GRANT OF EDF WAIVER, FORMALITIES OF EXPORTER'S BANK IN INDIA
According to Reserve Bank of India update as on 08th January 2021, the directions on RBI guide on Grant of EDF waiver for Exporters in India is given below:
C.1 Grant of EDF waiver
AD Category – I banks may consider requests for grant of EDF waiver from exporters as under:
Status holders shall be entitled to export freely exportable items (excluding Gems and Jewellery, Articles of Gold and precious metals) on free of cost basis for export promotion subject to an annual limit as below:
- Annual limit of 2% of average annual export realization during preceding three licensing years for all exporters (excluding the exporters of following sectors-(1) Gems and Jewellery Sector, (2) Articles of Gold and precious metals sector).
- Annual limit of Rupees One Crore or 2% of average annual export realization during preceding three licensing years, whichever is lower. (for exporters of the following sectors-(1) Gems and Jewellery Sector, (2) Articles of Gold and precious metals sector).
- In case of supplies of pharmaceutical products, vaccines and lifesaving drugs to health programmes of international agencies such as UN, WHO-PAHO and Government health programmes, the annual limit shall be upto 8% of the average annual export realisation during preceding three licensing years.
Such free of cost supplies shall not be entitled to Duty Drawback or any other export incentive under any export promotion scheme.
Exports of goods not involving any foreign exchange transaction directly or indirectly requires the waiver of EDF procedure from the Reserve Bank.
Bank directions to be read by each Exporter in India
Banking regulations on Exports and Imports in India
Exporting to India? Click here to read Bank process in India
Banking formalities for Consignment Exports in India Mismatch in export invoice amount and actually realized amount, Banking process in India Bank process on direct dispatch of documents by the exporter Retaining exporters shipping documents with Bank, Bank process Indian Banking process on Setting up of Offices abroad Banking documentation on Reexport of unsold rough diamonds EDF approval for export of goods for re-imports Banking process on EDF Approval for Trade Fair and Exhibitions abroad
How to export goods from India?
How to get Export Order?
Who is a ‘Manufacturer’ of excisable goods
Who is a prime banker to check authenticity of letter of credit?
Who is Stevedores
Who receives the amount of auctioned / resold imported unclaimed/un-cleared goods?
Why demurrage/detention waiver period is required at destination for importTransferability of Bill of Lading
Why do carriers balance weight and volume while charging freight amount in Exports?
How does CENVAT Credit work?
Why, best attention while preparing Export Invoice?