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INTRODUCTION : You have learnt various provisions of Exchange Regulations. Export financing is another important area of export business. Export finance refers to the credit facilities extended to the exporters at pre-shipment and post-shipment stages. It includes any loan to an exporter for financing the purchase, processing, manufacturing or packing of goods meant for overseas markets. Credit is also extended after the shipment of goods to the date of navigation of export proceeds. In this unit you will learn various schemes of finance available to exporters at pre-shipment and post-shipment stages. You will also be acquainted with the role of EXIM Bank in export finance.
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Post-shipment Credit in Foreign Currency : The exporters have the option of availing of export credit at the post-shipment stage either in rupee or in foreign currency. The credit
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