Page 1

IMPORT
DOCUMENTATION
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Page 3
Types of import
*Freely importable items
*Licensed imports
*Canalized items
*Prohibited items
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Terminology
%Technical terminology used by importers:

 Ex-work
 Free on Rail (FOR)/Free on Truck (FOT)
 Free Alongside Ship (FAS)
 Free on Board (FOB)
 Cost and Freight (C & F)
 Cost Insurance Freight (CIF)

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REGISTRATION OF
IMPORTERS
*To import or export in India, IEC Code is mandatory
*An application for grant of IEC number from Regional
Authority of Directorate General Foreign Trade.
*IEC Code Online Application Form
*Application Fee
*Profile of Importer


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Requirements for IEC Code
Number
 PAN Number
 Current Bank Account
 Bankers Certificate
 IEC Code Number Application Fee Rs 250.00
 The physical application containing required documents
should reach DGFT RLA concerned within 15 days of its
online submission.
 E-mail is not mandatory.

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Check List of Documents for IEC
Code

 Covering Letter
 Two copies of Aayaat Niryaat NF form
 Part 1 & Part 4 to be filled by applicants.
 Self certified copy of PAN issuing letter or PAN
(Permanent Account Number) Card issued by Income
Tax Authority.
 Self addresses envelope with Rs.25/- postal stamp


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Documents to be submitted by
Importer –

%Invoice
%Packing list
%Bill of lading/ Delivery Order
%GATT declaration.
%Letter of credit
%Certificate of Origin
%Import license, etc.





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Proforma invoice
• A Proforma invoice is a quote in an invoice
format that may be required by the buyer
to apply :

ø for an import license,

ø contract for pre-shipment inspection,

ø open a letter of credit or

ø arrange for transfer of hard currency.


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Importers must apply for an import license using the
exporter's pro-forma invoice.
Issued by the 'Office of Chief Controller of imports &
exports
 Validity of Import License
 sample of Import License
€ Foreign Exchange Control Copy
€ Customs Copy
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Preshipment inspection

&It is the practice of employing specialized private
companies to check shipment details
&PSI helps to:
ŧ detect over-invoicing to prevent unjustified transfer of
foreign exchange abroad;
ŧ determine the classification and valuation of goods; and
ŧ ensure the correct collection of import duties and taxes
by Customs authorities
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Letter of Credit
.It is a term used for a letter issued by a bank on behalf of a
client to pay a beneficiary the stated amount of money
under specified conditions.

.Parties of L/C:
 Beneficiary
 Issuing Bank
 Confirming Bank
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Shipping documents:
₫ Commercial invoice:
₫ A document prepared by the seller to inform the buyer
how much he knows for the goods and services being
supplied.

₫ Packing list:
₫ The packing list is an extension of the commercial
invoice, as such it looks like a commercial invoice.



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Manufacturers certificate
CERTIFICATE OF ORIGIN
CERTIFICATE OF WEIGHT
CERTIFICATE OF QUALITY
CERTIFICATE OF INSPECTION

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Clearance Documents

• AIR WAYBILL
 The air waybill is used for the air shipment which serves as:
 documentary evidence of the conclusion of a contract of
carriage
 proof of receipt of the goods for shipment
 an invoice for the freight
 a certificate of insurance
 guide to airline staff for the handling, dispatch and delivery of
the consignment. .


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‽ A bill of lading is used for the sea shipment.
It is:
¥ A certificate of ownership to the goods.
¥ A contract
¥ A formal, signed receipt
¥ Clean bill of lading

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IMPORT GENERAL
MANIFEST NUMBER

 The shipping line has to give a detailed report
of all the goods on board in a report known as
"Import General Manifest“
 Import manifest is required to be submitted
before arrival of aircraft or vessel
 Grant of Entry Inwards by Customs Officer
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BILL OF ENTRY

× It is a document certifying that the goods of
specified description and value are entering into the
country from abroad.
× The Bill of entry-different copy meant for different
purposes with different colour.
× Bill of Entry for home consumption:
× Bill of Entry for Warehouses
× Bill of Entry for Ex-Bond Clearance


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IMPORT DECLARATION:

• Importers must provide an Import
Declaration in the prescribed bill of entry
format, disclosing the value of the imported
goods.
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VARIOUS OCTROI FORMS
USED
+A-B /FORM'S
+C & CC FORM
+N – FORM
+ R-FORM
+X-FORM


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IMPORT RISK

Various types of risks:

ºTransport Risk –loss of goods during
transportation.
ºQuality Risk –final quality of the products.
ºDelivery Risk –goods are not delivered on time.
ºExchange Risk –the change in the value of currency.

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Do’s
• Open L/C only if the party has got sanction limit.

• Import of restricted items as per procedure laid down in the
Exim Policy.

• Handover import documents only to drawee or his PA holder.

• Allow payment for import by debit to customer’s account.

• Allow payment for the bills beyond six months

• Allow payment to local agents on commission basis. In case of
overseas agent, allow commission as per FEMA guidelines.

• Verify the imported items under the LC.

• Verify whether the payment method is done as per FEMA
guidelines or not.

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Dont’s
% Issue the Letter of Credit if the customer doesn’t have IEC
number.

% Open LC without proper transport documents.

% Allow advance payment without proper documentation.

% Forward the documents to third party without permission from the
importer.

% Import prohibited or restricted items without import license.
%
% Allow direct remittance of import bills beyond the limit.

% Open revolving LC without safety clause.