8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 1/26
2 1
Sanjeevani
Private Ltd.
About the company
Our company Sanjeevani Private Ltd deals with ayurvedic
medicines. We are merchant exporters of Ayurvedic
Medicines i.e. we buy the medicines from the
manufacturer and then sell them to foreign buyers.
Ayurvedic medicines are a gift of India’s rich heritage.
Ayurvedic medicine is an ancient system of health care
that is native to the Indian subcontinent. It is presently in
daily use by millions of people in India, Nepal, and Sri
Lanka. The word "Ayurveda" is formed by words ā yus
meaning "life", "life principle", or "long life" and the word
veda, which refers to a system of "knowledge". Thus
"Ayurveda" roughly translates as the "knowledge of life",
or "knowledge of a long life”. Ayurvedic Medicines have no
side effects.
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 2/26
2 1
Our Supplier
Our supplier for the product is Dollar Company Private Ltd.
Dollar Company Pvt. Ltd. (an ISO 9001-2000 Certified
Company) started in 1943 and has been manufacturing
quality medicines for the past six decades. Established by
Mr. T. Durairajan, it is now being run by Mr. D.
Parthasarathy, his son, the Managing Director of the
Company. Mr. Parthasarathy is a Graduate in the field of
Pharmacy and has been at the helm of affairs of the
company, both in manufacturing and marketing for the
past three decades. Both allopathic and ayurvedic
products are manufactured at the factory in Tondiarpet,
Chennai.
Being satisfied with the growing domestic market for all of
its products, Company now wants to enter export market.
To enter the foreign market they have tied up with us i.e.
Sanjeevani Private Ltd. We have a joint venture of three
years.
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 3/26
2 1
Our Products
1. Acidity and Indigestion (For Children)
Dosage: Syrup
Uses: Gives instant relief to infants and babies crying
due to gripe. Also helps to relieve stomach pain
caused by acidity and indigestion.
2. Pain Relief
Dosage: Tablet
Uses: Pain, Sprain, Rheumatic Pain & Swelling
3. Asthma Relief
Dosage: Syrup
Uses: In allergic cough, bronchitis, Dry irritating
cough & cough with expectoration.
4. Stress Relief
Dosage: Capsule
Uses: Gives relief from stress and losses your
muscles
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 4/26
2 1
5. Liver Disorder
Dosage: Capsules
Uses: Good for Jaundice, Hepatitis, Liver Dysfunction
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 5/26
2 1
Market for the product
In today’s dynamic world, the entire globe is considered as
one market. For our product, we are going to divide the
entire market into numerous segments where there is an
awareness of Indian culture, Ayurveda in particular. These
segments would include countries with the large number
of Indian population.
The segments are:-
• USA
• UK
• Australia
• Indian sub-continent (Nepal & Sri Lanka)
• Other European countries
These segments are selected after careful consideration of
various factors like political restriction, scope of exporter's
selected product, demand stability, preferential treatment
to products from developing countries, market penetrationby competitive countries and products, distance of
potential market, transport problems, language problems,
tariff and non-tariff barriers, distribution infrastructure,
size of demand in the market, expected life span of
market and product requirements, sales and distribution
channels.
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 6/26
2 1
For this purpose we have taken help from
Pharmexil.
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 7/26
2 1
Selecting prospective buyers
We will select agent/s in the prospective countries.
This is the list of prospective agents:-
1. AYURMEDICA LIMITED - United Kingdom ( Vipin Patel )
2. INDIA NAGAR - Netherlands ( Sadhana Dubey )
3. ARYAN TRADING COMPANY - United Kingdom ( Nitin Kanani
)
4. BLUESKY HERBAL - United States ( Krishna Prasad )
5. KMK IMPORTS - United States ( K.M.Kendall )
6. CULT SMOKING - Italy ( Sandro Giatti )
7. MOORJANI GROUP COMPAGNIE - Guadeloupe ( Hritesh K.
Moorjani)
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 8/26
2 1
Formalities&Procedures
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 9/26
2 1
Bank Formalities
An exporter has to select a bank which undertakes all
banking formalities connected with negotiations of
documents and realization of export procedures. A current
account is operated for export business. The bank must be
authorized to deal in foreign exchange.
Duly signed application form should be supported by the
following documents to open a current account in any
commercial bank:-
• Copy of registration of companies
• Signature of trader, secretary, chairman
• 2 Passport size of each individual
• Signature of a person who has account in any bank
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 10/26
2 1
Registering with Regional Licensing
The Customs Authorities will not allow you to import or
export goods into or from India unless you hold a valid IEC
number. For obtaining IEC number you should apply to
Regional Licensing Authority the duly signed application
form should be supported by the following documents:
• Letter head from the bank with stamp and
signature to the Director General of Foreign Trade
(DGFT).
• Bank Receipt (in duplicates)/Demand Draft for
payment of the fee of Rs. 1,200/- in the name of
DGFT
• Certificate from the Banker of the applicant firm.
•
Two copies of Passport size photographs of theapplicant duly attested by the banker to the
applicants.
• A copy of Permanent Account Number issued by
Income Tax Authorities. If PAN has not been
allotted, a copy of application of PAN submitted to
Income Tax Authorities.• A copy of export profile
• Copy of the registrar of companies certificate
The Regional Licensing Authority concerned will on merits
grant an IEC number to the applicant. The number should
normally be given within 3 days provided the application is
complete in all respects and is accompanied by the
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 11/26
2 1
prescribed documents.
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 12/26
2 1
Register With Export Promotional
Council
In order to enable you to obtain benefits/concession under
the export-import policy, you are required to register
yourself with an appropriate export promotion agency by
obtaining registration-cum- membership certificate.
As we are dealing with Ayurvedic medicines we have to
register ourselves with Pharmaceutical Export Promotional
Council (PHARMEXIL). Pharmaceuticals Export Promotion
Council (PHARMEXCIL) has been set up on 12.5.2004. With
its notification No.61 dt. 16.3.2005, Director General of
Foreign Trade made Pharmexil the sole agency to issue
RCMCs to all Pharma exporters. The duly signed
application form should be supported by the following
documents:
• An application for registration should be
accompanied by a self certified copy of the Importer-
Exporter code number issued by the Regional
Licensing Authority concerned
• Bank certificate in support of the applicant's financial
soundness.
• As we are registering as a manufacturer exporter, we
gave the copy of registration with registrar of
companies
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 13/26
2 1
In Pharmexil we have used MAI scheme. Market
Access Initiatives (MAI) Scheme is an Export Promotion
Scheme envisaged to act as a catalyst to promote India’s
export on a sustained basis. The scheme is formulated on
focus product-focus country approach to evolve specific
market and specific product through market
studies/survey.
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 14/26
2 1
Export Credit Insurance
Export credit insurance protects you from the
consequences of the payment risks, both political and
commercial. It enables you to expand your overseas
business without fear of loss. Further, it creates a
favorable climate for you under which you can hope to get
timely and liberal credit facilities from the banks at home.
You can obtain Export Credit Insurance from the Export
Credit and Guarantee Corporation of India Limited. We
have used the standard policy to protect against the risk
of not receiving payment while trading with overseas
buyers on short-term credit. We have taken commercial
risks policy.
Benefits of Commercial Risks policy
• Insolvency of the Buyer.
• Failure of the buyer to make the payment due within
a specified period normally 4 months from the due
date.• Buyer’s failure to accept the goods, subject to certain
conditions.
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 15/26
2 1
Acquire License
As we export medicines we need to be aware of specific
licensing requirements. We deal with medicines within the
European Union so we must be licensed in same way as
for sales within the UK. Export license is required for
following things also:
Export of Canalized Items: An application for export of
canalized items mentioned in ITC (HS) Classifications of
Export and Import items may be made to the Director
General of Foreign Trade.
Trade Fairs/Exhibitions: Any Indian wishing to organize
any Trade Fair/Exhibition in India or abroad, would be
required to obtain a certificate from an officer of the rank
not below that of an Under Secretary to the Government
of India, in the Ministry of Commerce, or an Officer of India
Trade Promotion Organization, duly authorized by its
chairman in this behalf, to the effect that such exhibition,
fair or as the case may be, similar show or display, has
been approved or sponsored by the Government of India
in the Ministry of Commerce or the India Trade Promotion
Organization and the same is being held in public interest.
Gifts/Spares/Replacement Goods: For export of gifts,
indigenous/imported spares and replacement goods in
excess of the prescribed ceiling/period, an application may
be made to the Director General of Foreign Trade.
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 16/26
2 1
Export through Courier Service: Import/Exports
through a registered courier service are permitted as per
the Notification issued by the Department of Revenue.
However, importability/exportability of such items shall be
regulated in accordance with the policy.
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 17/26
2 1
Export Procedures is divided into 3
stages:-
1. Pre Shipment
2. Shipment
3. Post Shipment
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 18/26
2 1
Pre Shipment Stage
• Receipt of Confirmed Order
• Obtaining a Letter of Credit
• Obtaining Export License
• Obtaining Pre Shipment Finance
• Procurement of goods
• Packaging and marking
• Pre Shipment Inspection
• Central Excise Clearance
• ECGC Cover
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 19/26
2 1
Appointing Agents
We have appointed N. H. DESAI & CO. It was established
in 1960. It is one of the select few to be licensed as a
Custom House Agents, is today one of the leading service
providers for Import and Export trade by Sea and Air. The
Company offers its clients a single point total logistics
solutions and tailor made packages with a special focus on
services which includes packing, door to door movement,
warehousing, Insurance, refunds, claims, liaisons with
D.G.F.T. etc.
N.H.DESAI & Co.
Address:
29, Anand Bhavan, 3rd Floor,
290, Shahid Bhagatsingh Road,
Mumbai-400 001, India.
Tel: +91 22 2262 1527/2265 0649
+91 22 2269 4023
Fax: +91 22 2262 5428
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 20/26
2 1
Shipment Stage
• Reservation of space in the ship
• Arrangement of Internal Transport from Warehouse
• Preparation & Processing of Shipment Documents
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 21/26
2 1
Post Shipment Stage
• Submission of Documents by the agent to the
exporter
• Shipment advice to importer
• Preparation of Documents to the Bank for
Negotiations
• Dispatch of Documents
• Documentary bill of exchange
• Letter of Indemnity
•
Realizations of Export Proceeds
• Processing of GR Form
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 22/26
2 1
Finance
Financial assistance to the exporters is generally provided
by Commercial Banks, before shipment as well as after
shipment of the said goods. The assistance provided
before shipment of goods is known as pre-shipment
finance and that provided after the shipment of goods is
known as post-shipment finance
Pre-shipment finance
• An application for pre-shipment advance should be
made along with the following documents:
• export order/contract or L/C etc. in original
• Exporter or Export/Trading/Star Trading House
stating that they have not/will p 7 3 not avail
themselves of packing credit facility against the
same transaction for the same purpose till the
original packing credit is liquidated.
• Copy of Exporter's Code Number
• Appropriate policy/guarantee of the ECGC.
Post-shipment finance
Post-shipment finance is the finance provided against
shipping documents. It is also provided against duty
drawback claims. It is provided in the following forms:
• Purchase of Export Documents drawn under Export
Order: Purchase or discount facilities in respect of
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 23/26
2 1
export bills drawn under confirmed export
order are generally granted to the customers who are
enjoying Bill Purchase/Discounting limits from the
Bank. As in case of purchase or discounting of export
documents drawn under export order, the security
offered under L/C by way of substitution of credit-
worthiness of the buyer by the issuing bank is not
available, the bank financing is totally dependent
upon the credit worthiness of the buyer, i.e. the
importer, as well as that of the exporter or the
beneficiary.
• Advances against Export Bills Sent on Collection: It
may sometimes be possible to avail advance against
export bills sent on collection. In such cases the
export bills are sent by the bank on collection basis
as against their purchase/discounting by the bank.
Advance against such bills is granted by way of a
'separate loan' usually termed as 'post-shipment
loan'. This facility is, in fact, another form of post-
shipment advance and is sanctioned by the bank on
the same terms and conditions as applicable to the
facility of Negotiation/Purchase/Discount of export
bills. A margin of 10 to 25% is, however, stipulated in
such cases
• Advance against Goods Sent on Consignment Basis:
When the goods are exported on consignment basis
at the risk of the exporter for sale and eventual
remittance of sale proceeds to him by the
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 24/26
2 1
agent/consignee, bank may finance against
such transaction subject to the customer enjoying
specific limit to that effect. However, the bank should
ensure while forwarding shipping documents to its
overseas branch/correspondent to instruct the latter
to deliver the document only against Trust
Receipt/Undertaking to deliver the sale proceeds by
specified date, which should be within the prescribed
date even if according to the practice in certain
trades a bill for part of the estimated value is drawn
in advance against the exports.
• Advance against Undrawn Balance: In certain lines of
export it is the trade practice that bills are not to be
drawn for the full invoice value of the goods but to
leave small part undrawn for payment after
adjustment due to difference in rates, weight, quality
etc. to be ascertained after approval and inspection
of the goods. Banks do finance against the undrawn
balance if undrawn balance is in conformity with the
normal level of balance left undrawn in the particular
line of export subject to a maximum of 10% of the
value of export and an undertaking is obtained from
the exporter that he will, within 6 months from due
date of payment or the date of shipment of the
goods, whichever is earlier surrender balance
proceeds of the shipment
• Advance against Retention Money: Banks also grant
advances against retention money, which is payable
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 25/26
2 1
within one year from the date of shipment, at
a concessional rate of interest up to 90 days. If such
advances extend beyond one year, they are treated
as deferred payment advances which are also eligible
for concessional rate of interest.
• Negotiation of Export documents Drawn under L/C
8/4/2019 Sanjeevani Private Ltd.
http://slidepdf.com/reader/full/sanjeevani-private-ltd 26/26
Foreign Exchange Rates
As per 21/02/2008:-
United Kingdom
1 British Pound = 78.23539 Indian Rupee
1 Indian Rupee (INR) = 0.01278 British Pound (GBP)
Netherlands
1 Euro = 59.11755 Indian Rupee
1 Indian Rupee (INR) = 0.01692 Euro (EUR)
United States
1 U.S. Dollar = 40.105 Indian Rupee
Italy
1 Euro = 59.11755 Indian Rupee
1 Indian Rupee (INR) = 0.01692 Euro (EUR)
Guadeloupe
1 Euro = 59.11755 Indian Rupee
1 Indian Rupee (INR) = 0.01692 Euro (EUR)
Top Related