IMPORT AND EXPORT MANDAOTRY DOCUMENTS REDUCED
Mandatory documents required for import and export of goods reduced to three documents each (w.e.f 1st apr,15):
India took a step forward in improving ‘Ease of Doing Business’ by reducing the compulsory documents required for import and export of goods. The Directorate General of Foreign Trade (DGFT) issued a Notification No. 114 (RE-2013)/2009-2014.
A committee ‘Inter Ministerial Committee’ was set up by the department of commerce to recommend devices to reduce requisite number of mandatory documents, transactions cost and time for Exports and Imports.
Based on the recommendations of “Trading Across Borders” report submitted by committee,
The India’s central bank RBI has agreed to do away with the ‘Foreign Exchange Control Form (SDF)’ by incorporating the same in the ‘Shipping Bill’ (for exports) and dispensing with the ‘Foreign Exchange Control Form (Form A-1)’ (for imports).
Customs have also agreed to merge the ‘Commercial Invoice’ with the ‘Packing List’ and have issued a Circular for accepting ‘Commercial Invoice cum Packing List’ that combines the required details of both the documents. Optionally the exporters and importers may fill separate , ‘Commercial Invoice’ and ‘Packing List’ also, if they so want.
Shipping Ministry has also agreed to do away with the requirement of ‘Terminal Handling Receipt’ and make the process online.
The following mandatory documents are prescribed for exports and imports of goods from/into India:
|MANDATORY DOCUMENTS FOR EXPORT & IMPORT|
|1||Bill of Lading/ Airway Bill||Bill of Lading/ Airway Bill|
|2||Commercial Invoice cum Packing List||Commercial Invoice cum Packing List|
|3||Shipping Bill/ Bill of Export||Bill of Entry|
Below listed 7 and 10 documents were mandatory respectively for export and import from/to India:
|OLD MANDATORY DOCUMENTS LISTED|
|1||Shipping Bill||Bill of Entry|
|2||Commercial Invoice||Commercial invoice|
|3||Packing List||Packing List|
|4||Bill of Lading||Bill of Lading|
|5||Foreign Exchange Control Form (SDF)||Foreign Exchange Control Form (Form A-1)|
|6||Terminal Handling Receipt||Terminal Handling Receipt|
|7||Technical Standard Certificate||Certified Engineer’s
|8||Cargo Release Order|
Now it is expected that this step would improve India’s ranking. India ranked 126th in Trading Across Borders component of “Ease of Doing Business”, out of 189 countries ranked by the World Bank in its 2015 Report.
(Author ‘CA Sudhir K Goyal’ is a Member of ICAI and can be reached at email [email protected])