Name Ansari Shahid Ansari Amir Husain Bhushan Pisal

Roll No. 5203 5202 5225

Chauhan Omkar

5206

In India Since 1991 new standardized documents are introduced by the government under Aligned Documentation System (ADS).This new system is based on the UN layout key. Exporters should use such standard forms while preparing various export documents. This gives convenience to all concerned parties. Moreover, such standard forms are now used in more than 100 countries. ADS has simplified export documentation procedures.

To provide benefits to every party associated with international trade. Documents are printed on A-4 size paper. Information is entered in Master Document 1 & Master Document 2. From these documents, common information required to be incorporated in all the relative documents, is entered in the slots at the same locations.

With the help of Master Document 1, an exporter can develop 14 out of 16 commercial documents. The two commercial documents that are not developed because they have not been standardized include Bill Of Exchange & Shipping Order. ADS Facilitated easy entry of data and enables quick reading. Adoption of ADS simplifies trade documentation on a global level thereby all parties involved in the trade.

Uniformity of documents Element of convenience Overall benefits Improving efficiency Computer aid

ADS has classified documents into two categories. They are : 1. Commercial Documents 2. Regulatory Documents

Prepared in order to help exportimport trade. Out of 16 commercial documents, 14 documents have been standardized and aligned with one another. Objectives of commercial documents

Regulatory Documents are needed by law as they are prescribed by various government departments and bodies covering foreign exchange regulations, export inspection, custom formalities etc. Out of regulatory documents 4 have been standardized. Common regulatory documents are form GR, Shipping Bill, ARE 1 Form, etc.

Export Documentation

Invoice

Certificate

1.
2. 3.

Proforma Invoice. Commercial Invoice. Consular Invoice.

Meaning : It is a quotation given in the form of a regular invoice. It is sent as a reply to an inquiry. Features of Proforma invoice Need For Proforma Invoice

Meaning : commercial invoice is the statement of account sent by the seller to the buyer and is prepared on sellers letter-head. It is an exporters bill for the goods shipped. Features of Commercial Invoice Importance/Uses of commercial Invoice

A.

Uses of commercial invoice to the exporter :

It is useful for the collection of payment from the importer. It is useful for completing export formalities with export inspection agency, negotiating bank, excise and customs authorities Useful to settle dispute about payment. Useful for the collection of export incentives and preparing of shipping bill. It is useful for accounting purposes.

B.

Importance/Uses of commercial Invoice to the importer Commercial invoice is useful for the payment of customs duty. It indicate the exact amt payable to the exporter. It is useful for the collection of tariff concession, if available. It is useful for accounting and filing purposes. It is useful to obtain loan from the bank against the import of goods.

Proforma Invoice
Meaning : It makes offer of price along with conditions of sale. It include name and address of the buyer, description of goods price, conditions of sale etc. It can be prepared in any number of copies. Its objective is to help finalize the transaction. It is not a legal document.

Commercial Invoice
It is an official document stating terms of sale and price to be realized from the buyer. It is a contract of sale and include particulars of goods sold. It is prepared as per the number of copies needed by the buyer. Its objective is to inform the buyer about the conditions of sale and final amt payable. It is a legal document.

Contents :

Copies :

Objective :

Legal status :

Meaning : Consular invoice is a certificate issued by the trade consulate of the importers country stating that goods of particular value are being imported from a particular country by a particular importer. Features of consular invoice Benefits/Uses of consular invoice

A.

Benefits/Convenience to the exporter : It facilitates easy clearance of goods from the customs. When the invoice is signed by the consulate of the importing country, it is an assurance to the exporter that his goods will enter into the buyers country without any difficulty. The interest of the exporter is well protected. He can realise foreign exchange against shipment without problem.

B. Benefits/Convenience to the Importer :

The importer gets quick delivery of goods and that too withhout opening the containers for verification purpose. Goods are delivered quickly after the calculation of duty as per the consular invoice received. The importer is rest assured that banned goods are not sent.

C. Benefits/Convenience to the customs office :

The work of customs authorities become easy and quick. goods are cleared quickly. Duty calculation is possible on the basis of consular invoice received. This means the physical verification is not required. No need to open the cargo to calculate of value of goods. Loss of time and re-packing of the goods are avoided.

Certificate of Origin
Meaning : The certificate of origin state the goods which are being exported have originated in a specific country It is necessary for taking advantage of a preferential tariff or to ensure that the goods produced in a particular country are not banned from import.

Consular Invoice
It is issued by the trade consulate of the importers country stating that certain goods are being imported from a particular country. This document is required only for prompt clearance and avoiding the trouble of opening packages and re-packing them for determining value

purpose :

Legalizations :

No legalization is required in This document has to be legalized case of certificate of origin. by presenting it to the consul of the importing country. It is issued by the chambers of commerce, EPC or authorized trade associations. It is issued only by the trade consulate of the importers country stationed in the exporters country.

Issuing authority :

Benefit :

The importer can get GSP or CWP preference from his

The importer can get the consignment cleared quickly

Commercial Invoice
Meaning : It is the statement of account of sale rendered by the seller to the buyer and it is prepared by seller on his letter head. It exporters bill for shipment of goods.

Consular Invoice
It is a certificate issued by the trade consulate of the importer country stating that goods of particular value are imported from a particular country

Purpose :

Its basic purpose is to inform Its basic purpose is prompt details of goods supplied and clearance through customs at the amt payable by importer to the port of destination. the exporter. It can be prepared in any number of copies depending on the need of the exporter, importer and the bank. Seller does not charge fee for preparing this document. It contains the terms and conditions of sale as well as particulars of goods. It is prepared in three copies : one for consulate office, Second for customs and the third for the exporters record. Consul of the concerned country charges nominal fee. It only contains details regarding value of goods being imported from certain country.

Copies :

Fee : Contents :

Certificate of origin (COO) : Meaning : COO Declares that the goods which are being exported are manufactured in a specific country. Features of certificate of origin Types of certificate of origin Importance and uses of certificate of origin Importance and uses of certificate of origin to the exporter Importance and uses of certificate of origin to the importer

Meaning : This document is applicable to common wealth countries only. This document cerifies not only the origin of goods but also the value of goods. Features of combined certificate of origin and value.

Thank You