Dr.

Justin Paul
www.drjustinpaul.com
profjust@gmail.com

Export-Import Management
by Paul & Aserkar, Oxford
Proforma Invoice/Purchase Order

Exporter proposes and send proforma of invoice to

give an idea to an importer that `if you place the
order with me, and when I export, your invoice will
look like this’. But many importers, especially in
Europe and US, do not wait for proforma invoice. They
issue a `purchase order’ for the goods, they propose
to import.

Export-Import Management by Paul &

Aserkar, Oxford
Sales contract
Prepared by either of the parties, with all terms and
conditions agreed between the parties.

Invoice
Fundamental document to be prepared and signed by
exporter with description of goods and normally prepared
first.

Export-Import Management
by Paul & Aserkar, Oxford
Packing List
Consolidated statement in a prescribed format. Useful
for customs and warehouse keeper to maintain records.

Certificate of Origin
Indicates that goods are manufactured in the country.

Shipping Bill
Document required to seek permission of customs to
export goods by Sea/Air, to be prepared by exporter.
Under computerised processing, it is generated, no
need for preparing it.

Export-Import Management
by Paul & Aserkar, Oxford
Statutory Declaration Forms

Export declaration forms for Exchange Control purpose (Ref:

Chap 21, International Business, Justin Paul)

Export-Import Management
by Paul & Aserkar, Oxford
Known as `draft’. Negotiable instrument as per NI Act.

Sight Draft: When exported item arrives, the importer

has to make payment immediately upon the
presentation of draft. Importer can’t take delivery of
goods/documents without making payment.
Corresponding terms of payment: D/P.

Payment Terms: Delivery Against Payment/Delivery

Against Acceptance

Export-Import Management
by Paul & Aserkar, Oxford
Usance Draft: When exporter has agreed to give credit to
the foreign buyer, he draws `Usance’ bill for payment at
a later date than the date of presentation. E.g., 30/60
days after presentation. Importer will accept the bill and
make payment on due date.

In case, if full payment is received in advance, no Bill of

Exchange is required to be drawn.

BILL OF LADING/AIR WAY BILL

LETTER OF CREDIT
Ref: Chap. 21, International Business, Justin Paul

Export-Import Management
by Paul & Aserkar, Oxford
Document issued by shipping company or its
agent. Receipt of the goods and an undertaking to
deliver the goods in the like order.

Types

a. Through Bill of Lading

b. Combined transport Bill of Lading
c. Conference vessels Bill of Lading
d. Tramp vessel Bill of Lading
e. Charter party Bill of Lading
f. Offshore Bill of Lading
Export-Import Management
by Paul & Aserkar, Oxford
Bill of Lading covering entire voyage of goods from the
port of loading to the port of ultimate destination which
involves trans-shipment (could be more than one
vessel) is termed as Through Bill of Lading.

Bill of Lading covering entire voyage including overland

journey of the goods are Combined Transport Bill of
Lading. Shipping companies undertake such
transactions to deliver goods to an interior place
necessitating transport by rail or road.

Export-Import Management
by Paul & Aserkar, Oxford
Bill of Lading covering goods shipped on a vessel that
belongs to a conference line or having a regular voyage
route is referred as Conference Vessel Bill of Lading.
Schedule of `calling at ports’ of such vessel is fixed.
Bill of Lading covering shipment which does not have a
regular schedule/route are termed Tramp Vessel Bill of
Lading.

Export-Import Management
by Paul & Aserkar, Oxford
Offshore Bill of Lading: Bill of Lading covering
shipment to be unloaded at a place other than the
regular ports. Such types of shipment are due to
port congestion. Consignee will arrange the place
for unloading.

Export-Import Management
by Paul & Aserkar, Oxford
Receipt issued by Airline company or its agent

for carriage of goods. Bill should indicate

freight prepaid or freight to collect.

Export-Import Management
by Paul & Aserkar, Oxford
Exporter should know whether his item is subject to
compulsory inspection or not.

Type of Inspection: (a) Consignment basis (b) Self

Certification by companies with `House’ status.

Exemption: (a) If company is holder of ISO 9000/if

export product has ISI mark by BIS. (b) If importer
issues a waiver letter.

Export-Import Management
by Paul & Aserkar, Oxford