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Summer Internship Report Samson Freight Pvt. Ltd.

AT

SAMSON FREIGHT PVT LTD.

In Partial Fulfillment For

PGDIT

SUBMITTED B!"

#AIDIP PATIL

POST GRADUATE DIPLOMA IN INTERNATIONAL TRADE $I

INSTITUTE OF MANAGEMENT DEVELOPMENT AND RESEAR%H

(CENTRE FOR INTERNATIONAL TRADE)

&''("&'))

INDEX

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No. Contents Page Number

1 Acknowledgment3

2 Execut!e "ummar#............$

3 %b&ect!e......'

$ Com(an# Pro)le.*

' %rgan+aton "tructure..,

* -unctons o) arous De(artments..1/

0 # Act!tes at "amson -regt..............1'

Ex(ort (rocedure...10

, Ceck lst o) documents.........................22

1/ Im(ort Procedure..........2$

11 Dut# calculaton.....................20

12 "cemes..2

13 Concluson..31

Acknowledgement


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The learning process goes on and on throughout your life, this is the one of the many

things I had learnt atSAMSON FREIGT !"T#$T%#

At the outset I e&press my deep sense of gratitude to 'aptain Ashish Samarth, the Managing%irector of Samson Freight !(t# $td for gi(ing me the opportunity to carry out my summer

internship in his organi)ation#

I am e&tremely inde*ted and too than+ful to my mentor Mr# ayara-an .ho had *een most co/

operati(e and encouraging throughout this pro-ect, and also I am (ery than+ful to ayra-an Sir

and Nutan Mam for their +ind support#

I sincerely than+ to Mr# "i(e+ Samarth, Anthony Santiago, Mr# %eepa+ !ohare .ho helped

and encouraged me during my internship#

I e&press my gratitude to all the .or+ing mem*ers of SAMSON FREIGT !"T#$T%# I am

(ery than+ful to all the people in 'ustoms and '0' at 'FS, !impri for their cooperation

.hene(er and .here(er I re1uired, .ho e&tended their ungrudging co/operation in gi(ing

(alua*le suggestions for the enrichment of this pro-ect# 0ithout their co/operation, this pro-ect

and my learning .ould ha(e not *een possi*le#

The internship .ould not ha(e come my .ay if the Institute had not groomed us in a specific

.ay# I than+ our %irector, Mr Susheel 2handalgaon+ar, former %irector, Mr A-ay Nagre 3

Mrs "ipra Ti.ari for engra(ing on our minds the 4Ground Realities4 and pro(iding me .ith an

opening to the practical e&perience in the industry#

4AIDIP PA5I6

Execut!e "ummar#

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It is (ery difficult to summari)e .hat you ha(e done for 5 .ee+s in -ust one page# 6ut I am ma+ing an

effort to co(er the important features and learning of my summer7s internship#

The Summer Internship gi(es us a first hand e&perience on the ground le(el .or+ that is re1uired to

complete the .hole procedure of E&ports and Imports# The Internship gi(es a practical insight into the

E&port Import !rocedures and its applications#

I ha(e learnt that in International Trade the ser(ice pro(iders play a ma-or role# The 'ustom ouse

Agent, Freight For.arder and the Shipping 'ompany are the ser(ice pro(iders in International Trade#

0e are re1uired to do our Summer Internship .ith one of these ser(ice pro(iders#

I .or+ed in Samson Freight !(t $td#, there I got e&posed to the (arious documents li+e shipping *ill,

in(oice, pac+ing list, ARE/8 and understood the practical implementation of them and their use in

International Trade#

Apart from this I also learnt the (arious Import E&port !rocedures, and .hat the (arious comple&ities

in e&ecuting them successfully# For doing this I had to refer to (arious *oo+s li+e the and*oo+ of

!rocedures 3 Foreign Trade !olicy, 'ustoms $a. Manual, 'entral E&cise Manual, IT'9S:#

I also got e&posed to the (arious other *oo+s 3 documents li+e the %E!6 rate list, E&cise $a. Times,

E;IM9ne.sletter: in .hich I leant the (arious schemes li+e %E!6, %FR', %uty Free, and %uty

%ra.*ac+# I learnt .hen the particular scheme is used and .hich color is used in the particular

shipping *ill#

In SAMSON FREIGT !"T# $T%#, I .as in documentation to learn the complete procedure, and

documents in(ol(ed in the process of import and e&port# I also (isited to the I'% and 'FS, .here I

.as fortunate enough to see the stuffing process and the custom clearance# I .as also a*le to prepare

the Shipping 6ill and the 6ill of Entry and calculate the rele(ant duty attached to it# I also came to

+no. .hat are the importance of each documents and .hat is the logical flo. of those documents *e it

the Imports or the E&ports#

Thus, during internship, .hile .or+ing in different departments I .as e&posed to day/to/day acti(ities

of a *usiness, .hich includes appropriate communication 3 follo. up .ith customers, shipping lines'A7s and 'FS#

%74EC5IE

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The < .ee+s summer internship program is an essential part of the =/year !G%IT curriculum#

The main o*-ecti(e of this program is to interlin+ the theoretical +no.ledge, .hich .e get in

the first year of our !G%IT program .ith practical e&perience of the ser(ice industry li+e

'ustom ouse Agents, Freight For.arders or Shipping 'ompanies, .hich *asically deal in

clearing the goods from customs#

I recei(ed an opportunity to conduct my summer internship program in "A"%N

-8EI9:5 P5.65D.; .hich is a 'ustom ouse Agent#

Some of the o*-ecti(es that I carried in my mind .hile starting my summer internship

program are as follo.s> /

5:E IN"5I5

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The company .as founded in 8

/ Our employees are 1ualified and trained#

/ Their integrity unimpeacha*le#

/ Their .or+ attitude positi(e .ith full +no.ledge

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Com(an# Ace!ements>

8# First company to successfully *ring in import cargo *y rail to !une for 'ustoms

'learance#

=# First company to *ring in a full load for clearance of import cargo#

# In the year 8, .as appointed handling agents for Maers+ in !une#

5# In the year =DDD, .as appointed handling agents for Maers+ in Auranga*ad#

# In the year =DD=, .as appointed handling agents for Maers+ in "api#

C# 'ontainers handled during =DD5/=DD appro&imately

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8=: Tarini steel

anagement

Managing %irector > 'apt# Aashish Samarth

Mar+eting ead > Mr# "i(e+ Samarth

%ocumentation ead > Mr# ayara-an

Operations ead > Mr# %eepa+ !ohare

'o/ordination ead > Mr# Anthony Santiago

%!er!ew o) De(artments at "amson -regt

The different departments at Samson freight !(t# $td# are> /

Mar+eting %epartment

%ocumentation

Operations

'o/ordination

Finance

%rgan+aton "tructure

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-unctons (er)ormed b# d))erent de(artments

arketng?

IMDR-CIT & JAIDIP PATIL

Managing

DirectorManaging

Director

Manager-

Mar'etingManager-

Mar'eting

Manager-

(perationsManager-

(perations

Manager-

A))ountsManager-

A))ounts

Manager

*oordinationManager

*oordination

Jr. at I*DJr. at I*D

Jr. *FS +

*,*Jr. *FS +

*,*

Jr. ImportJr. Import

Jr. portJr. port

Jr. ImportJr. Import

Jr. portJr. port

Managing

Dire)tor

/Mar'eting0

Managing

Dire)tor

/Mar'eting0

Manager-

Do)umentatio

n

Manager-

Do)umentatio

n

Jr. /port0Jr. /port0

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Functions>

8# 'lient Ser(icing

=# Huotations

# !ayment Follo. up

5# Arranging Shipping line and For.arder as per client re1uirements

%(eratons?

Functions>

8# 'ustom 'learance

=# O*taining all the necessary permissions for import and e&port of cargo

# 'argo stuffing and de/stuffing

Accounts?

Functions>

8# Accounts

=# 6illing

Documentaton?

Functions>

8# !reparing Shipping 6ill and 6ill of Entry

=# !reparing and collecting all the documents for cargo clearance

Coordnaton?

This department is the lin+ *et.een all the internal departments# It helps to coordinate

(arious operations re1uired for cargo clearance#

Functions>


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8# 'oordinate all the operations in(ol(ed in cargo 9Import? E&port: clearance#

=# Maintaining in.ard and out.ard registers#

# Trac+ing container mo(ement#

5# Trac+ing documents#

# Maintaining files#

"5ANDA8D %PE8A5I%N P8%CED

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Coordnaton

Su*mit for in.ard entry/factory stuffing gi(en to operations @.ith factory stuffing format#

%(eratons

O*tain factory stuffing permission

Coordnaton

8 copy to *e filed and 8 copy under co(er letter to *e for.arded to supplier

E&port *oo+ing recei(ed/

Enter into -o* order register

All details entered

Re1uest for .ritten *oo+ings

Freight and line if not +no.n inform mar+eting

arketng

Mar+eting to get freight and line appro(al

if mar+eting decides the liner then mar+eting to o*tain RO and gi(e (essel details#

Coordnaton

If freight predecided then coordination .ould follo. up for release order and gi(e (essel

details# Finance

!erforma dis*ursement is prepared and sent to the clients for estimated e&penses


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Coordnaton

!lace the -o* order to appropriate icd ?cfs

If no release order, send mail to client informing that -o* order .ould *e placed

the ne&t day

Follo. up for entry

/If entries not in factory .ithin =5 hours of re1uest time send mail to transporter informing him

no detention etc .ould *e entertained# /If entry delayed at factory send mail regarding pro*a*le detention that .ould *e incurred

Recei(e e&port documents and send it to the documentation department

Documentaton

!repare shipping *ills?customs file#

M%?GM to chec+ and sign the shipping *ill

/'hec+ all details closely

/"essel details

/%eclaration

Coordnaton %ispatch icd?cfs to reach *efore cut off time

%(eraton Note asses and dispatch

Coordnaton %ispatch mail

GS! to *e sent and su*mitted

Insurance notice sent 9on arri(al of cargo:

!repare *ill of lading


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GR?are customs attested in(oice?pac+ing list

/%E!6, %EE', %FR' copies

'hec+ n gate of entry, document su*mission

%ispatch and pass copy to accept

Enter e&port register updation

Follo. up for *ill of lading release Follo. up for e&port promotion copy

Follo. up for mate receipt

-nance

!repare in(oice and send

%ocumentation

%GFT application

Coordnaton Follo. up for payment

Documentaton 6illing of license

Follo. up for payment

'oordination

Follo. up for payment

# Act!tes at "amson -regt

My training started on 8thMarch =D8D, and on the (ery first day I .as as+ed to .or+ in

documentation department under guidance of Mr# ayara-an and the (ery first day I .as going throughthe SO!9E&ports:

And terms related to E;IM# in the same .ee+ I co(ered the types of shipping *ill .hich are as

follo.s>

S?6 for e&port of duty free goods90ITE:

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S?6 for e&port of dutia*le goods9E$$O0:

S?6 for e&port of duty dra.*ac+9GREEN:

S?6 for e&port of duty free goods e&/*ond9!IN2:

S?6 for %E!6 scheme96$E:

In the same .ee+ I ha(e o*ser(ed that for %E!6 (erification the follo.ing documents are send to the

customs>

Original %E!6 license

En(elope of %GFT

6an+ reali)ation certificate

Original %E!6 S?6

'ustom attested in(oice and pac+ing list#

;ero& copy of S?6 9E!copy:

;ero& of ARE/8

;ero& of 6?$

Also I learned that the certificate of origin is pro(ided *y follo.ing authorities %GFT, FIEO, 'II,

Te&tile committee and its all 8 offices in India#

Also I .ent to all the important data .hich are entered into the shipping *ill and made one shipping

*ill#

0ith that I come to +no. that for preparation of shipping *ill .hat essential documents are to *e

re1uired from the e&porter and I come to +no. that for that IN"OI'E, !A'2ING $IST, and I if the

FO6 (alue Is more than =DDDS% than along .ith all the a*o(e mentioned documents GR form is

also re1uired to *e filled *y the 'A#

The shipping *ill has total of C copies and B in case of S?6 of %E!6, %T%RA06A'2 .herein 8st

t.o copies is for custom purpose,rd

copy is e&port promotion copy,5th

3 th

copy is port trust copy9original and duplicate:#

I also come across factory stuffing format .herein customs instruct the e&cise for stuffing this is

prepared *y the 'A and gi(en to customs for appro(al that format has total of copies#

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In the first .ee+ .hile learning all the essential documents related to the e&ports I come to +no. that in

the all e&port documents are di(ided into !RE and !OST E;!ORT %O'MENTS .hich can *e

classified as

P8E EXP%85 D%C

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5e sets o) "((ng 7ll @$co(es o) Declaraton @8ele!ant 8ate lst are sent to C-"ICD.

9oods taken to ICDC-" and gets te gate (ass??ts s called Cartng.

N%5IN9 s done b# te Customs.

Assessment s carred out are carred outB eter )rst or second ceck.

A)ter examnaton Custom re(ort s made; wc s sgned b# DC.

5e Custom g!es te 6E% 6et Ex(ort %rder

Documents anded o!er to te "((ng Com(an# )or cargo load.

5e "((ng Co. ssues E9 n accordance to te cargo an)est tat s g!en to

Customs.

ate 8ece(t rece!ed

7ased on te ate 8ece(t; 7ll %) 6adng s ssued b# "((ng Co.

5e Ex(orter s anded o!er te 7ll o) 6adng @Customs In!oce @ Customs P6 @ "D-98 @

Excange Control Co(# o) "((ng 7ll.

A)ter 1' da#s o) de(t. o) !essel ex(orter submts EP Co(# to D9-5 )or a!alng te Ex(ort

ncent!e.

A)ter 1' da#s o) de(t. o) !essel ex(orter submts EP Co(# to D9-5 )or a!alng te Ex(ort

ncent!e.

Documents :andled Durng Interns(

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Im(ortant documents n Ex(orts (rocedure>

) In!oce

A !roforma in(oice is originated *y the e&porter and sent to the *uyer# The format of the

proforma in(oice is (ery near to the commercial in(oice# 0hen negotiations are finali)ed and

*uyer intends to place an order, he normally re1uests the e&porter to send !roforma in(oice

incorporating all the details of proposed transaction# This in(oice is often used *y the importer

to apply for the letter of credit 9$?':

The commercial in(oice is e&porter7s *ill for sale of goods# It is a prima facie e(idence of

contract of sale and purchase# This in(oice should *e strictly according to the contract of sale

and should *e on the paper of the seller and must *e signed *y the e&porter or *y the person

acting on his *ehalf#

& Packng lst

!ac+ing list is a consolidated statement in a prescri*ed format detailing ho. the goods are

pac+ed# It sho.s item/*y/item the contents of the container shipped to ena*le the *uyer ?

recei(er of the shipment to chec+ the shipment# 'ustoms uses pac+ing list as a chec+/list to

(erify the outgoing cargo 9in e&porting: and the incoming cargo 9in importing:#

* Purcase order

An order is a commercial transaction .hich is not only important to the e&porter and importer

*ut also of concern to their respecti(e countries, since it affects the *alance of payment position

of *oth the countries# !urchase order is also re1uired *y the licensing authorities, e&change

control authorities and *an+s dealing in the foreign e&change#

+ %rder Acce(tance

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The order acceptance is another important document prepared *y the e&porter confirming the

acceptance of order placed *y the importer# nder this document he commits the shipment of

goods co(ered at the agreed price during a specified time#

, 98 )orm

GR 9Guaranteed Remittance: form is prescri*ed *y R6I for the purpose of e&change control

.ith *an+ers# !urpose of GR form is to ena*le R6I to ensure that the e&port proceeds from the

e&port are recei(ed in India through proper *an+ing channels only .ithin prescri*ed time

limits# E&porter has to file copies of GR form along .ith the shipping *ill# If shipping *ill filed

electronically then S%F has to *e filed#

- "((ng bll

Shipping *ill is an application filed *y e&porter for getting permission for e&ports#Shipping *ill

is the main document re1uired *y the custom authorities for allo.ing shipment#

There are fi(e +inds of shipping *ills

1. E&port of duty free goods> 0hite Shipping 6ill

2. E&port under claim for duty dra.*ac+> Green Shipping 6ill

3. E&port of dutia*le goods> ello. Shipping 6ill

4. E&port of duty free goods from *ond 9E&/6ond:> !in+ Shipping 6ill

5. E&port under %E!6 scheme> 6lue Shipping 6ill

Cert)cate o) orgn 9"P

Our country is de(eloping country and hence goods e&ported from India are eligi*le for duty

re*ate in the importing countries .hich are de(eloped# This duty can *e claimed *y the

importer only *y producing GS! 9Generali)ed System of !references: certificate ? certificate of

Origin to their customs# nder GS!, certain categories of manufactured and semi/manufactured

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goods are entitled for concessional rates of import duties in the mem*er countries, there*y

gi(ing *enefit to importer7s the GS! countries#

/ 7ll o) ladng

6ill of lading is a document issued *y the shipping company or its agents# It ser(es three

purposes

1. It is the receipt of goods

2. It is an e(idence of the contract of affreightment i#e# underta+ing to deli(er the goods in

the li+e order and condition as recei(ed, to the consignee or his order of assignee,

pro(ided, the freight and other charges specified in the *ill of lading ha(e *een dulypaid#

3. It is a title of property of goods#

( ates rece(t

Mates receipt is issued *y the chief of (essel after cargo is loaded# The receipt is of transfera*le

nature and must *e presented in due course at the shipping company7s office to *e e&changed

into 6ill of $ading#

)' A8E? 1 )orm

This is a 'entral E&cise form re1uired in case, .hen goods .hich are remo(ed from

manufacturing unit, are su*-ect to the 'entral E&cise# This form is an application for remo(al

of e&cisa*le goods for e&port purpose claiming re*ate on duty#

)) arne Insurance Polc#

Marine insurance is intended to protect the insured against the ris+ of loss or damage to goods

in transit due to marine perils# Marine insurance policy is a contract .here*y the insurer


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9insurance company: in consideration of a payment or premium *y the insured agrees to

indemnify the latter against loss incurred *y him in respect of goods e&posed to perils of the

sea#

12.-umgaton Cert)cate>

If e&porter is mo(ing the container in a .ooden *o& then fumigation is compulsory# After

fumigation e&porter gets fumigation certificate#It is the responsi*ility of the e&porter# It is a

pre(enti(e measure for a(oiding the chemical reaction ta+ing place due to .ooden *o

13.-orm ? N

An e&port consignment can *e e&empted from Octroi duty pro(ided that N/Form 9in duplicate: is

su*mitted along .ith the copy of the shipping *ill .ith the concerned octroi chec+ post# This

procedure pre/supposes that shipping *ill is got processed .ell in ad(ance of shipment

0here the Octroi duty has *een paid and its refund is to *e claimed, the e&porter should fill in Form/'

9Octroi purpose: in duplicate and register it .ith the Octroi office#

C:EC 6I"5 %- EXP%85 D%C

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ARE/8?e&emption certificate

GR from

%eclaration %62?%EE'?%E!6

Ad(ance license application?receipt

Ad(ance license?%EE'

%E!6 license

'ommission agreement If any

E&port license

In(oice for *ought our material if merchant e&porter

ISO certification

In ouse test report

E!'G license

'E certificate

I .ent through all the documents mentioned a*o(e in .hich my mentor Mr# ayara-an Ro*in,

Ms# Nutan, Mr# Anthony Santiago had helped me to understand each and e(ery documents

.ith minute details#

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6ill of lading

First chec+ letter

Test *ond?report

%ou*le duty *ond

nderta+ing

Transit *ond

6an+ guarantee

%eclaration

'E certificate

%EE'?%E!6 $icense

GATT and small declaration

TR/C challan

IGM

IE' certificate

'A authori)ation

!re(ious *ill of entry and in(oice

Im(ort Procedure

Im(orter g!es In!oce @P6 to te C:A.

C:A (re(ares 7ll o) Entr# wt te Customs.

Contact te m(orter"((ng Co. )or E5A.

CAN Co(# s g!en b# -- to te C:A

C:A goes to te Customs to )le 7ll %) Entr#.


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Customs does notng 5oka

-rst ceck or second ceck s done.

Custom g!es 58* Callan wt te el( o) wc dut# are (ad n Custom bank.

C:A on beal) o) te Im(orter (a#s te dut#.

5e sed A((raser cecks te goods.

A)ter Examnaton s o!er; %ut o) Carge s g!en to te cargo 9ate Pass.

If .e o*ser(e the procedure for Imports, it has a perfect flo.# The process is *onded in a specific

manner# Each document in an organi)ation carries a special importance# E(ery employee has a

specified .or+ to do#

In.ard register is utmost important for maintaining data*ase of incoming documents in an

organi)ation# o* order no# is useful for process carrying out inside an organi)ation# In this process

documentation dept# sends letter to the client# $etter specifies remaining documents to *e sent *y the

client# Accounts dept# prepares !roforma %is*ursement, .hich is an estimated initial e&pense# ntil

and unless e&penses mentioned in !#%# don7t come, organi)ation holds the process#

Documents In!ol!ed n Im(orts>

8# In(oice

=# !ac+ing list

# 6ill of lading

5# !urchase Order#

# IGM

C# 6ill of Entry

B# %eli(ery Order

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7ll o) entr#

6ill of Entry is re1uired to *e filed *y the importer for custom clearance of the goods# There are

2inds of *ill of entry# Import duty is calculated in 6ill of Entry#

1. ome consumption 6?E in .hite colour> this has to *e filed .hen the importer .ants to clear

the goods on payment of duty and remo(e them to his premises immediately#

1. Into *ond or *ond to *ond 6?E in yello. colour> it is also +no.n as 0arehousing *ill of entry#

This has to *e filed .hen the importer does not .ant to pay duty immediately *ut prefers to +eep the

goods in a .arehouse and pay the duty su*se1uently and clear the goods for home consumption#

1. E&/6ond 6?E in green colour> this has to *e filed .hen the importer .ants to clear the

.arehoused goods for home consumption on payment of duty#

Im(ort 9eneral an)est I9

IGM is a document to *e filed .ith the customs *y the carrier of the goods I#e# steamer agents ?

airlines# o.e(er it issued *y customs only# This document indicates the details of all good to *e

unloaded at the port from (essel 9ship: or aircraft# The IGM has to *e filed .ithin =5 hours after arri(al

of ship ? aircraft# o.e(er in case of (essel 9ship: the manifest may *e deli(ered e(en *efore the

arri(al of the (essel# This ena*les the importer to file *ill of entry 3 get them assessed 3 pay duty so

that the goods can *e ta+en deli(ery soon after the unloading#

-regt declaraton

Freight declaration is re1uired to *e o*tained from the o(erseas supplier, in *oth cases, .hen the

importer agrees to pay the freight or the o(erseas supplier pays the freight#

Im(ort lcense

This license is re1uired to import of items mentioned in the restricted for import in IT' 9S:

classification# This is important for opening letter of credit and is re1uired *y the authori)ed dealer#

Declaraton

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The importer is re1uired to su*mit a declaration disclosing full and accurate details regarding to the

(alue of the imported goods and any other statement, information or document including an in(oice of

the manufacturer of the imported goods as considered necessary for determination of (alue of

imported goods# %eclaration form in duplicate duly signed *y the importer should *e attached .ith

original 6ill of Entry#

58* callan

The duty can *e paid in the designated *an+s of through TRC challans# 6an+ endorses the payment

particulars in challan .hich is su*mitted to the customs# TRC challan is mandatory for e&amination of

goods#

Del!er# %rder>

%eli(ery order is issued against letter of credit? *ill of lading# %eli(ery order is for factory?I'%

destuffing only# 'argo may *e allo.ed to go out of I'%# %eli(ery order is issued for the Manager of

I'%# It is issued *y the shipping line

Im(ort dut# calculaton>

1. Amount in FO6, con(ert it in Rs *y multiplying it *y e&change rate#

Amount in Rs# K Freight K Insurance L "alue in 'IF term#

2. 'IF (alue K 8 $anding charges L Assessa*le (alue

3. 6asic duty L ; of Assessa*le (alue#

4. Assessa*le (alue K 6asic duty L Total amount

5. '"% L of Total amount

6. Educational cess L = on '"%

Secondary 3 igher Educational cess L 8 on '"%

7. 'umulati(e %uty L 6asic duty K '"% K Edu cess K SE cess

8. 'ustom7s Educational cess L = on 'umulati(e duty#

9. 'ustom7s SE cess L 8 on 'umulati(e duty#

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10. Additional custom7s duty L on 9BK

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scheme is in force from 8st May, =DDC# These Authori)ations shall *e issued only for products for

.hich Standard Input and Output Norms 9SION: ha(e *een notified#

3.EPC9

The o*-ect of this scheme is enhancement, moderni)ation and technical upgradation of industrial

capacity# Import of capital goods 9including second/hand: at concessional rate plus educational

cesses under E!'G scheme, su*-ect to e&port o*ligation, is applica*le to all sectors and to all capital

goods .ithout any threshold limit# Import of spares is also allo.ed# No payment of additional duty

9'"%: at the importer7s option applies#

In the current foreign trade policy, a .ell intended scheme has *een continued for import of capital

goods .ith a concessional rate .ith prescri*ed e&port o*ligation# This scheme is precisely +no.n

as E&port !romotion Scheme for Import of capital goods#

$.DEP7

The o*-ecti(e of %uty Entitlement !ass*oo+ Scheme is to neutrali)e the incidence of 'ustoms duty on

the import content of the e&port product# The neutrali)ation shall *e pro(ided *y .ay of grant of duty

credit against the e&port product# nder the %uty Entitlement !ass*oo+ Scheme 9%E!6:, an e&porter

may apply for credit, as a specified percentage of FO6 (alue of e&ports, made in freely con(erti*le

currency# The credit shall *e a(aila*le against such e&port products and at such rates as may *e

specified *y the %irector General of Foreign Trade *y .ay of pu*lic notice issued in this *ehalf, for

import of ra. materials, intermediates, components, parts, pac+aging material etc# The holder of %uty

Entitlement !ass*oo+ Scheme 9%E!6: shall ha(e the option to pay additional customs duty, if any, in

cash as .ell# nder the scheme E&porters are granted duty credits on the *asis of pre notified

entitlement rates .hich .ill allo. them to import input duty free The e&porter can e&port any productunder this scheme pro(ided the same is co(ered *y SION# Goods in the negati(e list of e&im policy

cannot *e e&ported under this scheme# Application form is re1uired to *e filled .ithin 8= months from

date of e&ports#

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'.Dut# Drawback "ceme D7

nder the duty dra.*ac+ scheme the e&port products get relief in respect of customs and e&cise duties

and ser(ice ta& paid on ra. material, components and input ser(ices used in their production# There

are t.o types of rate of dra.*ac+# 9a: All Industry Rates 9*: 6rand Rates# ere, the e&cise duty and

customs duty paid on inputs is refunded to the e&porter of finished product *y .ay of duty dra.*ac+7#

Fat s "I%NG

The Norms pu*lished in the hand*oo+ of procedure (ol/= are for the purpose of facilitating the

determination of the proportion of (arious inputs .hich can *e used or are re1uired in the manufacture

of different resultant products# These norms are of immense importance for the purpose of licenses

under the %uty E&emption Scheme#

Concluson

Summer internship pro(ed to *e a great learning e&perience# It ga(e me practical e&perience of

.or+ing in ser(ice organi)ation dealing in import and e&port and ga(e e&posure to the day to day to

difficulties .hich .ill al.ays occur in completing e(en the simplest of the tas+s#

Theory is *etter e&plained in classrooms .hereas to get a firsthand e&perience of .or+ you need to *e

in an organi)ation# All the theory taught in the classroom .ould not ha(e found its meaning and

implication .ithout these eight .ee+s of internship#

0or+ of 'A is (ery challenging and dynamic# They ha(e to *e updated .ith the changing rules and

regulation# The .or+ of a clearing house agent does not end .ith the shipment of cargo# They ha(e to

*e in constant touch .ith the shipper regarding the status of the cargo until it reaches it destination#

Import/E&port process is a comple& process, .hich cannot *e understood until and unless one has had

a practical e&perience in this field#

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This .as my first .or+ e&perience in the field of International Trade# It has helped me in

understanding (arious types of documents and procedure in(ol(ed in international trade# I could

achie(e *oth the academic and personal o*-ecti(es completely# It ga(e me practical e&perience of.or+ing in ser(ice organi)ation dealing in import and e&port and ga(e a perfect o(er(ie. of the

complete .or+ing of a 'ustom ouse Agent# I could learn *oth, %ocumentation and Operations#

0or+ing in *oth these departments has helped me to trac+ the flo. of (arious documents perfectly# I

could see the process right form preparation of the document till finally handing o(er to customs ?

customer# 0or+ing in different departments has made me understand ho. different processes areinternally connected and each cannot function independently# 6eing in different departments and

.or+ing .ith people at different le(el has also helped me to understand the .ay of ma+ing

communication and carrying out acti(ities in an organi)ation#

Also, on a personal front it .as (ery e&citing e&perience .or+ing .ith 'apt# Ashish Samarth# As he is

the man of discipline, I *ecame punctual# Also I learned the importance of .or+ing efficiently 3

effecti(ely# e taught me to .or+ .ith integrity and professionalism

This .as all a*out my e&perience during the summer training# I feel proud that I got an opportunity to

*e a part of SAMSON FREIGT !"T# $T%#