Export Audit

The Decision to Export

Market Research

Is my company fit to export?

Where will I export? Export Audit

Export Incentives, Opportunities And Threaten Analysis

How to find clients? How to negotiate with success?
Export Business plan Transport? Packaging?

Product Considerations: Quality, Regulations, Packing & Logistics

Finance, Export Offer, contracts, Legal Aspects

Is my product fit for the market?

Making the Business Plan

Logistics

International Marketing Intercultural Negotiations How

to present my offer and finance my operations?

Two Exporting Firms from India .

RAJESH EXPORTS LIMITED Global presence in Gold Jewellery .

. •Production loss at 0. top-line of US$ 4 bn •Fully integrated company . compared to global average of 3% Exports •India's largest exporter of gold jewellery (exports to over 20 countries worldwide) • 40% share in gold jewellery exports from India.Snapshots Business •Leading manufacturer and exporter of gold and diamond jewellery •Market cap close to US$ 1bn.Gold Refining to Gold Processing to Gold jewellery Retailing Company Highlights Manufacturing •World’s largest manufacturer of gold Jewellery •Installed capacity of 250 tone p.25% .a.

000 retail outlets across India • Owns and operates 28 retail stores across India under “SHUBH Jewellers” brand. .Distribution & Retailing • Distributes gold jewellery to more than 6.

Company Overview • Established in 1989. • Gold price fluctuation risk is fully hedged . India • REL commenced operations as a gold jewellery manufacturing and export house in 1990. resulting in huge cost savings • REL enjoys a negative working cycle (receives 240-day credit from its suppliers while selling on cash-basis to the customers).25%. making the financial model of the company very sound and consistent. • REL is the only Indian company to be recognized by Government of India as a “Five Star Export House” in the field of gold jewellery • In comparison to industry standards of 3%. Hence REL does not take any gold price fluctuation risk on its Balance sheet. wastage in processing of Gold. . Headquartered in Bangalore.REL uses the same price fixing day for purchases and sales. while hedging open positions on the MultiCommodity Exchange (MCX) whenever required. REL processes Gold at a wastage of 0.

Integrated Entity.A success story .

76 98.37 209.76 Mar '07 6.834.08 1.69 270.23 13.31 214.2 18.36 11.673.84 193.86 381.78 Mar '10 18.Financials Mar '11 Total Income (Rs Cr.24 31.55 98.78 207.25 2.758.58 6.076.25 247.291.19 87.11 304.47 166.38 3.82 264.13 232.454.49 18.22 20.499.56 105.41 83.63 232.56 206.28 43.62 8.713.38 95.01 Mar '09 12.76 148 233.75 437.05 1.25 104.88 141.32 241.23 207.390.) Total Expenses EBDTIA Interest PBDT 20.56 8.99 8.28 27.48 1.46 104.71 Depreciation Profit Before Tax PBT (Post Extra-ord Items) Tax Reported Net Profit Earning Per Share (Rs) Book Value (Rs) 1.57 100.27 108.64 .96 268.31 Mar '08 8.96 101.4 7.13 25.56 1.828.4 54.4 35.20 11.

Rapid Growth Story .

SESA GOA INDIA’S LARGEST PRODUCER & EXPORTER OF IRON ORE IN THE PRIVATE SECTOR .

Australia and Zambia. • Apart from Iron ore it also produces pig iron and metallurgical coke. • It is a part of the Vedanta group’s diversified global business interests in the metals and mining industry. . aluminium. • With operations in India. the Vedanta group is a global player in zinc. lead and copper. • It currently has access to 240 million metric tons (MT) reserves and resources of iron ore.Snapshots • Sesa Goa is India's largest producer and exporter of iron ore in the private sector • It is on course to be in the league of top four iron ore producing companies in the World.

This was an initiative in forward integration to go up the iron ore value chain and introduce value added products to its basic iron ore business • Met coke: The metallurgical coke business was launched as a backward integration initiative to streamline met coke supply for the pig iron plant. while it transacts with SIL on an arm s length basis. Today. . this business also caters to primarily an Indian client base. and it binds together all its other businesses. • Pig iron: The Company entered the pig iron sector in the early 1990’s.Divisions • Iron ore: This is Sesa Goa s core business.

Segment Share in Sesa’s Consolidated Performance Segments profit External Revenues .

918 12.716 7.745 Profit After Tax 646 1.609 2.17* Dividend % 400% 450% 225% 325% 350% Net Worth 1.Key financials Year Ending 31 March FY 2007 FY 2008 FY 2009 FY 2010 FY2011 Total Revenue 2.943 4.897 5.26* 32.222 EPS (in Rs.) 164.629 4.13 391.256 3.183 6.542 1.988 2.144 .284 9.810 Fixed Assets 480 497 593 2.77 25.263 3.41* 49.

0 million tonnes (mt). despite of significant external challenges • Exploration success – net addition of 68 mt of reserves and resources (R&R) taking the total R&R to 374 mt • Aeromagnetic survey of Western Cluster deposits indicates a significant upside potential to the existing resource base of 1 billion tonnes (bt) .Business in FY 2011-12 • Iron ore sales volumes were at 16.

.075 crores. Sesa Resources Limited.Recent Activities • Cairn India : During the year. • Western Cluster: Sesa Goa Limited acquired a 51% stake in Western Cluster Limited in Liberia. Sesa Goa Limited along with its subsidiary. for US$ 90 million equivalent to ` 411 crores. acquired 20% of the share capital of Cairn India Limited for ` 13. with a potential iron ore resource of over 1 bt.

e. • Towards capability building for higher volumes. which provides real-time GPS tracking. the capacity of river routes. Sesa’s River Fleet & Shipping team targeted maximisation of transportation of ore by minimising barge turnaround times • A new barge management software was also rolled out. • Along with logistics from the mine to the barge loading jetty. is crucial to overall sales capacity. barge carrying capacity. With this the team has achieved a commendable reduction in turnaround time from 38 hours to 24 hours. . which loads the cargo onto the customer ship.Cost Advantage • Unique cost advantage of utilisation of river routes for transportation of ore from the Company’s mines to the port for onward shipment to customers. • Barges are used for transporting iron ore cargo from the jetty loading points to the trans shipper.. monitoring and allocation of barges to optimise barging capacity. i.

Export bans are periodically applied to various ores . The mining sector in India is subject to an uncertain regulatory environment 2.Risks • Market Risks :Sesa Goa exports over 85% of its iron ore production. • Regulatory Risks: 1. hence Company's business is exposed to adversities in demand and supply. several negative developments in the export duty on iron ore 3.

.• Project Execution Risks: 1. 2. in 2010-11. Sesa Goa's aggressive growth plan initiated in 200910 has resulted in investments in several developmental projects. 3. the Company has taken over the upcoming steel plant assets of Bellary Steel and Alloys Limited. In addition. Many of these are linked to creating the underlying infrastructure to support logistics of ore.

.• Currency Risks: With a majority of its iron ore being exported. This gives the Company significant exposure to foreign exchange fluctuation risks. • Industry Risks: Iron ore production is concentrated in the hands of a few with the top three producers accounting for more than 70% of the global seaborne iron ore trade. particularly in relation to the US dollar.

Two foreign Exporters .

• Boeing products and tailored services include  commercial and military aircraft. .  satellites. • With corporate offices in Chicago.S. electronic and defense systems. weapons.BOEING International • Boeing is the world's largest aerospace company and leading manufacturer of commercial jetliners and defense.S. Boeing employs more than 170. and  performance-based logistics and training. and allied government customers in 150 countries. • A top U. space and security systems. the company supports airlines and U.  launch systems. advanced information and communication systems.000 people across the United States and in 70 countries. exporter.

Company Profile & Export Scenario • Traded as NYSE: BA • Revenue US$ 68.018 billion (2011) .735 billion (2011) • Net Profit US$ 4.

network services and medical business). commonly referred to as Sony.  Motion pictures. is a Japanese multinational conglomerate corporation headquartered in Kōnan Minato.  Music and  Financial Services. • The Sony Group is engaged in business through its four operating segments –  Electronics (including video games. • It ranked 87th on the 2012 list of Fortune Global 500. Tokyo.Sony is one of the leading manufacturers of electronics products for the consumer and professional markets. . Japan.SONY Corporation • Sony Corporation.

700 (2012) .395 trillion (2012) Employees 162.Company Profile & Export Scenario • • • • Traded as NYSE: SNE Founded 7 May 1946 Revenue ¥6.

accounts for 8. India is the fourth largest producer of electricity and oil products and the fourth largest importer of coal and crude-oil in the world. . The Indian jewelery market.5 billion in fiscal 2006-07. which is estimated to be US$ 13. • As of 2009. according to a study by KPMG. India is the fourth largest producer of electricity and oil products and the fourth largest importer of coal and crude-oil in the world.3 % of the global jewelery sales.• As of 2010. • India to become largest beef exporter • The country consumes around 800 tonnes of gold that account for 20 % of global gold consumption and nearly 600 tonnes of this goes into jewelry making. • As of 2009. India imported about 70% of its crude oil requirements.

000 2011 est. based on the The World Factbook of the CIA. 2011 est.800.000.000.000. 2011 est.000 $1. 2011 est.000.000.779.400.900.000. 1 2 3 4 5 6 7 8 9 10 People's Republic of China United States Germany Japan France Netherlands South Korea Italy Russia United Kingdom $1.898. European Union (minus internal trade) $2.000.000. . Rank Country Exports Date of information World $17. 2011 est.000.000 2011 est.000. 2011 est. 2011 est.000 $522.000 $576.000.500.000.000 $800.000 $556.000 $578.000.000 2011 est.• List of countries by exports.000.511. 2011 est.900.000. 2011 est.000 $520. 2011 est.400.000.131.000 $1.408.000 $495.000.000.