Imitation jewellery firms with a good record of business (six years) and a bank statement for the respective period are eligible to obtain IEC
Ram Subrahmanyam Thota, alumni of The Indian Institute of Planning and Management (IIPM), has secured an Importer-Exporter Code (IEC) for export of the famous Machilipatnam imitation jewellery to foreign countries, particularly to Europe.
Mr. Ram’s firm, Usha Gold Plating Works, got the nod for foreign trade from the office of the Joint Director General of Foreign Trade, Secunderabad, on May 19 (IEC certificate no. 0914003712 under the Merchant Exporter category).Indirect export
Till now, Mr. Ram’s firm had been involved in indirect export of the jewellery through Mumbai-based agencies to countries like Singapore, Malaysia, East Germany and Lebanon.
“Imitation Jewellery firms in the Machilipatnam Jewellery Park have to rely on agencies with IEC Code which had been exporting our products. But that system denied us a platform to highlight our brand name in the global market,” says Mr. Ram.Good record
Imitation jewellery firms with a good record of six-year business and a bank statement for the respective period are eligible to obtain the IEC. “We hope that the IEC facility provided by the Ministry of Commerce and Industry will help our industry to expand business ties with foreign nations. Since the banks recognise the IEC code-holder by providing a “letter of credit account’ in the bank, the respective firm can easily strengthen business tie-ups with foreign customers, he explains.
Quoting Indian Institute of Fashion Technology-Hyderabad’s study (2013) on the Machilipatnam Imitation Jewellery Park, the IIPM alumnus said that the annual business turnover of the park was estimated to be above Rs. 500 crore.
There are at least 20 imitation jewellery firms that are eligible for IEC in Machilipatnam, which have business deals with foreign customers indirectly.