Comments
E-commerce exports, too, qualify for pre-shipment and post-shipment credit and packing credit loan in foreign currency (PCFC), per RBI guidelines, and hence should not be denied the same, the Directorate General of Foreign Trade (DGFT) has clarified.
“Banking and financial institutions concerned are therefore encouraged to extend pre-shipment and post-shipment export credit and PCFC to e-commerce exports based on the extant guidelines issued by RBI,” per a trade notice issued by the DGFT on Monday.
Any issues in availing such export credit may be brought to attention by e-commerce exporters or banks to this Directorate, it further said.
In talks with stakeholders
In reference to the chapter in the new Foreign Trade Policy 2023 on promoting cross-border trade in digital economy, the DGFT held consultations with industry representatives, exporters, and nodal departments on outstanding issues pertaining to exports through e-commerce.
“One issue flagged was the unavailability of pre-shipment and post-shipment export credit for e-commerce exports. In this regard, consultations were held with RBI,” the notice stated.
The DGFT then held consultations with the RBI where it was clarified that the ‘Master circular-rupee/foreign currency export credit cnd customer service to exporters’ furnishes a comprehensive framework, allowing for access to pre-shipment and post-shipment export credit and PCFC to all eligible exporters which does not preclude e-commerce exporters, it added.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.