The event was organized by FIEO on Capacity Building Programme: Awareness Programme on Exports@75 India – District As Export Hub, Valsad. One of the Topics at the event was Trade Compliance under RBI Guidelines
Trade compliance, unlike any other compliance, be it Income Tax, Company fillings, is an important aspect of corporate compliance that ensures that all import and export transactions are in conformance with the laws and regulations of the countries involved. Adherence to trade compliance best practices is also important for in-country transfers of goods manufactured aboard.

In today’s global marketplace, companies do business both within and outside India. Their Supply chain depends on following various free trade agreements, international trade regulations, and tariff classification.

Large companies often have a trade compliance team or trade compliance manager. Yet, even with these specialties, many companies unintentionally receive import and export violations. These violations lead to hefty penalties and fines for failure to comply with trade regulations.

Keeping these points in view one of the Topics at the event on Trade Compliance under RBI Guidelines was arranged to give an overview of the basic points about the following topics to be taken care of while doing the trade transaction.
Brief insight was also given for the Trends and Factoring benefits for MsME who are selling in domestic as well as International markets respectively

1. Compliance on EDPMS – a key component for Export Compliance
Under this topic, various scenarios were discussed, regarding EDPMS updating pending and the solution thereof
2. MTT – Merchanting Trade Transaction. Despite the guidelines prescribed there are many breaches that happen in the MTT transaction
3. Brief update about the benefits of Factoring, which is a noncollateral post-shipment finance backed by Credit Insurance
4. TReDS platform, where the MSMEs are involved in exports as well as domestic sales. TReDS as a platform can assist them in easing their financial requirement, basis the strength of the company they are selling to and the volume of the sales

This session was enlightening, regarding issues faced by the industry with various operational issues in compliance with International Trade and RBI regulations.

If we as a country want an era of atma Nirbhar Bharat and promote exports, it’s imperative that the adherence to compliance be there to have hassle-free trade transactions