parties in exports and imports and their functions

1. A
Presentation
On
Parties Involved In EXIM And Their Functions
Submitted To:
Dr. Jai Kishan Chandel Submitted By:
Amit & Viney
9th Sem.
Roll No. 06, 30
Institute of Management Studies, KUK

2. Meaning of Export
An export is a function of international
trade whereby goods produced in one
country are shipped to another country
for future sale or trade. If used for
trade, exports are exchanged for other
products or services in other countries.
To send goods or services across
national borders for the purpose of
selling and realizing foreign exchange.
It can be shipped, sent by email, or
carried in personal luggage on a plane.

3. Importance of Export
• Foreign Exchange Earnings
• Supply of excess/surplus output to other countries
• Reciprocity in goods and services
• Increase in employment
• Increase in GDP
• Better relations amongst nations
• Fulfilling the requirements of WTO
• Attaining targets specified in bilateral and multilateral
agreements. Etc.

4. Meaning of Import
An import is a good or service brought
into one country from another.
The word "import" is derived from the
word "port," since goods are often
shipped via boat to foreign countries.
Along with exports, imports form the
backbone of international trade; the
higher the value of imports entering a
country, compared to the value of
exports, the more negative that
country's balance of trade becomes.

5. Importance of Import
• Fulfillment of domestic needs
• Arrangement of cheaper goods
• Upliftment of standard of living
• Focus on production of specialized items
• Reciprocity in goods and services
• Increase in know how and usage of latest
technology….. Leads to R&D activities
domestically
• Increase in competition and check on monopoly
• More choice to customers. Etc.

6. Parties in Export and Import
• Importer
• Exporter
• RBI,
• Authorized dealers (where the exporter and Importer has his bank Account),
• Buyer’s bank (foreign bank),
• DGFT,
• Customs and Port Authorities,
• VAT and Excise Authorities,
• EPC’s,
• Government & their Ministry
• Testing and Laboratories
• Different Boards like APEDA, MAPEDA
• Insurance Companies,
• Inspection Agencies,
• Clearing and Forwarding Agents (C&F),
• Shipping Companies/Airlines

7. • Buyers and Importers: a person, country, or
company that buys products from another country in
order to sell them.
• Sellers and Exporters: a person, country, or business
that sells goods to another country.
• RBI: Reserve Bank of India, it seeks to facilitate
external trade and payment and promote orderly
development and maintenance of foreign exchange
market in India.
• Authorized Dealers: where the exporter has his bank
Account
• DGFT: Director General For Foreign Trade provided
IEC No. (Import and Export Code no.)
• Customs: Customs is the official organization
responsible for collecting taxes on goods coming into
a country and preventing illegal goods from being
brought in.
• EPC’S: Export promotional Councils (EPC) are
authorities which are basically promoting, supporting
and assisting firms in entering the International
markets and realizing their optimum potential from
given resources. They also provide guidance and
assistance to the exporters.

8. Continued…
• Insurance Companies: which provided assurance facility
against some lose and damages of goods.
• Inspection Agencies: which have authority to check out the
quality of goods before exporting the goods.
• Clearing and Forwarding Agent: means any person who is
engaged in providing any service, either directly or indirectly,
connected with the clearing and forwarding operations in any
manner to any other person and includes a consignment agent;
(Section 65(25) of the Finance Act, 1994)
• Shipping companies: a company that transports of shipments
of goods (by ship or other means of transport).
China Ocean Shipping (Group) Company (COSCO)
Mediterranean Shipping Company S.A. (MSC)
Evergreen Marine

9. Functions of Parties in Export
• Export & Import Agent: An export & Import agent is a
firm (or individual) that undertakes most of the exporting &
importing activities on behalf of an exporter and importer
usually for a commission. A key feature of the traditional
export and import agent is that they never really take
ownership of the goods, which always remain under the
control of the exporter and importer.

10. • Reserve Bank of India: The Reserve Bank has significant
powers and duties performed to maintain stable payment
system, to promote and develop financial infrastructure and to
regulate or control the financial institutions.
RBI offers various schemes:
• Cheap credit to exporters.
• Refinance to Banks on eligible portion of export credit
outstanding.
• ECGC guarantee for export credits
• Margin requirements for advance against export receivables.
• Issue of Gold Card to exporters with good track record.

11. ECGC
The Export Credit Guarantee Corporation of
India Limited(ECGC) is a company wholly owned
by the Government of India based in
Mumbai, Maharashtra.
It provides export credit insurance support to Indian
exporters and is controlled by the Ministry of
Commerce.
 Provides a range of credit risk insurance covers to
exporters against loss in export of goods and services.
 Offers guarantees to banks and financial institutions to
enable exporters to obtain better facilities from them.
 Provides Overseas Investment Insurance to Indian
companies investing in joint ventures abroad in the form of
equity or loan.
 Assists the exporters in recovering bad debts

12. Exports-Imports Banks of India
The Export-Import Bank of India was set up by the Government of India on
January 1, 1982.
The functions of EXIM Bank include:
(a) Planning, promoting and developing exports and imports;
(b) Providing technical, administrative and managerial assistance for
promotion, management and expansion of exports; and
(c) Undertaking market and investment surveys and techno-economic
studies related to development of exports of goods and services.

13. DGFT
DGFT or Directorate General of Foreign Trade is a
government organization in India responsible for the
formulation of exim guidelines and principles for indian
importers and indian exporters of the country. Before 1991,
DGFT was known as the Chief Controller of Imports &
Exports (CCI&E). The DGFT provided IEC (Import-Export
Code) to the Exporters.

14. FUNCTIONS:
• DGFT permits or regulate Transit of Goods from
India or to countries adjacent to India in accordance
with the bilateral treaties between India and other
countries.
• To promote trade with neighboring countries.
• Setting standard input-output norms is also
controlled by the DGFT.

15. Customs and Excise authority
Customs is an authority or agency in a country responsible
for collecting tariffs and for controlling the flow of goods,
including animals, transports, personal effects, and hazardous
items, into and out of a country.

17. Export Promotion Council
The EPCs helps Indian exporters through these functions in
direct or indirect ways.
• Registration of exporters and issue of Registration-cum-
Membership certificate (RCMC) under the EXIM Policy.
• To provide commercially useful information and assistance to
their members in developing and increasing their exports.

18. Cont…
• To organize participation in trade fairs, exhibitions and buyer-
seller meets in India and abroad.
• To provide commercially useful information and assistance to
their members in developing and increasing their exports.
• To offer professional advice to their members in areas such as
technology up gradation, quality and design improvement,
standards and specifications, product development and
innovation etc.
• To promote interaction between the exporting community and
the Government both at the Central and State levels.

19. Export Inspection Council
Export Inspection Council of India (EIC),the official certifying
body of Govt. of India provides services of inspection and
certification for quality and safety through Export Inspection
agencies located in Delhi, Mumbai, Kolkata, Chennai and
Kochi with a network of 41 sub-offices and also issues
Certificates of Origin.

20. Functions Of Export Inspection Council
• Quality Control and Certification of products for exports, both
statutory and voluntary through various types of certification
such as consignment wise or a system approach.
• Products covered include food items such as Fish & Fish
Products, Dairy Products, Poultry Meat Products, Honey and
Meat and Meat Products, Spices, Basmati Rice and Non food
items such as Engineering items, Chemicals, Footwear etc.
• Product Testing for certification.
• Issue of Certificates of Health and Certificate of Authenticity
to exporters under various schemes for various products

21. Marine Products Export Development
Authority (MPEDA)
The Marine Products Export Development
Authority (MPEDA) The Marine Products
Export Development Authority was set up
as a Statutory Body in 1972 under an Act of
Parliament. The Authority, with its
headquarters at Kochi and field offices in all
the Maritime States of India, is headed by a
Chairman/Chairperson.
The Authority is responsible for
development of the marine industry with
special focus on marine exports. Besides, it
has Trade Promotion Offices at Tokyo
(Japan) and New York (USA).

22. Agricultural and Processed Food Products Export
Development Authority (APEDA)
The Agricultural and Processed Food Products Export
Development Authority was set up in 1986 as a
Statutory Body under an Act of Parliament of 1986.
The Authority, with its headquarters at New Delhi, is
headed by a Chairman. The Authority has five Regional
Offices at Guwahati, Hyderabad, Kolkata, Bangalore &
Mumbai and is entrusted with the task of promoting
agricultural exports, including the export of processed
foods in value added form. APEDA has also been
entrusted with monitoring of export of 14 agricultural
and processed food product groups listed in the
Schedule to the APEDAAct.

23. Shipping Agencies
A shipping agency or shipping agent is the designated person or agency held
responsible for handling shipments and cargo, and the general interests of its
customers at ports, on behalf of ship owners, managers, and charterers. In some
parts of the world, these agents are referred to as port agents or cargo brokers.
FUNCTIONS:
• Ensuring a berth for the incoming ship.
• Arranging for the pilot and the tugs if necessary.
• Drawing up the documents for the customs and harbor services.
• Arranging for the necessary ship fresh water / provisions.
• Arranging for the necessary doctor for the crew any medical assistance.
• Arranging for storage bunkers if these are needed.
• Arranging for the necessary repairs.
• Conveying instructions to and from the ship owner.
• Organizing the supply, transport and the handling of the goods.
• Organizing the necessary contacts with the stevedores.
• Collecting freights, cargoes.

24. Clearing and Forwarding Agent
“Clearing and Forwarding Agent” means any person who is engaged in
providing any service, either directly or indirectly, connected with the
clearing and forwarding operations in any manner to any other person
and includes a consignment agent; (Section 65(25) of the Finance Act,
1994). Clearing and forwarding agents are also known as Customs House Agents
or Freight Forwarders or Shipping Agents.
Functions:
• To provide different range of services to exporters to ensure smooth and
timely shipment of goods.
• Clearing and Forwarding Agents play role in the selection of mode and
route of transport.
• They are the specialized people to guide in selection of the shipping
line/airline.

25. THANK YOU