Sunil RaithathaVinodrai Engineers Pvt. Ltd Jalna. 21st Sept 2011. LUB National Conference.

• I thank LUB Deogiri Prant for giving me opportunity.

Goal Of Presentation

To share knowledge & expierence as Exporter.

If possible motivate You.

An Ancient Expertise

1700 Map Of Silk Route

Historical Facts

China

India

USA

Japan

Why to Export What is for me.• Expanding Market Geography.• Real Value for your

products .

• Precious Foreign Exchange Earning for Country.• No Excise , No VAT & Incentives from GOI.• Better Cash Flow & Bank Support.• Demanding Customer, Technological Up-gradation.• Investment in manufacturing infrastructure viable.• Investment in R & D , Market Development feasible.• Healthy Competition.• Motivated Manpower.• Happy & Supportive Suppliers.

Expanding Market Geography• Story of Woodcutter.

True Market Value• Local or Domestic Market may not give you

true value of your product and services.

• You keep on working on Cost +/- basis.

Foreign Exchange

• Export only can generate required Foreign Exchange needed for country.

• So government will always supports Exporters and offers incentive.

No Excise , No Vat + Incentive• Peaceful Sleep.• Pass On Benefit to get Market Share.• Government Gives Incentive Utilize

it.• Duty Drawbacks, Export Promotion

Schemes.

Better Cash Flow & Bank Support.• Money comes on time and as per

promised schedule.• Most of the time it is CASH or LC

basis.• Bank Offers Packing Credit / LC

discounting at LOW RATES. RBI rules in favor of Exporters.

Demanding Customer.• Technological Up-gradation.• Product range increases as

need of customer varies from country to country.

• Customer driven R & D.• Customer participation in

development and improvements.

Investment in manufacturing infrastructure viable.

Investment in R & D , Market Development feasible.

• PLC based machine with HMI.

• Remote Software Support.

• Participation in International Exhibitions.

Healthy Competition.

• Order only depends on

your Quality, Price ,

Service & Reliability.

Motivated Manpower.

• Working in Export unit is pride.

• People get chance to go Abroad.

• Earn $ , Pay $.

• Social Reorganization Status.

Happy & Supportive Suppliers.

• Support of Supplier is Very Important in India.

• You can keep supplier happy

by Timely Payments &

better value for their service.

How to Export• Know your potential.• Know your costing & pricing.• Study your competitiveness. Cost of Engineering is lowest in India.• Understand why customer should buy your product.• Participate in Exhibition, Prepare and Plan for participation.• Learn to communicate & project your business.• Learn to make Quotations & Performa Invoices.• Understand Incoterms.• Understand International Payment Methods• Learn Basics of Letter Of Credit.

Know Your Potential.• Know your potential.

• If you are supplier to Bajaj, don’t think that you are only Auto Component maker. Think that you are Engineering Component Manufacturer.

• Engineering is very competitive in India.

• Example Riyadh Shaft.

Know Your Costing.• Know your costing & pricing.• No Taxes • Consider Refund of VAT & Excise.• Export Worthy Packing, Fumigation.• Stuffing / Clearing Agent / Freight to Port• THC charges.

Know your competitiveness• Study your competitiveness. Cost of Engineering is

lowest in India.

• Commissioning Services of Vinodrai.

• Supply Skilled Personal.

Why Buy Your Product.• Understand why customer should buy your product.

• How you stand against other offerings from International Sources.

• Your Strengths & Weakness

Participate in Exhibition.

• Participate in Exhibition, Prepare and Plan for participation.

Effective Communication• Learn to communicate & project your business.

• Decent Company Profile Document.

• Catalogues & CD.

• Specification Sheet.

• Answer most of the anticipated

questions.

Performa Invoices

• Learn to make Quotations & Performa Invoices.

• Quotations in US $ or Euro.

How to Incoterms• Understand Incoterms International Commercial

Terms.

• UCP 600 International Chamber Of Commerce.

• FOB / CIF etc.

Payment Methods.

• Understand International Payment Methods.

Letter Of Credit.

• Learn Basics of Letter

Of Credit.

Learn to use Internet.• Learn to exploit potential of Internet.• Website , E Mail, U-Tube, Discussion Groups,• Use Google Ad Word / Search Engine Optimization. • Member of International Association.• Use International Couriers.• Keep in touch with Indian Working Abroad & NRIs.• Market your products to Exporters.

If you are successful in India• There are more than 180 countries to export. If

you are supplying components or services to any big or MNC company in India, more than 1,00,000 companies in the world is looking for same services around the globe. They will not come to you, you need to reach out to their mind.

Not just Europe & US• Export does not only mean supplying high quality

value added items to developed countries like US & Europe.

• Export also means that you supply what ever you are making to any country willing to pay your price.

Language is no barrier• Does not matter if you are not fluent in English.

• Most of the Manufacturer from China do not speak English.

• Language of Profit is Universal & every one understands it.

Myth about Export• Export is not my cup of tea.• I am too small to export.• I do not have exportable product or service.• For export I need very high quality product and state of art

manufacturing technology.• I need to be highly qualified person with fluent English.• Export is too risky.• I am too busy serving local market. • Exporting is Too Complicated.• Market Development Expenses are too high.

Conclusion• Our forefathers were doing it. We can do it.

• There are many successful exporters in your region, there is no reason why you should not be one of them.

All The Best

Thank You

Questions