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Issue ID: 3401
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3rd Country Exports

Date 17 Sep 2011
Replies 2 Replies
Views 1215 Views
Asked by
Export of Goods: direct shipment via third country supplier raises procedural and possible RBI approval questions for exporters.
The issue concerns whether directing a third country supplier to ship goods directly to a foreign customer requires special procedural steps or Reserve Bank approval. A respondent suggested treating the arrangement as Export of Services, but the asker clarified it involves tangible goods and should be treated as Export of Goods, leaving open the need to determine the correct regulatory classification and applicable export and foreign exchange compliance for such direct third country shipments. (AI Summary)

Dear sir

We have placed an Export order to our Supplier in Turkey and would like to Export of these merchandise directly to our Customer in USA

Please lets know the procedure and/if any RBI approval is required for such transaction

 

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Replied on Sep 19, 2011
1.

According to my understanding, you would fall under the Export of Services, since you have place an order to supplier located at Turkey and from there goods will be directly exported to US.  Kindly check the Notificaton No. 18/2009-ST in this regard.

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Replied on Sep 20, 2011
2.

No, we are not discussing about the Export of Services, We are discussing about Export of Goods

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