SEMINAR ON PRE-SHIPMENT & POST-SHIPMENT CREDITS & FINANCE FOR EXPORTS ORGANISED BY FIEO AT LUDHIANA

Ludhiana, September 19, 2017: Federation of Indian Export Organisation (FIEO) Punjab Chapter in association with State Bank of India organised an "Interactive Seminar on Pre- Shipment & Post-Shipment Credit & Finance for Exports'' at Ludhiana. Mr Vinay Kumar, Chief Manager (Credit & NPA) along with Ms Rupinder Kaur, Manager, State Bank of India joined the session as experts and interacted with participating delegates on how to avail credits & finance for exports business operations.

Mr Vinay Kumar during his presentation said that , “Pre Shipment credit is issued by a financial institution when the seller wants the payment of the goods before shipment. The main objectives behind pre-shipment Credit or pre export finance are to enable exporter is to: Procure raw materials, Carry out manufacturing process various other steps involved prior to the shipment. The Post shipment credit means any loan or advance granted or any other credit provided by a bank to an exporter of goods and services from India from the date of extending credit after shipment of goods to the date of realization of export proceeds. Both the Pre & Post credits are very important for overseas business operations. In today’s world, the Credit and Finance plays a very important role in business operations, especially, in case of exports, the availability of finances, both before and after shipment(s) are vital, as the exporters faces various challenges during the process, right from offering a competitive price to meeting the committed delivery timelines to compete with their rivals, which further help in capturing a particular share for their product in export market”.

He also added that,”The selling techniques are no longer confined to the parameters like quality, price or delivery schedules of the products, but are also extended to payment terms. Liberal payment terms generally score over the competitors of the same or similar products, so knowledge about the availability of finances both the before and after the shipment of consignments have become important and integral in today’s competitive scenario. Availability of finances and sound knowledge of various financial options also offers a great benefit in a business process as it helps organizations in executing larger orders”.

Ms Rupinder Kaur during her interaction sensitized participants about the advantage of dealing in Foreign exchange markets and she said that, “The Foreign exchange Market, also called as Currency Markets is a global decentralized market for the trading of currencies. It includes all aspects of buying, selling and exchanging currencies at current or determined prices. In terms of trading volume, it is by far the largest market in the world, followed by the Credit market. High liquidity, 24-hour market, low transaction costs, leverage, and the potential to profit from rising and falling prices are few significant benefits which the FX markets offers, due to such beneficial factors a lot of new traders keeps joining the FX market every month. The volume of transactions which are executed are quite high, mainly due to the fact that many major global players deals in foreign exchange markets, which offers advantages to the others average players as well as to the new entrants”.

The session received a positive response ad was well attended by more than 50 senior level representatives from prominent organisations from the region.