Category Archives: Business

Objectives of India Export-Import Exim Policy

By | September 12, 2017

A new export and import policy were framed in 1992 which was effective till 1997. Since then new changes have been made in the policy to achieving the following objectives: To enhance the level of exports; To improve the balance of payment; To improve the balance of trade; To enhance the reverse of foreign exchange; To allow import… Read More »

Export (Quality Control and Inspection) Act, 1963

By | August 3, 2017

The Export (Quality Control and Inspection) Act was enacted in the year 1963 to strengthening the export trade through quality control and pre-shipment inspection. The act empowers the government not only to notify the commodities which may be subjected to compulsory quality monitoring and inspection before export but also specify the type of quality control or inspection. The Act… Read More »

Commercial Shipping Features

By | July 13, 2017

The salient features of commercial shipping can be summarized as under: Shipping of goods is an international activity perpetually exposed to change in the international environment. Commercial shipping is subjected to periodic cycles of depression and buoyancy in business. The highly capital-intensive nature of the industry necessitates Large financial resources, and Adequate utilization of capital. International mobility of ships… Read More »

Contents Required in Commercial Invoice

By | June 9, 2017

After the pro-forma invoice is accepted by the importer, the exporter must prepare a commercial invoice.  The commercial invoice is required by both the exporter (to obtain the necessary export documents, to enable the consignment to be exported, to prove ownership and to enable payment) and importer (who require the commercial invoice to facilitate import of goods into the country… Read More »

Notes on Deemed Exports

By | June 5, 2017

‘Deemed Exports‘ refers to those transactions in which the goods supplied do not leave the country and the payment for such supplies in received either in Indian rupees or free foreign exchange. The following categories of supply of goods by the main/sub-contractors shall be registered as “Deemed Exports” under this policy provided the goods are manufactured in India: Supply of… Read More »

Advantages of Multimodal Transport

By | June 2, 2017

Multimodal transport is commonly known as referring to a transport operation that is carried out using different modes of transport such as railway, waterway, and airway. A single operator organizes it. Multimodal transport is a legal concept strictly defined in the United Nations Convention on the International Transport of Goods and other international instruments, where the specified liability… Read More »

Duties of Exporter and Importer Under CIF Contracts ?

By | June 1, 2017

CIF (Cost, Insurance and Freight) contract has the following duties for exporter: Supply the goods in conformity with the contract sale, arrange at his on expense for the shipping space by the usual route and pay freight charges for the carriage of goods; Obtain at his own risk and expense all documentation regarding governmental  – authorization necessary for… Read More »

Different Types of Foreign Exchange Transactions

By | June 1, 2017

A foreign exchange transactions is a contract to buy or sell a quantity of one currency in exchange for another at a specified time for delivery and settlement and at a specified price (exchange rate). These transactions take place in foreign exchange markets. Regarding counterparties and settlement dates, the forex transactions are classified in many categories as trade transactions,… Read More »

Ricardian Theory of Trade

By | May 29, 2017

The Ricardian theory of trade focuses on the comparative advantage of the nation. According to the Ricardian theory of trade, comparative advantage determines the pattern of trade. Ricardo asserted that even if a nation does not possess an absolute advantage,  there are changes of gains through trade among the nations by comparative advantage. The Ricardian theory is based on… Read More »