Procedure for exports of goods from India

Export procedure

Imports and Exports (control) Act, 1947 regulates exports of goods from India. The Central Government announces rules, policies, procedures and incentives for exports from time to time. The procedure of export of goods from India is guided by these rules and regulations of the Government of India. But, in general, an export transaction has to pass through the following stages:

International Business: International Business Import Export

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i. Receiving enquiries and sending quotations: The exporter receives order from importer and sends quotations for goods.


ii. Receiving of order or indent: The order is received for export of goods containing instructions regarding goods, price, quality, quantity etc.

iii. Credit enquiry or obtaining letter of Credit: The creditworthiness of the importer is verified.

iv. Obtaining export license and quota: The exporter of goods gets a license under Import and Export Control Act for sending the goods.

v. Compliance with foreign exchange regulations: The exporter gives an undertaking to comply with foreign exchange regulations and deposit the exchange with Reserve Bank of India on receipt of price.


vi. Fixing the exchange rate: The exchange rate is fixed on which the price is to be received.
Obtaining the shipping order: The exporter takes steps in regard to packing and marketing of goods. Packing is done as per the instructions of the indent.

v. Preparation of invoice and consular invoice: After completing other formalities the exporter prepares the invoice. The invoice contains details such as name of ship, destination, packing marks, etc.

vi. Obtaining Customs permit: Some customs formalities are observed before goods leave the country. Custom authorities clear the goods after getting export duties.

vii. Paying dock dues: Dock dues are paid to dock authorities.
Shipping of goods: Before the goods are actually loaded custom officials verify the goods and their quantity.


viii. Mate’s receipt: A receipt for the goods at is issued by captain of the ship or his assistant acknowledging the receipt of goods.

ix. Bill of lading: It is a memorandum signed by master of ship acknowledging the receipt of exporter’s goods.

x. Effecting insurance: An insurance policy is obtained to safeguard the goods against the peril of the seas.

xi. Certificate of origin: Some importing countries require a certificate of origin for goods. This certificate is issued by the designate authorities of the country.

xii. Securing payment: The exporter will secure payment for the exports.

xiii. Obtaining various export incentives: The exporter may be allowed some incentives by the government and these are received after completing the process of export.

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