Export

Be an exporter 

Guidance to the farmers, FPO, FIGS and enterpreneurers for registration as exporter and APEDA registration

MSAMB’S export section is imparting guidance to the farmers, FPO , FIGS and entrepreneurs for registration as exporter and APEDA registration on chargeable basis. For IEC code the service charges of MSAMB are Rs.1000/- per application ( Plus GST tax as applicable). For information required for such registration , please write email to- export@msamb.com

Establishment of Firm

For import or export of any item, Import - Export Code (IEC) is mandatory. For availing IEC, establishment needs to be registered with appropriate authorities viz. Proprietorship / Partnership / Private Limited Company / Public Limited Company / Co-operative Society / Farmer Producer Organization /Trust etc. IEC can be availed on individual name also. Current Account in any Nationalized / Scheduled Cooperative / Multinational Bank, having a foreign exchange facility, is required in the name of establishment.

How to obtain (IEC)

For obtaining an IEC code an online application has to submitted to respective “Joint Director General of Foreign Trade” (JDGFT), Pune / Mumbai / Nagpur. The applicants has to follow the instruction illustrated in the following link while applying for an IEC.

Link - http://dgft.gov.in/exim/2000/iec_anf/ieconlnapplform.htm

Addresses of JDGFT in Maharashtra State are as follows

Registration Cum Membership Certificate (RCMC) :-

After availing IEC, a prospective exporter need to register with APEDA to avail Registration Cum Membership Certificate (RCMC) by applying through online procedure.

Agricultural and Processed Food Products Export Development Authority (APEDA) charges Rs. 5,000/- (plus GST tax) towards registration and Maharashtra State Agricultural Marketing Board (MSAMB) charges Rs. 500/- (plus GST tax) i.e. total Rs. 590/- towards guidance charges for RCMC.

The contact details of this office in Maharashtra is as follows -

Agricultural and Processed Food Products
Export Development Authority (APEDA) Division Office - Mumbai
4th Floor, Banking Complex Building,
Sector - 19 A, Vashi,
New Bombay - 400 705
Phone - 022 2784 0949
website - www.apeda.gov.in

How to locate Importer?

An importer can be located through various searches. Following sources will be helpful to find such importers.

• Trade leads by Agricultural and Processed Food Products Export Development Authority (APEDA)
• Indian Trade Promotion Organisation (ITPO)
• Mahratha Chamber of Commerce, Industries and Agriculture (MCCI&A)
• Participation in international exhibition

After getting this information, exporter can directly approach to the importer with the details of product, rate, packing etc. through fax / email and negotiate further to finalize the order. If necessary, samples should be forwarded to the importer and it should represent the material.

Mode of payment

Normally in the trade of agro exports (except onion, rice, other cereals, mango pulp), importer normally don’t provide Letter of Credit (L/C). Such export is done on consignment basis (payment as per actual sales). Exporters get the payment after deducting port charges, transportation and commission etc. of the importing country. In certain countries export is undertaken on fixed rates. Market Credit of the importer should be checked before entering into the trade. Importer's credit can be checked by international credit organizations viz. Dun and Bradstreet. Export Credit Guarantee Corporation of India (www.ecgc.in) ECGC also undertakes such type of credit certification work along with Credit Insurance. Trade for products like onion, rice, cereals, processed products is done through Irrevocable 100% Letter of Credit (L/C) at site.

Customs / Excise Formalities and charges

For agro exports, excise stuffing is mandatory in producing area. Accordingly Stuffing permission can be availed from Local Excise authorities.

Understand the importers need

Quality parameters such as size, packing, temperature requirements should be obtained from the importer before packing of the product. It is better to get requirement from the importer in writing. Pack the material strictly as per the samples provided to the importer. Confirm the standards of raw material, packaging material with the importer’s requirement.

Procedure of shipment

Services of Customs House Agents (CHAs) to be booked to carry out necessary logistics and paperwork required for export. Job like space booking for air exports, order for the container, custom clearance, certificate of origin etc. is carried out by CHA. An efficient and competent CHA should be appointed. Following is the list of documents required to be provided to CHA

• Letter of Credit (If available)
• Invoice
• Packing List (If items are more)
• Certificate of origin.
• Phytosanitary certificate–Can be availed from Directorate of Plant Protection, Quarantine and Storage, Ministry of Agriculture.
• Air transport charges are normally five times costlier than sea transport. Perishable commodities like Pomegranate, Mango, Orange, Grapes can be exported through sea using 40 feet / 20 feet reefer containers. In certain commodities like mangoes, Controlled Atmosphere (CA) / Modified Atmosphere (MA) containers are also being used to enhance the shelf life of the product. Non-perishable and semi-perishable items are exported through dry containers. In case of onion export, regular dry containers are used but their door left open when they gets loaded on vessel.

Sales Proceed:

Sales proceed gets deposited in the bank in foreign currency. Exporter gets the amount in Indian rupees after conversion of the foreign currency. Bank also deducts the commission from the converted amount. Bank also intimated the exporter about the arrival of Foreign Exchange and generates Bank Realization Certificate (BRC). Export documents including Shipping Bills, Export Promotion (EP) copy should be retained by exporter. Credit worthiness of the importer is of most importance. If by any chance the amount gets stuck by any chance, the issue can be followed up with the help of ECGC or any private Debt Collection Agency (DCA). Such agencies are available worldwide.