PRESENTATION ON

IMPORT AND EXPORT

CONTENTS

Defination

Balance

of Trade

Types of Import & Export

Export Import Process

Advantages & Disadvantages of Import

Advantages & disadvantages of Export

Modes of Payment

EXIM Bank

Support Institutes to Facilitate Export

OCTROI

ECGC

Excise Duty

Custom duty

DEFINATION :Import :-

The Term Import is derived

from the conceptual meaning as
to bring in the goods and
services into the port of a
country. The buyer of such
goods and services is referred
to an Importer.

DEFINATION :Export :-

The term Export is derived from

the conceptual meaning as to ship
the goods and services out of
the port of a country. The seller
of such goods and services is
referred to as an Exporter.

BALANCE OF TRADE
Balance

of trade represents a difference in

value for import and export for a country.
A trade deficit occurs when imports are large
relative to exports.
Imports are impacted principally by a
countrys income and its productive resources.

TYPES OF
IMPORT
Two types of Import : Industrial and Consumer goods
Intermediate goods and services

TYPES OF
EXPORTS
Physical Exports :- If goods physically go out
of the country.
Deemed Exports :- If goods and services are
supplied to another entity.

EXPORT IMPORT
PROCESS
Submit
Receive
sale
the
proceeds
bank
onward
transmission
to buyer towards sale proceeds
Registerto
Negotiate
as
terms
an
Importer
offor
sale
or Exporter
Understand
Export
documentation
formalities
and
& responsibility

ADVANTAGES OF IMPORT

Reduce dependence on existing markets

Exploit international trade technology

Extend sales potential of existing products

DISADVANTAGES OF
IMPORT
Importation

of items from other

countries can increase the risk of
getting them which is no more
common in the warm weather.
It leads to excessive competition.
It also increase risk of other
diseases from which the country is
exporting the goods.

ADVANTAGES OF EXPORT
Exporting is one way of increasing your sales
potential
Reducing risk and balancing growth
Gain knowledge & Experience
Increasing sales & profit
Sales excess production
capacity.

DISADVANTAGES OF
EXPORTS
Extra costs
Financial risk
Market information
Export licenses & document

MODES OF
PAYMENT
In order to complete the export process, the
payment of the exported goods has to be
received by the exporters. An Exporter can
receive the exports proceeds as :-

Advance

payment
Payment against documentary bills
Payment against documentary bills
under letter of credit

PREMIEREXPORT FINANCE INSTITUTION IN INDIA,

ESTABLISHED IN 1982 UNDER THE EXPORT-IMPORT
BANK OF INDIA ACT 1981.SINCE ITS INCEPTION, EXIM
BANK OF INDIA HAS BEEN BOTH A CATALYST AND A
KEY PLAYER IN THE PROMOTION OF CROSS BORDER
TRADE AND INVESTMENT. COMMENCING OPERATIONS
AS A PURVEYOR OF EXPORT CREDIT, LIKE OTHER
EXPORT CREDIT AGENCIESIN THE WORLD, EXIM
BANK OF INDIA HAS, OVER THE PERIOD, EVOLVED
INTO AN INSTITUTION THAT PLAYS A MAJOR ROLE
IN PARTNERING INDIAN INDUSTRIES, PARTICULARLY
THE SMALL AND MEDIUM ENTERPRISES, IN
THEIRGLOBALISATIONEFFORTS, THROUGH A WIDE
RANGE OF PRODUCTS AND SERVICES OFFERED AT ALL
STAGES OF THE BUSINESS CYCLE, STARTING FROM
IMPORT OF TECHNOLOGYAND EXPORTPRODUCT
DEVELOPMENTTO EXPORT PRODUCTION,EXPORT
MARKETING, PRE-SHIPMENT AND POST-SHIPMENT
AND OVERSEAS INVESTMENT.

EXIM BANK

EXIM bank of India has been the prime mover in

encouraging project exports from India.
The bank extends lines of credit to overseas financial
institutions, foreign governments & there agencies,
enabling them to finance imports of goods and services
from India deferred credit terms.
The bank has launched the Rural Initiatives Programme
with the objective of linking Indian rural industry to the
global market. The Programme is intended to benefit
rural poor through creation of export capability in rural
enterprises.

SUPPORT
INSTITUTIONS TO
FACILITATE EXPORTS
Some of these institutions are : Export

Credit Guarantee Corporation

(ECGC)
EXIM Bank of India
India Trade Promotion organisation
(ITPO)
Export Inspection Council (EIC)
Indian Institute of Packaging (IIP)

OCTROI
The state
government Levies
the OCTROI
charges when the
product enters the
state. This charge
is applicable to
certain states and
fluctuates as per
the government
regulations and we
are unable to
conform the
amount.

ECGC

TheECGC Limited(ECGC) was established on 30 July 1957 with an

objective to provide insurance cover in respect of risks in export
trade. These risk may include loss of money on account of foreign
buyer becoming bankrupt or sudden import or exchange restrictions
resulting in stopping of payments etc. The Export Credit Guarantee
Corporation of India Limited is a company wholly owned by
theGovernment of Indiabased inMumbai,Maharashtra.It provides
export creditinsurancesupport to Indian exporters and is
controlled by theMinistry of Commerce.Government of India had
initially set up Export Risks Insurance Corporation (ERIC) in July
1957. It was transformed into Export Credit and Guarantee
Corporation Limited (ECGC) in 1964 and to Export Credit Guarantee
Corporation of India in 1983. In 2014 August, the Company was
again renamed as ECGC Limited.

WHAT DOES ECGC

DO..???
Provides

a range of credit risk insurance

covers to exporters against loss in export of
goods and services.
Offers Export Credit Insurance for Bankers
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.

EXCISE DUTY
In

India, an excise is described as an

indirect tax levied and collected on the
goods manufactured in India.

CUSTOM
DUTY

Customsis anauthorityoragency in a country

responsible for collectingcustoms dutiesand for
controlling the flow of goods, including animals,
transports, personal effects, andhazardous items,
into and out of a country. The movement of people
into and out of a country is normally monitored by
immigration authorities, under a variety of names and
arrangements. The immigration authorities normally
check for appropriate documentation, verify that a
person is entitled to enter the country, apprehend
people wanted by domestic or internationalarrest
warrants, and impede the entry of people deemed
dangerous to the country.

THANK
YOU

SUBMITTED TO :- DR.
AARTI
SUBMITTED BY :ANJALI