I (Meaning and importance of Exports) Unit Structure

12.11 SUMMARY 
Export trade is governed by legal controls and therefore 
every function of it is carried out under definite procedure. The 
several steps in the procedure are classified into four stages as: 
Preliminary stage, Pre-shipment stage, Shipment step and Post-
shipment stage. 
Excise duty is a levy imposed by the Central Government on 
goods manufactured in India. The general procedure for excise 
clearance is: Preparing of invoice, Filling of ARE-1 form, applying to 
assistant 
collector, 
Instructions 
to 
range 
superintendent, 
Appointment of inspector, Processing of ARE-1 form, and Refund 
of Excise duty. 
The agents looking after the customs and forwarding 
formalities relating to export of goods are called as Custom Agents. 
Variety of services has been provided by these agents such as: 
Obtaining shipping order, Arrangement for internal transport, 
preparing of shipping bill, submission of documents to customs, 
obtaining carting order, storing of goods, obtaining „let export‟ order, 
obtaining „ let ship order, loading of goods, obtaining bill of loading. 
While exporting exporter has to complete the shipping and 
custom formalities. The procedure includes the steps like: 
submission of documents, verification of documents, carting order, 
storing the goods in the sheds, examination of goods, obtaining „let 
ship order‟, loading of goods, payment of port dues, obtaining bill 
of loading. 
Marin insurance provides insurance or protection to goods in 
transit. For obtaining Marine insurance policy to follow a particular 
procedure becomes compulsory. It includes the steps like:
selecting the insurance firm and type of policy, filling up the 
proposal form, verification of proposal form, payment of premium, 
issuing the insurance policy, filing a claim for damages, sanctioning 
the claim amount to the exporter. 
Negotiation of export documents means submission of all 
shipping documents to the bank for realization of payment. The 
export payment should be realized only through the dealer after 
completing proper procedure i. e. approaching a bank, submission 
of documents to the bank, verification of documents, letter of 

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indemnity, discounting of bills, dispatch of documents, processing 
of G R form.
International organization for standardization (ISO) is an 
international body representing more than 120 countries. The 
objective of ISO is to facilitate the development of international 
standards in order to reduce the “barriers” effect of different 
national standards on international trade of goods and services.