AND DOCUMENTATION

Based on UN layout key, the government of India has decided to introduce the ADS with effect from 1st October-1991. This system involves the preparation of documents on a uniform and standard A4 size of paper. The documents are aligned to one another in such a way that the common items of information are given the same relative slots in each of the documents included in the system. This further enables to prepare one 'Master Document' and to prepare Xerox of all the aligned documents from the same master document with the help of suitable marking & reproduction technique.

 Uniformity of documents Element of convenience Computer aid Improves efficiency Cost Cutter due to reduced mistakes

transport documents

invoices

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The starting point of the export contract is in the form of offer made by the exporter to the foreign customer. The offer made by the exporter is in the form of proforma invoice. It is a quotation given as a reply to an inquiry. Importance: It forms the basis of all trade transactions. It may be useful for the importer in obtaining import license or foreign exchange.

Commercial invoice is an important and basic export document. It is also known as Documents of contents as it contains all the information required for the preparation of the other documents. It is prepare by the exporter after the execution of export order giving details about the goods shipped. It is essential that the invoice is prepared in the name of the buyer or the consignee mentioned in the letter of credit. Importance: It is the basic document useful in preparation of various other shipping documents. It is used in various export formalities such as quality and pre-shipment inspection, excise and customs procedure, etc. It is also useful in negotiation of documents for collection and claim of incentives. It is useful for accounting purposes to both exporters as well as importers.

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Builds trust between the buyer and seller Helps reduce the possibility that the seller (exporter) will overcharge the buyer (importer).

A consular invoice is a Commercial invoice that receives a seal (sighted, signed, and stamped) by the consul of the importing country resident in the exporting country. It serves to exercise control over imports, and help prevent over- and underinvoicing.

Mainly needed for the countries like Kenya, Uganda, Tanzania, Mauritius, New Zealand, Burma, Iraq, Ausatralia, Fiji, Cyprus, Nigeria, Ghana, Zanzibar etc.

Certificates

The importers in several countries requires a certificate of origin without which clearance to import is refused. The certificate of origin states that the goods exported are originally manufactured in the country whose name is mentioned in the certificate.

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Certificate of origin is required when:The goods produced in a particular country are subject to preferential tariff rates in the foreign market at the time of importation. The goods produced in a particular country are banned for the import in the foreign market.

This document is applicable to commonwealth countries only It certifies not only the origin but also the value of the goods

Customs documents

Shipping Bill
1. 2. 3. 4. 5. Shipping Bill is the main customs document, required by the customs authorities for granting permission for the shipment of goods. The cargo is moved inside the dock area only after the shipping bill is duly stamped, i.e., certified by the customs. Shipping bill is normally prepared in five copies: Customs copy. Drawback copy. Export promotion copy. Port trust copy. Exporters copy.

Types of Shipping Bill:1. 2. 3. Drawback Shipping bill: It is useful for claiming the customs drawback against goods exported. Dutiable Shipping Bill: This bill is required for goods which are subject to export duty. Duty-free Shipping Bill: It is useful for exporting the goods on which there is no export duty.

Importance of Shipping Bill

1. Shipping bill is the main customs document, required by the customs authorities for granting permission for the shipment of goods. 2. The cargo is moved inside the dock area only after the shipping bill is duty stamped, i.e., certified by the customs. 3. Duly endorsed shipping bill is also necessary for the collection of export incentives offered by the government. 4. It is useful to the customs Appraiser while determining the actual value of goods expoerted.

Transport documents

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Meaning:- Mates receipt is a receipt issued by the commanding officer of the ship when the cargo is loaded on the ship. Purpose:- It is issued in order to enable the exporter or his agent to secure bill of lading from the shipping company. Issuing Authority:- It is issued by the Commanding officer of the ship or his mate. Evidence:- It is an evidence of goods having been loaded on board the ship.

1. Meaning:- Bill of lading is the official document issued by the shipping company acknowledging the receipt of goods on board the vessel. 2. Purpose:- It is issued in order to enable the importer to take the delivery of goods at the port of destination. 3. Issuing authority:- It is issued by the shipping company or its agent. 4. Evidence:- It is a contract between the shipper and the shipping company for the carriage of goods to port of destination.

Airway bill, also called as an air consignment note, is a receipt issued by an airline for the carriage of goods. As each shipping company has its own bill of lading, so each airline has its own airway bill.

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Importance:It is contract between the airlines or his agent to carry goods to the destination. It is the document of instructions for the airline handling staff. It acts as a customs declaration form. Since, it contains details about freight it also represents freight bill.

Exchange control Documents

GR form is an exchange control document required by the reserve bank of India. GR form is to be submitted in duplicate to the Customs at the port of shipment along with shipping It is designed mainly to furnished guarantee to the RBI to remit the foreign exchange earned from the export shipment within 180 days from the date of export.

It is also an exchange control document. It is used in place of form GR when goods are exported by post parcel.

PAYMENT DOCUMENTS

A bill of exchange or "draft" is a written order by the drawer to the drawee to pay money to the payee. A common type of bill of exchange is the cheque, defined as a bill of exchange drawn on a banker and payable on demand. Bills of exchange are used primarily in international trade, and are written orders by one person to his bank to pay the bearer a specific sum on a specific date. Prior to the advent of paper currency, bills of exchange were a common means of exchange. They are not used as often today.

MISCELLANEOUS DOCUMENTS

MARINE INSURANCE: Marine Insurance covers the loss or damage of ships, cargo, terminals, and any transport or property by which cargo is transferred, acquired, or held between the points of origin and final Destination

Certificate of Insurance: A document issued by an insurance company/broker that is used to verify the existence of insurance coverage under specific conditions granted to listed individuals. More specifically, the document lists the effective date of the policy, the type of insurance coverage purchased,and the types and dollar amount of applicable liability. A certificate of insurance is often demanded in situations where liability and large losses are a concern. For example, a company wishes to hire a driver from a temp agency. The company will most likely ask the agency to show them a certificate of insurance that proves that certain liabilities will be covered by insurance in the event the driver causes problems, such as incurring damages from driving the company s vehicles.

HEALTH CERTIFICATE: It is required for export of food products, seeds, animal meat products, etc. This certificate isissued by the health department of the exporting country certifying that these items are free from infection and contamination.

import

Bill of Entry
Bill of entry is a document, which states that the goods of the stated values and description in the specified quantity have entered into the country from abroad. The bill of entry is drawn in triplicate. The customs authorities may ask the importer to supply other documents like invoice, brokers note and insurance policy, etc. in order to verify the correctness of the information supplied in the bill of entry form. Free goods:- where the goods imported are not subject to any customs duty. Goods for Home Consumption:- Where the goods imported for self consumption. Bonded Goods:- Where the goods imported are subjects to customs duty, the goods are kept in bond till the duty is paid. The importer has to fill up a separate bill of entry form for different form for different classes of goods. In India, separate forms are not used but all the entries are made in one form. The free goods are marked as free in the entry form itself. The importer has to pay the duty before securing the possessions of the goods.

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CERTIFICATE OF INSPECTION:
Inspection report or report of findings is required by some importers and/or importing countries. Please see the sample Inspection Report. The export-trader uses such a report in theinspection of goods purchased from a manufacturer. The export-manufacturer also uses such areport in the inspection of its own productions. In case an inspection certificate is required, the importer may stipulate in the letter of credit (L/C) to use a specific independent surveyor. In the case of a foreign government required pre-shipment inspection, which is stipulated in theL/C, the report of findings can be in the form of a security label attached on the invoice. Thelabel bears the number and date of the corresponding report of findings issued by the foreigngovernment engaged surveyor.

CERTIFICATE OF MEASUREMENT
There are two ways how freight can be charged i.e. on the basis of weight or measurement.When freight is charged on the basis of weight, the weight declared by the exporter is accepted.However, the exporter can obtain certificate of measurement either from the Indian chamber ofcommerce or any other approved organization and submitted to the shipping company forcalculation of applicable freight. The certificate contains detail like name of the vessel, port ofdestination, description of goods, length, breadth, quantity, depth, etc. of the packages.

FREIGHT DECLARATION:
When the importer agrees to pay the freight or the overseas supplier pays the freight; in both the cases freight declaration is needed from the overseas supplier.

FUMIGATION CERTIFICATE:
In order to ensure safety against spread of harmful virus importer insist on fumigationcertificate where the cargo includes plants & weeds. Unless his certificate is provided the cargowill not be allowed to enter into their countries. The exporter is responsible to carry outfumigation & also obtain a certificate from the prescribed agency. Serious complications willarise in the certificate from the exporter. The certificate will enable importers easy clearance ofgoods.

Certificate of Value and Origin

Exporter Status of Exporter
(Manufacturer, Producer, Supplier, Grower, etc)

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of

Date / Sold To Country of Origin Ship / Airline Sea / Air Deliver To Terms ( FOB, CFR, CIF , etc ) Sea / of Discharge Final Destination

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Specify the following charges and indicate if each amount has been included in the selling price 1. Value of outside packages / containers 2. Labour for packing goods into outside packages / containers 3. Inland transport and insurance cost to port / airport area 4. Port Charges 5. Ocean Freight 6. Overseas Insurance 7. Royalties 8. Other Charges (drawbacks, commissions, etc)

State if Incl I the undersigned being duly authorised by the above exporter and having made the necessary enquiries HEREBY CERTIFY THAT THIS INVOIVE HAS BEEN MADE IN ACCORDANCE WITH THE VALUE AND ORIGIN CLAUSES ATTACHED Full name and position of signatory

Signature of authorised SignatorY

Date