Custom duty in India comes under the customs act 1962 and Customs traffic act of 1975. India has robust trade ties with the rest of the world. Since the implementation of goods and service tax (GST), integrated goods and value-added service tax (IGST) is also levied on imported goods. Under the IGST, all products and services are taxed under four basic slabs of 5% 12% 18% and 28%. India does not export its goods to the rest of the world but also imports many essential items from foreign countries. This transaction of goods is charged with heavy taxes called as customs duty. In simple words, custom duty is tax imposed on imports sometime exports of the goods. There are various reasons why different Nation imposes customs duty over the import and export of goods. While the primary motive is always revenue generation, other motives include production of domestic Industries from the entry of foreign goods, protecting Forex reserves in times of crisis, reducing imports, and reducing deficits. Moreover, it helps reduce fraudulent activities and circulation of Black Money.
Usually, the goods that are imported in one's own country are charged customs duty along with educational cess. For Industrial Products, the rate has been cut down to 15%. The customs duty is evaluated on the value of transaction of the goods. The basic structure of the import and export traffics in India include: Basics customs duty, Additional duty, Special additional duty, Educational assessment or cess, Other state level taxes. The additional duty is a applied to all imports except for wine, spirits and alcoholic beverage duty. Apart from these taxes, the percentage of cess charged is 3% on most of the goods. India has a well-developed taxation structure. The tax system in India is mainly a three-tier system which is placed between the central, state governments and the local government organizations. Customs duty in India falls under the customs act 1962 and Customs traffic act of 1975.
The customs duty is calculated based on various factors as following:
If you are bringing a good for the first time in India, you must declare it to the customs as per the customs rule. The customs duties are usually calculated on the Ad valorem basis on the value of the goods. The value of the goods is calculated according to the regulation stated under Rule 3 (i) for the Customs Valuation Rules, 2007. Customs duties are not levied on life saving drugs, fertilizers and food grains. Custom duties are divided into different taxes, such as: Basic Customs Duty, Additional Customs Duty, Protective Duty, Education Cess, Anti-Dumping Duty and Safeguard Duty. The Central Board of Excise and Customs comes under the Ministry of Finance that manages the customs duty process in the country.
The following post discusses a few of the key products that are imported and exported between different counties across the globe. The post also analyses the worth each sector brings to the country. Each country depends upon several other countries and vice versa is also true. Countries earn a lot of profits by trading.
The world is now called a global village. Goods produced in China are sold in India and vice versa. With the advent of more time, this globalization is progressing more rapidly. By definition, Global trade is the transfer of goods, capital, and services across the globe. We have borders for defense, but for business, these borders are no longer a barrier. This change has been seen more over the last two centuries. So much that around 25 percent of the total global production was exported in 2017. Compare this data to 1870 when only less than 10 percent of the produce was As compared to the data in 1913, 2018 saw 40 times more exports as compared to 1913. When a country becomes an open economy, there is a colossal impact on the demand and supply in the market. Local markets also have to feel the heat. Imports and exports affect all elements of society, even non-trade components.
The entire world exported goods worth 143,860 million USD in 2017. Of this total value, Africa has a share of 3833 million USD, Asia has a stake of 3,833 million USD. Australia and New Zealand contribute 1,644 million USD. The European Union pitches its 55,798 million USD. The value of imports by the world as a whole was 18,043,287 million USD in the same year. Of this amount, agricultural products were imported for a cost of 1,771,649 million USD, fuels, and mining products for 2,766,986 million USD. Food was imported for around 1,493,843 million USD. Iron and steel had a share of 434,344 million USD.
The commodity which is traded the most across borders is crude oil. Its global export value is 786.3 billion USD. Cars come in second with an export estimate of 672.9 billion USD. The United States is the largest country in terms of trade. Their trade value is valued at 3,706 billion USD. They also deal with services that have a cost of 1,215 billion USD. China is the next in line with its trade costing around 3,686 billion USD and services amounting to just 656 billion USD.
According to verified data, there is a direct relationship between business and high economic growth. Countries with closed economies tend to prosper less and vice versa. There may be an adverse effect of an open marketplace on some sectors of an economy. But this is often a short term repercussion and is overcome easily.
Global import export data is mostly of the year 2017, as mentioned in the article. Free trade is the need of the hour, and every nation is trying to strive towards that direction. The World Trade Organisation (WTO) is also ensuring that goods and services flow without any hindrance from country to country.
The route of business development one country to another country is Sea Ports, where you can export and import the goods and products. Mostly all the countries export-import goods at big level by the ships, when we go back old days it’s a only one transport medium is ships by the sea route. So more important sea ports for the business purpose where you can explore the business out of country used medium of the sea ports. TheIndia sea ports are handled a huge volume of cargo traffic and container traffic.
Here we discuss about top 10 major sea ports in India, there are multiple sea ports in India where transport the goods and products into the cargo and container by the ships. These are major sea ports of states in India like as: Maharashtra, Gujarat, Goa, Karnataka, Kerala, Tamil Nadu, Orissa, Andhra Pradesh and West Bengal etc.
Nahava Sheva – Maharashtra: This one is in Maharashtra and is the biggest compartment port of India. It is otherwise called Jawaharlal Nehru Port. The significant exports from this port are materials, floor coverings, boneless meat, and primary imports incorporate hardware, vegetable oils, and chemicals.
Kandla Port - Gujrat: Gujarat has some major sea ports and has therefore occurred prominent centre of trade and export. Nowadays this is a largest port of India which handled largest volume of cargo.
Mormugao Port – Goa: Mormugao port is one of the important iron minerals exports in India and raw material.
Panambur Port – Karnataka: It is also say that New Manglore Port. It is also major sea port of India.
Cochin Port – Kerala: It is also one of the largest sea ports of India; it handled about 13.5 million tons of cargo yearly.
Port Blair – Andaman Nicobar: This is located at Port Blair capital of Andaman Nicobar Island. It is also very popular for tourist place.
Chennai Port – Tamil Nadu: It is an oldest sea port of the India, and it is the hub ports for the cars, cargo and big container traffic coast of India.
Vizag Port – Andhra Pradesh: This is the oldest port of the India; it is located at Vishakhapatnam city of Andhra Pradesh.
Pradip Port – Orissa: Orissa is also one of the important sea port on eastern coastline for iron-ore, coal and other cargoes handled at the port.
Haldia Port - West Bengal: This sea port located at near the Hooghly River in the state of West Bengal. The port of Haldia obtains large volume of the cargoes of oils, chemicals and petrochemicals.
India is one of the largest country in the world which import-export the products. As well as multiple sea ports are available for transportation of cargo and containers. The top 10 major sea ports in India listed above which is situated at different- different states of the place.
The import export business in India is the subsequent concern of globalization and the development of trade relations between nations. According to an India’s import export data report of May 2017, import was valued at $37856.34 million, and export was valued at $24014.62 which shown a growth of 8.32 percent. .Through these international trade, the Indian exporters have picked up chances to grow their organizations abroad. The Indian items have a tremendous request in the overseas business sectors. The foreign business in India has been prospering, and as indicated by reports it contributes a large offer to the advancement of the nation. The Indian exporters have prevailed in withstanding the solid rivalry prevalent in the foreign markets through labour and quality items.
A portion of the Top Import Export Sectors in India
Agroindustry: The rural business in India contributes a unique offer to the import trade business as, not at all like different nations on the planet, farming is the foundation of Indian economy. The absolute most esteemed items in the global market comprise different spices, tea, wheat, rice, sugar, & tobacco.
Jewellery: The remarkable accumulation of Jewellery in India is another vital export industry. The Indian exporters have cut a specialty for themselves in the field of gems both inside the nation and abroad. Indian jewels have enormous demand outside due to its creative works and magnificent design.
Textiles and Apparels: Another part which contributes a huge offer to the nation's GDP is the textile business. As indicated by late reports around 30 percent of the aggregate exports incorporate the textiles exports. The request of Indian textiles, with its model surface and colours, has expanded its incentive in the overseas markets.
Leather Products: The Indian exporters think that it's simple to advertise leather results of the nation in light of its high accessibility and great quality. It is one of those ventures which adds to the development and improvement of the country. The majority of the outside marked organizations have put resources into the Indian leather businesses. It is known to be one of the best export ventures in India. The Indian leather shoes, wallets, belts, bags are well known in the worldwide markets.
Summary: Commerce ministry extends raw sugar exports to the United States of America in this coming October 2017 by an import export India report. Import-export business always place impact on an economy where exporting of goods helps in making nation economically stronger.
Rice is the main food crop of India. India acquired the first position in rice area and ranked at second place in the production of rice, after China throughout the globe. The country
contributes approx. 21.5% of global production of rice. India has around one-third portion of the world’s paddy cultivation area, and the crop is grown in almost all the parts of India including
states like Assam, Bihar, West Bengal, Kerala, Tamil Nadu, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Jammu and Kashmir, and Uttar Pradesh.
The crop is playing a very significant role in national exports. The rice export mainly contributes approx. 10% of the total agricultural export from India. The crop contributes 43% of the total food grain production and 46% of the total cereal production In India. It also contributes approximately 25% of the total agricultural products export from India. As per the statistical data of rice exports from India, the country stands at second place in the export of rice around the world.
India is exporting substantial quantity of both basmati and non-basmati rice. Basmati rice is contributing its major share in Indian Rice export. The two-third portion of the Basmati rice produced in India is exported to various countries. The export data of basmati rice during the last few years shows an increase in export to the countries like Saudi Arabia and North America. And a constant fluctuation in the export of basmati rice is seen from year to year to the countries like Belgium, Australia, France, Germany, Canada, UK, Indonesia and other countries. The major quantity of non-basmati rice produced in India is exported to Asia, Africa, and Europe. The export data of Non-basmati rice shows a slight decline in Asia and also its export to other continents like China, Pakistan, Thailand, and Vietnam is very meagre in the last few years.
Following avenues are expected to contribute in boosting the export of rice from India.
• Acceleration of the breeding efforts in the development of high-yielding export quality rice including Basmati, non-basmati, short grain scented, etc.
• Production of quality seeds and ensuring their availability to farmers at subsidised rates.
• Post-harvest care and by-product utilisation
• Sustaining the quality standards that match those of international markets
• The survey may be conducted to identify export quality zones for production of rice to meet the exports.
• Developing the Low cost production technology to bring down the production cost to enable the exporters to compete with the competing countries in the global market.
Summary:- To increase the export share in the world rice market, there must be an adequate surplus in the production growth rate in India. It requires a careful analysis of low productivity of rice in the country. Also, the most important thing is that a critical analysis is also required to enquire into the constraints involved in rice export from India.