EXPORT DOCUMENTATION

PROJECT DONE BY

JIDNYASA PARESH MALVANKAR

SYBMS… ROLL NO – 32

3RD SEMESTER, KC COLLEGE

TO PROF DARIRA SIR

SR NO TOPIC PAGE NO

1 Export Documentation 3

2 Aligned Documentation System (ADS) 4

3 Mate’s Receipt 5

4 Bill of Lading 7

5 Certificate of Origin 9

6 Conclusion 11

7 Acknowledgement & Bibliography 12

WHAT IS EXPORT DOCUMENTATION ?

Export documentation is a tedious but necessary process that all exporters must pay close attention to, as documentation requirements vary considerably by country, commodity, and situation. Although exporters must fill out and submit many different forms for each international shipment, most require similar data elements and can be duplicated precisely from one document to the next. Some export documents are required to be prepared before the shipment of goods while some others are required completing custom formalities. In addition, some documents are issued by the shipping company. All such documents are useful for completing the procedure of exporting and are called shipping documents.

There are a number of documents, which have to be prepared by the exporter in order to arrange export of his consignments.

Aligned Documentation System.(ADS)

ADS means to standardized all the commercial documents which are used in the foreign/international trade. There are fourteen aligned/ standardized documents out of sixteen commercial documents. However in regulatory documents out of nine, four have been aligned so far because rules are different in different government departments.

IIFT (Indian Institute For Foreign Trade) and NIC (National Information Centre) have a software programmer for all such aligned documents. This document can be mainly classified into two i.e.

(a) Commercial Documents and

(b) Regulatory Documents

Which is further divided into

i. Principalii. Auxiliary

iii. Custom andiv. Others

Below are some factors to consider when determining which documents are needed for a particular shipment.

Country of origin and destination, as well as transshipment

Mode of transportation - truck, rail, ocean, air, pipeline

Commodity - agriculture, livestock, safety/security, end-use, intangible- software, service

Size - value, volume, weight, dimensions

Parties to the transaction - shipper, consignee, agents, brokers, banks.ANY THREE EXPORT DOCUMENTS

1.Mate’s Receipt

This is a document originally issued by the first mate of the ship. He was the officer responsible for cargo. The document would be issued by him

after the cargo was tallied into the ship by tally clerks. The shipper or his representative would then take the mate's receipt to the master or the agent to exchange it for a bill of lading, which would incorporate any conditions inserted into the mate's receipt. In modern days, the document known as the Mate's receipt" is not often signed by the mate of the ship but by some person in the shore office of the shipping company or its agents, although the name of the document remains the same.

This document used in the shipment of a cargo. When the goods are received by or for the sea carrier, a “mate’s receipt” is issued either directly by the ship or by the ship’s agents. This is the first evidence that the goods are received and statements on the document describe the quantity of goods, any identifying marks and the apparent condition.Originally the mate’s receipt was signed by the first mate of the ship, hence its name. Now, it can just as likely be signed by the ship’s agents.

There are two types of Mate’s Receipt

a) Clean Receipt: indicates that goods have been properly packed and there is no defect of any kind in the packing.

b) Qualified Receipt: means packing is defective and that shipping company will not be responsible for damages of any kind.

The exporter should get a clean receipt to avoid any complications.

2. Bills of Lading (B/L)

A Bill of Lading is issued by the carrier to the shipper for receipt of the goods, and is a contract between the owner of the goods and the carrier to deliver the goods. Sometimes the B/L acts as title to the goods so an

“Original” B/L is issued- usually a set of three. Whoever presents one of those Original, Negotiable B/L can take possession of the goods. A B/L can be either negotiable or non-negotiable.

Non-negotiable (or “straight”) B/L: Indicates that the shipper will deliver the goods to the buyer and that title of the goods has not been transferred to the shipper (i.e., the buyer or seller “owns” the goods while they are being shipped). This type of B/L is often used when payment for the goods has already been made in advance.

Negotiable (or “shipper’s order”) B/L: Serves as a title document to the goods, issued “to the order of” a party, usually the shipper, whose endorsement is required to effect its negotiation. It can also be issued “to the order of” the buyer’s bank as part of a documentary credit/letter of credit stipulation so that when the buyer’s bank receives the Original B/L, they can endorse it over to the buyer at the time of payment for the buyer to clear the goods at customs. Sometimes the negotiable B/L may be consigned “To Order” without reference to a company. A negotiable B/L can be bought or traded while the goods are in transit, whereas a “Straight” B/L is non-negotiable and is consigned to the buyer.

Air Way Bill (AWB): The Air Way Bill is a form of bill of lading used for the air transport of goods. AWBs are non-negotiable, mainly because of the short amount of time that the goods are in transit. The original AWB is rarely needed by the importer at the other end of the shipment to prove ownership of goods. A “house airway bill” is issued by a freight forwarder on behalf of the actual carrier, which is the case when a freight forwarder has a contract rate with an air cargo service to expedite the documentation.

3. Certificate of Origin (C/O):

A document prepared by the original manufacturer and certified by a quasi-official authority - such as a Chamber of Commerce - stating the items’ country of origin. Most countries that require a C/O will accept a generic C/O as long as all of the required data elements are given.

However, some countries, like Israel, have a special green C/O form that must be used. To take advantage of duty free provisions in a U.S. Free Trade Agreement, be sure to use the particular C/O that addresses the “rules of origin” criteria for each country.

Types of certificate of origin

a) Certificate for Clearance: these certificates are required by all countries for clearance of goods by the importers. They are generally issued by trade associations and the chambers of commerce.

b) Certificate for availing concessions under GSP: these certificates are required for availing concessions available under generalized system of preference (GPS) from countries like USA, Japan, New Zealand, Italy, etc. this certificate can be obtained from central silk board, export inspection council, joint DGFT, jute commissioner, etc. such certificates are to be obtained in triplicate.

c) Certificate for availing concessions under commonwealth preferences (CWP): The prescribed form of such certificate of origin is issued by the office of the high commissioner of the importing country.

Conclusion

Through studying export documentation it is clear that export documents are compulsory required before the shipment of goods and for completing custom formalities.

It simplifies trade documentation on a global level thereby helping all parties involved in the trade. The objective is to provide benefits to every party associated with international trade.

Thus, export documentation is very important for every exporter while the shipment of goods from one port to another.

Acknowledgement

I would sincerely like to thank our Export-Import Procedures and Documentation Prof. Rajkumar Darira Sir for giving me such an important and relevant topic for my project.

I learnt a lot about very important documents of exporting which are useful for completing the procedures of exporting issued by the shipping company.

This project gave me lot of Knowledge and once again I am very much thankful to him.

Bibliography

www.google.com

www.tradeindia.com

www.exportvirginia.org