Can Exporter in India receive payment from India Registered Unit of Importer
This query is : Resolved
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08 December 2024
Hi Experts,
I want to export a Machine to a company registered in Kazakistan. That company has his unit in India. They are saying that they will pay the amount through their Indian registered Unit as they don't have SWIFT Code in Kazakistan.
Can I receive payment from their Indian Unit?
If I do so, then how will Export and payment match in Banking Or RBI System?
I want to export a Machine to a company registered in Kazakistan. That company has his unit in India. They are saying that they will pay the amount through their Indian registered Unit as they don't have SWIFT Code in Kazakistan.
Can I receive payment from their Indian Unit?
If I do so, then how will Export and payment match in Banking Or RBI System?
08 December 2024
You can receive payment from the Indian unit of the Kazakh company, but there are certain regulations and procedures to follow.
The Reserve Bank of India (RBI) has implemented the EDPMS to monitor and track export transactions. As per RBI regulations, the exporter must declare the export transaction in the EDPMS, which includes details of the buyer, country of destination, and payment terms.
To receive payment from the Indian unit, you need to ensure that the payment is made in compliance with RBI regulations. Here are the steps to follow:
Obtain a declaration from the Indian unit stating that the payment is being made on behalf of the Kazakh company.
Provide the Indian unit with the export documentation, including the commercial invoice, packing list, and bill of lading.
The Indian unit should route the payment through a bank in India, which will then credit your account.
Ensure that the payment is reported to the RBI through the EDPMS, mentioning the Kazakh company as the ultimate buyer.
To ensure that the export and payment match in the banking/RBI system, follow these steps:
Unique Identification Number (UIN): Obtain a UIN from the RBI for the export transaction. This number will be used to track the payment.
Ensure that the payment made by the Indian unit references the UIN and the export invoice number.
Use a banking channel that allows for the reporting of the payment to the RBI through the EDPMS.
By following these steps, you can ensure that the export and payment are matched in the banking/RBI system, and you can receive payment from the Indian unit of the Kazakh company. However, it's always recommended to consult with your bank or a trade finance expert to ensure compliance with RBI regulations.
The Reserve Bank of India (RBI) has implemented the EDPMS to monitor and track export transactions. As per RBI regulations, the exporter must declare the export transaction in the EDPMS, which includes details of the buyer, country of destination, and payment terms.
To receive payment from the Indian unit, you need to ensure that the payment is made in compliance with RBI regulations. Here are the steps to follow:
Obtain a declaration from the Indian unit stating that the payment is being made on behalf of the Kazakh company.
Provide the Indian unit with the export documentation, including the commercial invoice, packing list, and bill of lading.
The Indian unit should route the payment through a bank in India, which will then credit your account.
Ensure that the payment is reported to the RBI through the EDPMS, mentioning the Kazakh company as the ultimate buyer.
To ensure that the export and payment match in the banking/RBI system, follow these steps:
Unique Identification Number (UIN): Obtain a UIN from the RBI for the export transaction. This number will be used to track the payment.
Ensure that the payment made by the Indian unit references the UIN and the export invoice number.
Use a banking channel that allows for the reporting of the payment to the RBI through the EDPMS.
By following these steps, you can ensure that the export and payment are matched in the banking/RBI system, and you can receive payment from the Indian unit of the Kazakh company. However, it's always recommended to consult with your bank or a trade finance expert to ensure compliance with RBI regulations.
08 December 2024
Thank U so much sir for giving your valuable time and advice.
This information is so helpful.
This information is so helpful.
08 December 2024
You are welcome.
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