steps of export from india

steps of export from india and rice export process

1. Gujarat Law Society’s
School of Management
N. R. Institute of Business Management
(PGDM Program)


ASSIGNMENT : INTERNATIONL BUSINESS
( STEPS OF EXPORT)


Submitted To:
Prof. UDAY BHATT

Submitted by:
GAGNANI BHUMIKA (P1513)
GOHEL PRIYANKA (P1516)
JANI JAY (P1519)
KABARIYA KAVERI (P1521)
KALBALIA ABHISHEK (P1522)
RAJPUT VISHWASSINGH (P1545)
RANPURA PRIYANK (P1546)
RATHOD RISHI (P1548)
SHAH KRUNAL (P1549)


Date of Submission: 27/04/2016
Batch: 2015 – 17

2. Introduction

The exporting activity involves several commercial and regulatory procedures.

These procedures also involve considerable documentation requirements.

The export documentation involves the preparation of the specified number of copies
of the prescribed documents pertaining to the different procedures.

The product should be manufactured or sourced with consistent standard quality,
comparable to your competitors

If possible, avoid products which are monopoly of one or few suppliers

The price of the exported product should not fluctuate very often - threatening
profitability to the export business.

Strictly check the government policies related to the export of a particular product




Preliminaries Steps

IEC number the IEC numbers are normally allotted by the regional licensing
authorities.

Membership cum registration: membership of certain bodies will help the exporters
in a number of ways

Inquiry and offer: An inquiry is a request from a prospective importer to be informed
of the terms and conditions of sale.

Confirmation of order : Once the negotiation are completed and conditions are
acceptable to the buyer and seller, the buyer may place and order with the
exporter.???Export license : the exports of some items are banned and of some items
controlled by means of licenses, though many items are permitted to be exported freely.
International Marketing Chapter 22 Export Procedures and Documents

3. Finance :If the exporter require pre-shipment financial assistance, he should take the
necessary steps to obtain it.






Production/procurement of goods :
Once the order is confirmed, the exporter should take necessary steps to ensure the
timely availability of the goods of the specifications required and execute the export
order promptly.

Shipping space : As soon as the export order is confirmed, the exporter should contract
the shipping companies which have sailings for the port to which goods have to be sent
and book the required shipping space.

Packing and marketing : once the goods are ready, they are packed and marked
properly.

Quality control and pre-shipment inspection : Needless to say, goods should be
exported only after ensuring that they are of proper quality.

Excise clearance : As a matter of policy, the government has granted excise duty
exemption for export products.

4. Customs Formalities

Goods may be shipped out of India only after Customs clearance has been obtained.

Following documents to the customs authorities,
1.Shipping bill
2.Declaration regarding truth or statement made in the shipping bill
3.Invoice
4.GR form
5.Export license
6.Quality control inspection certificate
7.Original contract, wherever available or correspondence leading to contract
8.Contract registration certificate
9.Letter of credit
10.Packing list
11.AR-4 form
12.Any other documents





Exchange Control Formalities

An exporter, who has sent goods outside the country, has the obligation to satisfy the
Reserve Bank of India that he has received payment from his overseas buyer.
Make a declaration on the prescribed form to the Collector of Customs that foreign
exchange, representing the full export value of goods, has been or will be disposed of
in the manner and within the period specified by the RBI



Negotiate all shipping documents, including those relating to sales on consignment
basis, through authorized dealers.
Receive payment by an approved method
Surrender the foreign exchange received from exports to the exchange control authority
through authorized dealers.

5. Shipping The Goods

Goods may be exported to foreign by sea, air, post, land or river.
1.Shipping by sea : To obtain the permission of the port authorities for the movement
of goods into the port, it is necessary to present the cart ticket to the gate
warden/inspector/keeper at the port gate.

2.Shipping By Air : Shipping by air has become popular for such products as
commodities which are perishable and seasonal or high in cost but low in bulk.
3.Shipping By Post : Shipping of goods may be effected by post, subject to the foreign
trade and foreign exchange regulations of the country.

4.Shipping By Land : The procedure for the export of excisable goods by land to
countries like Afghanistan is, by and large, similar to the one laid down for export by
sea.

6. Principal Export Documents

1.Commercial invoice
2.Packing list
3.Bill of lading
4.Combined transport document
5.Certificate of inspection/quality control
6.Insurance certificate/policy
7.Certificate of origin
8.Bills of exchange and shipment advice







Auxiliary Documents

1.Performa invoice
2.Intimation for inspection
3.Shipping instructions
4.Insurance declaration
5.Shipping order
6.Mate receipt
7.Application for certificate of origin
8.Letter to the bank for collection/negotiation of documents.

7. How To Export Rice From India –
Profits, Steps And Procedure



India is popular for its rice cultivation all over the world. As per the statistical analysis,
rice production in India covers around 46% of the total food crop production. It is also
seen that other countries also have demand the rice from India. Hence, starting a rice
export business would be a profitable and feasible business option. In this article you
will learn how to export rice from India including steps and procedures
Rice has been a major element in the exports from India all these years. In the year
1999, around 25% of the total agricultural exports in India were rice. Countries like
Myanmar, China, Japan, Vietnam etc. also are some of the rice production giants.
However, the ever-growing demand for the rice across the globe gives a good scope
for the rice export business from India.

8. Main Import Markets Of Rice
India primarily focuses Middle East and African countries for exporting its non-
basmati rice. The major markets for the basmati rice from India are European countries
and USA. Some other major countries who import rice from India are Saudi Arabia,
Singapore, Australia, Malaysia etc.
In spite of the competition from other countries, India is considered as the second
largest country in rice exports. In order to ease and relax the foreign trade, the
government of India has framed relaxed EXIM trade policies. Besides, the Indian
government has kept a highly competitive price for the exported rice in the importing
countries. These are the good signs that boost the export of rice from India.
Process Of Exporting Rice From India
For knowing how to export rice from India, you are supposed to have a good idea about
the country to which rice is to be exported. It is always better to find the target market
that is less competitive. In other words, you can choose the importing country where
there is a huge demand for the rice but less supply from any of the other competitor
countries like China, Myanmar, Japan etc.
In order to know how to export rice from India, and before you actually begin with, it
is essential to analyze the demand in the target market. The best way is to conduct a
market analysis. This can be done through conducting primary or secondary research
in the market. You can ask the related people or experienced export companies
regarding the scope of different importing countries. In addition, you can have a look
at the current news and latest trend in the export market. This can help you to get a fair
idea about choosing the most suitable international market ideal for your rice export
business. A proper market survey will help you in increasing your export revenue.

9. Know The Procedure
Knowing the complete export procedure is a must before you enter in the export
business as a newbie. If you are unaware of the export regulations of our government
as well as the import policies and trade regulations of the importing company, it will
be a great challenge for you to get a better competitive edge in this highly competitive
industry. Hence, learning the exporting industry through business seminars, taking to
the expert export companies will help you a lot in this business. You can always try for
a local rice business initially and once things settle and you learn to survive in the
industry, try focus on an international level.

Know Your Competition
As a beginner and in the process of knowing how to export rice from India, it would of
less use when you enter into the highly competitive country, where already many major
players are selling rice. Hence, an import market with good demand but less
competition would be an ideal choice. You can always try for new business strategies
for increasing your rice export level. Some of the marketing strategies can be low
pricing, high quality, building trust and reliability, easy procedures, fast delivery etc.
These are some of the unique ways to beat the competition in the export market.

Know The Payment Methods And Laws
While doing any transaction, the payment method plays a vital role in the export
business. You are dealing with other countries with different currencies and hence,
there is a vital need for issuing the letter of credit. You can check the Indian government
website to know the payment procedures in exporting rice to different countries.

10. Transportation
Once you have decided to export rice to a particular country, you need to check the best
suited transportation system to that country. Along with this, ensure that all
transportation documents are arranged and you meet the sanitary needs of the importing
country. If the documents are not proper, it can lead to issues at the other destination.
You need an Import export code (IEC Code) for exporting any product from India.

11. Exporting Rice From India! Is It A Profitable Business?
Well, every one of you who are planning to start rice-exporting business from India
will be eager to know about its profit margin. The profit margin of the rice export
business is to a good extent based on the country to which you are exporting and the
frequency of exports in a year. For this, you need to choose the best importing country
based on their demand. A long lasting relationship with the suppliers of that country
can be kept with your quality services and unique marketing techniques.
Keeping aside the environmental issues like natural calamities and low monsoon in
India, rice production in India is at a higher rate around 104 million tons (MT).
However, the external market fluctuations like changes in the foreign trade regulations
in both India and importing countries will be have to studied frequently so as to ensure
a smooth export trade without any hassles. Selecting the most demanding country for
export and applying the best marketing strategies in the export business can reap more
profits from your rice export business.