PROCESSING OF AN EXPORT ORDER The export order must be processed as expeditiously as possible so that the buyers can receive

the materials on time, as per their delivery schedules and also conforming to the specifications stipulated by them. The main parties which are involved in this processing are: the exporter, the foreign buyer, the negotiating bank, the shipping company, the insurance company, the Reserve Bank of India, Director General of Foreign Trade, the Collector of Customs, the Port Commissioners, and the Clearing & Forwarding Agents. STAGE 1: SCRUTINY OF EXPORT ORDER The exporter should scrutinize the export order with reference to the terms and conditions of the contract. This is the most crucial stage. EXPORT POLICY OF INDIA IMPORT POLICY OF IMPORTING COUNTRY FOREIGN EXCHANGE REGULATIONS TERMS OF CONTRACT (F.O.B./C.I.F./C&F/ ETC.) MODE OF PAYMENT (L.C./D.P./D.A./ETC.) TRADE AGREEMENTS CANALISATION

DOCUMENTS BILL OF EXCHANGE COMMERCIAL INVOICE BILL OF LADING, CLEAN, ON BOARD) MARINE INSURANCE POLICY PACKING LIST CERTIFICATE OF ORIGIN

CONFIRM THE EXPORT ORDER ONLY AFTER SATISFYING YOURSELF ON THE CONDITIONS OF EXPORT ORDER AND L.C. STAGE 2: MANUFACTURE THE GOODS A DELIVERY NOTE (IN DUPLICATE) TO FACTORY MANAGER TERMS AND CONDITIONS OF L.C. INSTRUCTIONS OF IMPORTER DELIVERY SCHEDULE TIME-MARGINS DO NOT LEAVE ANYTHING TO THE DISCRETION OF THE FACTORY MANAGER EVERYTHING IN WRITING

MAKE ARRANGEMENTS FOR PRE-SHIPMENT FINANCE EXPORT LICENCE, IF NECESSARY SEEKING SHIPPING SPACE MARINE INSURANCE FLOOR PRICE FORMALITIES, IF ANY INTIMATION TO CLEARING AND FORWARDING AGENTS OTHERS (ECGC POLICIES AND GUARANTEES ETC.)

STAGE 3: QUALITY CONTROL & PRESHIPMENT INSPECTION APPLICATION IN PRESCRIBED FORM

COMMERCIAL INVOICE PHOTOSTAT COPIES OF E.O. & L.C. ITEMS UNDER COMPULSORY QUALITY CONTROL AND PRESHIPMENT ACT-

INSPECTION CERTIFICATE
OWN ARRANGEMENTS/NEEDED BY IMPORTER

STAGE 4: CLEARANCE OF EXCISE AUTHORITIES FORM AR4/AR4A

STAGE 5: DESPATCH OF GOODS TO PORT & TRANSMISSION OF DOCUMENTS TO CLEARING AND FORWARDING AGENT FACTORY MANAGER ARRANGES DESPATCH OF GOODS TO PORT TOWN TRANSMISSION OF DESPATCH ADVICE TO EXPORT DEPARTMENT ALONG WITH: - RAILWAY/LORRY RECEIPT EXCISE GATE PASS (ORIGINAL) AR-4 FORM (O&D) CERTIFICATE OF INSPECTION DELIVERY NOTE (DUPLICATE), DULY SIGNED

EXPORT DEPARTMENT SENDS FOLLOWING DOCUMENTS TO C&F AGENT: COMMERCIAL INVOICE (2 COPIES) ORIGINAL EXPORT ORDER ORIGINAL LETTER OF CREDIT (PHOTOSTAT ALSO ACCEPTED)

GR FORM (IN DUPLICATE) AR-4 FORM (O&D) EXCISE INVOICE PACKING LIST CERTIFICATE OF INSPECTION RAILWAY RECEIPT EXPORT LICENCE DETAILED INSTRUCTIONS ARE ALSO SENT TO CLEARING & FORWARDING AGENT MEASURES SUCH AS MARINE INSURANCE, CERTIFICATE OF ORIGIN ETC. FOR WHICH ACTION WAS INITIATED AT THE SECOND STAGE ARE NOW COMPLETED AND NECESSARY DOCUMENTS OBTAINED.

STAGE 6: CUSTOMS CLEARANCE C& F AGENT TAKES DELIVERY OF THE CONSIGNMENT PREPARES RELEVANT SHIPPING BILL (IN QUADRUPLICATE) SHIPPING BILL FOR FREE GOODS DUTIABLE SHIPPING BILL DRAWBACK SHIPPING BILL

IMPORTANT PARTICULARS IN THE SHIPPING BILL ARE: CONSIGNEES NAME AND ADDRESS VESSELS NAME ROTATION NO. AGENTS NAME PORT OF SHIPMENT

FINAL DESTINATION EXPORTERS NAME AND ADDRESS NO. OF PACKAGES MARKS AND NUMBERS WEIGHT DESCRIPTION F.O.B. VALUE COUNTRY OF ORIGIN CODE NO. OF THE GOODS NO. AND DATE OF THE EXCHANGE CONTROL FORM (GR) AR-4 NO. AND DATE EXPORT LICENCE NO. AND DATE, WHERE NECESSARY

PROCESSING OF THE SHIPPING BILL DEPOSIT IN BOX RECEIVING CLERK NOTING CLERK DISTRIBUTING CLERK APPRAISER PRINCIPAL APPRAISER ASSISTANT COLLECTOR PASS EXAMINER (SHIPPING BILL NO. GIVEN) FOLLOWING DOCUMENTS DETACHED BEFORE PASSING ON DOCUMENTS TO C&F AGENTS: - ONE COPY OF COMMERCIAL INVOICE - ORIGINAL SHIPPING BILL - GR FORM (ORIGINAL) FOR DUTIABLE GOODS, FURTHER PROCESSING BY DUTY CALCULATOR, ACCOUNTS CLERK AND CASHIER, BEFORE DOCUMENTS HANDED OVER TO C&F AGENTS FOR DRAWBACK SHIPPING BILL, DUTY DRAWBACK SECTION OF THE CUSTOMS HOUSE MAKES ENDORSEMENT ON THE DUPLICATE COPY OF THE SHIPPING BILL.

LET EXPORT ORDER PASSED

INSTRUCTIONS FOR DOCK EXAMINATION ISSUED GR FORM TRANSMITTED TO RBI INFORMATION SENT TO D.G.C.I & S. STAGE 7: PHYSICAL EXAMINATION AT DOCKS CARTING ORDERS OBTAINED BY SUBMITTING FOLLOWING DOCUMENTS TO THE PORT TRUST: EXPORT APPLICATION/DOCK CHALLAN PORT TRUST COPY OF SHIPPING BILL CART TICKET

DOCK APPRAISER CONDUCTS PHYSICAL EXAMINATION FOLLOWING DOCUMENTS ARE SUBMITTED TO HIM: SHIPPING BILL (DUPLICATE COPY) COMMERCIAL INVOICE PACKING LIST AR-4 FORM (O&D) INSPECTION CERTIFICATE EXPORT LICENCE, WHERE NECESSARY

OUT OF CHARGE ORDER PASSED

STAGE 8: FINAL PERMISSION OF CUSTOMS LET SHIP ORDER PASSED BY PREVENTIVE OFFICER

STAGE 9: SHIPMENT OF EXPORT CARGO SHIPPING BILL (DUPLICATE COPY) HANDED OVER TO SHIPPING COMPANY GOODS LOADED ON BOARD THE SHIP UNDER THE SUPERVISION OF PREVENTIVE OFFICER MATE RECEIPT ISSUED CERTIFICATION OF SHIPMENT RECORDED ON ALL DOCUMENTS ALL DUES OF PORT TRUST PAID BILL OF LADING OBTAINED C&F AGENT FORWARDS FOLLOWING DOCUMENTS TO THE EXPORTER: FULL SET OF BILL OF LADING, CLEAN, ON BOARD EXPORT PROMOTION COPY OF SHIPPING BILL CUSTOMS AUTHENTICATED COMMERCIAL INVOICE AR-4 FORM (DUPLICATE) ORIGINAL EXPORT ORDER AND L.C. COPIES OF CUSTOMS INVOICE

STAGE 10: NEGOTIATION OF DOCUMENTS NEGOTIATION OF DOCUMENTS THROUGH A DEALER IN FOREIGN EXCHANGE BANK COLLECTION OF DOCUMENTS DOCUMENTS SUBMITTED TO THE BANK: COMMERCIAL INVOICE (2 COPIES)

BILL OF LADING, CLEAN,ON BOARD (FULL SET) BILL OF EXCHANGE MARINE INSURANCE POLICY (IN DUPLICATE) GR FORM (DUPLICATE) CERTIFICATE OF ORIGIN (2 COPIES) A COPY OF SHIPPING BILL BANK CERTIFICATE (IN DUPLICATE) ADDITIONAL COPIES CERTIFICATE BY BANK) PACKING LIST (4 COPIES) CUSTOMS INVOICE (4 COPIES) ORIGINAL EXPORT ORDER/CONTRACT ORIGINAL LETTER OF CREDIT OF COMMERCIAL INVOICE (FOR

DOCUMENTS TRANSMITTED TO IMPORTERS BANK PAYMENT MADE TO EXPORTER GR FORM (DUPLICATE) SENT TO RBI ORIGINAL BANK CERTIFICATE AND BANK ATTESTED COPIES OF COMMERCIAL INVOICE RETURNED TO EXPORTER DUPLICATE COPY OF LICENSING AUTHORITY BANK CERTIFICATE SENT TO REGIONAL