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b. Quantity goods available

c. Price per unit

d. Terms of shipping

e. Terms of payments i.e. Letter of credit Documents against Acceptance
(D/A) or Documents against Payment (D/P)

f. Probable delivery time

g. Validity of offer period

Importer responds to enquiry by sending proforma invoice.

3. Obtaining Foreign Exchange

Since importer has to settle import bills in foreign currency, he has to obtain
foreign exchange. Importer has to provide IEC code in the form supplied by
authorized dealer to get foreign exchange.

The importer has to submit an application along with necessary documents to
the Exchange Control Department of RBI. After scrutinizing the said
application, the Reserve Bank of India will sanction the release of foreign
exchange.

4. Placing an Indent Order

Importer places an order either directly or through an indent houses. The
indent contains the details like type of goods, design of goods, price, quantity,
grade, packing instructions, insurance, delivery mode, desired delivery period,
mode of period, mode of shipment, etc.,

5. Opening Letter of Credit (L/C)

Where foreign exporter does not know Indian importer, he may like to ensure
the creditworthiness of the unknown importer. In such a case, exporter may
advise the importer to arrange for letter of credit in his favor.

Letter of credit is a document under which issuing bank undertakes to make
payment on behalf of the importer or to the order of importer in exchange for
specified documents from exporters bank. The letter of credit is issued only for
financially sound importer. Exporter’s bank eventually sends the document to
issuing bank which releases the payment.