SUMMER INTERNSHIP REPORT

On
Import Export Procedure and Documentation
At
TRANSPOLE LOGISTICS INDIA PVT. LTD.
IN PARTIAL FULFILMENT
OF
POST GRADUATE DIPLOMA IN INTERNATIONAL
TRADE

Submitted By:

PRATIK SHAH
Roll No. 28
(2009-11)

CIT- Centre for International Trade

INSTITUTE OF MANAGEMENT
AND DEVELOPMENT RESEARCH

SUMMER INTERNSHIP REPORT

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CONTENTS
Sr. No.

Topics covered

Page No.

1.

Acknowledgement

2.

Executive Summery

3.

Objective

4.

Programme Details : Schedule of training

5.

Company Profile

6 to 9

6.

About Freight Forwarding Business And

Transpole

10

7.

Quotation Department

11 to 12

8.

Export Department

13 to 20

9.

Import Department

22 to 24

10.

Duty Calculations

25

11.

CAN And DO Department

26 to 27

12.

Airport Department

28 to 30

13.

Sales

31

14.

Observations And Conclusions

32

ACKNOWLEDGEMENT
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WE would like to thank Mr. RAJESH ARORA and Mr. AMARDEEP SINGH, for
giving us an opportunity to do our summer internship and to understand the work
culture of their organization TRANSPOLE LOGISTICS INDIA PVT.LTD. And we
would like to show our gratitude towards all the employees of the organization for the
help given by them to us in increasing our knowledge and for all kind of help and cooperation extended towards us during training.
I sincerely express my thanks & regards to our Director Mr. Ajay Nagre &
Dr. S. P. Kandelgaonkar & Placement co-ordinator Mrs. Vipra Tiwari for their
valuable moral support & guidelines which helped me a lot to complete my summer
project successfully.
Thanks to Various people and department :
Imports (Sea and Air ) : Ms Preeti , Mr Arvind , Mr Pradeep , Mr Rajesh , Mr Shailesh , Mr
Sachin , Mr Sudhir
Export (Sea and Air ) :Ms Bindu , Mr Rakesh , Mr Ravi
Accounts :Mr Rohit Tiwari , Mr Rohit Shrivastava
Operation :Mr Veenu
Sales : Mr Amardeep , Mr Prakash , Mr Santosh
Ms Tanuja
Office staff : Mr Deepak , Mr satuppa , Mr Tanaji , Mr Sanjay ,Mr Sandesh
And last but not the least thanks to the whole TRANSPOLE
family

EXECUTIVE SUMMARY
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After completing the first year of our course, we are required to undergo a summer
internship programme in order to get a better understanding of the import and export
procedures learnt during the classroom sessions. During the summer internship, we
are required to work in the service sector i.e. with custom house agents, freight
forwarders or shipping companies. Helping us understand the import and export
procedures in a better way, the internship programme also gives us a feel of the
corporate world in which we have to step after completing our education.
As a part of my summer internship I did my intern with Transpole Logistics India Pvt.
Ltd. For 8 weeks. It is a India based company which is involved into freight
forwarding. I joined this organization on 10th of March 2010
The employees there were very cordial and cooperative and helped in learning about
the documents involved in export and import procedures.
In addition to the knowledge of the documents we also got to observe the environment
in which a freight forwarder works and the problems they face in their day to day
work. This internship gave me a practical knowledge of the learning given to me by
our course.

OBJECTIVE OF THE SUMMER INTERNSHIP

The 8 weeks summer internship program is an essential part of the 2-year PGDIT
curriculum. The main objective of this program is to interlink the theoretical
knowledge, which we get in the first year of our PGDIT program with practical
experience of the service industry like Custom House Agents, Freight Forwarders or
Shipping Companies, which basically deal in clearing the goods from customs.
Some of the objectives that I carried in my mind while starting my summer internship
program are as follows: 1. To understand the importance of documentation in freight forwarding and clearing
cargo.
2. To learn and understand the import & export procedures.
3. To gain substantial knowledge of procedures of International Trade transactions.
4. To experience the work culture and the ground level realities of an organization.

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PROGRAM DETAILS: SCHEDULE OF TRAINING

The schedule of the training as put forward to us by Mr. Amardeep Singh was to
cover almost all the departments of the company, with each department a week to
spend.
SCHEDULE
DATE

DAYS

DEPARTMENT

11& 12th MARCH

IMPORTS

15 &16th MARCH

EXPORTS

17th &18th MARCH

OPERATIONS

19th MARCH

ACCOUNTS

20th MARCH

DO (delivery order)

22nd & 23rd MARCH

AIRPORT IMPORTS

24 & 25th MARCH

AIR EXPORTS

29th MARCH ONWARDS

4.WEEKS (30DAYS)

SALES

PROFILE:

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Transpole Logistics Pvt. Ltd., was incorporated on 28th Aug 2004 by Mr. Anant
Kumar Choudhary, Mr. Vivek Shukla, Mr. Praveen Chand Rai with objective to
cater all kind of logistics need under single window
Transpole was established in 2004, pioneered by professionals with a vision for the
Future. They have a pool of Experts having vast experience of international freight
forwarding and are constantly propelled by inner values and result oriented behavior.
Transpole has been providing top quality service in Global market with a professional
and of course a very customer friendly approach. , Their Expert Brain Bench brings to
Valued Customers, an unparalleled level of expertise. With full staffs skilled in all
aspects of forwarding and logistics, Transpole members are ready to meet and exceed
your important requirements.... Time and again.
Their Coverage is Global. Their specialty is in detailing. They leave no stone unturned
when it comes to meeting their Customer requirements, no matter how tiny or how
large your Cargo is, they take utmost care in shipping it to the destination safe and on
time Every time.
Their Service is Multidimensional. Their Job is not just to deliver globally but also
provide expert consultancy in `Logistics planning and optimizing resources for
efficient and time bound shipments to any nook and corner of the world. Their Global
reach is unmatched. They are the one stop shop for all your Supply Chain needs. They
plan, design and execute an entire international shipment for you, helping clients to
focus on their core functionality because at Transpole your shipment is in Safe Hands
At Transpole they give top most priority to information management which plays a
crucial role in keeping you informed about your shipment at every stage till it reaches
the destination. They are transforming the way Supply Chain Management System
works and making it less traditional, yet more reflective of the rapid advancement in
technology. They are constantly innovating our ways in which shipping orders and
other forms of data are being transmitted via Internet safe and secure and on your
fingertips. Wherever you go.

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Their services affiliates include Airlines, Steamship Lines, Specialized NVOCC,

These affiliates add to the global resources we provide our customers. Transpole
logistics prestigious clients include Fortune 500 Corporations, Mid Size firms and
numerous agencies and Our Cargo Network is growing... to serve...
MEMBERSHIP/AFFILIATIONS:

FIATA (February 2005)

FFAI (December 2005)

MTO (March 2006)

FMC (April 2006)

IATA (April 2008)

Vision
To Become the Leading logistics Service provider with Global Presence
Mission
To become the leading logistics service provider with global presence.
1.Become the complete logistics solution provider
2. Be an employees choice
3. Become principal choice of agents
QUALITY POLICY:
We are committed to deliver and maintain efficient and consistent international freight
forwarding services through continual improvement in implementation of quality
management system to achieve total customer satisfaction.

POTENTIAL MARKET:
ALL IMPORTERS, EXPORTERS and FREIGHT FORWARDERS

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CLIENTS

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ACTIVITES OR SERVICES PROVIDED BY THE ORGANISATION:

Complete Solution
consolidation

Custom clearance

Transport

warehousing

Network of Transpole offices In: Transpole has strong presence in following cities
in India as well as abroad:
Mumbai , Chennai , Kanpur , Ludhiana , Bangalore , Pune , Kolkata , Cochin ,
Ahmedabad and overseas office at Singapore.
It also has strong presence in china, Italy, Hong Kong, Korea, Dubai because of
its counterpart network which also helps in enhancing their service quality.

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About freight forwarding business & Transpole

Logistics (observations)

Brokerage business

Business model: credit to customer and spot payment to liners

Relationship and customization two important aspect of business.

Company follows management principle of centralization of authority.i.e

(Delhi office)

Extensive use of collaborations with counterparts, co loaders, CHA.

Use of web centric systems

Strengths of Transpole

Singapore, Korea, china major strength area.

Very efficient and result oriented airport department.

Excessive growth from 34.1mn net worth in 2004-05 to 822.80mn in 2008-09

Contracted rates hapaglloyd, Kline.

Corporate clients like videocon, samsung, LG, reliance etc.

Use of efficient systems like cargo net software, traxon software, freight looks
software.

Every Saturday Sales meeting leading to effective interaction.

Weakness

Outsourced CHA.

Credit risks (customers not following the predefined credit period which leads
to choking of funds.)

Attrition

Parties involved in a Transaction:

Exporter

F.F

Co loaders

shippingLine/Airline
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CHA

Customs

Importer
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Learnings:
Quotation Dept
The function of quotation department is to take rates from shipping line add their
margin in it and give it to customers, also to fill tenders of various companies.
How to calculate sea FREIGHT
Calculating chargeable weight/calculating volume weight
For volume =L*B*H*no of packages
Volumetric wt is always calculated in CBM

LCL shipments are calculated in cbms and FCL in tones

LCL can be FCL (Comparison has to be made between chargeable rate of

LCL and FCL and accordingly take decision)

To calculate air freight:

Calculation

Gross weight and volumetric weight are taken into consideration and then
weight is compared, the weight which is greater is considered as the
chargeable weight.

Volume weight/=Length*Breath*Height*no of packets

6000

There are other charges like:

Agency charges, shipping bill passing, custom examination, carting charges, loading
unloading charges, forklift charges.

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Things to remember:

Always mention name of airlines to customer.

FSC, SSC is as actual.

Insurance is always on Invoice value.

Insurance value is 0.25%of invoice

value.

For vessel schedule refer to safemarine.com/various website of shipping lines

Tare wt = empty container wt

Slot lost (ODC cargo)

Marine rates are always on per container basis.

All taxes are levied on THC in invoice ( service tax , edu cess , she cess )

Types of surcharges ( CAF , BAF,ISPS )

Types of container

Dry cargo , high Cube , Flat Rack , Platform , Open Top , Top Vented , Reefer
Container , Tank Container

Weight of container =2tonns

Carrying Capacity of containers (approx)

22,000 kg for 20 ft

27,000 kg for 40 ft

Liner services ( running on fixed route )

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Export Department
The function of export department includes managing goods from factory till loading
on a container. This also includes sending of quotations to taking follow up.

Learning's

Requirement for Exports: Bank AD Code, IEC Code, IRCT Code

Rates are of 3Tiers

Each shipping line has their own sector. Therefore it is necessary to identify
the sector to get the best rates.

B/L is surrendered to save the cost of courier.

MTU license necessary to issue house B/L

Port of Discharge is the via port (to be mentioned in form number 13) .

Demurrage charges

If no schemes are claimed then white shipping bill is issued

Types of B/L

Master B/L , House B/L , Surrender B/L , Express B/L

Export Department
EXPORT PROCEDURE

Enquiry by customer

Sending of quotation

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decision

YES
NO

Receipt of Documents
(Invoice, packing list, GR
Form/SDF Form)

Passing of Documents
through Customs .EDI
System (ICE GATE)

Obtaining Carting
From BPT/CFS

Send Message for

Cargo dispatch

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Cargo receipt at Naka &

N form formalities

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Assessment of Cargo by
Authorized Body

Carting of cargo inside

Port/CFS

Physical examination of
Cargo by Customs
inspector

Cargo out of Customs

charge

Mates receipt issued, Vessel

sailing and B/L issued

EP/AR4 passing after vessel

leaves Indian
Territory
Documents
in sea Exports
:

Stuffing into
container

Filling of EGM

DOCUMENTS FOR EXPORTS:

Invoice
Packing List
IEC copy

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S.D.F
N - Form
Bill of Lading
Certificate of origin
Shipping bill
Carting Order
LEO
ARE Form
1) Invoice:
An invoice is a document which contains the detailed description of the goods
consigned, acceptance of order, Airway Bill No., country of origin, marks and
number, number of packages, special marks (if any), quantity shipped, selling price,
terms of payment (COD, DD at sight etc.), terms of delivery FOB, C&F, CIF etc.),
amount of freight and insurance (if applicable) etc. It is a good evidence of the
contract of sale and purchase. The invoice should be strictly according to the contract
of sale and should be on the paper of seller and must be signed by him or by the
person acting on his behalf.

2) Packing List:
It gives the information like the invoice number, number of pieces, number of pieces
per package, number of packages, dimensions of packages, general description of
cargo, net weight, gross weight, etc. The difference between a packing note and a
packing list is that the packing note contains the particulars of the contents of an
individual pack, while the packing list is a consolidated statement of the contents of a
number of cases or packs.
3) SDF:
As per the exchange control regulations, exporters are required to submit declaration.
The Statutory Declaration Form (SDF) is required in case of exports the shipping bills
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relating to which are processed electronically. It replaces GR Form. The exporter to

the shipping bill shall append it.
After verifying and authenticating the declaration in SDF, the customs will hand over
to the exporter, one copy of such shipping bill marked Exchange Control Copy to
which the form had been appended, for being submitted to bank.

The guaranteed remittance form (GR Form) is a reserve bank of India (RBI)
controlled document.

An exporter has to fill the details of this form at the time of passing the documents
like shipping bill in customs.

It is used by the RBI to control inward / outward flow of foreign exchange.

4) Form N
An export consignment can be exempted from Octroi duty provided that N-Form (in
duplicate) is submitted along with the EP copy of the shipping bill with the concerned
octroi check post. This procedure pre-supposes that shipping bill is got processed well
in advance of shipment data or before moving the goods to the Mumbai.
After getting pre-shipment documents and instructions from the client/ exporter, the
freight forwarder books the space in the airline and the CHA prepares the other
relevant documents, which are necessary for customs clearance. Some of them are:

5) BILL OF LADING
Bill of lading is issued by the shipping company or its agents stating that goods are
either being shipped or have been shipped. Essentially a transport document, it serves
many purposes in international commerce. The bill of lading is a document issued by
the shipping company or its agent acknowledging the receipt of goods on board the
vessel, and undertaking to deliver the goods in the like order and condition as
received, to the consignee or his order, provided the freight and other charges as
specified in the bill have been duly paid. It is also a document of title to the goods
and, as such, is freely transferable by endorsement and delivery.
Pre shipment documents are the documents which are required before the shipment of
the cargo / container. The main pre shipment documents are:IMDR, CIT

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A bill of lading serves three main purposes:(a) This document evidences the contract of affreightment (transport) between
the shipping company and the shipper (exporter or importer).
(b) It is a receipt given by the shipping company for cargo received by it.
(c) It is a document of title (This is the most significant function of the bill of
lading).
Bill of lading is the only evidence to file a claim against the shipping company in
the event of non-delivery, defective delivery or short-delivery of the cargo at the
destination.
TYPES OF BILL OF LADING
1) MBL :- In Master bill of lading the consigner is the logistics company
For eg: Transpole logistics is the consigner in MBL and it issues HBL to exporters
2) HBL :- This document is issued by Transpole logistics to his customers/actual
shipper
3) Surrender B/L:- The B/L is surrendered to shipping line. ( generally to save the
cost of the courier )
6) Importer Exporter Code Number (lEC No.): - IEC number issued by the
Director General for Foreign Trade(DGFT) The application form for obtaining IEC
number should be accompanied by fee of Rs. 1000. Without this no any exporter or
importer cannot import or export, its is a mandatory document, the IEC code is of 10
digit
7) Certificate of origin
The importers in several countries require a certificate of origin without which
clearance to import is refused. The certificate of origin states that the goods exported
are originally manufactured in the country whose name is mentioned in the certificate.
Certificate of origin is required when:
(a) The goods produced in a particular country are subject to preferential tariff rates
in the foreign market at the time importation.
The goods produced in a particular country are banned for import in the foreign
SHIPPING BILL
Shipping bill is the main customs document, required by the customs authorities for

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granting permission for the shipment of goods. The cargo is moved inside the dock
area only after the shipping bill is duly stamped, i.e., certified by the customs.
Shipping bill is normally prepared in five copies:
Customs copy.
Drawback copy.
Export promotion copy.
Port trust copy.
Exporter's copy.

TYPES OF SHIPPING BILL

Drawback Shipping Bill: - Drawback shipping bill is useful for claiming the
customs drawback against goods exported.
Dutiable Shipping Bill: - Dutiable shipping bill is required for goods which are
subject to export duty.
Duty-free Shipping Bill: - Duty-free shipping bill is useful for exporting the
goods on which there is no export duty.
Bill for Shipment Ex-bond is for use in case of imported goods for Re. exports
and which are kept in Bond.

SIGNIFICANCE OF SHIPPING BILL

(a) Shipping bill is the main customs document, required by the customs authorities
for granting permission for the shipment of goods.
(b) The cargo is moved inside the dock area only after the shipping bill is duly
stamped, i.e., certified by the customs.
(c) Duly endorsed shipping bill is also necessary for the collection of export
incentives offered by the government.
(d) It is useful to the Customs Appraiser while determining the actual value of goods
exported
EP copy of shipping Bill:
It is prepared only if we have to claim the drawback on any specified invoice or
export bill. If we are sending the good to the buyer without claiming for Drawback
then there is no need of EP Copy.
Airway Bill:
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o It is a very important document in air export. it is an evidence for contract for

carriage
o An airway bill, also called an air consignment note, is a receipt issued by an
airline for the carriage of goods. As each shipping company has its own bill of
lading, so each airline has its own airway bill. . Airway Bill or Air Consignment
Note is not treated as a document of title and is not issued in negotiable form
o Different airlines will have different airway bill, and the codes are also different
for different airline e.g. AIR FRANCE 057
o The code for each airway bill is different its of 11 digit, the 1ST 3digit, will be
airline code ,i.e. at the prefix e.g. 057-1289 1804=serial no of one of the air
France airway bill, any air way bill will never end with 7,8&9,last digit is called
as check no
Noting:
After checklist for amendment / modification Noting is done. Noting is nothing but
taking of the shipping bill number.
.
Carting:
Carting is a permission taken by customs to enter goods into ICD,CFS.

Let Export Order:

Let Export Order (LEO) is given by the custom superintendent, who passes the
documents on the basis of examination report. Without it the export cant be done.
After the Let Export Order only the shipping bill gets printed. It is nothing but
permission to export.
ARE FORM:
It is an application for removal of excisable goods for exports from India by any
mode i.e. sea, air, post and land. It is required in cases where sealing of goods and
their examination takes place at the place of dispatch and also for dispatch of goods

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without examination. These forms are required to be printed in different colors to

facilitate disposal of goods for export in bond or under rebate of duty.

IMPORTS
IMPORT PROCEDURE

SENDING HIM THE

QUOTATION

Enquiry by customer

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ASKING CNEE TO SEND

NOMINATION TO US
AND ASK DETAILS OF
THE SHIPPER

RECEIVE INFO. FROM

ORIGIN COUNTERPART
(PRE ALERT)

DECISIO
N
YES

RECEIVING OF
DOCUMENTS/CONFO
RMATION OF
CHARGES

SCRUTINISE
DOCS.

FORWARD DOCS.
TO S/LINE TO
FILE MANIFEST

FILE BILL OF ENTRY

IN CUSTOM
(ADVANCE)

FOLLOW UP WITH
S/LINE FOR VESSEL
ARRIVAL DETAILS

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ISSUE CARGO
ARRIVAL
NOTICE

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CALL FOR DUTY

AND OTHER
CHARGES

VESSEL BERTHED

INTIMATE
CUSTOMER
VESSEL
ARRIVAL
DETAILS.
PAYING CUSTOM
DUTY ( T R 6
CALLAN )

FOLLOW UP WITH
S/LINE FOR
VESSEL
ARRIVAL
DETAILS
EXAMINE
GOODS AND
PAY PORT DUES

GET OUT OF CHARGE PASS

AND TAKE THE GOODS

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IMPORT DOCUMENT
Bill of Entry (B/E):
The Bill of Entry is the document on the strength of which clearance of imported
goods can be affected. The Central Board of Excise and Customs have standardized
the form of the Bill of Entry. As soon as the importer receives the advice of arrival of
the vessel the importers are required to present a document known as Bill of Entry,
either for Home Consumption or for warehousing the goods. The Bill of Entry is
noted in the Import Department.
Bill of Entry is of three types: A. Bill of Entry for home consumption: It is to be submitted when the imported
goods are to be cleared on payment of full duty for consumption of the goods in India.
B. Bill of Entry for Warehouses: It is to be submitted when the imported goods are
not required immediately the importer but here they are to be stored in a warehouse
without payment of duty under a bond and cleared later when required on payment of
duty. This enables the importer to defer payment of Customs Duty until the goods are
actually required by him. It is also known as "In Bond Bill of Entry".
C. Bill of Entry for Ex-Bond Clearance: It is used for clearing goods from the
warehouse on payment of duty. The goods are classified and valued at the time of
clearance from the Customs Port. Value and classification are not determined on such
Bill of Entry. It is green colored. The rate of duty payable is that rate which is
applicable on the date of removal of goods from the warehouse. If the rate of duty has
changed after goods are cleared from custom port, duty assessed in the in-bond Bill of
Entry and paid on ex-bond Bill of Entry will not be the same.
Import General Manifest (IGM No.):
This number is allotted to each and every shipment coming into India. This will help
in identification of shipment. This number is derived from Airlines. Without IGM no.
the bill of entry cannot be formed. It is given by the Custom Authorities.

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Delivery Order (DO):

The CHA takes it from the Shipping Company at the time of clearing the cargo from
the custom warehouse. The DO carries the name of the consignee, import Rotation
number, IGM number, and flight number, MAWB number, and HAWB number,
description of packages & nature of goods. Its a tool through which the payments are
recovered because DO allows the CHA to file for the Bill of Entry and it is also
required at the time of examination of the cargo. Act as a tool in securing money for
freight forwarder.
D.O. (Delivery Order)
It is an order to the shipping line to deliver the goods/cargo either to
CHA/Consignee
Duly endorsed by us (in case we are consignee) to deliver goods to
order
Types of the Delivery Order:
Container Delivery Order
Final Delivery Order (goods)
The logistics provider gives NOC for deliver order.
Cargo Arrival Notice (C.A.N):
Cargo Arrival Notice is invoice of F.F given to the consignee updating
him about arrival of the cargo
Shipping co. first sends it to us and we prepare our own and send it to
consignee
CAN CUM INVOICE
In can cum invoice freight amount along with cargo arrival notice is
send.
Certificate Of Origin:
The Importer requires certificate of Origin either for taking advantage of a preferential
tariff or to ensure that the particular goods of the exporting country are not banned. A
shipper can get Certificate of Origin from the export inspection council. The export
inspection council takes one invoice and puts a seal on the Certificate of Origin.
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IMPORT DUTY CALCULATION

Format
CALCULATION OF DUTY:
1. Total Value in Rs. = Invoice Value (in CIF term) X Exchange Rate.
2. Landing Charge = 1 % of the Total Value.
3. Total Assessable Value = Total Value in Rs. + Landing Charges.
4. Basic Amount = Basic Rate % of Total Assessable Value.
5. Value for the customs purpose = Total Assessable Value + Basic Amount.
6. Counter Vailing Duty = 10 % of Value for the customs purpose.
7. Education Cess = 2 % of Counter Veiling Duty (CVD)
8. SHE cess = 1% of CVD
9. Additional Educational Cess = 2 % of (Basic Amount + CVD + Educational Cess
+ SHE cess)
10. C. Cess = 2% of CVD.
11. H.S. Cess = 1% of (CVD + C. Cess. + Basic Amount)
12. Additional Duty = 4% of (Total Assessable Value + Basic Amount + CVD +
Edu.Cess + Add. Edu. Cess + C. Cess + H.S. Cess) = Y
13. Final duty to be levied Z = Assessable value Y

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EXAMPLE:
Education Cess - In addition, education cess of 2% and secondary and higher education
cess of 1% is payable.
Calculations of customs duty Calculation of duty payable is as follows Duty %

Amount

Total Duty

10,000

(A)

Assessable Value Rs

(B)

Basic Customs Duty

(C)

Sub-Total for calculating CVD '(A+B)'

(D)

CVD 'C' x excise duty rate

10

1100.00

1100.00

(E)

Education cess of excise - 2% of 'D'

22

22

(F)

SAH Education cess of excise - 1% of 'D'

11

11

(G)

Sub-total for edu cess on customs 'B+D+E+F'

(H)

Edu Cess of Customs - 2% of 'G'

42.66

42.66

(I)

SAH Education Cess of Customs - 1% of 'G'

21.33

21.33

(J)

Sub-total for Spl CVD 'C+D+E+F+H+I'

(K)

Special CVD u/s 3(5) - 4% of 'J'

(L)

Total Duty

(M)

Total duty rounded to

10

1,000.00

1,000.00

11,000.00

2133

12196.99
4

487.87

487.87
2684.869

Rs

2684.869

CAN & D.O. DEPT

The function of CAN and DO dept is to prepare CAN,DO and job sheets and also to
maintain Daily status report
CAN CUM INVOICE
Cargo Arrival Notice is invoice of F.F given to the consignee updating him about
arrival of the cargo
Shipping co. first sends it to us and we prepare our own and send it to consignee

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D.O. ( Delivery Order ) / NOC

It is an order to the shipping line to deliver the goods/cargo either to CHA/Consignee
Duly endorsed by us (in case we are consignee) to deliver goods to order
Terms of payment
CIF: Prepaid and FOB: Collect
Benefit for F.F
IMPORTS: Is when the term of payment is collect (FOB)
EXPORTS: Is when the term of payment is Prepaid (CIF)
ORIGIN: All Charges will be paid (Freight + Other Charges)
DESTI : All local charges would be collected
PP (Freight Prepaid)
CC (Freight Collect) s
NO

TERMS

ORIGIN

MBL

PP

CC

PP

CC

DEST

HBL

PP

CC

CC

PP

Debit Note & Credit Note (Receipt and Payment)

DEBIT NOTE:If we want to receive any payment from our counterpart / agent we issue debit
note to them

CREDIT NOTE:If we make any payment to our counterpart / agent we issue credit note to
counterpart / agent
The department also maintains a job sheet in which all the details regarding the
shipment/transaction and documents are filled for future reference

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AIRPORT DEPARTMENT
Air Imports
Steps
1. Counterpart books cargo in other country
2. After shipment of goods from exporters side, FF in India Receives document
online before the 24 hours of arrival of shipment.(pre-alert)
3. Pre-alert contain Master AWB, House AWB, invoice. Packing list & manifest
copy.
4. CHA enters all the details in software called TRAXON
5. Filing of all documents at ICE gate.
6. Before 3 to 4 hours of arrival of flight IGM No. is issued by airlines.
7. Segregation report(Tally manifest with actual cargo)
8. FF issues CAN to the importer which includes DO charges.(Number of CAN
issued is equal to the number of House AWB.)
9. Airline issues Console pouch which contain original copies of

MAWB,

HAWB, invoice, packing list.

10. Importer pays the DO charges to FF and received actual DO receipt.

EXPORT PROCRDURE
AIR EXPORTS
STEPS
1. CHA receive invoice & packing list from exporter
2. CHA enter all details into ICE GATE (customs website)
3. Shipping Bill No. generated
4. Checklist is generated
5. CHA file Air Way Bill
6. Booking of space in Airline
7. CHA apply for Carting order online.
8. Tally documents, NET weight is done
9. Sign on documents (I.e. cargo is permitted for the custom clearance)
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10. Examination by the officer & gave the report

11. LEO generated
12. Shipping Bill generates
13. Stuffed cargo loaded in aircraft.
14. After 24 hours of shipment CHA receives EGM NO By Airlines.
15. EP copy of shipping bill to customer.

DOCUMENTS FOR AIR IMPORT & EXPORT

Export Documentation
Invoice
Packing list
Airway bill
SDF form
Shipping bill
Fumigation certificate

Import Documentation
Airway bill
Invoice
Packing list
Delivery order
Bill of entry

LEARNINGS

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Pre alert is sent prior to arrival of cargo which contains various documents
(invoice , packing list , certificate of origin HBL , MBL etc)

IGM is to be filled prior to arrival of flight (if delayed custom charges penalty)

Segregation report of import cargo

If cargo comes in part shipment then there has to be amendment done with
customs and annexure for the remaining cargo to come

Traxon software used to file documents

Form N for exemption of octroi duty

DSR sent to client to keep them updated about their shipment

DIC certificate is needed when it is freight collect

Various documents which are needed for a shipment

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SALES
The function of sales department is to search for new markets and get business and
also maintain the existing customers, to analyze demand of the market and
accordingly make changes in the company.
Working with sales was an altogether different experience for us. A lot of hard work
and patience is required to perform in sales department. A lot of knowledge regarding
trade routes, price rates, INCO TERMS, about the STRENGTH of organization is also
needed to be a success in sales.
Also to find out the flaws in existing business with customer who have suddenly
switch to other service provider
Sometimes when the company is aggressive in market and the customer is a potential
customer the company may decide to take shipment in loss.

Some guidelines before we started with our sales:Introduction of our company and the products offered by us.
Asking about their EX/IM sectors and details regarding volume of shipments.
The most frequent terms of shipment.
Which is the existing organization with whom they are working with?
Rate indication if any.
By these guidelines we started our sales and visited various companies right from
small traders in nag Devi market to many factories in MIDC to big corporate in
nariman point
Had interaction right from watchmen to concerned person/ logistics managers
Got to know the potential markets

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CONCLUSION FROM OBSERVATIONS

o Summer Internship was our first step in the corporate world of International
Business and we realized to work in the service organization were one should
be very well aware of the changing rules and regulations of the industry and
trade policies.
o Working in different departments has made us understand how different
processes are internally connected and each cannot function independently.
Every department holds its own importance.
o There should be good co-ordination especially between sales and finance
department for organization to work smoothly
o After completing the internship, we can say that the practical experience along
with the theory covered during the first year of our course will prove
beneficial in the future.
o To conclude we would say that this summer training was a unique experience
where we got an insight into the supporting activities performed by service
organizations and the part it plays in the operations of international trade.

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