Line of credit for export finance enabling preapproved contracts, 90% financing and UCP-based letters of credit. A foreign currency line of credit to a foreign bank finances specified Indian exports and related services listed in the Annexure, subject to laws of both countries. Each contract requires prior approval, finances up to 90% of the f.o.b./c.&f. price with contract prices in U.S. dollars and a minimum contract size, requires a 10% buyer advance and the balance under an irrevocable letter of credit, and mandates pre-shipment inspection with an inspection certificate. Letters of credit are advised through designated negotiating bank offices, governed by UCP (1994), and negotiating banks are reimbursed in U.S. dollars subject to documentary compliance and reserve conditions.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Line of credit for export finance enabling preapproved contracts, 90% financing and UCP-based letters of credit.
A foreign currency line of credit to a foreign bank finances specified Indian exports and related services listed in the Annexure, subject to laws of both countries. Each contract requires prior approval, finances up to 90% of the f.o.b./c.&f. price with contract prices in U.S. dollars and a minimum contract size, requires a 10% buyer advance and the balance under an irrevocable letter of credit, and mandates pre-shipment inspection with an inspection certificate. Letters of credit are advised through designated negotiating bank offices, governed by UCP (1994), and negotiating banks are reimbursed in U.S. dollars subject to documentary compliance and reserve conditions.
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