2. Three Methods of Inspection
Consignment wise inspection
In-process Quality Control
Self Certification
3. Consignment-wise inspection
Under this system, each consignment, in packed
condition, is subjected to detailed inspection by the
Export Inspection Agencies.
They conduct the inspection on the basis of statistical
sampling plan.
If the goods conform to the stipulated quality, they issue the
inspection certificate.
The certificate also carries a validity period before which the
export consignment must be shipped.
In case of consignment-wise inspection, actual export
consignment, in packed condition, is taken for inspection.
4. In-process Quality Control
Certain commodities like paints and allied
products, linoleum, ceramics, printing ink,
sanitary wares etc. come under the purview of
In-process quality control.
In case of continuous process industries, an
option is given to them to become approved
“export-worthy” unit, as they possess the requisite
infrastructure for manufacturing/processing
products of standard quality.
This status enables them to conduct inspection and
give declaration and based on their declaration, they
get inspection certificate.
5. Self-Certification
It is a self-certification system
It is based on the concept that the
manufacturing unit which has in-built
responsibility for quality control should have
the freedom to certify its own product for
export.
6. PROCEDURE FOR PRE-
SHIPMENT INSPECTION
There are different procedures for
obtaining pre-shipment inspection
certificates.
7. 1. Consignment-wise
Inspection
The following procedure is applicable to all the
notified products by the Export inspection
Council.
Application to
EIA
Deputation of
Inspector
Inspection
and Testing
Packing and Sealing of
Goods
Submission of Report
to EIA and issue of
Inspection Certificate
Issue of Rejection
Note
Appeal
against
Rejection Note
8. 1. Application to EIA
The exporter has to apply in the prescribed
„Intimation for Inspection‟, well in advance, to the
date of shipment to avoid delays, along with the
following documents:
Copy of export contract;
Copy of letter of credit;
Details of packing specifications;
Commercial invoice giving evidence of FOB value of
export consignment;
Crossed cheque/DD in favour of EIA towards
inspection fees and
Declaration regarding importer‟s technical
specifications.
9. 2. Deputation of Inspector
After getting the ‘Intimation for Inspection’,
EIA deputes an inspector to conduct an
inspection of the consignment, in packed
conditions, at the factory/warehouse of exporter.
The exporter should keep the consignment, in
packed condition for export, ready for inspection
at the appointed place and time.
10. 3. Inspection and Testing
The inspector conducts inspection on a
random basis.
He will conduct inspection with reference to the
agreed specifications, which should not be inferior
to the notified specifications.
Samples may be drawn and sent to the laboratory, if
required.
Where testing facilities are not available at the exporter‟s
place, sample may be sent to the private independent
laboratories.
Inspector submits the field report based on his inspection
and test results obtained.
11. 4. Packing and Sealing of
Goods
If the inspector is satisfied with the quality of
goods, he issues order for packing of goods in
his presence.
After packing, the consignment is marked and
sealed with the official seal of Export Inspection
Agency.
12. 5. Submission of Report to EIA and
issue of Inspection Certificate
Based on the field inspection report,
the Deputy Director, Export Inspection Agency
issue the Inspection Certificate to the exporter, in
triplicate, which will be disposed as under:
The original copy is to be submitted to the customs.
The duplicate copy is dispatched to the importer.
The triplicate copy is retained by the exporter for his
record.
13. 6. Issue of Rejection Note
If the inspection report is not favourable, the
Deputy Director of EIA issues Rejection Note.
14. 7. Appeal against Rejection
Note
Exporter can file an appeal against the
order of the Deputy Director, EIA.
The appeal is to be made within 10 days from the
date of receipt of Rejection Note.
On receipt of the appeal, EIC arranges to
convene a meeting of the Appellate Panel. The
appellate panel reviews the inspection report and
examines the consignment again, if necessary.
The decision of the Appellate Panel is final and
binding on both the parties i.e. Exporter and
Export Inspection Agency
15. 2. In Process Quality Control
Manufacturing/processing units, having
continuous processing system, are given an
option to become “export-worthy” status units so
that they get the inspection certificate, based on
their own declaration.
These units are highly quality conscious and conduct
thorough quality control at each and every stage of
production that includes:
Raw materials and bought out components,
Process control,
Product control and
Packing and packaging control.
16. Export-worthy Status Units
These units possess the required infrastructure
facilities for manufacturing/processing standard
quality products.
To secure recognition and approval of “export-
worthy” status, export-oriented
manufacturing/processing units have to submit a
application, in the prescribed format, to Export
Inspection Agency.
Based on the declaration of the unit that the goods have
been manufactured/processed, as required under the
prescribed regulations, the agency issues certificate of
inspection.
The EIC and inspection agencies ensure that adequate
17. 2. In Process Quality Control
After a preliminary visit by the officer of Export
Inspection Agency, it appoints a panel of experts to
investigate the quality control facilities available in the
unit.
The panel thoroughly investigates the quality control
facilities available from the stage of raw materials to
packing. It submits its report to the agency.
On the basis of those recommendations, the unit is
accorded the status of an “export-worthy” unit.
The Export Inspection Council may recognise a
manufacturing unit as an “export-worthy”, only after
ensuring that the unit is adequately supported with facilities
for the enforcement of quality control standards required by
the Council.
18. 2. In Process Quality Control
Such a unit is allowed to inspect and clear the
goods for export, without inspection by the
Export Inspection Agency.
19. 3. Self Certification
Certain manufacturing units are given the
freedom to certify their inspection
certificates.
The philosophy behind the scheme is that
manufacturing units, with proven track record
of maintenance of quality, deserve to enjoy
the freedom for issuance of pre-shipment
inspection certificate themselves.
The essential condition is that the unit has not
received any complaint during the last three
years.
20. 3. Self Certification
For the purpose of qualifying to become eligible,
the reputed manufacturing unit should comply
with the prescribed norms that include the
following:
Product Quality
Design and Development
Raw materials/Bought out Components
Organisation and personnel for quality control
Process Control
Laboratory
Quality Audit
Packaging
After-sales-service and
21. 3. Self Certification
After conducting inspection, EIC recognizes the
units for issue of self-certification.
The approved unit under this system is
recognised by notification under section 7 of
the act as the Agency for Quality Control and
Inspection of specific products, manufactured
in the unit.
Validity of such recognition is for a period of
one year.
Period may be extended provided the unit
continues to enjoy the above facilities.
22. Exemption from Pre-Shipment
Inspection
The following units are exempt from the
requirement of compulsory pre-shipment
inspection:
(A) Export House, Trading House, Super Trading House and Super
Star Trading House;
(B) 100% Export oriented unit set up in the Export Processing Zones
or Free Trade Zones;
(C) Where the overseas buyer does not want pre-shipment inspection
certificate and
(D) Products bearing ISI mark or the AGMARK for exports.