Tips for exporters on documentation

When it comes to international trade, it means that your goods are moved out of physical boundary of your country. For many reasons, documentary proof is required because, there should be an evidencing proof for all the transactions you make. So I suggest always to make a habit of writing, rather than speaking in international trade.

So proper documentation helps you and your overseas buyer in handling your transactions in all means including time management, payment protection, claim on loss etc.

I will explain you major three perspectives in documentation.

a). Commercial purpose: Once the export order finalized between buyer and seller, normally a contract of sales is prepared mentioning all terms and conditions each exporter and importer should follow. So all related documents like invoice, packing list, certificate of origin, insurance, bills of exchange etc. are prepared on the basis of sales contract signed by both importer and exporter.

b) Legal perspectives: In India, for example, all import export trade activities are effected legally as per the guidelines of Foreign Exchange Management Act. In each country, there will be government regulatory authority to control the import and export of the said country’s trade. The government of each country has their own instructions to have export documentation legally filed.

c) Incentives: You can not claim any government assistance or support unless you have a proper documentation on your exports. There are many financial assistance and supports given by the government of each country to support exporters and earn foreign exchange which is the indication of wealth of the respective nation.