Small valued invoice exports attracting high Bank charges to close shipping bills
Hi everyone,
This is mainly regarding e-commerce export via CSB-V mode. As we are dealing in small-value products, our invoice values range from INR 800 to 1600, but to close these generated CSB-V shipping bills, our AD Banks are charging more than 1700 INR per shipment to close these shipments on the EDPMS Portal, which is absurd and doesnt make any sense.
As far as I understand, the whole EDPMS process is done so that the exporters can get the E-BRC document so that they can claim their export incentives (like Input GST refund), but we do not wish to claim these incentives nor are looking to in the future and hence want to be completely excluded from this compliance, because it is not feasible for our business nor makes any sense. These rules were introduced over a decade ago and are meant for traditional exporters exporting 500-1000 units per shipment, but for a single unit e-commerce export shipment, these rules are not only absurd but completely go against "Ease of Doing Business".
I wish to know if anyone else has faced this issue, if yes, what can be a possible solution for this problem?
I also found this video on YT which highlights the same: youtu.be/OrE4IJICDYc?si=hWDQphwbZavQJCXf
Thanks in advance!
Small valued invoice exports attracting high Bank charges to close shipping bills
Hi everyone,
This is mainly regarding e-commerce export via CSB-V mode. As we are dealing in small-value products, our invoice values range from INR 800 to 1600, but to close these generated CSB-V shipping bills, our AD Banks are charging more than 1700 INR per shipment to close these shipments on the EDPMS Portal, which is absurd and doesnt make any sense.
As far as I understand, the whole EDPMS process is done so that the exporters can get the E-BRC document so that they can claim their export incentives (like Input GST refund), but we do not wish to claim these incentives nor are looking to in the future and hence want to be completely excluded from this compliance, because it is not feasible for our business nor makes any sense. These rules were introduced over a decade ago and are meant for traditional exporters exporting 500-1000 units per shipment, but for a single unit e-commerce export shipment, these rules are not only absurd but completely go against "Ease of Doing Business".
I wish to know if anyone else has faced this issue, if yes, what can be a possible solution for this problem?
I also found this video on YT which highlights the same: youtu.be/OrE4IJICDYc?si=hWDQphwbZavQJCXf
Thanks in advance!
18 replies
Seller_H51BdKu2erPNq
Then you need to send goods by courier mode
Seller_EKCQVsQmyoaH1
You should send them via (gift/sample) CSB-4 or via India Post CN-22 form.
Seller_tkGbHeF83iiEn
You could use Aramex or any other 3rd party service, for a value less than 30k you don't need csb-v 5. You just need simple bill with your gst number mentioned on it.
I don't have any idea about tax-related things, but if you keep it simple you won't need to charge extra.
Seller_m9NndZY2im9ui
I agree. It is difficult to make it it viable for small value ecom exports with all clean paper work. I am therefore hesitant to even start export. It will help if there is a service provider who can buy locally from us and take care of selling in other markets. Like clicktech, cocoblu , appario etc but only for international markets. I don't know of such a service provided though. DO you know any?
Seller_8rfnccaJWEk3F
this process is required irrespective of what is the value shipment. if you don't do then bank debit the charges quarterly bases.
this rule of law we have to do it.
Seller_I7GNUOcxvUG5t
Oh i am in the same mess. My shop was the number 1 trending on Amazon handmade. Now I have a huge mail from RBI where I am requested to close all invoices with the bank. The bank is asking for 1200/- per invoice plus lots of data which I dont have. I have closed my international Amazon selling. Too bad they don't tell you the legalities before opening your account. They just say give it to the courier and realx. Right now the situation in India is such that every dollar has to be explained. The bank is asking me to reconcile all payments received with all shipments made. I have made all small value shipments like 30$ - 50 $ .
I would ask Amazon to help in this matter. But who should I write to. Amazon will say speak to your bank. Bank will say speak to Amazon.
Remember that all courier companies have made it mandatory to register your bank AD code at the port. So each and every shipment is being tracked and logged. Nobody should think that I can continue international selling without closing each invoice with the bank.
End of Indian E-Commerce.
