Export Documentation

Export documentation

Once the goods are ready the exporter has to prepare and execute various documents of different tags of sending the shipment of goods to the importer

The various documents are vital to the exporter and bank which is a media of payment

Importance of Export document

As an evidence of shipment and title of goods

For obtaining payments

Transportation of the goods

Custom clearance of the goods And many other purposes

Export document

The documentary requirement are both regulatory and operational in nature and have to comply with the rules and regulation with the Indian government as well as the importing countries for different type of products.
These requirement are different for different type of products

Accuracy and completeness are the prime necessities in documents covering export shipments

Export document cost

Export documentation work constitutes a heavy charge in exports activity

Its costly, complex and cumbersome

Minor discrepancies of any kind either in the date itself or any typing error in the document which looks harmless might proves costly

Export document

Any alteration or addition made by an authority issuing the documents should be endorsed properly, with the signature of the person issuing the document only

If the documents are not the correct ones and not filled properly the importers may not be able to get the goods when the ship carrying them arrives

Legal importance

Legal Importance

Before granting the permission, the custom officer however ensures that the goods being exported are in accordance with the different regulation particularly in terms of following:
The goods are same type, sort and values as declared by the exporter

The duty or cess livable has been properly determined and paid

Legal importance

Aligned documentation system

The Government of India made it mandatory for every exporter to use standardized preshipment export documents w.e.f. September 1,1991 This is properly known as aligned documentation system
The preshipment document on a standard layout was first
introduced by Sweden in 1956

Paper size and specifications

All documents under the system are to be prepared on A4 size of paper

Standard margin 10mm---top 20mm----left The size of the individual boxes should be as per the specification Maximum tolerance is 1 mm

Specifications

The captions inside the boxes should be printed in 6 points sans serif face and should be located as near on the top left corner of the boxes as possible

Documents need to generated mechanically Paper should be found in stable form 50-60% relative humidity

Documentation practice in India

In India, on an average about 25 documents are associated with the preshipment stages to export transaction These documents are classified in to two categories: commercial regulatory

Commercial Documents

Regulatory

Important documents

Proforma invoice Commercial invoice Consular invoice Packing list Mate receipt Bill of lading Letter of Credit (not a export document)

Performa Invoice

The starting point of the export contract is in a form of a offer made by an exporter to the foreign customer
The offer made by an exporter is in the form of a proforma invoice It is a quotation given as a reply to an enquiry

Importance of proforma invoice

It forms the basis of all trade transaction

It may be useful for an importer to obtain the import license or foreign exchange

Commercial Invoice

A commercial invoice is a bill for the goods from the seller to the buyer

Its an important and basic export document

These invoices are often used by the government to determine the true value of goods for duty purposes

Significance

Significance

Consular invoice

A consular invoice is a document that is required by some countries It describes the shipment of goods and information such as importer, exporter and value of the consignment for custom purposes
Kenya, Uganda, Tanzania, Mauritius, New Zealand, Myanmar, Iraq, Australia, Fiji, Cyprus, Nigeria, Ghana, Guinea,

Packing List

Export packing list is considerably more detailed and informative then a domestic packing list
It also shows the individual net, gross weight, and measurement for each package The list is used by the shipper or forwarding agents to determine the total shipment weight & volume and whether the correct cargo is being shipped

Bill Of lading

The bill of lading (in ocean transport), waybill or consignment note for rail, air, or road transportation and receipt in postal or courier delivery are collectively known as transport document
Bill of lading is issued by shipping company or its agent stating that goods are either being shipped or have been shipped

Bill of lading

Bill of lading

Significance

Bill of lading is the only evidence to file a claim against a shipping company in the event of no delivery, defective delivery or the short delivery of the cargo at the destination