“Indirect Tax I Arbitration I Insolvency Advisory I Litigations”

Dated: 27.03.2024

Ecommerce Export Policy for MSME Sector in India

The Government of India has set a target of USD 1 Trillion of merchandise exports by 2030 aiming for a compounded annual growth rate of 12.2%.

Let’s consider few key points for an easy understanding of the Ecommerce Policy formulated by the Director General of Foreign Trade (DGFT).

ECommerce Advantage

a. The Foreign Trade Policy (FTP) 2023 has a stated objective to enable cross-border E-Commerce for artisans, weavers, craftsmen and MSMEs, in coordination with stakeholder Departments.

b. DGFT is also working with government stakeholders to resolve payment and banking issues, and Customs-related matters.

c. Department of Post is expanding India’s postal export network in a hub and spoke model by linking the Dak Niryat Kendras (DNKs) to Foreign Post Offices (FPOs).  The target for the year is to operationalize 1000+ DNKs.

List of Post Offices under DNK:

Seasonal Sales Trend:

d. DGFT endeavours to work with the regional Dak Niryat Kendras to facilitate new entrepreneurs for increasing B2C Exports through the Postal Route.

e. Items like Textiles, Leather Goods, Handicrafts, Beauty care products, automotive parts, semi-precious jewelry, engineering goods, religious artifacts are being promoted as a thrust sector initially under this new ecommerce policy.

Export Products category:

f. The MSME sector can also reap the benefit of the Trade statistics and data published by DGFT from time to time regarding the size of the markets and the market types.

g. Persons of Indian Origin living abroad are a key target demographic with demand for products from India. This presents an opportunity for Cross-border B2C ECommerce sales, for India-centered products like handicrafts, food products, religious/festive items, Indian apparel or other items with a strong Indian theme.

h. An exporter has to register with the Department of Posts with IEC, GSTIN and AD Code of their merchant bank.

i. Choose the appropriate Postal Bill of Export (PBE) form while filing for the same. They are PBE III for E-Commerce Exports and PBE IV for Exports other than Ecommerce.

j. Courier Shipping Bill (CSB) is the main document in the export process via courier services which is to be filed on the Express Cargo Clearance System (ECCS) website.

k. Choose the appropriate Courier Shipping bill form. They are namely Form CSB-4 for exports under INR 50,000 for Samples and Non-Commercial Value. The second one is Form CSB-5 for exports under INR 10,00,000 (Commercial Shipments).

l. Exporters are also eligible to claim IGST refunds under this policy.

m. Returns and Rejections are also allowed subject to fulfilment of certain procedures and conditions.

Global Festival Trends:

Listen on our #YouTube Channel

Download the Ecommerce Handbook below:

English Version

Hindi Version

Gujarati Version

Kannada Version

Source: DGFT, Min of Commerce, Govt of India

In case you face any issues related to Indirect Tax-Customs, GST, Foreign Trade Policy (FTP), Arbitration matters and Central Licensing and related advisory matters in India then please feel free to get in touch with SJ EXIM Services. We offer Legal advice and litigation support in matters related to Indirect Tax-Customs, FTP, other Indirect Tax matters & Arbitration law, all sorts of Central licensing and related matters. Come and explore the new way of doing business with us!

Connect with us-

@ Team S J EXIM SERVICES, New Delhi, IN

CP: Ms. Shubhra Jha/+91-9999005693

Web: www.sjexim.services

EMAIL: operations@sjexim.services  I shubhra@sjexim.services

Facebook: www.facebook.com/sjeximservices

LinkedIn: https://www.linkedin.com/company/90794255/admin/feed/posts/

YouTube: https://www.youtube.com/@sjeximIndia

Subscribe our WhatsApp Channel: https://whatsapp.com/channel/0029VaTxDT8JZg4CHEOSoK47

Subscribe our Telegram Channel: https://t.me/sjeximindia

Disclaimer:

1. The views are of the Author based on his/her interpretation of the relevant information/documents, applicable law, and government policy and there is no assurance that a court or tribunal or regulatory body or other governmental authority may not interpret it differently.

2. We are not responsible for updating or revising this article on account of any change in law or interpretation thereof or a change in events or circumstances informed or occurring after the date of this article unless specifically requested for it.

3. Our advice should not be taken or used out of context or reproduced for any other purpose or transaction. Views expressed in this update are strictly personal, based on our understanding of the underlying law. We are not responsible for any injury, loss or cost arising to any person who refers to this update and acts or refrains from any act accordingly. We would suggest that detailed legal advice must be sought before relying on this update.

NOTE: All Inquiries/Pro Bono Consulting/Assignments are solicited via email only & it is a PAID Service only!

#Arbitration #ArbitrationLaw #ADR #India #Law #LegalUpdates #NewDelhi #LawFirm #Lawyers #IndirectTax #IndirectTaxLaw #CBIC #FTP #CommercialLaw #CorporateLaw #ConstitutionalLaw #BarandBench #InternationalArbitration #InternationalCommercialArbitration #UnitedNations #UNO #DutyDrawback #CustomsAct #Advisory #ProBonoConsulting #IndiaCustomsAtWork #Facebook #Twitter #Instagram #LinkedIn #Tumblr #WhatsAppChannel #WhatsApp #YouTubeChannel #YouTube #KPMG #Deloitte #ErnstandYoung #GrantThornton #EY #PWC #BDO #Consulting #SettlementCase #DGFT #CII #FICCI #IndianChamberofCommerce #InternationalChamberofCommerce #PHDChamberofCommerce #FTP #FTP2023 #Compliance #QCO #BIS #CDSCO #HighCourts #SupremeCourt #DPIIT #CESTAT #CAAR #AdvanceRuling #CEX #Appeal #Refunds #IGSTRefund