Objective

The objective of the scheme is to involve the states in the export effort by
providing assistance to the State Governments for creating appropriate
infrastructure for the development and growth of exports.
States do not perceive direct gains from the growth in exports from the State.
Moreover, the States do not often have adequate resources to participate in
funding of infrastructure for exports. The proposed scheme, therefore, intends
to establish a mechanism for seeking the involvement of the State Governments
in such efforts through assistance linked to export performance
EXPORT is an organization with purpose, vision and strong values. The
company's willingness, honesty and sincerity have helped them to achieve their
objective to serve their customers in the best possible manner and get
appreciation for their products. The Customers can get a very competitive price
for their products at EXPORT

Meaning of export documents

When a firm sells its goods abroad, it must arrange for each export shipment to be
accompanied by various documents. Depending on the country to which the goods are
being sent, these documents will include some or all of the following: consular
invoice, commercial invoice, certificate of origin, bill of lading, packing list, health
certificate, import license, and insurance certificate
Some export documents are required to be prepared before the shipment of goods
while some others are required while completing customs formalities. In addition,
some documents are issued by the shipping company. All such documents are useful
for completing the procedure of exporting are called shipping documents.

EXPORT DOCCUMENTATION
1} INVOICE
Proforma invoice
commercial invoice
consular invoice
2} TRANSPORT DOCCUMENTS
mate receipt
bill of lading
airway bill
ARE 1 form
Packing list
Letter of credit
Export Declaration
3} PAYEMENT OF DOCUMENTS
Bill of exchange
4} CUSTOMS DOCCUMENTS
shipping bill
5} EXCHANGE CONTROL DOCCUMENTS
GR form
PP form
6} MISCELLANEOUS DOCCUMENTS
Marine insurance policy
Insurance certificate
Bill of entry
Health certificate
7} CERTIFICATE
certificate of origin
combined certificate of origin and value

1} INVOICE
A} PROFORMA INVOICE
WHAT IS PROFORMA INVOICE?
Proforma invoice is quotation given in the form of regular invoice it is sent as a reply
to an inquiry.
THE NEED FOR PROFORMA INVOICE
1. Proforma invoice contains the terms and conditions of sale. It may be the
basis to conclude a contact of sale
2. It supports a tender for sale contract.
3. It is used in case of export on consignment basis indicating to the agent the
price at which goods should be sold.
B} COMERCIAL INVOICE?
Commercial Invoice is the export firm's invoice, addressed to the foreign
importer describing the goods shipped and the total price that it must pay
However, some countries require the commercial invoice to be prepared
on their own forms. Such forms are sometimes called customs invoices
Countries that require a consular invoice also require a commercial invoice as
additional proof of the details of the export shipment.
Countries that do not require a consular invoice, uses the commercial invoice as the
document upon which the import duty is based.
The exporter may also sometimes be asked, when providing an export quotation for
the foreign buyer, to supply a pro forma commercial invoice.
This document shows the foreign buyer what the commercial invoice will look like if
the foreign buyer places the order. The exchange authorities in the foreign country
sometimes require it before an import license is issued
IMPORTANCE /USES OF COMMERCIAL INVOICE
{A}USES OF COMMERCIAL INVOICE TO THE EXPORTER:
1. Commercial invoice is useful for the collection of payment from the importer.
2. It is useful for completing export formalities with export inspection agency,
negotiating bank, excise & custom authorities.
3. It is useful to settle disputes about payment.
4. It is useful for the collection of export incentives & preparation of shipping
bill.
5. It is useful for accounting purposes.

{b} IMPORTANCE /USES OF COMMERCIAL INVOICE TO THE

IMPORTER:
1.
2.
3.
4.
5.

Commercial duty is useful for the payment of customs duty.

It indicates the exact amount payable to the exporter.
It is useful for the collection of tariff concession, if available.
It is useful for accounting & filling purposes.
it is used to obtain loan from the bank against the impart of goods

C} CONSULAR INVOICE
WHAT IS CONSULAR INVOICE?
This is a form, usually obtainable only from the Consulate of the importing country,
on which the exporter or its agent must enter a detailed description of the goods being
shipped. Such a form is required by certain countries.
On the consular invoice, there is space not only for the name of the goods but also for
any marks carried, the number of the items, their weight, the value and origin of the
goods and a declaration that the information given is correct.
There must be no erasures or "strike-over" in typing, pen-and-ink changes, or
additions.
In some countries, the goods must be described in terms of the customs tariff of the
importing country and the tariff number of the items given. Export Trade Barriers
Most countries requiring consular invoice also insist that the document be "legalized"
that is, have its accuracy sworn to by the exporter or its agent at the consulate of the
importing country.
Consular invoice is a certificate issued by the trade consulate of the importers country
Stating that goods of particular value are being imported from a particular country by
A particular importer
BENEFITS/USES OF CONSULAR INVOICE
{a}BENEFITS/CONVENIENCE TO THE EXPORTER:
It facilitates easy clearance of goods from the customs.
1. When the invoice is signed by the consulate of the importing country, it is an
assurance to the exporter that his goods will enter into the buyers country
without any difficulty.
2. The interest of the exporter is well protected. He can realize foreign exchange
against shipment without problem.

{b}BENEFITS/CONVENIENCE TO THE IMPORTER:

1. The importer gets quick delivery of goods & that too without opening the
containers for verification purpose.
2. Goods are delivered quickly after the calculation of duty as per the consular
invoice received.
3. The importer is rest assured that banned goods are not sent.

{c}BENEFITS/CONVENIENCE TO THE CUSTOMS OFFICE:

1. The work of customs authorities become easy & quick. Goods are cleared
quickly.
2. Duty calculation is possible on the basis of consular invoice received this
means the physical verification is not required.
3. No need to open the cargo to calculate the value of goods.
4. Loss of time & re-packing of the goods are avoided.

(2)TRANSPORT DOCCUMENTS
MATE RECIPT
WHAT IS MATES RECIPT?
Mates receipt is issued by the mate or master (commanding officer) of the vessel it is
a primia facie evidence that goods are laded in the vessel. Mates receipt is an
acknowledgement of the goods received on board the ship.
CONTENTS OFF MATES RECEIPT:

Name of the ship & Name of the shipping company

Date of shipment
Description of packages(quality,quantityetc)
Number of packages marks on them
Condition of cargo when it was received on the board
Port of loading & port of delivery
Name & address of the exporter & importer
Voyager number & date
Freight paid or payable
Signature of issuing authority

TYPES OF MATE RECIPTS

(a) Clean receipts indicate that goods have been properly packed & there is no defect
of any kind in the packaging.
(b) Qualifies receipts means packaging is defective & that shipping company will not
be responsible for damages of any kind

BILL OF LADING
A document supplied to the exporter by the shipping company that is transporting the
goods to their foreign destination, listing, item by item, the goods being shipped. It
serves three basic purpose:
1. To acknowledge receipt by the carrier of the exporter's goods.
2. To indicate the carrier's contractual obligation to transport the goods to their
destination in exchange for payment.
3. To record transfer of title (or ownership) from the seller to the buyer when payment
for the goods takes place. Airlines use what is called an Air Waybill.

WHAT IS BILL OF LADING?

Bill of lading is a document of title to the goods it is issued by the shipping company
& serves as a receipt from the shipping company which undertakes to deliver the
goods at agreed destination payment of freight.
CONTENTS OF BILL OF LADING

Name & address of the shipper/consignee & the name of the shipping
company
Name of the ship voyage number & date of loading of goods on the ship
Quantity Quality marks & description of goods
Number of originals issued
Port of shipment & port of destination & date of loading
Number of packages
Signature of issuing authority
Freight paid or payable.

IMPORTANCE / BENEFITS OF BILL OF LADING

(A) IMPORTANCE / BENEFITS TO THE EXPORTER:

Bill of lading is a legal document. In the event of dispute it can be

presented in a court of law
It is an acknowledgement of the receipt of the goods on board the ship
It is a contract of transportation
It enables the exporter to send a shipment advice to the buyer.
It helps the exporter to file claim of compensation if goods are damaged in
transit.
It helps the exporter to calculate exact amount of freight while submitting
CIF quotation
It is used when claiming duty drawback

(B) IMPORTANCE / BENEFITS TO THE IMPORTER

It is a document of title to the goods

It is a semi-negotiable document i.e. its ownership can be transferred
by endorsement & delivery.
It enables importers to pay exact amount of freight under FOB
quotation.

(C) IMPORTANCE / BENEFITS TO THE SHIPPING COMPANY:

It enables the shipping company to collect freight either from the

exporter or importer.

It protects the shipping company in the sense that goods damaged

before loading on the ship is shown in B/l

Main types of bill

Straight bill of lading
This bill states that the goods are consigned to a specified person and it is not
negotiable free from existing equities, i.e. any endorsee acquires no better rights than
those held by the endorsor. So, for example, if the carrier or another holds a lien over
the goods as security for unpaid debts, the endorsee is bound by the lien although, if
the endorsor wrongfully failed to disclose the charge, the endorsee will have a right to
claim damages for failing to transfer an unencumbered title.Also known as a nonnegotiable bill of lading.

Order bill of lading

This bill uses express words to make the bill negotiable, e.g. it states that delivery is
to be made to the further order of the consignee using words such as "delivery to A
Ltd. or to order or assigns". Consequently, it can be endorsed by A Ltd. or the right to
take delivery can be transferred by physical delivery of the bill accompanied by
adequate evidence of A Ltd.'s intention to transfer. Also known as a negotiable bill of
lading.

Bearer bill of lading

This bill states that delivery shall be made to whosoever holds the bill. Such bill may
be created explicitly or it is an order bill that fails to nominate the consignee whether
in its original form or through an endorsement in blank. A bearer bill can be
negotiated by physical del
(A)CLEAN B/L
Clean bill of lading means a bill without any adverse remarks about conditions
Of goods.
(B)Claused B/L
It bears some adverse remarks when goods are not properly packed & show
Signs of damage. The shipping company puts adverse remarks e.g. Goods
Damaged.
(C)Freight Paid B/L
When the freight is paid by the exporter it is called freight collect bill of lading
(D)Freight Collect B/L
When the export contract is on F.O.B. terms & when freight is not paid by the
Exporter it is called freight collect bill of lading
(E)Direct B/L
When the ship carries goods from the port of shipment to the port of

destination shipping company issues direct bill of lading

AIRWAY BILL
WHAT IS AIRWAY BILL?
When goods are exported by air the concerned airline authorities issue airway bill
AWB is merely a receipt of the goods meant for export.
ARE-1 FORM
This form is to be filled by exporter who claims rebate of duty paid on finished
goods or export under bond or under Letter of Undertaking (LUT). It also contains
a Certificate from Central Excise officer, certifying that the amount of duty has
been paid on goods which is specified on the ARE-1 form (in case of export
under rebate).
It also contains a certificate from Central excise Officer that he has examined the
goods and that particular in ARE 1 and in the invoice are correct. The ARE-1
form also contains a certificate from customs officer certifying that goods were
shipped under his supervision.
The manufacturer exporter has to fill the details in the ARE-1 form in five copies.
Each of the 5 copies has different colour for easy processing. The five copies are
as follows:
1

Original Copy

white

Duplicate copy

Buff

Triplicate Copy

Pink

Quadruplicate

Green

Quintuplicate

Blue

The five copies are handed over to the Excise Inspector for processing.
6} Packing list

This little-used document supplements the commercial invoice when numerous units
of the same product are being shipped or when quantities, weight or contents of
individual units in a shipment vary. Generally a separate list is prepared for each
package, showing the weight, measurements and contents. (Specification of the
outside dimension of each case and the total weight of the shipment is often included
in the required data.) Custom officials may carry out a partial examination by

Checking a certain number of the cases. If the packing list proves accurate for these,
the rest of the shipment is assumed to be in order.

Letter of credit
A letter of credit is an irrevocable payment undertaking of an issuing bank issued to a
beneficiary upon request of an applicant for supply of goods, services or performance
with documents stated in the letter of credit presented to the issuing bank, a
nominated bank or confirming bank, if any, within the expiry date of the letter of
credit or within a stated number of days after shipment, where applicable, in full
compliance with the terms and conditions of the letter of credit, the applicable UCP
and international standard banking practice. It is a legally enforceable obligation or
undertaking on the part of the issuing bank and is not a contract (although it is
sometimes mistakenly referred to as such).
Export Declaration

Under the Import and Export (Registration) Regulations, every person who
imports or exports any article other than an exempted article is required to lodge with
the Commissioner of Customs and Excise an accurate and complete import or export
declaration within 14 days after the importation or exportation of the article
Prosecution may be initiated against any person who fails to lodge the required
declaration, or knowingly or recklessly lodges any declaration that is inaccurate in
any material particular.
Starting from 1 April 2000, import/export declarations can only be lodged
electronically through the services provided by specified service providers, currently
being Tradelink Electronic Commerce Limited (Tradelink). Service is also provided
to convert paper declaration information into electronic messages if necessary. To
foster market competition, Global e-Trading Services Limited (Ge-TS) has been
appointed by the Government as an additional service

(3) PAYEMENT OF DOCUMENTS

BILL OF EXCHANGE
WHAT IS BILL OF EXCHANGE?
Bill of exchange is also known as Draft . A bill of exchange is an instrument
In writing containing an unconditional order, signed by the drawer, directing a
certain person to pay a certain sum of money only to or to the order of a person
or to the bearer of the instrument.
CONTENTS OF BILL OF EXCHANGE
Name & signature of the drawer.
Name of the drawee.
Name of the payee or order & endorsement of the payee where applicable.
Specified sum.
Fixed date or determinable future date of employment.
ADVANTAGES TO THE EXPORTER
A bill of exchange provides some protection to the exporter against the importer
for not paying the bill amount provided it is documentary bill of exchange in D/A
OR D/P.

(4)CUSTOMS DOCUMENT
WHAT IS SHIPPING BILL?
Shipping bill is the main customs department. it is required by the customs
Authorities for granting permission for the shipment of goods
CONTENTS OF SHIPPING BILL

Name & address of shipper

Name of the vessel
Name of the agent if any
Port of destination
Amount of drawback claimed
Description, quantity & value of shipment
Number of packages & the marking on them
Other details, if applicable

TYPES OF SHIPPING BILL

DRAWBACK SHIPPING BILL:

Drawback shipping bill is useful for claiming the drawback of duties paid to
customs authorities.

THE FREE SHIPPING BILL

The free shipping bill is useful for exporting the goods on which export duty is
not charged.

DUTIABLE SHIPPING BILL

Dutiable shipping bill is required for goods on which export duty is payable as per
the rates fixed.

SHIPPING BILL FOR SHIPMENT EX-BOND

Shipping bill for shipment ex-bond is printed on yellow paper. Imported goods
meant for re-export & lying in bonded warehouse uses this shipping bill in order
to make it easy to identify category of export following colors have been provided
to different kinds of shipping billsTypes of goods
by sea
by air
Drawback goods
Green
Green
Dutiable goods
Yellow
Pink
Duty-free goods
White
Pink
Ex-bond goods
Yellow
Yellow

NUMBER OF COPIES OF SHIPPING BILLS

Shipping bill is required by different agencies for inspection & filling they are
prepared in five qualities & include
Customs copy
Drawback copy
Export promotion copy
Port trust copy
Exporters copy

(5)EXCHANGE CONTROL DOCUMENTS

WHAT IS PP FORM?
PP Form is also an exchange control document. It is used in place of form GR
when goods are exported by post parcel.
WHAT IS FORM OF GR?
Form GR is an exchange control document which is to be submitted to the
Reserve Bank of India after clearance from the customs authorities. It is
Designed mainly to furnish guarantee to the reserve bank of India to remit the
Foreign exchange earned from the export within 180 days from the date of
Exports

CONTENS OF FORM GR

Name of the exporter

Name of the negotiating bank
Currency in which payment will be received
Name of buyers country
Port of origin
Port of destination
Commission or discount payable on export
Quality quantity & value of exports

PREPERATION OF FORM GR

Form GR is used for declaring exports to all countries other than Nepal &
Bhutan. It is to be completed in duplicate
Form GR is used to declare receipt of foreign exchange.
All entries should be made in the currency of the commercial invoice
Banks name concerned with the realization of export proceeds should be
noted clearly
The code number of exporter should be noted correctly & the clauses
which are not applicable should be scored out.

OPERATION OF GR

The exporter has to submit GR forms to the customs authorities (in

duplicate) so as to obtain necessary permission for shipment of goods.
The custom authorities then scrutinize the form with reference to
exchange regulations
Original copy of the form is retained by the customs authorities for
forwarding it to the reserve bank of India
Duplicate copy is handed over to the exporter for lodging with the
negotiating bank through which payment for exports is to be realized
The duplicate copy of the form GR will be retained by the bank till full
exports proceeds are realized
When payment is received the bank will send duplicate copy of form GR
to RBI this is by way of intimation that the exporter has realized payment
in foreign exchange.

(6) MISCELLANEOUS DOCUMENTS

MARINE INSURANCE POLICY
WHAT IS MARINE INSURANCE POLICY?
A marine insurance policy is a contract that covers perils on high sea.
INSURANCE CERTIFICATE
Goods meant for exports are compulsorily covered by insurance. Mostly
insurance contracts are either under an open or floating policy. There is no
need to arrange for separate insurance for each shipment. As a proof of
insurance for a shipment under an open policy, the exporter obtains
insurance certificate from insurance company. The certificate contains
information on the goods shipped all the entries in this certificate must
tally with information of B/L, commercial invoice & consular invoice.
BILL OF ENTRY
WHAT IS BILL OF ENTRY?
This document is used in case of import business this document contains
detail like quality, quantity, number of packages etc when goods enter the
dock of the importing country.
CONTENTS OF BILL OF ENTRY
Name & address of the importer
Name & address of the exporter
Description of goods
Value of goods
Import license number of the importer
Name of the port/dock where goods are to be cleared
Rate & amount of import duty payable
Any other details
HEALTH CERTIFICATE
WHAT IS HEALTH CERTIFICATE?
Health certificate is required for exports of food products, seeds, and animal
meat products etc. the certificate is used by the health department of the

exporting country certifying that these items are free from infection & contamination.
(7) CERTIFICATES
WHAT IS CERTIFICATE OF ORIGIN?

Certificate of Origin is a document, which indicates the country in which the goods were
produced, is required whenever preferential duties are claimed.
Sometime, consular legalization of the document is necessary. Also, certification of the
document by a Chamber of Commerce is required
Certificate of origine (COD) declares that the goods which are being exported are
manufactured in a specific country.

WHAT IS COMBINED CERTIFICATE OF ORIGINE & VALUE?

Many countries require the exporter to complete and sign a Certificate of Value.
In this document, the exporter states that the invoice contains a true and full statement of
the price paid for the goods by the importer and that there is no other arrangement
between the exporter and the foreign buyer about the purchase price.
The purpose is to discourage double invoicing whereby the importer presents one invoice
for customs duty calculation but in fact pays the exporter a larger sum based on true
invoice.
Often no separate document is required for the statement of value. Consular invoices
usually contain a space in which a declaration of value must be made.
Sometimes, a Chamber of Commerce or similar organization must certify the value of the
goods before the Certificate of Value is acceptable to the Customs authorities in the
importing country.
This document is applicable to commonwealth countries only. This document certifies
not only the origin of goods but also the value of goods.

TYPES OF CERTIFICATE OF ORIGIN:

1. CERTIFICATE FOR CLEARANCE:
These certificate are required by all countries for clearance of goods
By the importer. They are generally issued by trade association and the.
Chambers of commerce.

2. CERTIFICATE FOR AVAILING CONCESSIONS UNDER GSP;

These certificates are required for availing concessions available under
Generalized System of Preference (GSP) from countries like USA, Japan,
Germany, New Zealand, Italy, BENELUX, etc. This certificate can be obtained
from Central Silk Board, Export Inspection Council, Joint DGFT, Jute
Commissioner, etc. Such certificate ate to be obtained in triplicate.
3. CERTIFICATE FOR AVAILING CONCESSIONS UNDER
COMMONWEATH PREFERENCES:
The prescribed form of Origins issued by the office of the high commissioner of
the importing country.
IMPORTANCE & USES OF CERTIFICATE OF ORIGIN:
IMPORTANT/USES OF CERTIFICATES OF ORIGIN TO THE
EXPORTER:

This document certifies that goods are Indian in origin.

It facilitates clearance of goods from the customs of the exporters country.

IMPORTANT/USES OF CERTIFICATES OF ORIGIN TO THE

IMPORTERS:

An importer gets quick delivery of goods from the customs

An importer can claim special concession as regards payment of tariff.
An importer gets adequate proof about the origin of goods.
An importer is convinced that those goods are not re-shipped.

A
PROJECT REPORT
ON
STUDY OF EXPORT IMPORT DOCUMENTATION

SUBMITTED TO
UNIVERSITY OF MUMBAI
IN THE PARTIAL FULFILLMENT FOR THE
REQUIREMENT OF THE BACHELOR OF COMMERCE
(T.Y. B.COM) DEGRE

SUBMITTED BY
MR. Amit Dwarikaprasad Gaud
T.Y.B.COM.
ROLL NO. 82

ACADEMIC YEAR: 2006-2006

UNDER THE GUIDANCE
PROF. U.M. MASKE

PEOPLES EDUCATION SOCIETYS

SIDDHARTH COLLEGE OF COMMERCE AND ECONOMICS
DEPARTMENT OF BACHELOR OF COMMERCE
ANAND BHAVAN, DR. D.N. ROAD

FORT, MUMBAI 400 023.

ACKNOWLEDGEMENT

First and foremost, I would like to thank University of Mumbai for giving
me an opportunity to prepare a project report on STUDY OF EXPORT
IMPORT DOCUMENTATION.

And I would like to express my

gratitude towards my project guide. Prof.U.M. Maske, because of whom I

was able to select such an informative and researchable topic and complete
this project within the stipulate period. They provided most valuable,
qualitative and quantitative information to this Project Report and for his cooperation and helps in the same.
I would also like to thank our Bachelor of Commerce B.Com. Co-ordinator
Prof. U.M. Maske and the Principal Dr. K. A.Patil for their co-operation and
help I the Project Report.
I am also thankful to Librarian, Asst. Librarian and other Staff Members of
College Library, for their help and co-operation. Last but not the least, I
would like to thank my family and friends who guided and supported me
directly / indirectly throughout the project.

MR. Amit Dwarikaprasad Gaud

DECLARATION
I, Mr. Amit Dwarikaprasad Gaud, a student of the Siddharth College of
Commerce & Economics, Mumbai studying in T.Y.B.Com hereby declare
that

this

project

title

SUTDY

OF

EXPORT

IMPORT

DOCUMENTATION has been prepared by me during the Academic Year

2006-2007 under the guidance of Prof. U.M. Maske, Commerce faculty of
Siddharth Colelge of Commerce & Economics, Anand Bhavan, Dr.D.N.
Road, Fort, Mumbai 400 023.
The information submitted in this project is true and original to the best of
my knowledge. I also hereby declare that this project report has not been
submitted any time to the University of Mumbai and any other university or
institute for the award or any degree or diploma.

___________________________
SIGNATURE OF THE STUDENT
(MR. Amit Dwarikaprasad Gaud)
ROLL NO.82

DATE:________________
MUMBAI

PLACE:

CERTIFICATE

This is to certify that Mr. Amit Dwarikaprasad Gaud, a student of Third

Year of Bachelor of Commerce (T.Y.B.COM.) has prepared this Project
titled A STUDY OF EXPORT IMPORT DOCUMENTATION as a partial
fulfillment for the requirement of the Bachelor of Commerce (B.Com.)
Degree for the Academic Year : 2006-2007.

___________________
PRINCIPAL

(DR. K.A. PATIL)

_______________________
T.Y.B.COM CO-ORDINATOR

(PROF. U.M. MASKE)

GUIDE CERTIFICATE

This is to certify that this project is based on an original project study carried
out by Mr. Amit Dwarikaprasad Gaud, a study of Third Year Bachelor of
Commerce (T.Y.B.Com.) under my guidance. The information provided in
this project is true and original to the best of my knowledge.

__________________
PROJECT GUIDE
(PROF. U.M. MASKE)

DATE;______________

PLACE: MUMBAI

METHODOLOGY RESEARCH

Methodology is a way to systematically solve the research problem. For

every research work, before it is carried out and even at the time of
implementation, it is very important as show it is carried out. Methodology
helps us to understand what care is to be taken while preparing the report.
The methodology adopted is as follows:
The data is collected through two sources:
1.

Primary Data Collection

2.

Secondary Data Collection

PRIMARY DATA:

Various meetings with Prof. U.M. Maske in the college.

SECONDARY DATA
Secondary data are collected from the following sources:

College Library Books

Magazines

Booklet & Broacher

Websites.