The last time you visited a grocery store or a Supermart, how many products belonged to overseas markets? There would’ve been hundreds of imported products to serve the customers in India. However, have you wondered how a packet of American snacks is performed on your plate? Or, how does a famous fashion statement from NYC make it to your wardrobe! Probably not! It might appear simple, but it takes a lot of effort, documentation, and legal processes to serve you products from overseas. There is a regulatory organization named DGFT that looks after the foreign trade element of India. To give you a better view of these happenings, we are here with a valuable piece of information.
Firstly, let’s look at the impact created by imports and exports on an economy.
Consumers are accustomed to seeing products from all over the world. These imported goods give consumers more options and a variety of products. Imports also help consumers manage their budgets because they are typically manufactured at a lower cost than any domestically produced product. There are various reasons for a product being economical in a particular country. The prime reasons include:
- Availability of the related natural products
- Availability of better and economic labor
- The authenticity of the product, etc.
Every year, thousands of businesses improve their bottom line and competitiveness by meeting the global demands for innovative, high-quality products & services. If you are a business looking for similar growth, you can achieve a higher growth trajectory, too, while simultaneously contributing to the development of the economy. If you have a good export strategy, it is all possible! Besides, various schemes and incentives outlined by the DGFT can help you well.
When it comes to increasing export sales, businesses have several questions, and you must have these questions too. The most common questions are:
- What is the appropriate market for my product?
- Where can I find buyers?
- How would I be compensated?
- What are the legal and personal requirements for carrying out the shipping goods?
- Where should I begin?
If you have found the appropriate answer to all these questions, you are probably on the right page. It is a mandatory step to ensure that these questions are made clear at the beginning itself.
Besides, one must also know that a trade surplus aids economic growth. So, before venturing, you must also ensure how your trade will help the country’s overall development. To simplify, here is the explanation:
When a country’s exports increase, it indicates a high output level from its factories and industrial facilities. Besides, it ensures that a more significant number of people are employed to keep these factories running. So, you have a positive side of employment too.
Next, the major plus is that when a company exports many goods, it also brings money into the country. This flow of money is in the form of dollars. The DGFT thrives on undertaking various measures to bring in more dollars. These dollars stimulate and contribute to economic growth. A company rich in dollars automatically becomes wealthy on multiple fronts.
The underlying Authority:
Under the Foreign Trade Policy, there are export promotion schemes. These schemes provide promotional measures to boost India’s exports. Like every task is done with a goal, these policies aim to offset the infrastructural inefficiencies and minimize the costs involved with a level playing field. The Ministry of Commerce is in charge of all foreign trade in India. At the more precise level, The Director-General of Foreign Trade (DGFT) holds the task of carrying out India’s Foreign Trade policy and designing the relative measures.
The export landscape with online medium:
Since the world is more inclined towards the digital revolution, more customers get things online. We have one easy and efficient way to sell the local goods in global markets with this. It can be done with the facilities like Amazon Global Selling. Amazon has a solid and vast network all across the globe that can deliver goods throughout the world.
Many sellers are coming together to access this platform and grow the business multifold. The comprehensive portfolio of products and accessibility worldwide has made this platform the most sought-after one!
Here are a few reasons why you should think about exports through this platform:
Demand: As already stated, a lot of consumers prefer shopping online. The competitors and businesses are expanding global market shares on these platforms so that you can do the same too. As per the estimates of DGFT, the demand for Indian goods can see a multifold demand if they are correctly channelized on the online portals.
Access: Exporting does not have to be a difficult task. Mainly, if you are running a small-scale business, things can get more complex for you. But for better aid, the Internet, logistics channels, trade agreements can be the sources of available export assistance. The Indian government and its partners have made exporting feasible for even the smallest businesses. And here, these businesses can cash the opportunity.
An advantage in competition: India is known worldwide for traditional handicrafts, spices, innovative goods, and special services. Besides, the excellent customer service and ethical business practices act like icing on the cake. With this benefit, India can be a global player, competing efficiently with the rest of the world.
Risk Reduction: Most businesses involved in exports and related industries have an easier time weathering fluctuations of the economy and are more likely to survive. Since these businesses have access to a broader market platform, they are on the safer side. The support from the regulatory authorities like DGFT also ensures a healthy business for the businesses around!
Profitability: Exporting can be a profitable venture for all types of businesses. But here, the clause is that you have picked the right strategy, selected a promising product, and done an intelligent analysis. If you are right at these elements, your sales will probably grow faster, there will be a chance of higher job creation, and you will be able to earn more compared to the non-exporting firms in the same industry or business.
Considering so many advantages, it is affirmative to say that carrying out an international venture will open the door of possibilities for Indian businesses, no matter their scale of operations. So, what are you waiting for? Start exploring the opportunities today.