A merchant exporter has to register at the GST portal to avail of the benefits of all the incentives. Governments have, time and again, introduced multiple schemes and incentives to promote this kind of exports. There are several merchant exporters that operate in India and contribute richly to the country’s exports.
The goods bear the name of the merchant exporter and not the original supplier. Once the sales order is received, the merchant exporter asks his supplier to supply the necessary quantity of goods, which then the exporter ships to the client. The merchant exporter acquires leads and subsequently more business through these efforts. Instead, these exporters identify suppliers who manufacture the goods and then sell the same to their potential overseas buyers.Īfter building a network of suppliers, merchant exporters look for buyers by adopting various marketing gimmicks like email and social media campaigns, developing an informative website, running pay-per-click campaigns on the internet, etc. This means that the merchant exporters do not have to set up manufacturing units. Merchant exporters work just how a manufacturer exporter works, except that they do not produce the goods. Who is a Merchant Exporter?Ī merchant exporter is an individual or a company that procures ready-made goods from a supplier, finds a buyer, and then exports those products to the buyer.
These exports typically pertain to the export of goods and not services.
Merchant exports are goods that an exporter doesn’t manufacture but instead purchases from a local supplier for exporting to the buyer.
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