Exim Academy

 Can Used Laptop/Computer be imported? Every now and then, I get calls from people saying that they have been advised by the courier companies to find Customs agent to clear their laptops.   People are taken aback by the advice of the courier companies as it was in their contract to deliver the laptop to their premises.   But Courier companies shy away from clearance. Then consignees start looking around for people who would do customs clearance part.   Why these courier companies advise to get the laptop customs cleared by consignees?   Because, in terms of Foreign Trade Policy, import of used laptops is restricted for imports.   It means one has to obtain a valid licence from the Government.   Approaching the Government for a single laptop is not worthy and you may not even succeed.   Of course, there are exception to this rule, but we will dwell in to it in another post.   The said policy is reproduced below: Import Policy for Second Han...

Legalisation of Documents Legalisation of documents mean document issued with correct stamp in order to be recognised in another country.   In India, whenever, goods are shipped to Gulf Cooperation Council (GCC)member states, the importers require trade documents to be legalised before sending to them.   The member countries of GCC are Kuwait, UAE, Saudi Arabia, Oman, Qatar and Bahrain.   While Legalisation can be sought by any country, GCC countries are more specific and demand the same.   These are the countries that are not part of Hague Convention, 1907.     According to Wikipedia, “ The Hague Convention Abolishing the Requirement of Legalisation for Foreign Public Documents, the Apostille Convention, or the Apostille Treaty, is an international treaty drafted by the Hague Conference on Private International Law”   Since these countries are not in the Hague Convention, the documents from India are to be attested or legalised by their respective...

 What do we learn from the Chinese? Ever wondered how China has become such a major power in economy, sports or in diplomacy in a matter of roughly 2 to 3 decades. This question always used to bother me a lot. A country which was equal or less than in India till 1978 leap frogged in to world stage. In the process lifting out 50% of its population from poverty and subsistence living. The only country that can be compared with India is China, no body else in terms population and concomitant problems.  Yes, the differentiating factor is democracy in India and dictatorship in China. But that also does not explain their economic miracle! If democracy is the factor, both India and US are democracies, where are we? The distinguishing factor is the work culture of the Chinese people. I attended Canton fair in 2011. The sheer size of the fair is mindboggling. As one stands in queue to enter you can hear voice as 'name cad, name cad'. Actually it is visiting card, that they were saying ...

Trade Receivable Discount System (TReDS) Cash is the lifeblood of any business.  However, profitable the company is, unless the cash cycle is regular, the operations of the company gets hit.  The cash burden is acute for MSME units. It is jocularly said that unit size and cash burden is in inverse proportion always.  Big units have the wherewithal to reach out to sources to tap money. Besides, they employ skilled finance professionals to manage their cash flows.  But MSME does not have such luxury.   The normal sources of funds of MSME are:   Internal generation Bank borrowings   Savings of the proprietor   Loans from friends and relatives   Chit funds   Many times, when all the above sources are exhausted, the entrepreneur has nowhere to go to meet his fixed expenses.  The expenses have time lines to be met, whereas the accruals do not.  In spite of the MSME Act that prescribes a fixed time limit for payment of outstanding...

 Sethusamudram Project  If there is one of the few projects that can transform the economic landscape of Tamilnadu, the first and foremost place should go to Sethusamudram project. Started with much fanfare amidst lot of expectations, the project had smooth start but ended up in legal tangles and is currently before the apex court.  The political dispensation both now and back in 2007 is the same.  That is why, there has been talk about revival of this project. While we leave the matter at this stage, let us explore what would be the advantages had this been project been executed! The narrow water passage that connects India and Srilanka is Palk straits popularly known as Gulf of Mannar.  This passage is too narrow lacking draft and thus unfit for mother vessel to traverse.  That is why, Indian containers go to Colombo and from there a detour is on to reach the European, US, Africa and South American countries. Hence this sea lane is an important trade la...

Indian Customs Waters Image Courtesy: quora.com In this blog, I am exploring the extent of Indian waters in to the Sea.  Normally, in land, you will have signboards announcing the end of a particular place and the beginning of another place.  But such things are not available at sea. In the international law, a country’s sovereignty extends up to its Customs waters. In terms of Section 2 (28) Customs Act, 1962, Indian customs waters means the waters extending to the sea up to the limit of contagious zone of India under section 5 of the Territorial Waters, Continental shelf, Exclusive Economic Zone and other Maritime zones Act, 1976 and includes any bay, gulf, harbor, creek or tidal river. The section 5 of the Territorial Waters, Continental shelf, Exclusive Economic Zone and other Maritime zones Act, 1976 defines the limit to 24 nautical miles  In other words, Indian customs waters extend beyond the territorial wate...

 Truck Drivers to Truck Pilots- Shape of things to come ! Image Source : Google Image The contribution of Drivers in combating Covid cannot be understated.  While we applaud their role not only in being a front line soldier in combating Corona but also in their contribution to economy. They are first and last in any supply chain link.  Under normal circumstance their profession must be lauded but do we? Ask any driver today whether he will permit his sibling to take over his profession. Most certainly No would be the answer. The country has 8 million drivers and 12 million assistants to drivers. Interestingly about 6% of this figure is the number of female drivers. In the picture you see Mrs. Yogita Raghuvanshi, a lawyer by qualification, but she refuse to take up lawyering for she needed money from the day one. She chose to become Truck driver treading the path of her father. Her father's early demise made her to resolve to contribute to family. At the moment ...