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In the Sugar Season 2003-04 there was a steep decline in sugar
production due to drought in some of the major producting areas,
and the industry resorted to import of raw sugar for reprocessing
into white sugar to augment domestic supplies. As an organization
of the industry ISEC offered its services as a facilitator to the
sugar mills for impoting raw sugar under advance licence scheme.
Since the last quarter of 2004, ISEC has contracted for import of
about 0.33 million tonnes of raw sugar out of total import contracts
of about 2.14 million tonnes during this period.
ISEC's services include :
- Concluding purchase orders with international sellers at the
best possible price and terms on behalf of the sugar factories.
- Assisting the factories in obtaining import/export code from
Directorate General of Foreign Trade, Registrations-cum Membership
Certificate (RCMC) from Federation of Indian Export Organisations
and Registration-cum Allocation Certificate (RCAC) from Agricultural
and Processed Food Products Export Development Authority.
- Arranging discharge of sugar at the ports, its storage and movement
to the factories, appointment of stevedores, C&F Agents and
surveyors and attending to Customs formalities etc.
ISEC does not collect any service charges from the factories. On
the other hand, it is bearing part of the expenses like LC opening
charges and the cost of bags for packing raw sugar imported in bulk.
ISEC has also taken initiative in bringing about more flexibility
in the Exim Policy regarding import of raw sugar under advance licence
scheme.
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