EXPORT AND IMPORT PROCEDURE

THIS IS A BRAND NAME UNDER THE COMPANY -

CommScope.

ANDREW TELECOMMUNICATI

ON

CommScope is a global leader in connectivity solutions for communications networks.

They provide infrastructure solutions for wireless, business enterprise, residential broadband and carrier wire line networks.

Founded in Hickory, North Carolina more than 30 years ago,

COMMscope and its worldwide team of more than 13,000 employees create infrastructure solutions for communications networks in more than 130 countries.

commSCOPE

THE HAVE A MANUFACTURING UNIT IN VERNA, GOA.

WHERE WE HAD VISITED AND INTERVIEWED MR. R UPESH BANDERKAR WHO IS IN CHARGE OF IMPORT AND EXPORT DEPARTMENT.

HE WAS VERY KIND AND HELPFUL THROUGHOUT THE INTERVIEW.

PERSONALLY INTERVIEWED

The company mainly exports antennas and wireless modems for commercial and residential purposes. They are main exports are done to Middle East and South East Asia. * To import or export in India, IEC Code is mandatory. No person or entity shall make any Import or Export without IEC Code Number. *AD Code is Authorized Dealer Code provided by Bank where your Firm/Company's Current Account is. it is an 14 digit number which enhance your remittance and can be obtained after IEC code from Dgft.*They enter the order in their system to check all the materials that they need to manufacture the goods which the customer has ordered.

There are six basic and most important documents required for shipment:1)invoice 2)packing list 3)certificate Of origin 4)declaration 5)shipping bill 6)bills of lading

Internal Invoice: It Is an intra company document used to account for the total expense of manufacturing and exporting goods.

Commercial involves: it is a document which specifies all the details of the exporter and the

recipient. It is used as a customs declaration provided

by the company that is exporting an item across international borders.

A commercial invoice is used to calculate tariffs, and is commonly used for customs

purposes. It also includes a statement certifying that the

invoice is true and has a signature of the authority.

INVOICE:-

1. Name and Address of the shipper.2. Name and address of the consignee 3. Invoice date4. Purchase order no.5. Number of units, unit value, total value of each unit.6. Total value of the shipment, including currency

settlement.7. Reason for export.8. Number of packages and total weight of packages ,

etc.9. terms of payment.10.terms of delivery :

Some specific information that the invoice has are:

a.) FAS – Free Alongside Ship (named port of shipment)- The seller must place the goods alongside the ship at the named port. The seller must clear the goods for export.

b). FOB – Free on Board -The seller must load the goods on board the vessel nominated by the buyer. Cost and risk are divided when the goods are actually on board of the vessel (this rule is new!). The seller must clear the goods for export .This the most commonly used term.

c.)CFR – Cost and Freight Seller must pay the costs and freight to bring the goods to the port of destination. However, risk is transferred to the buyer once the goods are loaded on the vessel.

d.)CIF – Cost, Insurance and Freight Exactly the same as CFR except that the seller must in addition procure and pay for the insurance. Maritime transport only.

e.) delivery duty paid DDP f.) delivery duty unpaid DDU

TERMS OF DELIVERY:-

Packing list-Itemized list of articles usually included in each shipping package, giving the quantity, description, and weight of the contents. Prepared by the shipper and sent to the consignee for accurate tallying of the delivered goods. Also called bill of parcels, packing slip, or unpacking note.It also mentions the dimensions that is length breadth n height of the packages.

Certificate of origin- Certificate of Origin is a certificate stating the country of origin of the goods. Depending on the importing country's requirements, this can be as simple as being issued by the seller or the manufacturer. In most cases however, it is required to be issued by a Chamber of Commerce in the country of origin.

Declaration- An export declaration form is a document that is submitted to the customs previous to the export of goods.

DOCUMENTS USED SUCH AS :-

This document is used by the customs to charge any applicable duties and taxes and is also used to provide accurate statistic data to the government.

The company that fulfils an export declaration has to provide details such as:

Detail of the goods, quantity, value, origin.Country of destination and entity receiving

the goods.Detail of the exporter.Signed declaration of the exporter.

Shipping bill- The shipping bill is prepared in the name of the exporter reflecting the goods, its quantity to be exported along with price. It can be prepared by the exporter or its agent. The shipping bill prepared should be entered in the data base of the Customs Authorities or their authorized representatives office for authentication / approval. It Is the CHA's job to file the shipping bill.

SDF - A document submitted to customs authorities by exporters verifying that shipping bills are accurate and complete. An exporter confirms on form SDF that the amount paid by the buyer is the same as the full export value stated on the shipping bill. Also called statutory declaration form.

DOCUMENTS NEEDED SUCH AS :-

After these documents are ready the shipper gives the documents to the freight forwarder who hands over these documents to the CHA. The customs officials go through the documents assess them and after confirming that the documents are authentic they approve the shipment. The freight forwarder collects the shipment or cargo from the CHA and loads it onto the ship. It is the cha's job to clear the goods from the custom and hand it over to the freight forwarder. The freight forwarder has to Book a space in advance with the shipping line stating all the Cargo that needs to be transported. When the cargo is in possession with the shipping line, they give the shipper or the consignor the bill of lading.

Bill of Lading-it is a document which covers transport by sea Signed by the carrier or the freight forwarder. it serves as a receipt to the consignor for the goods, as evidence of the contract of transport containing the conditions of transport, and as a document of title by which possession of the goods can be transferred. It is the proof that the carrier has received the goods in good order and condition and that they were also placed on board the ship.

the first thing done before importing is selecting the supplier. The lookout for suppliers in the foreign market through Internet and after receiving quotations from different suppliers they select the supplier with best quotation.

The company appoints the freight forwarder and gives them the contact number, the supplier saying that the particular material needs to be imported from another country

IMPORTS

After the cargo has reached its destination that is the home country the freight forwarder asks the company to inform the custom house agent to clear the goods from the customs.

The custom house agent files the bill of entry in the customs.

. The freight forwarder contacts with a branch in the country from where the material has to be imported and asks them to contact with the supplier. After the material is ready to be imported the freight forwarder in the home country again confirms from the consignee that should he ship out the cargo.

Bill of Entry-A declaration by an importerof the exact nature, precise quantity and value of goods that have landed it is examined by customs authorities for its accuracy and conformity with the tariff and regulations.To clear the goods some duties have to be paid in the customs.The duty as to be charged on the assessable value of the cargo-assessable value =( cost price + freight +insurance) 1% landing charges..The other duties:basic duty 10% 5% 7% and nil.Counter valuing duty it is always 12%.Secondary education cess 2%higher education cess 1%additional duty 4%