Smart Business Event on finding 'Opportunities in International Business'

Business Standard Smart Business in association with the Federation of Indian Export Organisations (FIEO) and FMC organised an interactive session on ‘Opportunities in International Business’.
 

Mr. Gaurav Gupta, Punjab North Head, FIEO started the session with a welcome address. He welcomed all the dignitaries and industry members for the session. He also explained all the members about the session. He said payments for exports are open to risks even at the best of times. The risks have assumed large proportions today due to the far-reaching political and economic changes that are sweeping the world. An outbreak of war or civil war may block or delay payment for goods exported. A coup or an insurrection may also bring about the same result. Economic difficulties or balance of payment problems may lead a country to impose restrictions on either import of certain goods or on the transfer of payments for goods imported. In addition, the exporters have to face commercial risks of insolvency or protracted default of buyers. The commercial risks of a foreign buyer going bankrupt or losing his capacity to pay are aggravated due to political and economic uncertainties. Export credit insurance is designed to protect exporters from the consequences of payment risks, both political and commercial, and to enable them to expand their overseas business without fear of loss.

Mr. Rakesh Kumar, Head Chandigarh ECGC, said that ECGC Ltd. (Formerly Export Credit Guarantee Corporation of India Ltd.), wholly owned by Government of India, was set up in 1957 with the objective of promoting exports from the country by providing Credit Risk Insurance and related services for exports. It functions under the administrative control of Ministry of Commerce & Industry, and is managed by a Board of Directors comprising of representatives of the Government, Reserve Bank of India, the banking, insurance and exporting community. ECGC is essentially an export promotion organisation, seeking to improve the competitiveness of the Indian exporters by providing them with credit insurance covers. ECGC keeps its premium rates at the optimal level.

Mr. Navjot Pal Singh, Executive Officer ECGC, shared the details of the procedure for the traders on how they can avail the opportunities. They provide a range of credit risk insurance, which covers the exporters against loss in export of goods and services. Export Credit Insurance covers the banks and financial institutions, which enable exporters to obtain better facilities from them.

Mr. Vijay Paul, Srinagar Branch Manager, ECGC explained the different types of products available for the exporters in detail. He said that there are different types of products available for the exporters according to what they require for their business.