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Import Export Study

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    Global Country Study Report

    On

    Agriculture and Processed Foods Industry of 

    Morocco

    Business Opportunities for Goa / India

    Submitted to

    Institute Code: 7!

    Institute "ame: S#R# $ut%ra Institute of 

    Management

    &nder t%e Guidance of 

    'r# (emlata Agar)al

    *Associate Professor+

    In partial Ful,llment of t%e Re-uirement of t%ea)ard of t%e degree of Master of .usiness

    Administration *M.A+

    O/ered .y

    Gu0arat 1ec%nological &ni2ersity

    A%medabad

    Prepared by:

    Students of 

    MBA (Semester - IV)

    Group "o#3

    Mont% 4 5ear:

    April6 !83

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    ST!"#T$S !"%&A'ATIO#

    9e6 follo)ing students6 %ereby declare t%at t%e Global Country

    Study Report titled ;Agriculture and Processed Foods Industry; in

    (Moroo) is a result of our o)n )or< and our indebtedness to

    ot%er )or< publications6 references6 if any6 %a2e been duly

    acRepeat study 4 re@submission of t%e report? or any ot%er

    punis%ment t%at G1& may decide#

    "nroment #o* #ame Si+nature87!!B!7! Santos% Pansuriya87!!B!7 1ila< Parmar87!!B!7 An

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    I#STITT" %"'TI,I%AT"

    Certi,ed t%at t%is Global Country Study and Report 1itled

    ;A+riuture and Proessed ,oods Industry; in (Moroo) is

    t%e bona ,de )or< of attac%ed student list )it% enrolment numbers6

    )%o %a2e carried out t%eir researc% under my super2ision# I also

    certify furt%er6 t%at to t%e best of my

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    P&AGIA'ISM '"PO'T

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    P'",A%"

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     1o become a manager in future passing t%e t%eoretical sub0ects is

    not enoug%# 1%e sub0ects are t%e bases for our carrier from )%ic%

    )e can strengt%en our

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    A%3#O4&"!G"M"#T

    "o tas< is a single man?s e/ort cooperation and coordination of 

    2arious people at 2arious places goes into successfulimplementation# It is great pleasure to %a2e t%e opportunity to

    e=tend our %eart@felt t%an

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    Sr*

    #o*

    Topis Pa+e

    #o*6* "7"%TIV" SMMA'5  

    SHM @ III

    SHM IJ

    8* S"%TIO# O#" : T." BSI#"SS

    A# 'escription of .usiness

    .# Products

    C# Mar

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    Tabe

    #o*

    #ame of Tabe Pa+e

    #o*

    8 S9O1 Analysis of Farm Food de%ydrates P2t# $td#

    P 4 $ Account

    .alance S%eet

    .rea< H2en Analysis

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    "7"%TIV" SMMA'5 (Sem* III)

    In t%is particular study of GCSR report6 to study and understand t%e

    business en2ironment and demograp%ic pro,le of t%e Morocco and

    India )it% Goa state# Also study t%e S1HHP$H' Analysis 6 to ,nd

    relati2e strengt%s and )ea

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    fruits6 Jegetables6 Fis%# And Key importers are Crud petroleum6

    te=tile fabrics6 telecommunication e-uipment6 )%eat6 gas and

    electricity6 transistors6 Plastics#

    $ist of industries in Morocco are P%osp%ate Roc< Mining and

    Processing 6Food processing 6Manufacturing 61ourism6 $eat%er Goods

    6 Construction 61e=tiles 6Selling of arts and crafts # 1%e local food

    industry is upgrading and becoming more demanding on -uality and

    regularity of supply# 1%e steady 9estern inuence on Moroccan

    lifestyles is e=pected to result in e2en %ig%er demand for consumer@

    oriented products in t%e future#

    India %as a greater potential to e=port semi@,nis%ed products and

    products for industrial uses suc% as mil< po)der6 c%eese6 processed

    nuts# India ocially t%e Republic of India is a country in Sout%

    Asia# It is t%e se2ent%@largest country by area6 t%e second@most

    popular country# India is t%e )orld?s second largest producer of food

    ne=t to C%ina6 and %as t%e potential of being t%e biggest )it% t%e

    food and agricultural sector#

    In t%e &nited "ations6 India supported t%e decoloniNation of Morocco

    and t%e Moroccan freedom mo2ement# India %as been one of t%e

    ma0or mar

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    From t%e abo2e report6 )e %a2e come to t%e conclusion t%at t%e

    agriculture is t%e largest employer in t%e Morocco# Agriculture6

    Forestry6 Fis%ing and (unting contributing 83#3E to G'P6 from )%ic%

    ,s%ing contributing 8#!E#In Morocco %ig% -uality agriculturalproduct e=ported to Hurope# $ess t%an !E of Moroccans families

    %a2e refrigerator at %ome# Morocco produces enoug% food for

    domestic consumption e=cept for grains6 sugar6 co/ee and tea# More

    t%an !E of MoroccoLs consumption of grains and our is imported

    from t%e &nited States and France#

    India is t%e )orld?s second largest producer of food6 rd largest in

    alco%olic be2erages6 nd largest rice producer %a2ing !E global

    s%are6 rd largest in t%e )orld and nd largest in inland ,s%

    production contribute 8#E of total G'P#

    Gu0arat %a2ing e=port potentiality i#e# Cotton6 cumin6 Onion6 Garlic6

    Castor6 Isabgul6 Mango6 ot%er fruits and 2egetables6 Flo)ers6 'uram

    )%eat6 Processed maiNe#

    Goa %as a coastline of about 8!

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    "7"%TIV" SMMA'5 

    (Sem* IV)

    Farm food is one of t%e food commodity 4 manufacturer in India#

     1%ey started its incorporation on 83t% Duly !!8 #1%e Company deals

    in a 2arious food products suc% as tomato6 Onion6 s)eet coin6

    Mango Po)der# S#K Associate founded in 8BQQ is associated in

    .an

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    Mar

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    free# 1%e e=porter is re-uired to be registered )it% t%e

    appropriate H=port Promotion Council to a2ail of t%is bene,t#

    Import of goods %elps to boost t%e economy by pro2iding capital

    good for infrastructure or industrial de2elopment6 meeting

    s%ortages and impro2ing -uality of production# It also %elps

    impro2ing li2ing standards by ma

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    under t%e follo)ing categories li

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    Foreign mar

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    S"%TIO# 6: T." BSI#"SS

    !"S%'IPTIO# O, BSI#"SS

    ,arm ,ood !eydrates Pri;ate &imited

    Farm food is one of t%e food commodity 4 manufacturer in India#

     1%ey started its incorporation on 83t% Duly !!8 #1%e Company deals

    in a 2arious food products suc% as tomato6 Onion6 s)eet coin6

    Mango Po)der# 1%e Company directly purc%asing food products from

    selected farmers so t%ey supply good -uality of food Products to

    t%eir business partner#

    %ompany Pro

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        S   t   r    e    n    +   t    -

     @   ( i  g  %  -  u  a l i  t  y  p  r  o  d  u  c  t  s

     @  $  o   )   )  e i  g  %  t  p  e  o  d  u  c  t  s   4  e  a  s  y   %  a  n  d l i  n  g  o  f  p  r  o  d  u  c  t  s

     @  $  o  n  g  s  e l  f l i  f  e  o  f  p  r  o  d  u  c  t  s

     @   C  u  s  t  o   m i  N  e  d  P  r  o  d  u  c  t  s

     @   "  e  g l i  g i  b l  e   C  o   m  p  e  t i  t i  o  n 4ea=ness

    @(ig% Price Products

    @Seasonal a2alibility of product

    @Re-uirement of %ig% capital

    in2estment@Re-uire %ig% po)er energyconsumption

    Opportunities

    @(ig% Scope Of .ac

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    A*P'O!%T

    .rief about selected product

    Tomato

     1omato ran

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    •  1%e product is allo)ed to freeNe at suc% lo) temperature for Q

    %ours so t%at )ater content inside t%e tomatoes )ill be

    transformed in to ice completely# 1%en it is put into blast

    freeNing for %ours

    •  1%is froNen tomatoes is t%en transferred in to a 2acuum

    c%amber )%ere it is %eated in 2acuum )%ere t%e ice on t%e

    product )ill directly get transferred into 2apor t%us remo2ing

    all t%e )ater content of t%e tomatoes t%roug% Ammonia

    •  1%en trolley transfer to pac

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    %* MA'3"T A#A&5SIS ? MA'3"TI#G P&A#

    Se+mentation

    Mar

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    Rabat@Sal@Temmour@Taer

    Bea;iora Se+mentation

    On t%is basis6 company can target a segment on t%e basis of buyers?

    readiness stage and usage@rate#

    ,our Ps anayses for Tomatoes

    ,our Ps inudes fooin+ terms:

    8+ Product

    + Price

    + Place

    + Promotion

    6* Produt : Tomato

     1omato ran

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    Sta/ )age X 373!Pac

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    !* %OMP"TITIV" "#VI'O#M"#T

    Porter ,i;e ,ores Anaysis

     1%e PorterLs Forces tool is a simple but po)erful tool for

    understanding )%ere po)er lies in a business situation# 1%is is

    useful6 because it %elps in understand bot% t%e strengt% of 

    company?s current competiti2e position6 and t%e strengt% of a

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    position company are loo

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    Ma0ority of goods are allo)ed to be e=ported )it%out obtaining a

    license# H=port licenses are only re-uired for items listed in t%e

    Sc%edule of I1C *(S+ Classi,cations of H=port and Import items# An

    application for grant of H=port $icense for suc% items must besubmitted to t%e 'irector General of Foreign 1rade *'GF1+# 1%e

    H=port $icensing Committee under t%e C%airmans%ip of H=port

    Commissioner considers suc% applications on merits for issue of 

    e=port licenses#

    H=port of Special C%emicals6 Organisms6 Materials6 H-uipment and

     1ec%nologies *SCOMH1+ items are also permitted under a license or

    pro%ibited altoget%er# Guidelines for H=port of SCOMH1 items can be

    2ie)ed %ere#

    "port of Sampes

    H=port of samples up to speci,ed limits are allo)ed free# 1%e

    e=porter is re-uired to be registered )it% t%e appropriate H=port

    Promotion Council to a2ail of t%is bene,t# Samples )it% permanent

    mar

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    S%ipping bill for e=port of goods under claim for duty

    dra)bac

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     1%e go2ernment le2ies import duties on most of t%e items imported

    for trade purposes# 1%ese are of di/erent types including .asic

    'uty6 Additional Customs 'uty6 1rue Counter2ailing 'uty6 Anti@

    'umping or Safeguard 'uty and Hducation Cess# 'etails about

    t%ese can be 2ie)ed %ere#

    Payment of !uty

    • Pro2isional 'eposit Account )it% .an

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    t%e entry for customs clearance

     1%e .ill of entry6 )%ere ,led6 is to be submitted in set6 di/erent

    copies meant for di/erent purposes and also gi2en di/erent colour

    sc%eme# .ills of Hntry are of t%ree types:@

    .ill of Hntry for %ome consumption

    .ill of Hntry for 9are%ouses

    .ill of Hntry for [email protected] Clearance

    Green %anne faiity

    Some ma0or importers %a2e been gi2en t%e green c%annel clearance

    facility# It means clearance of goods is done )it%out routine

    e=amination of t%e goods# 1%ey %a2e to ma

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    'umping is said to %a2e ta

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    • (ydrocyanic acid 4 its deri2ati2es

    • P%osgene 4 its deri2ati2es

    • Isocynates4 di@isocynates of %ydrocarbons#

    India$s Import Poiy: Proedures and !uties

    In India6 t%e import and e=port of goods is go2erned by t%e Foreign

     1rade *'e2elopment 4 Regulation+ Act6 8BBand India?s H=port

    Import *HUIM+ Policy# India?s 'irectorate General of Foreign 1rade

    *'GF1+  is t%e principal go2erning body responsible for all matters

    related to HUIM Policy6 and ne) guidelines on Foreign 1rade Policy

    *F1P+ are e=pected to be released soon to replace pre2ious F1P

    guidelines t%at e=pired in Marc% !8#

    Importers are re-uired to register )it% t%e 'GF1 to obtain an

    Importer H=porter Code "umber *IHC+ issued against t%eir

    Permanent Account "umber *PA"+6 before engaging in HUIM

    acti2ities# After an IHC %as been obtained6 t%e source of items for

    import must be identi,ed and declared# 1%e Indian 1rade

    Classi,cation (armoniNed System *I1C@(S+ allo)s for t%e free

    import of most goods )it%out a special import license# Certain goods

    t%at fall under t%e follo)ing categories re-uire special permission or

    licensing6 %o)e2er:

    8# &iensed ('estrited) Items: $icensed items can only be

    imported after obtaining an import license from t%e 'GF1# 1%ese

    include some consumer goods suc% as precious and semi@

    precious stones6 products related to safety and security6 seeds6

    plants6 animals6 insecticides6 p%armaceuticals and c%emicals6

    and some electronic items#

    # %anaiCed Items: CanaliNed items can only be imported 2ia

    speci,ed transportation c%annels and met%ods6 or t%roug%

    go2ernment agencies suc% as t%e State 1rading Corporation

    *S1C+# 1%ese include petroleum products6 bul< agricultural

    products suc% as grains and 2egetable oils6 and some

    p%armaceutical products#

    http://business.gov.in/outerwin.php?id=http://dgftcom.nic.in/exim/2000/ftdract.htmhttp://business.gov.in/outerwin.php?id=http://dgftcom.nic.in/exim/2000/ftdract.htmhttp://dgft.gov.in/http://dgft.gov.in/http://dgft.gov.in/exim/2000/procedures/ftphbcontentE1213.pdfhttp://dgft.gov.in/exim/2000/procedures/ftphbcontentE1213.pdfhttp://business.gov.in/outerwin.php?id=http://dgftcom.nic.in/exim/2000/ftdract.htmhttp://business.gov.in/outerwin.php?id=http://dgftcom.nic.in/exim/2000/ftdract.htmhttp://dgft.gov.in/http://dgft.gov.in/http://dgft.gov.in/exim/2000/procedures/ftphbcontentE1213.pdfhttp://dgft.gov.in/exim/2000/procedures/ftphbcontentE1213.pdf

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    # Proibited Items: 1%ese goods are strictly pro%ibited from

    import and include tallo) fat6 animal rennet6 )ild animals6 and

    unprocessed i2ory#

    Bi of "ntry

    H2ery importer is re-uired to begin by submitting a .ill of Hntry

    under Section 3# 1%is document certi,es t%e description and 2alue

    of goods entering t%e country# 1%e .ill of Hntry s%ould be submitted

    as follo)s:

    8+ 1%e original and duplicate for customs

    + A copy for t%e importer

    + A copy for t%e ban<

    + A copy for ma)%ite bill of entry?#

    # .ill of Hntry for (ousing@ If t%e imported goods are not

    re-uired immediately6 importers may store t%e goods in a

    )are%ouse )it%out t%e payment of duty under a bond and t%en

    clear t%em from t%e )are%ouse )%en re-uired on payment of 

    duty# 1%is )ill enable t%e deferment of payment of t%e customs

    duty until goods are actually re-uired# 1%is .ill of Hntry is printed

    on yello) paper and is t%us often called t%e >yello) bill of entry?#

    It is also called t%e >into bond bill of entry? as t%e bond is

    http://ices.nic.in/Ices/home.aspxhttp://ices.nic.in/Ices/home.aspx

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    e=ecuted for t%e transfer of goods in a )are%ouse )it%out paying

    duty#

    # .ill of Hntry for [email protected] Clearance 1%e t%ird type is for e=@

    bond clearance# 1%is is used for clearance from t%e )are%ouseon payment of duty and is printed on green paper#

    It is important to note t%at t%e rate of duty applicable is as it e=ists

    on t%e date a good is remo2ed from a )are%ouse# 1%erefore6 if t%e

    rate c%anges after goods %a2e been cleared from a customs port6

    t%e customs duty as assessed on a yello) bill of entry *.ill of Hntry

    for (ousing+ and paid on t%e 2alue listed on t%e green bill of entry

    *.ill of Hntry for [email protected] Clearance+ )ill not be t%e same#

    Oter non-"!I !ouments

    If a .ill of Hntry is ,led )it%out using t%e Hlectronic 'ata Interc%ange

    system6 t%e follo)ing documents are also generally re-uired:

    • Signed in2oice

    • Pac

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    • Certi,cate of Origin6 if preferential rate of duty is claimed

    Import 'uties

     1%e Indian go2ernment le2ies se2eral types of import duties on

    goods# 1%ese include:

    Basi %ustoms !uty

    .asic Customs 'uty *.C'+ is t%e standard ta= rate applied to goods6

    or t%e standard preferential rate in t%e case of goods imported from

    speci,ed countries# 1%e rates of customs duties are outlined in t%e

    First and Second Sc%edules of t%e Customs 1ari/ Act6 8B7# 1%e First

    Sc%edule speci,es rates of import duty and t%e Second speci,es

    rates of e=port duty# .C' is di2ided into standard and preferential

    rates6 )it% goods imported from countries %olding trade agreements

    )it% t%e Indian central go2ernment eligible for lo)er preferential

    rates#

    Additiona %ustoms !uty (%ounter;aiin+ !uty)

    Counter2ailing duty *CJ'+ is e-ual to central e=cise duty and is

    le2ied on imported articles produced in India# 9it% CJ'6 t%e process

    of production amounts to >manufacture? as it is de,ned in

    t%e Central H=cise Act6 8B# CJ' is based on t%e aggregate 2alue

    of goods including landing c%arges and .C'# An additional CJ'

    may be le2ied e-ui2alent to sales ta= or JA16 not e=ceeding four

    percent# 1%is duty can be refunded if t%e importer pays all customs

    duties6 t%e sales in2oice indicates t%e credit is not allo)ed6 and t%e

    importer pays JA1sales ta= on t%e sale of t%e good#

    Ot%er CJ's may be imposed on speci,c imported goods toneutraliNe t%e e/ect of a subsidy in t%e country of origin# A

    noti,cation issued by t%e central go2ernment on t%ese speci,ed

    goods is 2alid for ,2e years and potentially sub0ect to furt%er

    e=tension not e=ceeding ten years# Subsidies related to researc%

    acti2ities6 assistance to disad2antaged regions in t%e destination

    country6 and assistance in adapting e=isting facilities to ne)

    en2ironmental re-uirements are e=empt#

    http://www.cbec.gov.in/customs/cst2012-13/cst-act-1213.pdfhttp://www.cbec.gov.in/excise/cx-act/cx-act-idx.htmhttp://www.cbec.gov.in/customs/cst2012-13/cst-act-1213.pdfhttp://www.cbec.gov.in/excise/cx-act/cx-act-idx.htm

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    Anti-!umpin+ !uty

     1%e central go2ernment may impose an anti@dumping duty if it

    determines a good is being imported at belo) fair mar

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    India?s import and e=port system is go2erned by t%e Foreign 1rade

    *'e2elopment 4 Regulation+ Act of 8BB and India?s H=port Import

    *HUIM+ Policy# Imports and e=ports of all goods are free6 e=cept for

    t%e items regulated by t%e HUIM policy or any ot%er la) currently inforce# Registration )it% regional licensing aut%ority is a prere-uisite

    for t%e import and e=port of goods# 1%e customs )ill not allo) for

    clearance of goods unless t%e importer %as obtained an Import

    H=port Code *IHC+ from t%e regional aut%ority#

    Import Policy

     1%e Indian 1rade Classi,cation *I1C+@(armoniNed System *(S+

    classi,es goods into t%ree categories:

    8# Restricted

    # CanaliNed

    # Pro%ibited

    Goods not speci,ed in t%e abo2e mentioned categories can be freely

    imported )it%out any restriction6 if t%e importer %as obtained a 2alid

    IHC# 1%ere is no need to obtain any import license or permission to

    import suc% goods# Most of t%e goods can be freely imported in

    India#

    Restricted Goods

    Restricted goods can be imported only after obtaining an import

    license from t%e rele2ant regional licensing aut%ority# 1%e goods

    co2ered by t%e license s%all be disposed of in t%e manner speci,ed

    by t%e license aut%ority6 )%ic% s%ould be clearly indicated in t%e

    license itself# 1%e list of restricted goods is pro2ided in I1C *(S+# An

    import license is 2alid for mont%s for capital goods6 and 8Q

    mont%s for all ot%er goods#

    CanaliNed Goods

    CanaliNed goods are items )%ic% may only be imported using

    speci,c procedures or met%ods of transport# 1%e list of canaliNed

    goods can be found in t%e I1C *(S+# Goods in t%is category can be

    imported only t%roug% canaliNing agencies# 1%e main canaliNed

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    items are currently petroleum products6 bul< agricultural products6

    suc% as grains and 2egetable oils6 and some p%armaceutical

    products#

    Pro%ibited Goodst%ese are t%e goods listed in I1C *(S+ )%ic% are strictly pro%ibited on

    all import c%annels in India# 1%ese include )ild animals6 tallo) fat

    and oils of animal origin6 animal rennet6 and unprocessed i2ory#

    H=port Policy

     Dust li

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    .asic duty is t%e typical ta= rate t%at is applied to goods# 1%e rates

    of custom duties are speci,ed in t%e First and Second Sc%edules of 

    t%e Customs 1ari/ Act of 8B7# 1%e First Sc%edule contains rates of 

    import duty6 and t%e second sc%edule contains rates of e=portduties# Most of t%e items in India are e=empt from custom duty6

    )%ic% is generally le2ied on imports#

     1%e ,rst sc%edule contains t)o rates: Standard rate and preferential

    rate# 1%e preferential rate is lo)er t%an t%e standard rate# 9%en

    goods are imported from a place speci,ed by t%e central

    go2ernment *CG+ for lo)er rates6 t%e preferential rate is applicable#

    In any ot%er case6 t%e standard rate )ill be applicable# If t%e CG %as

    signed a trade agreement )it% t%e country of origin6 t%en t%e CG

    may opt to c%arge a lo)er basic duty t%an indicated in t%e ,rst

    sc%edule#

    Additional Customs 'uty *Counter2ailing 'uty+

    In addition to t%e basic duty on imported goods6 a counter2ailing

    duty is also applicable to imported goods# 1%e rate of duty is e-ual

    to t%e rate of e=cise applied to goods manufactured in India# If t%earticle is not manufactured in India6 t%en goods of a similar nature

    are used to determine t%e correct duty amount# If t%ere are di/erent

    rates of duty on similar goods6 t%en t%e %ig%est rates of t%e

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     1%e CG may impose an anti@dumping duty if an article is imported to

    India at less t%an its normal price6 and )ill notify t%e importer if t%ey

    decide to do so# 1%e amount of duty cannot e=ceed t%e margin of 

    dumping# 1%e margin of dumping means t%e di/erence bet)een t%ee=port price and t%e normal price#

     1%e noti,cation issued by CG in t%is regard s%all be 2alid for ,2e

    years# 1%e period can be furt%er e=tended# (o)e2er6 t%e total

    period cannot e=ceed 8! years from t%e date of ,rst imposition#

    Counter2ailing 'uty on SubsidiNed Articles

    A counter2ailing duty is a tari/ applied to imported goods to

    neutraliNe t%e e/ect of a subsidy from t%e country of origin# If anycountry grants subsidies on any article to be imported to India6

    )%et%er directly from t%e same country or ot%er)ise6 t%en t%e CG

    may impose a counter2ailing duty e-ual to or less t%an t%e subsidy

    itself# (o)e2er6 t%e duty )ill not be imposed if t%e t%e article is

    subsidiNed for t%e follo)ing reasons:

    8# Researc% acti2ities conducted by person engaged in

    manufacturing or e=port# Assistance to disad2antaged regions in destination country

    # Assistance in adaptation of e=isting facilities to ne)

    en2ironment re-uirements#

     1%e noti,cation issued by CG in t%is regard s%all be 2alid for ,2e

    years and possibly sub0ect to furt%er e=tension# (o)e2er6 t%e total

    period cannot e=ceed 8! years from t%e initial date of imposition#

    Safeguard 'uty

    A safeguard duty is a tari/ designed to pro2ide protection to

    domestic goods6 fa2oring t%em o2er imported items# If t%e

    go2ernment determines t%at increased imports of certain items are

    %a2ing a signi,cantly detrimental e/ect on domestic competitors6 it

    may opt to le2y t%is duty on t%ose imports to discourage t%eir

    proliferation# (o)e2er6 t%e duty does not apply to articles imported

    from de2eloping countries# 1%e CG may e=empt imports of any

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    article from t%is duty# 1%e noti,cation issued by CG in t%is regard is

    2alid for four years6 sub0ect to furt%er e=tension# (o)e2er6 t%e total

    period cannot e=ceed 8! years from t%e date of ,rst imposition#

    Protecti2e 'uties #In addition to safeguard duties6 t%e CG alsobolsters domestic industries using protecti2e duties# S%ould t%e

     1ari/ Commission issue a recommendation for a protecti2e duty6 t%e

    CG may impose on any goods imported to India a protecti2e duty to

    pro2ide protection to domestic industry#

     1%e duty cannot e=ceed t%e amount proposed in t%e

    recommendation# 1%e CG may specify t%e period up to )%ic%

    protecti2e duty s%all be in force6 reduce or e=tend t%e period6 and

    ad0ust t%e e/ecti2e rate#

    8* 'eDuired douments

    H=port procedure describes t%e documents re-uired for e=porting

    from India# Special documents may be re-uired depending on t%e

    type of product or destination# Certain e=port products may re-uire

    a -uality control inspection certi,cate from t%e H=port Inspection

    Agency# Some food and p%armaceutical product may re-uire a

    %ealt% or sanitary certi,cate for e=port#

    S%ipping .ill .ill of H=port is t%e main document re-uired by t%e

    Customs Aut%ority for allo)ing s%ipment# &sually t%e S%ipping .ill is

    of four types and t%e ma0or distinction lies )it% regard to t%e goods

    being sub0ect to certain conditions )%ic% are mentioned belo):

    • H=port duty cess

    • Free of duty cess

    • Hntitlement of duty dra)bac<

    • Hntitlement of credit of duty under 'HP. Sc%eme

    http://www.indianindustry.com/product-inspection-services/inspection-services.htmlhttp://www.indianindustry.com/pharmamaterials/8300.htmlhttp://www.indianindustry.com/product-inspection-services/inspection-services.htmlhttp://www.indianindustry.com/pharmamaterials/8300.html

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    • Re@e=port of imported goods

     1%e follo)ing are t%e e=port documents re-uired for t%e processing

    of t%e S%ipping .ill:

    • GR forms *in duplicate+ for s%ipment to all t%e countries#

    • copies of t%e pac

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    instead of S%ipping .ill#

    'ocuments Re-uired for Post Parcel Customs Clearance

    In case of Post Parcel6 no S%ipping .ill is re-uired# 1%e rele2ant

    documents are mentioned belo):

    • Customs 'eclaration Form @ It is prescribed by t%e &ni2ersal

    Postal &nion *&P&+ and international ape= body coordinating

    acti2ities of national postal administration# It is

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    • Customs In2oice @ Mainly needed for t%e countries li

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    • Certi,cate of C%emical Analysis @ It is re-uired to ensure t%e

    -uality and grade of certain items suc% as metallic ores6

    pigments6 etc#

    • Certi,cate of S%ipment @ It signi,es t%at a certain lot of goods

    %a2e been s%ipped#

    • (ealt% Jeterinary Sanitary Certi,cation @ Re-uired for e=port

    of foodstu/s6 marine products6 %ides6 li2estoc< etc#

    • Certi,cate of Conditioning @ It is issued by t%e competent

    oce to certify compliance of %umidity factor6 dry )eig%t6 etc#

    • Anti-uity Measurement @ Issued by Arc%aeological Sur2ey of 

    India in case of anti-ues#

    •  1rans%ipment .ill @ It is used for goods imported into a

    customs port airport intended for trans%ipment#

    • S%ipping Order @ Issued by t%e S%ipping *Conference+ $ine

    )%ic% intimates t%e e=porter about t%e reser2ation of space of 

    s%ipment of cargo t%roug% t%e speci,c 2essel from a speci,ed

    port and on a speci,ed date#

    • Cart $orry 1ic

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    • S%ipping Ad2ice @ It is prepared in aligned document to be

    used to inform t%e o2erseas customer about t%e s%ipment of 

    goods#

    @* Mode of entry to forei+n mar=ets

    ,orei+n mar=et entry modes *Partiipation strate+y+ di/er in

    degree of ris< t%ey present6 t%e control and commitment of 

    resources t%ey re-uire and t%e return on in2estment t%ey promise#

     1%ere are t)o ma0or types of entry modes: e-uity and non@e-uity

    modes# 1%e non@e-uity modes category includes e=port  and

    contractual agreements# 1%e e-uity modes category includes: 0oint

    2enture and )%olly o)ned subsidiaries#

    "portin+

    H=porting is t%e process of selling of goods and ser2ices produced inone country to ot%er countries# 1%ere are t)o types of e=porting:

    direct and indirect#

    !I'"%T "7PO'TS

    'irect e=ports represent t%e most basic mode of e=porting made by

    a *%olding+ company6 capitaliNing on economies of scale  in

    production concentrated in t%e %ome country and a/ording better

    control o2er distribution# 'irect e=port )or

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    are small# $arge 2olumes of e=port may trigger protectionism# 1%e

    main c%aracteristic of direct e=ports entry model is t%at t%ere are no

    intermediaries# Passi2e e=ports represent t%e treating and ,lling

    o2erseas orders li

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    • Re-uires %ig%er in2estments of time6 resources and personnel

    and also organiNational c%anges

    • Greater information re-uirements

    • $onger time@to@mar

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    %on

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    • Potentially lo)er sales as compared to direct e=porting

    *alt%oug% lo) 2olume can be a

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    agreement t%at can be customiNed to ,t t%e needs and interests of 

    bot%6 licensor and licensee#

    Follo)ing are t%e main ad2antages and reasons to use an

    international licensing for e=panding internationally:

    • Obtain e=tra income for tec%nical

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    identi,ed )it% its trademar

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    importance to t%e company# S%aring t%ose strategic acti2ities may

    increase t%e potential of t%e franc%isee to be our future competitor

    due to t%e

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    •  1%e 0oint 2enture attempts to de2elop s%ared resources6 but

    eac% ,rm )ants to de2elop and protect its o)n proprietary

    resources#

     1%e 0oint 2enture is controlled t%roug% negotiations andcoordination processes6 )%ile eac% ,rm )ould li

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    S"%TIO# T4O: ,I#A#%IA& !ATA

    Saes ,oreast

    Sales forecasting is t%e process of a company predicting )%at its

    future sales )ill be# 1%is forecast is done for a particular period of a

    time in t%e near future6 usually t%e ne=t ,scal year# Accurate sales

    forecasting enables a company to ma

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    A* P'O2"%T"! ,I#A#%IA& STAT"M"#TS ,O' #"7T @

     5"A'S

      Inome Statement

    Partiuars 8F6-69

    (69FFF nits)

     8F69-6

    (8FFFF

    nits)

     8F6-6H

    (8FFF

    nits)

    Sales 67Q6!6!!! 6Q6!!6!!! 66!!6!!!

    H=cise 'uty ! ! !

    TOTA& SA&"S 80H0F0FFF @0H0FF0FFF0@0FF0FF

    FOperatin+ "penses :-Hlectricity 78Q7! QBQ7 77!Sta/ 9ages 373! 33!QB 3B8Pac

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    Baane Seet

    Partiuars 8F6-69 8F69-6 8F6-6HSoures of ,unds 1otal s%are Capital !!!!! !!!!! !!!!!Reser2e 833! !3 B73B

    &nsecured $oans 8676Q76!!B 8636Q6Q 86676

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    Current $iability 873!8 87QB88 8Tota &iabiities 6090F0HF 600609 60H@0J60FAppiation of ,undsGross .loc< 8Q8!!! 8Q8!!! 8Q8!!!

    $ess: Accum# 'ep

    3636!! B6863! 66!QQ

    #et Bo= 699HFF 6@HJ9F 6JJ68

    Cas% and .an< Q!!!! 3!!!! Q

    Air Conditioner QB Q77Q 87!

    Hlectric H-uipment 3!!!! 3!!!! 3!!!!

    GH. 'eposit 6!!6!!! 6!!6!!! 6!!6!!!

    F' 6!6!!! 6!6!!! 6!6!!!

    $PG System 68677 636!Q 7B

    Tota Asset 6090F0HF 600609 60H@0J60F

    Assumption:-

      Reser2es is #E on net pro,t

      Brea= ";en Anaysis

    Partiuar 8F6-69 8F69-6 8F6-6H

    Sales 67Q6!6!!! 6Q6!!6!!! 66!!6!!!

    $ess: Jariable cost Q86Q36Q! B6QB6B 868!6B687

    Contribution 86B3668B3 668!678 66!6Q$ess: Fi=ed Cost 7!6!67BB 7676BQ Q6BQ6!3

    Pro

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    !

    6!!!

    8!6!!!

    86!!!

    !6!!!

    6!!!

    &nit

    Contribution per unit

    .HP *in &nits+

     

    Assumptions

    Jariable cost includes electricity6 cartage6 lab testing etcZ Contribution per unit is calculated as tota ontribution (in

    's)/tota numbers of unit

      B"P (in units) K ,ied %ost / %ontribution per nit

    Partiuars ,5 8F6-69 ,5 8F69-6 ,5 8F6-6HAsset:-

    %urrent Asset

    Cas%.an< in (and !!!!! BQ7

    In2entory 78!3 77B 7Q7Q3

    ,ied Assets

    .uilding H=tension 88!!! 88!!! 88!!!Steel Fabrication ! ! !Air Conditioner B !!3 QHlectric H-uipment 83!!!! 83!!!! 83!!!!Mac%inery 88!! 88!!! 88In;estmentGH. 'eposit 86!!6!!! 86!!6!!! 86!!6!!!

    F' !6!!! !6!!! !6!!!$PG System 68677 636!Q 7B

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    Hlectric H-uipment 863!6!!! 863!6!!! 863!6!!!Tota Assets 336Q76!7 3Q667! 3B6776Q!&iabiities:-%urrent iabiities 1'S Payable 7!Q 3 3B!

    Gas .ill Payable Q7!! 8!B7 8378QJA1 and Ser2ice 1a= Payable 8! 887 88!&nsecured loan 8B7!! 373Q7 BOner$s eDuityPaid In capital !!!!! !!!!! !!!!!Retain Harning 8838! !BB!Q 7QB!33"et Pro,t Q33 QQBQ 887QTota &iabiities 336Q76!7 3Q667! 3B6776Q!

    Partiuars 8F68-6@ 8F6@-6 8F6-6Saes !67Q67!! 366!!! 367!6!!!

    Additional sales *Retail

    ser2ice+

    8Q686 8Q6B86!! 8B67!6!!!

    TOTA& SA&"S 9H0J088 0@08FF H80F0FFF

    Cost of sales *67!6!8+ *636B!+ *3676!!!+

    G'OSS P'O,IT (A) 908@0H6 9J0F06F 090FFFOperatin+ "penses :-Hlectricity 66 6B6B 7676!!!Sta/ 9ages 6Q86! 6736Q!! 6B36!!!Pac

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    ,indin+s

    • Scope for global mar

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    %onusion ? Su++estion

    From t%e abo2e report6 )e %a2e come to t%e conclusion t%at

    • H=port of Samples can be bene,cial for t%e company as e=port of 

    samples up to speci,ed limits are allo)ed free# Samples )it%

    permanent mar

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    • Along )it% it can do promotion on social media t%roug% doing

    di/erent contest6 games6 etc# and also t%roug% launc%ing its

    application *promoted by Master c%ef San0i2 Kapoor+ for creating

    a)areness in e=isting and as )ell as potential customers#• As per current mar

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    Bibio+rapy


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