What is Export? Documents Required to Export Goods – India

Are you going to start Export Business….? Do you have enough knowledge of  Export Business….?  Nowadays Exporting has become a successful business in the global level. In India, many people are doing this business. When people start an export business, they will take small orders. When they get experience in this field, they will take big orders. Here we are going to discuss what is Export Business and how to start it.

What is Export?

Export is sending goods and services from one country to another country for sale. We can export the goods by land, sea, and air. In India, there are many opportunities to do Export Business. We can export any goods from one country to another country. But there are some restricted items which can’t be exported to other countries.exported-goods

How to do export business?

  • In starting stage you can export your goods through Export Consortium.
  • You can export your goods through the famous and experienced exporter.
  • After gained experience, you can do it by yourself.

What are the Documents need to Export goods?

1. Commercial Invoice

Commercial Invoice is the main customs document used by custom in determining Custom  Duties. It is required when goods are shipped across international borders. It is the legal document for sending goods from the seller (exporter) to the buyer.

It contains the details of

  • Description of goods
  • Description of packing list
  • Weight and quantity of the items for shipment
  • Insurance cost and shipping charges

2. Transport Document like

  • Air Waybill (when the goods are shipped by air transport)
  • Bill of Lading (when the goods are shipped by sea transport)
  • Combined transport document

3. Bill of Exchange

Bill of Exchange is known as draft or cheque. It is used in International Trade for payments

4. Letter of Credit

Letter of Credit is a document issued by the foreign bank whereby the buyer directs his/her bank to pay money to the seller (exporter).

5. Certificate of Insurance Policy

Insurance is very important to export business. When the goods are shipped from one part to other parts any harm may happen to the goods. So the seller (exporter) should take an insurance policy as a protection for shipment.

6. Export Packing List

This document contains the details of

  • Number of packages
  • The weight and measurement of each package and
  • The net and gross weight of the entire shipment

7. Certificate of Origin

This certificate is provided by the Manufacturer and certified by the chamber of commerce or government entity to identify the origin (country) of goods. The exporter should have this certificate.

8. Certificate of inspection

This certificate provides the detail that all the goods have been inspected before shipment. This certificate will be issued by Export Inspection Agency. This agency conducts the pre-shipment inspection of goods for Export.

9. Export License

When you apply for the Export License you will get it as a form of Importer Exporter Code (IEC) which is issued by DGFT (Directorate General of Foreign Trade), Ministry of Commerce. This code is very important to do Export and Import Business.

10. Destination Control Statement

Destination Control Statement declares that all the shipping documents have the details of the destination place (country) of the exporting goods. It is a legal declaration needed by the EAR (Export Administration Regulations) and the ITAR (International Traffic in Arms Regulations) for doing export business.

11. Dock Receipt or Warehouse Receipt

Dock receipt will be issued by a shipping company to accept that goods have been received for consignment (shipment). It is also known as “Dock Warrant”.

It conveys the responsibility and liability for the safe custody of the shipment from the shipper to the carrier. It allows the designated authority to accept Air Waybill, Bill of Lading, and any other transport documents.

12. Consular Invoice

Consular Invoice is a document which is certifying quality, quantity, nature, and value of goods that you are exporting. It shows the details of consignee, consignor, and value of the shipment. You (exporter) can get this through the consular representative of the country you are shipping to.

You must need these documents to export your products. When you start export business you must aware of those documents.

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