Rupee_ FC export credit and customer services to exporters

Pre-shipment rupee export credit (packing credit) can be sanctioned for a maximum period of 360 days from the date of first disbursement, though banks may grant it initially for up to 180 days and extend further.

Generally up to 180 days from date of first disbursement.

RBI's Master Direction on Interest Rate on Advances governs rupee export credit interest rates; banks are free to fix rates linked to their MCLR or any other benchmark, but concessional rates were deregulated and left to banks' discretion since 2010.

LIBOR or relevant benchmark rate plus applicable spread.

Pre-shipment credit (packing credit) is extended from the date of sanction till the date of shipment to help the exporter procure raw materials and manufacture goods, while post-shipment credit is extended after shipment of goods to bridge the gap until payment is received from the overseas buyer.

Concessional rates on export credit as per RBI directives.

If the exporter fails to ship goods within the stipulated period, the packing credit becomes overdue and banks are required to charge penal interest on the outstanding amount from the date of advance, and the credit loses its priority sector or concessional rate status.

Goods supplied to projects funded by foreign exchange qualify.