Procedures and Documentation in Export/Import Trade

Exporters and importers need to comply with the business and regulatory requirements of a number of agencies in India as well as in the importing countries. Most important agencies are Customs, Shipping companies and Banks. Each of these agencies prescribe standard procedures/ documentation for exports and imports. Filing of Shipping Bill for exports and Bill of Entry for import are the most important procedures for Customs. Issue of Bill of lading is the main procedure of shipping companies. Establishing letter of credit or accepting documents relating to a foreign exchange transaction is the most important procedure relating to banks for exports and imports.

The Economic survey 2013-14 has highlighted the need for trade facilitation by reducing the number of documents, transaction cost and time for export and import.  Government has introduced a number of measures to simplify export and import related procedures and documentation and make these available online for the users. Following major Trade Facilitation measures have been adopted by the Government:

I.  Most of India’s export and import documents are processed at Customs through the Electronic Data Interchange (EDI) system.

II.  Central Board of Excise and Customs (CBEC) has introduced 24x7 customs clearance facility at major ports.

III.  Electronic Bank Realization Certification (eBRC) system introduced by the Directorate General of Foreign Trade (DGFT) ensures secured online flow of export related Foreign Exchange realization information from Banks to DGFT.

IV.  Exporters can file online applications to avail benefits under the Foreign Trade Policy Schemes. They can also make online payment for application fee.

The information was given by the Minister of State (Independent Charge) in the Ministry of Commerce & Industry Smt. Nirmala Sitharaman in a written reply in Rajya Sabha today.