Each definition is true in every country. The In India line under it
is what India’s own rules do with it — generated, not written, so it
cannot drift from the calculators.
HS code
The international product number. The first six digits are agreed worldwide by the World Customs Organization; each country adds its own digits after those six. It decides your duty rate, your licences and your paperwork.
In India
— 8 digits, ITC-HS, set by DGFT / CBIC.
Incoterm®
One of eleven three-letter rules saying who pays for what and at which point the goods stop being your risk. It is not a delivery address; it is a division of cost and liability, and two of the eleven oblige the seller to buy insurance.
FOB
Free On Board. The value of the goods loaded at the port of export, without the freight or the insurance onward.
In India
— export refunds are worked out on this figure.
CIF
Cost, Insurance and Freight. FOB plus the freight and insurance to the destination port.
In India
— duty is charged on an assessable value built from this.
Assessable value
The figure the destination’s customs applies the duty percentage to. Get this wrong and every line below it is wrong.
In India
— CIF plus what the statute adds — the customs value, never the invoice.
Duty
The tax the destination charges for letting the goods in. Nobody gets it back, anywhere. It is a real cost and it belongs in your selling price.
Duty chain
The order the levies are applied in, and what each one is charged on. Some countries charge a single line; others stack several, one of them on the total of the others. The sequence is the calculation.
In India
— 4 levies: Basic customs duty → Agriculture levy → Health levy → Social Welfare Surcharge — the last charged on the total of the ones above it.
Import VAT, IGST, import GST
A consumption tax charged at the border that a registered business normally reclaims. Whether it exists, and what it is charged on, is decided entirely by the destination.
In India
— IGST, on the assessable value, and again on the duty.
Input credit
The mechanism that gives that tax back. Where a country charges no border tax there is nothing to reclaim, and an exemption that stops the tax arising is not the same thing as a refund.
In India
— called Input Tax Credit (ITC).
Landed cost
Everything the goods have cost you by the time they are in your warehouse: purchase price, freight, insurance, duty, clearance and inland transport. Not the invoice value, and never the invoice value.
Zero-rated export
An export invoice that carries no consumption tax. Some countries want an instrument filed first; most simply zero-rate it.
In India
— Under LUT or bond — no tax on the export invoice; With payment of IGST, refunded after shipment.
Customs registration number
What identifies you to a customs authority. It is separate from your tax number, and you need both.
In India
— IEC code, alongside your GSTIN.
Export incentive
Money back from your own government for exporting. Plenty of countries offer none, and a calculator that invents one is worse than a calculator that says so.
In India
— RoDTEP and Duty drawback.
Customs exchange rate
The rate customs values your consignment at. It is set by the authority, not by the market and not by your bank — routinely three different numbers on the same day.
In India
— a rate published monthly, and it is not the market rate.
Proceeds deadline
A rule requiring an exporter to be paid within a set time and prove it. It is exchange-control regulation rather than commerce, and most countries impose no such rule at all.
In India
— 9 months from shipment, evidenced by BRC / eBRC (RBI / FEMA).
The delivery terms get a section of their own, with all eleven side by side —
who pays for what.