Import Export Archives - LegalRaasta Knowledge portal Information on company registration, FSSAI, IEC, MSME, trademark, ISO and registrations Sat, 01 Oct 2022 12:02:55 +0000 en-US hourly 1 https://wordpress.org/?v=6.4.1 How To Check My IEC Application Status? https://www.legalraasta.com/blog/iec-application-status/ Sun, 23 Jan 2022 10:00:29 +0000 https://www.legalraasta.com/blog/?p=24201 The Importer Exporter Code, or IEC, is one of the most important documents or registrations that an import or export company can receive. This code enables exporters and importers to conduct business in India and to take advantage of the DGFT's various perks. As a result, any company that exports or imports products must have [...]

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The Importer Exporter Code, or IEC, is one of the most important documents or registrations that an import or export company can receive. This code enables exporters and importers to conduct business in India and to take advantage of the DGFT’s various perks. As a result, any company that exports or imports products must have filed an application for an import-export code. The verification of import-export codes can take some time, therefore business owners may want to check on the status of their application during this period. In this article, we’ll look at how to verify the status of your import-export code application and why it’s important to do so. 

What is the status of the import-export code?

The DGFT recently released a statement announcing the implementation of a new mechanism to assist applicants in checking the progress of their import-export code application. The DGFT website’s import export code application revisions were not being transferred to the ICEGATE interface. As a result, many holders of IECs were having trouble clearing customs. 

As a result, the DGFT established a service to allow IEC holders to check the progress of their Import Export Code application as well as the status of their transmission to the ICEGATE. As a result, these are the two major IEC statuses that applicants can check via the DGFT web portal. This link allows users to check the status of their import-export code registration. There are two alternatives available;

  • PAN-based IEC checks to make sure it’s been registered with the DGFT.
  •  Verify that the IEC has arrived at the ICEGATE location: To enable this check, users must enter their IEC and complete the CAPTCHA on the screen. 

What are the different IEC statuses and what measures should be made in response to them?

The DGFT website allows applicants to check the status of their import-export code application. To check the status of their import-export code, customers should go to the IEC tab on the homepage and then to the Know your IEC Status option. To check the status of their import-export code, users must provide their PAN number and the first three letters of their company name. The many statuses they may experience, as well as the appropriate measures to take in each circumstance, are listed below.

Sl No Status of Import Export Code Action to be taken
1 Received in DGFT Allow four days for processing to be completed.
2 IEC application rejected After making the necessary modifications, resubmit the application. In such circumstances, users are not required to pay the processing fees again.
3 Transmitted to ICEGATE;

Awaiting acceptance

Allow ICEGATE three days to accept your IEC.
4 Registered by DGFT and 

Accepted by ICEGATE

The IEC is ready to use.

 If they encounter any other status, they must contact the officials at the DGFT for further assistance. Only once the IEC has achieved status four in the table above, that is, after it has been registered by the DGFT and accepted by the ICEGATE, can it be used to import or export goods.

How do you verify the status of the drawback against the Import Export Code application?

  1. Log in to the ICEGATE portal, go to the Services tab, and choose the appropriate user type from the drop-down menu.
  2. Select the right Drawback Enquiry from the list of available services on the left side of the screen.
  3. Users should then fill out the application form with their PAN number, location, date range, and IEC code.
  4. Submit the information and check the status of your IEC by clicking View Drawback Status. To continue, choose between Drawback Pending and Drawback Sanctioned.
  5. If you have a drawback against a shipping bill, it will appear in the Pending status, and if your drawback amount has been accepted, it will appear in the Sanction status.

How can an IEC number be used to check the ROSL status?

  1. Go to Services and then pick the appropriate user type to verify the progress of your import export code application against ROSL.
  2. Select the ROSL Sanctioned Status option from the left side of the page. Following that, applicants must enter their IEC Code, Location, PAN Number, and a date range.
  3. To get a list of all your shipping bills and their accompanying ROSL status and quantities, click the ROSL Sanctioned Status button.

How can we check the status of the DGFT office’s import-export code verification?

  1. Go to the ICEGATE portal and click on the appropriate user type from the Services option on the homepage.
  2. From the list of available services, select Check IE Code/BIN Status.
  3. In the first section of the form, choose the IE Code@DGFT option to see if your code has arrived at the DGFT headquarters.
  4. Selecting this option will take you to the DGFT’s website, where you can inquire about the progress of your IEC code verification.
  5. If you are unable to locate your IEC information, please contact the ICEGATE or DGFT Helpdesk Teams.

How can we keep track of the status of the import-export code verification at Customs?

  1. Go to the ICEGATE portal and select the appropriate user type from the Services option on the homepage.
  2. To continue, select Check IE Code/BIN Status from the list of available services.
  3. In the second section of the form, click the IE Code@ICEGATE option to see if your code has reached the DGFT HQ.
  4. This will open an IEC Enquiry Form with information on the IE codes and their branches, as well as their status.
  5. The following are the various statuses and their significance;
  •         0 – Normal 
  •         1 – Blacklisted
  •         2 – Suspended
  •         3 – Cancelled
  •         4 – Cleared from Blacklist
  •         7 – Revoke Suspension 
  •         8 – Revoke Cancellation 
  •         9 – Amended IEC

Using your IEC, how can you see if customs has obtained a licence from the DGFT?

  1. Go to the ICEGATE portal and choose the appropriate user type from the Services menu.
  2. Select the DGFT Services option from the list of available services.
  3. To check the status of a license against an IEC, select the Import-Export Code Based option.
  4. Applicants must then input their IEC number, a date range, and a suitable location from the drop-down option.
  5. To continue, click the Search button to see all of the licenses, as well as their date of integration and status.

How do you keep track of all the challans against an IEC?

  1. Go to the ICEGATE portal’s homepage and select the E-Payment option.
  2. Users should then provide information such as their IEC, document type, and location.
  3. This will take you to the ICEGATE Custom E-Payment Gateway, where you may see a list of all unpaid challans associated with your IEC number.
  4. If you select the Incomplete Transactions option, you can see all of the pending transactions as well as their locations.
  5. Users can also use the Transaction Summary option to see a list of all their current transactions.

Also Read,

Import and Export Code in India
Import Export Code Exemptions in India

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What is the procedure for Customs clearance ? https://www.legalraasta.com/blog/customs-clearance-procedure/ Mon, 15 Jul 2019 13:30:09 +0000 https://www.legalraasta.com/blog/?p=20371 Introduction: custom clearance procedure Custom clearance procedure works include formation and submission of documentation needed to help export procedure or imports into the country, describing the client while customs examination, evaluation, payment of duty and taking delivery of cargo from customs after clearance with documents. The documents included in customs clearance are : Exports Documentation [...]

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Introduction: custom clearance procedure

Custom clearance procedure works include formation and submission of documentation needed to help export procedure or imports into the country, describing the client while customs examination, evaluation, payment of duty and taking delivery of cargo from customs after clearance with documents.

The documents included in customs clearance are :

Exports Documentation custom clearance 

  • Buy order from Buyer
  • Sales Invoice
  • Packing List
  • Shipping bill
  • Bill of Lading or air waybill
  • Certificate of Origin

Any other special documentation as defined by the buyer, or as needed by financial institutions or LC terms or as per importing country laws.

Imports Documentation

  • Purchase Order from Buyer,
  • Sales Invoice of the supplier
  • Bill of Entry
  • Bill of Lading or Airwaybill
  • Packing List
  • Certificate of Origin

Any other particular documentation needed by the purchaser, or financial institution or the importing country law.

It has been necessary for the commuters, investors and various other business officials to undergo customs clearance procedure, at the time of importing or exporting goods from one country to another. This process has certain customs to follow that are mandatory. The importer or exporter should have to submit valid documents to clear the custom clearance procedure successfully. In the given article, there have been certain major steps useful, in clearing the process of customs clearance procedure in India. Know more about Import-export code of India

Custom clearance procedure

Bill of Entry

This is the first step towards custom clearance procedure. The customs officer will assign to check the paperwork of the desired shipment. The customs clearance procedure officer is going to file bills in 4 copies such as, original and the duplicate one for the customs, the third copy for the importer to keep, thereafter, the fourth copy is for the bank to make remittances. The bills will be computerised.

Assessment 

The major functions of the assessing officer for custom clearance procedure are as follows

  • To determine the duty liability.
  • Taking due note of any exemption or benefits that have been claimed under export promotion schemes.
  • To check if there is any restriction in the wholesome procedure.
  • Proper classification of the goods exported or imported.
  • Note of the invoice and other declarations submitted at the time of bill of entry.
  • Undertake note on consecutive values and other detail on valuation available with the custom houses.

EDI Assessment 

The assessment officer by undertaking all the parameters carefully process the cargo declaration manually. In the EDI system, all the calculations are computerised. In addition to this, the system also provides sufficient information for the calculation of Duty. The assessment officer may raise a query for clarification and this query can be processed under service centre.

  • After the evaluation is done, the assessed bill of entry is printed in the service centre. In EDI, the documents are usually examined at the time of examination of the goods itself. Thereafter, the final bill of entry is printed.
  • In the EDI system, in some of the cases, a provision system appraisal is available. The system itself calculates the duty that has to be paid by the importer. No such assessment officer is involved.
  • A facility of telephone enquiry is also available in some of the Customs clearance procedure stations. This can ascertain the status of documents that have been filed through the EDI systems. Any query if raised can easily be printed through fax.

Modification to the bill of entry

After collecting the required documents, the customs officer will check whether there would be any alteration required. This can be done after the permission taken from the Deputy/ Assitant Commissioner.

Green Channel Facility

Some importers and exporters are provided with the Green Channel Facility. This ensures that there be no as such need for routine examination procedure for the checking of good. Instead, under Green Channel Facility the declaration in the declaration form will be made at the time of bill of entry. There would be the normal procedure instead of any physical examination of the goods.

Payment of the Duty 

It is important for all the importers and the exporters to pay the duty through TR-6 challans. Various customs houses have numerous bank branches, that are meant to deposit the duty at. One must make sure to check clearly the name of the Bank before depositing the duty.

Prior Entry for Shipping Bill

If an importer wishes to fill the bill of entry before the arrival of the goods, it can be done easily. The bill of entry will be valid if the goods have arrived 30 days before the actual date of presentation of the shipping bill.

Specialised Bonds

Under specialised schemes such as DEEC and EOU, import of goods needs to execute strong bonds with the customs clearance procedure authorities. At the time of the failure of the bond, the importer is required to pay the duty that has been remarked on those goods. The amount of bond will be equal to the amount of duty that has been livable on the imported goods. One must make sure to exhibit the bank guarantee along with the bond. The amount of the bank guarantee depends upon the prestigious status of the importer. process

Bill of entry for warehousing

There is altogether a different form of a bill of entry for customs clearance procedure of goods for warehousing procedure. The evaluation for this bill is done in an exact manner as the normal bill of entry thereafter, the duty payable is considered.

Delivery of Goods

This can easily be done once the whole process of the bill of entry is done in a legalised manner. On confirming the customs clearances to the port officials, the importer can take the delivery of his goods. In the state of cargo stored in a warehouse, the importer will display different bill of entry called the ex-bond bill of entry to clear the entire or portion of the warehoused cargo.

How much time is taken for Goods to Clear Customs?

After the customs clearance procedure is done. How much time does it take to get clear- Answer to this is the customs release of a shipment can take wherever of 20 minutes to many days depending on conditions. Once your Customs Broker has made your entry for customs and sends the data, it takes around 20 minutes. Now that your entry has been received, it is now up to an administrator to examine the entry and both allow or reject the shipment – This step can take anywhere from only a few minutes to several hours depending on the amount of Customs staff ready and excess at the port of crossing.

However, there can be a possibility that earlier to its release, one’s shipment may be Taken for inspection. If one’s shipment is inspected, it will be located in a bonded warehouse and examined by Customs officers at their quickest convenience. Usually, Customs officers will attend multiple sites throughout the day and prepare their releases in the afternoon. The method can take wherever 12-48 hours and even higher during long traffic periods. Customs releases are also not insured.

The reasons for the rejections of shipment

Temporary rejects: This may occur when data keyed into the entry does not meet up exactly with the shipment’s paperwork. Customs will inform the broker and a switch to the entry will be made.

Permanent Rejects: There are many causes why a shipment may be rejected altogether.

  • Misdeclaration
  • Under-valuing your goods
  • Not permissible due to health and safety reasons.

If this is the case, one will either have to possess the goods shipped back to the supplier. Also, have the goods destroyed by the officials at your own price.

IGST on Imports procedure

The GST Registration is an important process for customs clearance procedure nowadays, The customs for import and export have switch due to the introduction and implementation of GST in India on 1st July 2017. Under GST, several types of duties and taxes like Basic Customs duty, Education Cess, Anti-dumping duty, Safeguard duty and the like would proceed.

On the other hand, Countervailing Duty (CVD) and Special Additional Duty of Customs (SAD), would be followed by Integrated Goods and Services Tax(IGST). According to information issued by the Central Board of Excise and Customs, IGST and GST Compensation Cess would be imposed on all cargo that comes into India. Further, IGST and GST Compensation Cess would be suitable for all goods that arrived in India.

Conclusion

The customs clearance procedure is a needful task to be done by every importer and the exporter before the exchange process takes place between the countries. The importer and exporter should make sure, to have all the necessary documents that will be required to be assessed during the time of bill of the entry.

For any query related to customs clearance procedure or import and export log into our website. We also help in  For more relatable details visit our website – LegalRaasta also offers services such as IEC Registration, Trade License Registration, and Trademark Registration. You can call us at- +91 8750008585 or email us at contact@legalraasta.com

Related articles

CBIC (Central Board of Indirect Taxes & customs)

Import Export Business In India

Import and Export Code in India

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A Guide to Export Inspection Agency https://www.legalraasta.com/blog/export-inspection-agency/ Wed, 17 Apr 2019 04:35:29 +0000 https://www.legalraasta.com/blog/?p=19652 The Government of India established the Export Inspection Council (EIC) under section 3 of the Export (Quality Control and Inspection) Act, 1963 for quality control and pre-shipment inspections. Further to that, EIC designates Export Inspection Agencies and Laboratories to supplement its own activities. This Approved Export Inspection Agency or Laboratory would inspect the commodities meant for exports, [...]

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The Government of India established the Export Inspection Council (EIC) under section 3 of the Export (Quality Control and Inspection) Act, 1963 for quality control and pre-shipment inspections. Further to that, EIC designates Export Inspection Agencies and Laboratories to supplement its own activities. This Approved Export Inspection Agency or Laboratory would inspect the commodities meant for exports, and certify them accordingly. The EIC also coordinates with them in its various initiatives.

They are regulated under the Export or Quality Control and Inspection Act, 1963. EIC encourages those manufacturer/exporters who have implemented good quality management systems. This results in maintaining consistent quality in production to gain the confidence of the buyer.

Some countries have rules that all imported goods must be accompanied by a valid certification of the country of origin of goods.

An Export Inspection Agency is involved in in-process quality control, consignment-wise inspection.  Subsequent to inspecting the consignment, it issues a certificate of inspection.  actively  These offices are also engaged in and certification with many laboratories countrywide. They may also follow a system-approach for certification of activities.

There are around 40 sub-offices under EIC, all over India, that approve these agencies. To check the nearest sub-office to get your Agency certified by EIC, download the PDF given below
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Authorized Export Inspection Agencies of India

Below are some of the authorised Export Inspection Agencies, of India, that are recognised by the Export Promotion Council.

Maharashtra

Export Inspection Agency

Export Inspection Agency: Maharashtra: LegalRaasta

Gujarat

Export Inspection Agency

Export Inspection Agency: Gujarat: LegalRaasta

West Bengal

Export Inspection Agency

Export Inspection Agency: West Bengal: LegalRaasta

Tamil Nadu

Export Inspection Agency

Export Inspection Agency: Tamil Nadu: LegalRaasta

Andhra Pradesh

Export Inspection Agency

Export Inspection Agency: Andhra Pradesh: LegalRaasta

Odissa

Export Inspection Agency

Export Inspection Agency: Odissa: LegalRaasta

Goa

Export Inspection Agency

Export Inspection Agency: Goa: LegalRaasta

How to upgrade your Inspection Agency to an Export Inspection Agency

If you would like your Inspection Agency to be recognized as an inspection agency, you would need to apply to the nearest Sub-Office of EIC. These are located at Chennai, Delhi, Cochin, Kolkata and Mumbai.

There is a prescribed format for the application And you need to pay a non-refundable fee, along with it. You would need to mention what specific commodity, out of the notified ones, you want to be inspecting. The documents required to be submitted along with the application, have to be related to this commodity. Other than the aforementioned documents, you need to submit legal ID proof of your agency, experience in inspection and quality management systems implemented, etc.

A copy of the application and the enclosed documents have to be forwarded to EIC, New Delhi, simultaneously.

The Export Inspection Council (EIC) will examine the application and decide whether it can be accepted or not. If acceptable, you will receive an acknowledgement along with a number. In case, it is not acceptable, EIC may ask for supplementary information or reject by giving reasons for the same, in writing, with a copy to concerned Sub-Office. The application may get rejected on any of the below reasons:

  • The application is incomplete.
  • Required supporting documents have not been submitted.
  • Fees balance.
  • The commodity is not of interest to EIC in the current scenario.
  • The Technical capability of the agency is insufficient, for the scope being applied for.
  • The track record of the agency isn’t satisfactory (if it is an application for renewal).
  • Any other reason, that would be explained by the EIC.

Scope for Export Inspection Agencies

The Central Government has notified the commodities for EIC. It has also, determined the minimum standards and the manner, for quality control and pre-shipment inspections. As per the Act, approximately 1000 commodities have been specified covering various sectors such as chemicals, ceramic products, Fishery, pesticides, rubber products, engineering products, food and agricultural products, textiles, footwear, Minerals, Steel products etc.

For the sound development of the export industry, the quality control and the pre-shipment inspection is necessary.

An Export Inspection Agency is qualified to issue Certificates of: 

  1. Origin
  2. Consignment-wise Inspection
  3. In-Process Quality Control
  4. Self-Certification
  5. Food Safety Management System based Certification, under FSSAI
  6. Hallmarking
  7. ISO certification
  8. AGMARK Registration
  9. FPO
  10. ISI Registration

Nowadays, the buyers abroad demand a certificate of inspection by a certified Export Inspection Agency. To ensure that the goods they receive are of good quality and meet the standards as required by them and their consumers.

Download our  LegalRaasta APP for a quick course of action and get IEC code.

Call now at +91 8750008585, to LegalRaasta, we provide professional expertise to guide you in taking ISO Certification, or FSSAI for your business.

You can also mail your queries to contact@legalraasta.com.

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IEC Full Form, Eligibility, Validity, Application https://www.legalraasta.com/blog/iec-full-form-eligibility-application/ Tue, 11 Dec 2018 06:52:24 +0000 https://www.legalraasta.com/blog/?p=16244 IEC Full Form, Definition Many times people say they have an "Import-Export Business". It basically means they trade goods across international borders. In India, to be able to trade goods across the border it is necessary for an individual/ company to acquire an IEC. IEC or Import Export (IE) Code is a registration which provides [...]

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IEC Full Form, Definition

Many times people say they have an “Import-Export Business. It basically means they trade goods across international borders. In India, to be able to trade goods across the border it is necessary for an individual/ company to acquire an IEC. IEC or Import Export (IE) Code is a registration which provides the applicant with a 10-digit  code which is issued by the Directorate of Foreign Trade (DGFT), Ministry of Commerce, as well as,  the government of India to companies/ individuals trading to/and from India. .Let’s look at this IEC, full form, eligibility, validity, application.

IEC Legal

The current system of the IE Code registration and issuance of the IEC was introduced in the year 2006 on 27th July by DGFT  in a policy circular No. 15 (RE-2006)/2004-2009. In addition to this, Eligibility condition and Legal Provisions are given for IEC Code Number Application in Foreign Trade (Regulation) Rules, 1993 Ministry of Commerce, Notification No. GSR 791 (E), dated 30-12-1993.

IEC Eligibility

Importers- Importers who are looking to import goods into India are required to register for IEC. The importers also need to quote the IE Code while clearing the customs. In addition to this, banks require the IE code of the business/ individual while sending money abroad.

Exporters- Exporters who are looking to export goods from India are required to register for IEC. The exporters also need to quote the IE Code while sending shipments. In addition to this, banks require the IE code of the business/ individual while receiving money from abroad.

Proprietors- It is not necessary to incorporate a company in order to obtain an IE Code in your name, individual proprietors of a business can also obtain an IE code.

Features of the Import Export Code(IEC) Registration

  • Potential Global Exposure: IEC enables businesses to expand their potential outreach by moving from local markets to national markets and over and across the borders to international markets.
  •  Benefits from the government: The government of India is always helping to encourage exports from the country. To this end, the DGFT, Customs and Exports promotion Council provide companies with export scheme benefits enabling and encouraging exports via the IEC Code Registration.
  • No Renewal Hassle: The DGFT issued IE Code is valid for the entire lifetime of the applicant and hence there is no need for renewing your Import Export license, again and again, leaving you with only one-time registration costs.
  •  Annual Compliances: Transactions and shipments done with the help of the IEC number don’t have to be reproduced anywhere as opposed to tax returns. There are no mandatory annual compliances for transactions done via the IEC registration
  • Anyone, Anywhere: As mentioned previously, it is not necessary to be a business entity in order to register IE Code any individual looking to be involved in the import-export of goods can

Exemptions for IE Code

  • One who is exporting or importing goods for personal use and not for business manufacture or agriculture.
  • One who is exporting or importing from or to Nepal or Myanmar which should not exceed Rs 25,000 in a single assignment and should be through Indo-Myanmar border areas
  • Ministries or the department of central government or state government.

Granting of the IEC Number

The application for granting of the IEC code should be made by the registered office for registered companies and the head office of other entities to the nearest regional authority of Directorate General Foreign Trade. The form for the application of IEC Code falls under the “Aaayat Niryaat Form- ANF2A”. [Click to Download Form].  This form should be accompanied by the documents prescribed.

The DGFT issues only one IEC number against one PAN number. All proprietors can have only one IEC issued against their name. Multiple IEC’s issued against a single PAN, name are liable for surrender and cancellation with the regional offices.

The list of the Regional offices can be found in the following PDF(Click to download): Appendix 18D (Regional Licensing Authorities of DGFT)

Validity, Duplicate, Surrender of IE Code

Validity: The IEC number allocated against one PAN is valid for the entire lifetime fo the applicant/ business and it is valid for all its branches/divisions/factories.

Duplicate: In case of a lost/ misplaced IEC number the issuing authority, DGFT, will consider a request for the grant of a duplicate copy IEC number, if it has been produced with an affidavit.

Surrender:  In case the trader wishes to discontinue their operations, they might surrender their license to the issuing authority. When the authorities receive such an intimation of cancellation from the trader, the authority cancels the license with immediate effect and transmit the same electronically to the DGFT,  and also for forwarding the transmission towards Customs and Regional Authorities.

Guidelines for Application of IEC Code

Mandatory Requirements to apply for Import Export Code

  • Pan Number
  • Current Bank Account
  • Bankers Certificate
  • IEC Code Number  Government application fee has been prescribed as  ₹ 250. To get the IEC number instantly it is advisable to make the payment for the same online.
  • The physical application that you make should reach the DGFT within 15 days of the online submission

Checklist of Documents for IEC Code

  • Covering Letter on the COmpany’s letterhead requesting the issue of a new code.
  • Two Copies of the Aayat Niryaat Form  (ANF2A) must be submitted to your regional  Jt.DGFT Office.
  •  Each page of the Application should be signed by the applicant
  • Part 1 and Part 4 of the application has to be filled mandatorily
  • No hard copies of Part 1 may be submitted. However, in cases where applications are submitted otherwise, a hard copy of Part 1has to be submitted
  • Only relevant portions of part 2 need to fill up by the applicant.
  • Certificate from the Banker of the applicant firm  in the format prescribed in the Appendix 18A
  • Self-attested copies of PAN Card or PAN issuing letter issued by Income Tax authority
  • A self-addressed envelope with Rs.25/- postal stamp for delivery of IEC certificate by registered post or challan/DD of Rs.100/- for speed post.

REgistering an IEC Code can turn out to be a tedious task especially when you are handling major shipments and are in the process of setting up your export-import business. Here at LegalRaasta, we have comprehensive CA/CS Services which help you register the IEC code with ease, in the quickest time and at the most competitive rates across the country.

Call +91-8750008585 with your requirements like   Company RegistrationGST RegistrationPAN Card Registration as well as, IEC Registration.

 

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How to overcome negative thoughts in Export Business? https://www.legalraasta.com/blog/overcome-negative-thoughts-export-business/ Tue, 03 Jan 2017 13:48:24 +0000 https://www.legalraasta.com/blog/?p=12401 What is an Export and Export Market? Export basically means shipping of goods and services out of the legal jurisdiction of a country, it consists of two parties exporter and importer. The exporter is the one who sells and Importer is the one who buys. Internationally Export means selling of goods and services produced in [...]

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What is an Export and Export Market?

Export basically means shipping of goods and services out of the legal jurisdiction of a country, it consists of two parties exporter and importer. The exporter is the one who sells and Importer is the one who buys. Internationally Export means selling of goods and services produced in home country to another country

Following are the negative thoughts that one comes across during an export business

Complications

  • Some of you may think that export business is too complicated and complex process to go through while dealing with numerous formalities.
  • Fear of extra formalities than the regular domestic business, however export business is too easy and simple to handle with the said formalities, once you enter into the trade. Compared to the benefits which you are going to enjoy later.
  • There can be numerous forms of complications that a person may go through while setting up an export business such
  • Mental Complications – the fear, pressure to outstand the competitors stand on the expectations of family and friends.
  • Time complications- Patience of bearing any loss or managing high profits with respect to time. Time plays very major key roles in any business setup.

High Risk

  • Business is all about overcoming hindrances. Every business comes with the risk of its success or failure.
  • Every business at one time of the other faces some risk and has to decide whether he want to takes the risk and outstand or drop the risk part and stay at a same graph of growth, Risk comes in part and parcel with business.
  • To do business one should have the capability to take the risk not thinking about its outcome.
  • Risk can be of any type such as
  • Production technique, labor hired, the cost of production, production of goods, selling techniques, promoting methods etc.

Completion

  • Every business begins with the very small thing. Nothing comes in huge one has with time maintaining peace increase and expand its horizons slowly and steady studying all the factors and environment.

Afford

  • The fear of affording the loss in case business doesn’t turn out as you expect is one of a gigantic thought that a businessman can come across while doing or establish business, however, plan proper organization best methods won’t lead to a loss.

Advantages and Disadvantages of Export

export

export

export

Steps to successful Exports

  1. Research Potential
  2. Calculate Readiness
  3. Choose Product
  4. Select market
  5. Set Target
  6. Draft a business plan
  7. discuss with experts
  8. Finalize the plan
  9. decide sales
  10. Strategies Marketing techniques
  11. select distribution channels
  12. Judge your financial position

export

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Steps involved in Processing on Export Order https://www.legalraasta.com/blog/steps-involved-processing-export-order/ Mon, 19 Dec 2016 06:47:37 +0000 https://www.legalraasta.com/blog/?p=12174 “Export” here conveys the meaning of transporting or carrying away the goods from one place to another or may be one country to another. Export trade starts from the receipt of an export order. In this, there is an agreement between the importer and the exporter agreeing to the terms and conditions or the licenses [...]

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“Export” here conveys the meaning of transporting or carrying away the goods from one place to another or may be one country to another.
Export trade starts from the receipt of an export order. In this, there is an agreement between the importer and the exporter agreeing to the terms and conditions or the licenses as per mentioned in the document. After the documentation work is done, exporter starts producing or procuring goods for shipment.
Well, processing an export order involves various steps which will be described later to you. Before going further, we should have a brief idea of IEC that what does IEC mean? Why is it required? And much more questions relating to it:-
Basically, IEC stands for Importer Exporter Code. This is a code required or important for those who are either exporting or importing any item, good, or service from country to country.
This IE code is issued by Directorate General of Foreign Trade (DGFT) that comes under the Ministry of Communication and Industries enacted by Govt. Of India. IEC code is a basic requirement for the one who is either importing in India or exporting outside India. To get this IE code, a copy of PAN card, proof of address of business, the constitution of the business and a letter for the banker are required.
IEC, when issued, can be issued by entity throughout its existence and does not require any renewal or filing, therefore, it is recommended for most of the organizations or firms to obtain IE code at their earliest. Once the app. is submitted, DFGT dept. will issue the IE code for the entity in 3 to 7 working days or less.

Steps that are enacted when an Export Order is processed:-

Export Procedure can be divided into following stages:-
Stage 1:-  Registration Procedure.
Stage2:-  Pre-Shipment Procedure.
Stage3:-  Shipment Procedure.
Stage4:-  Realizing Export Incentives.
Stage5:-  Post-Shipment Procedure.

1st stage here involves the process of receiving or receipt of agreement between exporter and importer as:-
1) Simply as stated above, before producing and procuring goods, for shipment agreement in the form of the document is mandatory.
2) In this step, there would be overall checking or examining of the goods and services to be exported may contain the items like Product description, terms of payment, terms of shipment, inspection and insurance requirement, last date of return and other terms and conditions.

Hereby, 2nd stage arrives that is of Pre- shipment procedure:-
3) It follows some crucial steps including Inquiry and Offer, Foreign Buyers, Opening of the letter of credit and last but not the least is the arrangement of Pre- Shipment Finance.
4) Then comes the pre-shipment inspection whereby inspection certificate is issued in triplicate.
Original Copy is sent for the custom verification. The second copy is sent to the Importer and third copy is kept with the exporter himself for his reference purpose.

Stage 3 includes Shipment Procedure:-
5) The exporter has to contact the shipping company well in advance for booking the required space in the vessel for shipment.
6) Arranging Internal Transport from factory/warehouse to the port of shipment.
7) Preparation and processing of shipping documents such as shipping bill, commercial invoice, letter of credit together with the export contract, the centre of origin, GR form, AREI form, packing list or packing note and last one are Excise Invoice.

Stage 4:-
8) The incentive is a kind of appraisal for encouraging people to behave in a certain way. The govt. of India has formed several schemes to promote exports and to obtain foreign exchange.

Stage5:-
9) Here, submission of documents by the agents to the exporter is done.
10) Tasks like dispatching of documents and exchanging of documentary bills take place.
11) At last, GR form is processed.

Conclusion:-
Well in any state of India, IEC code could be taken easily. Either Bangalore or Delhi, you must be prepared with your all documents that are necessary for IEC code registration. Generally, it takes 3-7 days to get the IEC code after the submission of all required documents.
Now, as we are residing in a techno advanced society so, it is even easier to get your own IEC code by taking the help of online mode. There are numerous sites available that provide IEC code and promises to get issued within 3-7 working days or even less. The only need is to send the scanned copy of your documents to them and then you are just one step away to get it!!

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