Merchant and manufacturer exporters including those with foreign equity may apply for classification as Export Houses and Trading Houses and avail of special associated benefits. There are 4 such categories.
The criterion used for recognition of an exporter in one of these categories is the average FOB value or Net Foreign Exchange (NFE) earned through physical exports during the three preceding years or during the preceding year whichever is opted for by the exporters. However, recognition as a Super Star Trading House requires exports in a minimum of at least three product groups. In addition to physical exports, other specified exports and services for which payment is received in free foreign exchange also qualify for the purpose of the eligibility criteria. Special weightages are given to certain categories of exports in calculating the NFE earned and assessing the export performance of a company in deciding its classification.
The status conferred under these categories is generally valid for three years from April of the licensing year during which the application is made.
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