As per the FTP 2015-20 chapter 8, GOI has taken a step to ensure or to project a good image of the country abroad. Here a body has been created which solves the complaints or trade dispute between importer & exporter. It helps to create confidence in the business environment.
Following types of complaints may be considered:
- Complaint received from the foreign buyer in respect of poor quality of the product supplied by the Indian exporter.
- Complaint received from the Indian Importer in respect of poor quality of the product supplied by the foreign exporter.
- Complaint of unethical dealing
- Partial/short supply of goods
- Supplying commodity other than the ones as agreed upon
- Late delivery of product
Obligation on the part of Importer / Exporter:
- Exporter & Importer both are liable to furnish authenticated details in shipping bill or bill of entry.
- They have to mention the value, quality & description of goods.
- Also, they have to mention quality & specification of the goods as per the terms of the contract done.
- If any of the parties are violating the T&C of the contract, then the other party can take legal action.
- Certain export commodities have to compulsorily go to quality control & pre-shipment inspection prior to export. If prior inspection not done then it is liable to penal action under the Export Quality Control & Inspection Act, 1963 as amended in 1984.
Mechanism for the handling of complaints/disputes:
To deal effectively with the quality complaints & trade disputes a committee has been created which is named as “Committee on Quality Complaints & Trade Disputes” (CQCTD). CQCTD is responsible for enquiring & investigating into all quality & trade-related complaints. It is supposed to act within three months of receipt of the complaint.
CQCTD is only supposed to act reconciliatory (restore the relation) & the aggrieved (feeling cheated) party, whether foreign buyer or the Indian importer, is free to take any legal action on the erring party.