3. • In India, different types of Export Marketing Organizations
are operating. They are as follows:
Manufacturer Exporter
Merchant Exporter
Export Houses
Star Export Houses
Trading Houses
Star Trading Houses
Canalizing Agencies
State Export Corporations
Export Consortia
Government Public Sector Trading Corporation
4. MANUFACTURER-EXPORTER
• Manufacturer Exporter" means a person who manufactures goods
and exports or intends to export such goods. The manufacturer
exporter procures and process raw materials at his factory and
exports finished products. Here, the manufacturer exporter
procures the export order and exports in their own name
• They are not dependent on intermediaries for exporting
• some exporter manufacture superior quality called "export quality
products".
• Since export trade requires huge financial support only large
organization can manage this.
• In India large business houses such as Tata, Birla's, Ambuja
Cement,L&T etc. act as manufacturer exporter
• some establish subsidiary for export marketing e.g.. PATODIA
Internationalist division of GTN group.
5. INDIA’S LEADING MANUFACTURER
EXPORTER
• LARSEN & TOUBRO LTD:
CEMENT,CEMENT CLINKERS,CHEMICAL PLANT &
MACHINERY,CONSTRUCTION, EATHMOVING & ROAD MAKING
EQUIPMENT, HYDRAULIC EQUIPMENT,DAIRY PLANT & MACHINERY,
EQUIPMENT & SYSTEMS FOR NUCLEAR AND THERMAL POWER,DIESEL
ENGINE AND SPARE PARTS.
• HUL:
BASIC CHEMICALS,COSMETICS,BASMATI RICE, ATTA, JAMS, SOUPS,
GHERKINS,BULK TEA, PACKET TEA, TEA BAGS, INSTANT TEA, COFFEE IN ALL
FORMS,CHUTNEY,PICKLES,EXTRACTIONS,EYE MAKE UP PREPRATIONS, LIP
MAKE UP PREPARATIONS,
• TATA:
SOLAR SYSTEMS LIMITED SOLAR CELLS, SOLAR PPOWER SYSTEMS
HOTOVOLTIC MODULES, SOLAR POWER GENERATING SYSTEMS, SOLAR
THERMAL TATA
6. Merchant Exporter
Merchant exporters are primarily marketing trading organizations
specialized in exporting Indian goods.
They book orders directly or through their agents & act as a
middlemen between Indian Exporters & Foreign Buyers.
Merchant exporters focus on the demands in foreign market &
therefore are in less risk, by adapting export marketing strategy.
Merchant exporters export products like food Products, Beverages,
Exclusive Furniture, Cement, Oil Painting, Computer Technology Items,
Processors, Hard Drives, Electrical Products etc; Via. Sea freight, Air
freight, Customs House Agents, CHA, LCL, FCL etc.
7. Export Houses
•Export House is defined as a registered exporter holding a valid
Export House Certificate issued by the Director general of Foreign
Trade in India.
Objectives of export house
•To make available supplies of essential commodities to consumers at
reasonable prices on a regular basis.
•To ensure a fair price of the produce to the farmers so that there
may be an adequate incentive to increase production.
• To minimize violent price fluctuations occurring as a result of
seasonal variations in supply and demand.
•To arrange for supply of fertilizers and insecticides.
•To arrange for storage, transportation, packaging and processing.
8. Star Export House
• In April 2007 the government replaced the concept of two star
export house by star export house.
• The units eligible to apply for the recognition of star export house
include manufacturer exporters, merchant exporters,,units in SEZ
etc.
• In order to qualify for star export house, the exporter must have
aggregate export performance of rs.100 crore during the four
years computed in FOB performance.
9. • The certificate of star export house is
issued by the Director General of
ForeignTrade (DGFT).
10. StarTrading Houses
•The government of India has recognized a new class of trading house
called star trading house to facilitate global marketing activities in the
export import policy. 1990-93 exporters having exports during the
preceding three licensing years of Rs.500 Crs fob shall qualify the
exporter for the recognition as a star trading status
objectives of star trading houses
•To make available supplies of essential commodities to consumers at
reasonable prices on a regular basis.
•To ensure a fair price of the produce to the farmers so that there may
be an adequate incentive to increase production.
•Examples of star trading houses are Aditya Birla and Hindustan Unilever
11. Trading Houses
DEFINITION OF 'TRADING HOUSE'
•A business that specializes in facilitating transactions between a
home country and foreign countries. A trading house is an exporter,
importer and also a trader that purchases and sells products for other
businesses. Trading houses provide a service for businesses that want
international trade experts to receive or deliver goods or services
•For example the Japanese Sogo Shosha, which have evolved
organically over time are different to the Indian Export Houses which
came into being comparatively recently as a response to policy
initiatives of the government. And these, in turn, are quite different
to the Export Management Companies of the USA or the Trading
Houses of Canada, which grew out of the necessities of their own
contexts.
12. Canalizing Agencies
• Canalizing agencies are concerned with production, distribution and
marketing of goods and services.
• The main canalizing agency is the State Trading Corporation of India
which was established on May 18, 1956.
For example
MMTC Ltd. Metals and Minerals Trading Corporation of India, is one
of the two highest earners of foreign exchange for India and India's
largest public sector trading body.
13. State Export Corporation
•In India some state government have set up export corporations to
promote exports of the products manufactured by the small scale
industries(SSIs) and cottage industries.
• Some of the state are Gujarat, Uttar Pradesh and Bihar
Which have set-up State corporation for promoting Small Scale
Industries(SSIs) and cottage industries.
• These are exclusive export corporations engaged in export
marketing of SSIs and cottage industries only.
for example:
GUJURAT STATE EXPORT CORPORATION (GSEC)
•GSEC Limited offers customized air cargo solutions for importers and
exporters’ supply chain.
•Spreading our wings to serve domestic trading of Furnace Oil, and
bitumen. They are into exports of fruits, vegetables & other
horticulture products.
14. Export Consortia
• Manufactures from the small scale sector find it difficult to
export on their own due to financial, marketing and other
difficulties.
• They form co-operative marketing groups for joint export
marketing
• Small/ individual marketing firms get the benefit of joint marketing
research, joint publicity abroad and the benefit of joint shipment of
goods
15. Government Public SectorTrading Corporations
• The government of India has to set up a number of
government/public sector trading corporation in the field of foreign
trade.
• corporations support and supplement the efforts of private sector
export organizations.
• Corporations handle actual export-import transactions.
• maintaining offices/branches abroad and function like any other
commercial unit in the private sector.
• operation is done as per the guidelines issued by the government
from time-to-time.
16. VariousTrading Corporation
• The State Trading Corporation Of India (STC) and its subsidiaries
such as spices trading corporation, Tea trading corporation, etc.
• The Minerals and Metals Trading Corporations (MMTC):-
• MMTC is one of the two highest foreign exchange earner for India
(after petroleum refining companies).It is the largest
international trading company of India and the first public
sector enterprise to be accorded the status of Five Star Export
Houses by Government of India for long standing contribution to
exports.
• Projects and Equipment Corporation
• Government Corporations such as Jute Corporation of India, Cotton
Corporation of India, National Textile Corporation and so on.