SAFTA stands for South Asian Free Trade Area and includes multiple countries – Afghanistan, Bangladesh, Bhutan, India, the Maldives, Nepal, Pakistan and Sri Lanka. The DGFT provides Indian exporters and importers with a SAFTA License, which is essentially a certificate of origin. The commercial invoice is supplemented by a SAFTA certificate to identify the nation of origin. Know all about SAFTA Certificate Online of Origin for Exporters through this article.
What is a Certificate of Origin?
A Certificate of Origin (CO) is a crucial part of doing business internationally; it proves that all the inputs and outputs in an export shipment came from the country specified on the certificate. Without a Certificate of Origin, the Customs officer responsible for inspecting exported or imported goods will not release the articles from storage. It is the Customs officer’s responsibility to determine whether or not the goods being exported or imported are in contravention of any restrictions based on the information provided on the Certificate of Origin. This means that without a COO, you cannot legally do trade internationally.
What is a SAFTA Certificate Online of Origin?
Certificate of Origin is also known as SAFTA Certificate or SAFTA License. DGFT is responsible for issuing this document. SAFTA Certificate Online is required for both exporters and importers along with other important registrations such as AD Code Registration and Import Export Code Registration. The commercial invoice is completed by including the information from the SAFTA Certificate to verify the country of origin of the sent items.
South Asian Free Trade Agreement is the entire official abbreviation. Afghanistan, Bangladesh, Bhutan, India, the Maldives, Nepal, Pakistan, and Sri Lanka are the member nations of SAFTA.
Who should get a SAFTA Certificate Online?
- Merchant Exporter
- Manufacturer Exporter
- Service Providers to the international clients
- Service Receivers or Importer of Services
Significance of SAFTA Certificate Online in your business
- It is required that the Certificate of Origin be included with the business invoice when importing or exporting goods. An online SAFTA Certificate is a legally binding document used to confirm a product’s place of origin before it is allowed into the importing country.
- The SAFTA Certificate Online is required for exporters to take advantage of any benefits available to items with an Indian origin (Make in India) in the country of export.
- A SAFTA License grants the exporter the right to avoid paying taxes in any of the SAFTA member states. Ordinarily, a company is not required to charge GST through GST Registration if the exporter provides a certificate of origin or SAFTA Certificate Online alongside the bill or invoice. Learn more about it at: GST registration mandatory for export of services in India
- An exporter with SAFTA certification benefits from increased sales and favored treatment in the marketplace. When goods are exported from one country to another, the importer in the receiving country might save money if the exporter does not include GST in the selling price. Importers in other countries are more likely to do business with an exporter whose conditions are “Base Price + No Tax.”
Document Requirement to obtain SAFTA Certificate Online
- Digital Signature Certificate
- Import-Export Code
- Information about the company’s registered office, including its name, email address, phone number, and location, as well as the names of its partners, directors, managing directors, or proprietors.
- Specifics about each business office location, including address
- GST Registration number
- Details of trade agreement, issuing agency, regional office and issuing office
In Conclusion, SAFTA Certificate Online is an important legal as well as beneficial requirement for both importers and exporters. This article discusses the important aspects of SAFTA Certificate Online and if you wish to know more, you can contact the SAFTA Certificate experts at: 8881-069-069 or [email protected].
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