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Rate of Interest: The interest payable on pre-shipment finance is usually lower than the normal rate, provided the credit is extinguished by lodging the export bills on remittances from abroad. If the exporter fails to do so they would not be able to avail concessional rate of interest.
In order to avail the packing credit, exporters are expected to make a formal application to the bank giving details of credit requirements along with the required documents.
Advance against Retention Money: Banks grant advances against retention money, which is payable within one year from the date of shipment. The advances granted upto 90 days. If su
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Despatch of Goods not Involving Foreign Exchange The despatch of certain goods does not involve foreign exchange, for example, Gift parcels. In this case, GRPP form is not appl
Denomination of Export Contracts: All export contracts and invoices shall be denominated in freely convertible currency and export proceeds shall be realised in freely convertible
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