Import Procedure | import means the purchase of goods from the other country or foreign country, it’s under customs rules and regulation.
Import business is the very profitable business if importer goes with right strategy & depth knowledge about international trade & foreign market.
Benefits of importing
* New Product to the market
* reducing costs
* provide the high quality of products
* boosting your local sales
* becoming a leader in the industry
PROCEDURE OF IMPORT GOODS
The process of importing goods is very lengthy & step by step orderly follow for importing goods from other countries or aboard.
1. TRADE ENQUIRY
First, you have to decide what product you import & make a trade enquiry for that product on the foreign country. You have to Enquirer about quantity, payment term, trading terms, price etc..
2. OBTAINING IMPORT LICENSE
A Firm or person cannot import goods without the valid import license. first, you have to follow government regulation and take permission it is necessary for importing any goods.importer also have to obtain import quota certificate from concerned authority.
3. OBTAINING FOREIGN EXCHANGE
You have to make payment to exporting country you need to the currency of exporting country, the foreign exchange of any country are controlled by government released through its central bank.
Importers have to submit the application with the import license to the bank as per control exchange act. then main bank sanction or rejection the release of foreign exchange
4. PLACING INDENT OR ORDER
The order is known as the indent. importer place the order, mention quantity, quality, goods requirement.
5. DISPATCHING LETTER OF CREDIT
After the order is accepted for the supply of goods form exporter side, then importer request to his bank to issue the letter of credit in favor of exporters.
The exporter wants to be sure that there is no risk of non-payment.
6. CUSTOM HOUSE AGENT & FORWARDING AGENT
The importer has to appoint CHA & forwarding agent to clear the goods from the customs.
7. OBTAINING DOCUMENTS
After done shipment then exporters have to send all necessary documents to importers like the bill of lading, invoice, inspection certificate, packing list etc..
8. BILL OF ENTRY
The bill of entry stating value of goods & describing the number of goods the customs office supplies in triplicate copy, original & duplicate, one copy for the importer, one copy for the bank, one copy for remittance.
9. DELIVERY ORDER FOR SHIPPING COMPANY
The customs house agent obtain the delivery order from the shipping company, shipping company give delivery order after the freight payment of any.
10. CUSTOMS FORMALITIES AND CLEARING OF GOODS
Customs house agent pays the for port trust dues & obtain port trust receipt and clear the goods from the port. also, importer pays the import duty on import product if any.
11. MAKING THE PAYMENT TO CLEARING AGENT
The importer has to make the necessary payment to the agent for his expense & fee.
12. PAYMENT TO EXPORTER
The importer has to make payment to exporters according to terms & condition as agreed earlier between the importer & exporter.
Above all the process are followed step by step to import any goods is very smoothly, this is necessary to import the goods from any foreign countries.
I hope this article helped you to know about the import procedure, the procedure of clearance of imported goods.