Advantages of Indirect Exporting

 

Advantages of Indirect Exporting:

The following are the advantages of indirect exporting:

(a) Less Risk: Indirect exporters are prone to comparatively less risks as the risk of marketing gets transferred to export market intermediaries. At the same time, these intermediaries are specialised in their own field.

(b) Less Investment: Since indirect exporters concentrate only on manufacturing or assembling of goods, they require a lesser amount of capital than the direct exporters.

(c) Specialization: Since indirect exporters concentrate only on manufacturing aspect, they can exercise their task with a greater degree of specialisation, leaving the responsibility of marketing to export marketing intermediaries.

(d) Availability of Imported Inputs: Indirect exporters can import raw materials, components, spare parts, etc., for export production through intermediaries such as export houses, trading houses, etc.

(e) Technical Guidance: The intermediaries, which undertake export of goods, provide technical guidance to local suppliers for promoting exports from the Country. Generally such guidance is provided free of cost or at negligible fees.

(f) Suitable for Small Firms: it is not feasible for small firms like SSIs and cottage industries to export directly due to diseconomies of scale. Export marketing intermediaries assist them by providing them with marketing infrastructure.

How to calculate CBM in LCL export shipments:

How to calculate chargeable weight under airfreight in exports?

How to check the time of contract on high sea sale transaction?

How to Choose a product for export business

How to cover the risk of Cargo loss or damage

How to customs clear Cargo arrived in a port where in import license obtained for another port

How to differentiate BL and HBL?

How to differentiate CPT and DAP in shipping terms

How to divert cargo from one port to another?

How to file bill of entry Manually. What is manual filing of Import Documents?

How to file Bill of Entry on line? What is called Noting in bill of entry

How to get exemption of Sales Tax under exports.

What happens if overseas buyer not paid export bills discounted.

What happens if proper tracking of goods not effected in export import business?

What happens if your buyer rejects cargo? What are the major problems if consignee not taken delivery of cargo?

How to get export order from foreign buyers?

How to get RCMC from Export Promotion Councils

How to hide invoice value of original contract under high sea sale transactions

How to know the quality, quantity or contents of goods before import customs clearance

How to know volume of LCL cargo if not measured at factory

Transferability of Bill of Lading

Transhipment - A redefinition

Travelers to India under import duty exemption, Frequently Asked Questions Part 2

Triangular export

Types of Insurance Documents.

How to make DA mode of payment safe

How to make delay in delivery of Shipment?

How to minimize import cargo clearance time? An open logic proposal to WTO

How to obtain a duplicate BL, if original bill of lading lost.

How to obtain GSP - Certificate of Origin?

How to obtain Phyto sanitary certificate. What is phytosanitary certification

 

Click here to know GST rate on Goods and Services

 

GST Exemption list of goods and services

 

Find HSN number or Service tariff code for GST

 

GST registration guidelines

 

Indian GST Laws

 

 Application for registration under GST Act to obtain GSTIN

 

GST registration and returns filing procedures for PSUs and Government entities

 

Re-registration of GST, Goods and Service Tax.

 

 Cancellation of registration of GST

 

All about registration of GST in India, FAQ

 

Cancellation of GST Registration in India, FAQ

 

Can a person without GST registration claim ITC?

 

Customs notification 50/2017 last part

 

GST payable for sale of Furniture, lamps, bedding, mattress

 

GST scheduled rate on sale or purchase of Seats

 

GST amount of rate on sale or purchase of veterinary furniture

Payable GST on surgical furniture business


Discussion Forum

You can also share your thoughts about this article.
Any one can answer on question posted by Readers