proforma Invoice

Name and address of the exporter.

Name and address of the importer.

Mode of transportation, such as Sea or Air or Multimodal transport.

Name of the port of loading.

Name of the port of discharge and final destination.

Provisional invoice number and date.

Exporter's reference number.

Buyer's reference number and date.

Name of the country of origin of goods.

Name of the country of final destination.

Marks and container number. .

Number and packing description.

Description of goods giving details of quantity, rate and total amount in terms of

internationally accepted price quotation.

Signature of the exporter with date.

Importance of Proforma Invoice

Page 16: URUS PERIZINAN EXPORT

It forms the basis of all trade transactions.

It may be useful for the importer in obtaining import licence or foreign exchange.

2. Intimation for Inspection: Whenever the consignment requires the pre-shipment

inspection, necessary application is to be made to the concerned inspection agency for

conducting the inspection and issue of certificate thereof.

3. Declaration of Insurance: Where the contract terms require that the insurance to be

covered by the exporter, the shipper has to give details of the shipment to the insurance

company for necessary insurance cover. The detailed declaration will cover:

Name of the shipper \ exporter.

Name & address of buyer.

Details of goods such as packages, quantity, value in foreign currency

as well as in Indian Rs. Etc.

Name of the Vessel \ Aircraft.

Value for which insurance to be covered.

4. Application of the Certificate Origin: In case the exporter has to obtain Certificate of

Origin from the concerned authorities, an application has to be made to the concerned

authority with required documents. While the simple invoice copy will do for getting C\

O from the chamber of commerce, in respect of obtained the same from the office of the

Textile Committee or Export Promotion Council, the documents requirement are

different.

5. Mate's Receipt: Mate's receipt is a receipt issued by the Commanding Officer of the ship

when the cargo is loaded on the ship. The mate's receipt is a prima facie evidence that

goods are loaded in the vessel. The mate's receipt is first handed over to the Port Trust

Authorities. After making payment of all port dues, the exporter or his agent collects the

mate's receipt from the Port Trust Authorities. The mate's receipt is freely transferable. It

must be handed over to the shipping company in order to get the bill of lading. Bill of

lading is prepared on the basis of the mate's receipt.

Types of Mate's Receipts

Page 17: URUS PERIZINAN EXPORT

Clean Mate's Receipt: - The Commanding Officer of the ship issues a clean mate's

receipt, if he is satisfied that the goods are packed properly and there is no defect in

the packing of the cargo or package.

Qualified Mate's Receipt: - The Commanding Officer of the ship issues qualified

mate's receipt, when the goods are not packed properly and the shipping company

does not take any responsibility of damage. to the goods during transit.

Contents of Mate's Receipt

Name and logo of the shipping line.

Name and address of the shipper.

Name and the number of vessel.

Name of the port of loading.

Name of the port of discharge and place of delivery.

Marks and container number.

Packing and container description.

Total number of containers and packages.

Description of goods in terms of quantity.

Container status and seal number.

Gross weight in kg. and volume in terms of cubic meters.

Shipping bill number and date.

Signature and initials of the Chief Officer.

Significance of Mate's Receipt

It is an acknowledgement of goods received for export on board the ship.

It is a transferable document. It must be handed over to the shipping company in

order to get the bill of lading.

Bill of lading, which is the title of goods, is prepared on the basis of the mate's

receipt.

It enables the exporter to clear port trust dues to the Port Trust Authorities.

Obtaining Mate's Receipt

Page 18: URUS PERIZINAN EXPORT

The goods are then loaded on board the ship for which the Mate or the Captain of the

ship issues Mate's Receipt to the Port Superintendent.

6. Shipping order: it is issued by the Shipping/Conference Line intimating the exporter

about the reservation of space for shipment of cargo which the exporter intends to ship.

Details of the vessel, poet of the shipment, and the date on which the goods are to be

shipped are mentioned. This order enables the exporter to make necessary arrangements

for customs clearance and loading of the goods.

7. Shipping Instructions: at the pre-shipment stage, when the documents are to sent to the

CHA for customs clearance, necessary instructions are to be give with relevance to

The export promotion scheme under which goods are to be exported.

Name of the specific vessel on which the goods are to be loaded.

If goods are to be FCL or LCL.

If freight amount are to be paid / collected.

If shipment are covered under A.R.E.-1 procedure.

Instructions for obtaining Bill of Lading etc.

8. Bank letter for negotiation of documents: at the post shipment stage, the exporter has to

submit the documents to a bank for negotiation or discounting or collection for

forwarding the same to the customer and also for realization of export proceeds. The

bank letter is the set of instruction for the bank as to how to handle the documents by

them and by the bank at the buyer’s country which may include

Name and address of the buyer.

Details of various documents being sent and the number of the copies

thereof.

Name and address of the buyer’s bank if available.

If the documents are sent L/C or on open terms.

If the proceeds are to adjusted against any pre-shipment packing credit

loan.

Page 19: URUS PERIZINAN EXPORT

If the bill amount is to be adjusted against any forward exchange

cover.

In case of credit bill who has to bear the interest, either exporter or if

the same is to be collected from the buyer.

Instructions in case non-acceptance/non-payment by the buyer.

C. Regulatory Document: Regulatory pre-shipment export documents are prescribed by the

different government departments and bodies in order to comply with various rules and

regulations under the relevant laws governing export trade such as export inspection, foreign

exchange regulation, ex port trade control, customs, etc. Out of 9 regulatory documents four

have been standardised and aligned. These are shipping bill or bill of export, exchange

control declaration (GR from), export application dock challan or port trust copy of shipping

bill and receipt for payment of port charges.

1. Shipping Bill: Shipping bill is the main customs document, required by the customs

authorities for granting permission for the shipment of goods. The cargo is moved

inside the dock area only after the shipping bill is duly stamped, i.e. certified by the

customs. Shipping bill is normally prepared in five copies :-

Customs copy.

Drawback copy.

Export promotion copy.

Port trust copy.

Exporter's copy.

Types of Shipping Bill

Based on the incentives offered by the government, customs authorities have introduced three

types of shipping bills:-

Drawback Shipping Bill: - Drawback shipping bill is useful for claiming the customs

drawback against goods exported.

Page 20: URUS PERIZINAN EXPORT

Dutiable Shipping Bill: - Dutiable shipping bill is required for goods which are subject

to export duty.

Duty-free Shipping Bill: - Duty-free shipping bill is useful for exporting goods on

which there is no export duty.

In order to facilitate easy recognition and quick processing, following colours have been

provided to different kinds of shipping bills :

Types of goods By Sea By Air

Drawback shipping bill Green Green

Dutiable shipping bill Yellow Pink

Duty-Free shipping bill White Pink

Contents of Shipping Bill

Name and address of the exporter.

Name and address of the importer.

Name of the vessel, master or agents and flag.

Name of the port at which goods are to be discharged.

Country of final destination.

Details about packages, description of goods, marks and numbers, quantity and details of

each case.

FOB price and real value of goods as defined in the Sea Customs Act.

Whether Indian or foreign merchandise to be re-exported

Total number of packages with total weight and value.

Significance of Shipping Bill

a) Shipping bill is the main customs document, required by the customs authorities

for granting permission for the shipment of goods.

b) The cargo is moved inside the dock area only after the shipping bill is duly

stamped, i.e. certified by the customs.

Page 21: URUS PERIZINAN EXPORT

c) Duly endorsed shipping bill is also necessary for the collection of export

incentives offered by the government.

d) It is useful to the Customs Appraiser while determining the actual value of goods

exported.

2. A.R.E. 1 form (Central excise): this form ARE-1 is prescribed under Central Excise

rules for export of goods. In case goods meant for export are cleared directly from the

premises of a manufacturer, the exporter can avail the facility of exemption from

payment of terminal excise duty. The goods may be cleared for export either under

claim for rebate of duty paid or under bond without payment of duty. In both the

events the goods are to be cleared under form A.R.E-1 which will show the details of

the goods being exported, the relevant duty involved and if the duty is paid or goods

being cleared under bond, details of goods being sealed either by the exporter or

Central Excise officials etc.

3. Exchange Control declaration Form (GR/PP/SOFTEX): under the exchange

control regulations all exporters must declare the details of shipment for monitoring

by the Reserve Bank of India. For this purpose, RBI has prescribed different forms

for different types of shipments like GRI, PP forms etc. These declaration forms must

be presented to the customs officials at the time of passing of export documentation.

Under the EDI processing of shipping bill in the customs, these forms have been

dispensed with and a new form SDF has to be submitted to the customs in the place

of above forms.

4. Export Application: this is the application to be made to the customs officials before

shipment of goods. The prescribed form of the application is the Shipping Bill/Bill of

Export. Different types are required for shipment like ex-bond, duty free goods, and

dutiable goods and for export under different export promotion schemes such as

claims for duty drawback etc.

5. Vehicle Ticket/Cart Ticket/Gate Pass etc.: before the goods are being taken inside

the port for loading, necessary permission has to be obtained for moving the vehicle

into the customs area. This permission is granted by the Port Trust Authority. This

document will contain the detail of the export cargo, name and address of the

Page 22: URUS PERIZINAN EXPORT

shippers, lorry number, marks and number of the packages, driver’s licence details

etc.

6. Bank Certificate of Realisation: this is the form prescribed under the Foreign Trade

Policy, wherein the negotiating bank declares the fob value of exports and for the

date of realisation of the export proceeds. This certificate is required fore obtaining

the benefit under various schemes and this value of fob is reckoned as fob value of

exports.

D. Other Document:

Black List Certificate: it certifies that the ship/aircraft carrying the cargo has

not touched the particular country on its journey or that the goods are not from

the particular country. This is required by certain nations who have strained

political and economical relations with the so called “Black Listed Countries”.

Language Certificate: Importers in the European Community require a

language certificate along with the GSP certificate in respect of handloom

cotton fabrics classifiable under NAMEX code 55.09. Generally four copies of

language certificate are prepared by the concerned authority who issues GSP

certificate. Three copies are handed over to the exporter. A copy is sent along

with the other documents for realisation of export proceeds.

Freight Payment Certificate: in most of the cases, the B/L or AWB will

mention the transportation and other related charges. However if the exporter

does not want these details to be disclosed to the buyer, the shipping company

may issue a separate certificate for payment of the freight charges instead of

declaring on the main transport documents. This document showing the freight

payment is called the freight certificate.

Insurance Premium Certificate: this is the certificate issued by the Insurance

Company as acknowledgement of the amount of premium paid for the

insurance cover. This certificate is required by the bank for arriving at the fob

value of the goods to be declared in the bank certificate of realisation.

Page 23: URUS PERIZINAN EXPORT

Combined Certificate of Origin and Value: this certificate is required by the

Commonwealth Countries. This certificate is printed in a special way by the

Commonwealth Countries. This certificate should contain special details as to

the origin and value of goods, which are useful for determining import duty.

All other details are generally the same as that of Commercial Invoice, such as

name of the exporter and the importer, quality and quantity of the goods etc.

Customs Invoice: this is required by the countries like Canada, USA for

imposing preferential tariff rates.

Legalized Invoice: this is required by the certain Latin American Countries

like Mexico. It is just like consular invoice, which requires certification from

Consulate or authorised mission, stationed in the exporter’s country.

Special Provision under Uniform Customs and practice for Documentary Credit UCP-500,

for Commercial Invoice.

Article-37: Commercial Invoice

o Must appear on their face to be issued by the beneficiary named in the

credit.

o Must be made out in the name of the applicant.

o Need not be signed

Banks may refuse Commercial Invoice issued for amounts in excess of the

amount permitted by the credit except otherwise stated.

The description of the goods in the commercial invoice must correspond with

the description of the credit. In all other documents the goods may be

described in the General in general terms not inconsistent with description in

the credit. In all documents goods may be described in general terms not

inconsistent with the Description of the goods in the credit.

Page 24: URUS PERIZINAN EXPORT

Pre-Shipment Documents:

Shipping bill.

Export order/Sales contract/Purchase order.

Letter of Credit

Commercial invoice.

Packing list.

Certificate of origin.

Guaranteed Remittance (G.R/SDF/PP/SOFTEX),or SDF.

Certificate of Inspection.

Various declarations required as per custom procedure.

Exchange Control Declaration Form: all exports to which the requirement of declaration apply

must be declared on appropriate forms as indicated below unless the consignment is of samples

and of ‘No Commercial Value’

GR FORM: to be completed in duplicate for exports otherwise than by post

including export of software in physical form i.e. magnetic tape/discs and

paper media.

SDF FORM: to be completed in duplicate and appended to the Shipping Bill

for export declare to the customs offices notified by the Central Government

which have introduced EDI system for processing Shipping Bill.

PP FORM: to be completed in duplicate for export by post.

SOFTX: to be completed in triplicate for export of software otherwise than in

the physical form i.e. magnetic tapes/discs and paper media.

These forms are available for sale in Reserve Bank of India

Page 25: URUS PERIZINAN EXPORT
Page 26: URUS PERIZINAN EXPORT

CONCLUSION

AT THE END OF THE PROJECT WE CONCLUDED THAT THE PROJECT

HAS BEEN COMPLETED WITH COOPERATION OF THE COLLEAGUES

AND OUR HARD WORK. BY DOING THIS PROJECT WE CAME TO KNOW

ABOUT THE VARIOUS DOCUMENTATION NEEDED FOR EXPORT. THE

DOCUMENTATION NEEDED IS G.R FORM, CERTIFICATE OF THE

ORIGIN, COMMERCIAL INVOICE, AND CONSUMER INVOICE.

THANK YOU

Page 27: URUS PERIZINAN EXPORT

ROLL NO

NAME OF GROUP MEMBER

61 ROSHAN FERNANDES62 AZIZ63 NIKUNJ GAJERA64 NIRAG GALA65 DHAVAL GALOLIYA66 TEJAL GANDHI67 MAHAVIR GAWARE68 THOMSON GEORGE69 SAGAR GHANT70 PRATHAMESH GHARAT