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Exporters blocking lakhs in GST… for no reason.

🚫 Exporters blocking lakhs in GST… for no reason.

Most businesses don’t realize this:
👉 You don’t always have to pay 5%, 12% or 18% GST when supplying goods for export.

There’s a smarter route.
💡 If you are supplying to a merchant exporter (third-party exporter), you can use:
✔️ 0.05% GST (Intra-State)
✔️ 0.1% GST (Inter-State)
Yes—almost ZERO.

📦 How it works:
You (Supplier) → Merchant Exporter → Foreign Buyer
Instead of paying full GST and waiting months for refunds,
you supply at a concessional rate and keep your cash flow intact.

⚠️ But this is where most businesses make mistakes:
🔹 Export must happen within 90 days
🔹 Invoice & shipping bill must match perfectly
🔹 Goods must move to port / registered premises
🔹 Export proof is mandatory
Miss these—and you lose the benefit.

💸 Real impact:
I’ve seen companies block ₹20–₹50 lakhs in GST
simply because they didn’t use this structure.

🚫 Also, let’s clear confusion:
This is NOT zero-rated supply
This is NOT a loophole

👉 It’s a legal concessional GST mechanism designed to promote exports.

📌 Smart exporters don’t just focus on sales.
They optimize structure, compliance, and cash flow.
💬 Are you still paying full GST on export supplies—or using the 0.1% route?

Simply Export thru Sow Exim
91 9944430392
ceo@sowexim.com
www.sowexim.com

Category: Exim | Shipping | Logistics
Location: Tamil Nadu, Coimbatore
Type: Collaboration Request

Posted by: R.N. Muralidaran

Bio: Logistics and Export Consultant

Link: http://www.sowexim.com

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