Question

Write short notes of the following.

Explain the meaning of the following documents used in connection with import transaction:

(a) Trade enquiry
(b) Import license
(c) Shipment of advice
(d) Import general manifest
(e) Bill of entry.

Answer 1

(a) Trade enquiry is a document sent by an importer to an exporter, seeking information about the price of goods, terms and conditions for supply of goods, etc. On receipt of a trade enquiry, the exporter prepares a quotation containing the information sought and sends it to the importer.

(b) An import license is issued by the government, permitting an importer to bring goods from abroad. In India, for securing an import licence, an importer requires an Importer Exporter Code (IEC) number, which is obtained after the importer’s registration with the Directorate General for Foreign Trade (DGFT) or the Regional Import Export Licensing Authority.

(c) A shipment advice is a document sent by an exporter to an importer as proof that the goods ordered have been shipped. It contains information about the bill of lading, name of the vessel, date, port of export, description of goods, etc.

(d) Import general manifest is issued by the person in charge of the carrier (ship or airliner) through which the goods are being imported. The document informs the officer in-charge at the dock or the airport about the arrival of the goods, and it is on the basis of this document that the cargo will be unloaded.

(e) A bill of entry is required at the time of an import transaction. It is a form supplied by the customs office and filled by the importer once the goods are received. A bill of entry is submitted at the customs office after filling in information such as the name and address of the importer, name of the ship in which the goods were transported, number of packages, marks on the packages, description of imported goods, quantity and value of the imported goods, name and address of the exporter, port of destination and customs duty payable.