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Advance against Incentives : When the value of the materials to be procured for export is more than FOB value of the contract, the exporters may get packing credit advance more than the FOB value of the goods. The excess of cost of production over the FOB value of the contract represents incentives receivables. For example, when the domestic price of goods exceeds the value of export orders, the difference represents Duty drawback entitlement. Banks can grant advances against duty drawback at pre-shipment stage subject to the condition that the loan is covered by Export Production Finance Guarantee of Export Credit Guarantee Corporation (ECGC). This guarantee enables banks to sanction advances at the pre-shipment stage to the full extent of cost of production. The extent of cover and the premium are the same as for packing credit guarantee.
Introduction: Exports and imports are carried out by traders who are residents of different countries. Goods have to cross national frontiers and several types of physical and fin
Q. Explain Spreading activation ? Spreading activation involves the proposal of one memory 'triggering' another one. For instance one might think of Coke every time one remembe
OBJECTIVES After studying this Unit, you should be able to: 1. Explain stages involved in export cargo shipment 2. Discuss the policy for Central Excise Rebate on expor
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