TaxTMI 
TaxTMI 
One GST registered supplier has received an order of supply of steel plates (along with some specific cutting work on steel plates as required by the buyer using CNC machine) from a foreign buyer and it will pay the proceeds in convertible foreign exchange. The goods will be made available ex-factory i.e. buyer will take the goods from factory on its own and will send it outside india. The question is whether this supply will be considered as an export for the Indian registered supplier? please reply with references to law. thanks in advance .
EXPORT OF GOODS
06 Jun 2024 
5 Replies 
2670 Views Asked by
Export of goods qualifies where goods are taken out of India; ensure shipping bill and export documentation.
Export status turns on physical removal of goods from India; ex-works supplies qualify as export if goods are taken outside India. Realisation in convertible foreign exchange is not required for goods. Supplier must hold GST invoice, Shipping Bill filed in supplier's name and Bill of Lading, with identification marks matching transport documents. Export may be effected under a Letter of Undertaking or by paying IGST and claiming refund through customs; under ex-works the buyer ordinarily handles transport, insurance and customs clearance. (AI Summary)
Export status turns on physical removal of goods from India; ex-works supplies qualify as export if goods are taken outside India. Realisation in convertible foreign exchange is not required for goods. Supplier must hold GST invoice, Shipping Bill filed in supplier's name and Bill of Lading, with identification marks matching transport documents. Export may be effected under a Letter of Undertaking or by paying IGST and claiming refund through customs; under ex-works the buyer ordinarily handles transport, insurance and customs clearance. (AI Summary)