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Classification of Laboratory Chemical Imports for Traders
Classification of Laboratory Chemical Imports for Traders
Traders importing laboratory chemicals must classify these goods under appropriate chapters/headings in the Customs Tariff Act, 1975. According to the recent amendment through Notification No. 62/2024-Customs (N.T.), effective from 19th September 2024, imports of laboratory chemicals under Heading 9802 are restricted to actual users only. The chemicals must be in packaging not exceeding 500 grams or 500 milliliters. Therefore, laboratory chemicals imported for trading purposes, irrespective of quantity or packaging size, cannot be classified under Heading 9802 and should be classified under relevant sections in the Customs Tariff.
EPCG Authorisations and Recent Amendment Impact
The recent Public Notice No. 15 dated 25th July 2024, amending Para 5.15(c) of the HBP 2023, applies to EPCG authorisations issued during the 2015-20 policy period as well. As specified in the new Para 5.15(e) of the HBP, these amendments extend to past authorisations, ensuring consistency across policy periods. For EPCG authorisations issued prior to 1st April 2015, the provisions of Para 5.13(d) will apply.
Switching from CIF to Ex-Works (Ex-W) Basis: Risks and Considerations
Switching from CIF to Ex-Works (Ex-W) basis will shift several costs and risks to the buyer. In an Ex-W contract:
The seller’s obligation ends once the goods are made available at the named place and notice is given.
The buyer bears all costs related to loading, transportation, export duties, taxes, customs clearance, and ocean freight.
The buyer is responsible for marine insurance costs and any variations in insurance costs.
Any required export documents (licenses, inspection certificates, etc.) must be facilitated by the seller but at the buyer’s expense.
Delays or additional costs after taking delivery also become the buyer’s responsibility.
Thus, importing on Ex-W terms requires careful consideration of potential cost increases and the logistical challenges involved.
Closing IDPMS Entries for Import of Free Samples
Banks are increasingly reluctant to close Import Data Processing and Monitoring System (IDPMS) entries based on CA certificates for small value imports like free samples. To close such entries, you may need to provide supporting documentation such as:
Proof of free-of-cost imports, including invoices marked as free samples.
Courier or customs documentation showing no monetary transaction for the goods.
Any relevant communication with the exporter confirming the nature of the shipment.
If issues persist, consider discussing with the bank to understand their specific documentation requirements for closure of IDPMS entries related to free samples.
October 1, 2024
Bright Outlook for MSMEs in ITeS Sector, Reports CRISIL SME Tracker

Bright Outlook for MSMEs in ITeS Sector, Reports CRISIL SME Tracker

The micro, small, and medium enterprises (MSMEs) in the information technology-enabled services (ITeS) sector are projected to grow by 7-9% in rupee terms to reach Rs 4.2 trillion this fiscal year. This growth is driven by a strong order pipeline and minimal impact from the global economic slowdown that affected the sector last year.
Key drivers of this growth include the revival of deferred projects and new orders from crucial sectors such as banking, financial services, insurance, and manufacturing. MSMEs, which make up 30-40% of the industry and primarily focus on customer relationship management (CRM) services—accounting for 75% of revenue—are set to benefit from the shift toward non-voice revenue streams.
In other ITeS areas, transaction services are expected to grow due to the rise in digital payments, while knowledge services are evolving with a greater emphasis on analytics-based offerings.
Employee growth in the sector is forecasted to remain modest at 0-1% this fiscal year, as companies adopt a cautious stance, delaying discretionary projects and prioritizing cost efficiency and skill development over large-scale hiring.
Looking ahead, the sector is expected to grow by 8-10% next year, driven by increased global outsourcing and offshoring for cost savings. The healthcare and travel sectors are also anticipated to experience double-digit revenue growth, further boosting the industry.

October 1, 2024
Amazon Great Indian Festival 2024: 8,000 Sellers Cross Rs 1 Lakh in Sales Within First 48 Hours

Amazon Great Indian Festival 2024: 8,000 Sellers Cross Rs 1 Lakh in Sales Within First 48 Hours

The Amazon Great Indian Festival 2024 kicked off with a strong start, with over 8,000 sellers surpassing Rs 1 lakh in sales within the first two days of the event, which began on September 27. Amazon reported that small and medium businesses (SMBs), including women entrepreneurs, weavers, and artisans, sold more than 1,500 units every minute during this period.
Amazon highlighted the success of sellers from tier 2 and tier 3 cities, such as Moradabad, Saharanpur, Haridwar, Bikaner, and Jodhpur, with more than 65% of sellers receiving orders from these regions. The event also helped 20,000 SMBs double their sales compared to an average day.
The company’s Amazon Business platform saw a 4.5X increase in new customer sign-ups, while bulk orders surged by 12X. Additionally, Amazon Bazaar, which focuses on non-branded and affordable products, witnessed a 50% growth in daily unit volumes.
Speaking about the event, Saurabh Srivastava, Vice President of Categories at Amazon India, said the first two days marked the best-ever opening, with a record 11 crore customer visits and a significant increase in the number of Prime members shopping.
This month-long sale coincides with Flipkart’s Big Billion Days and features a variety of products from SMB sellers who are part of Amazon’s Karigar, Saheli, Local Shops, and Launchpad programmes. The event follows Amazon’s recent reduction in selling fees, which went into effect in September.

September 30, 2024
India SME Forum Launches “Start Exporting in Eight Weeks” Initiative

India SME Forum Launches “Start Exporting in Eight Weeks” Initiative

The India SME Forum (ISF), a non-profit organization supporting Small and Medium Enterprises (SMEs), launched a new initiative titled “Start Exporting in Eight Weeks”. This program, announced at the Business Beyond Borders 2024 Conference, aims to promote ‘Make in India’ products globally. The launch was attended by Minister of State for MSME, Shobha Karandlaje, alongside MSMEs and industry leaders.
The program is part of ISF’s flagship IndiaXports initiative and is designed to enable Indian MSMEs to access international markets within just eight weeks. Working with e-commerce leaders like Amazon and other partners, the program will provide free comprehensive guidance, resources, and networking opportunities to help MSMEs explore global markets and expand their export reach.
During the launch, Karandlaje emphasized the importance of MSMEs in India’s vision of Viksit Bharat 2047 and their role in helping India become a self-reliant and developed nation. She highlighted the need for Indian products to meet export-quality standards in today’s competitive global landscape, while stressing the importance of skilling and upskilling to achieve these goals.
Vinod Kumar, President of the India SME Forum, remarked on the transformative power of e-commerce in breaking down traditional trade barriers. He noted that MSMEs can now reach international customers more easily by leveraging digital platforms, making global trade more accessible.
The “Start Exporting in Eight Weeks” initiative is seen as a crucial step toward making Indian MSMEs more globally competitive and significant contributors to India’s economic growth. By providing MSMEs with the right tools, knowledge, and market access, the initiative seeks to transform Indian businesses into self-sufficient powerhouses on the global stage.

September 30, 2024
Over 25% of Micro and Small Enterprises in Northeast Struggling to Survive: Study
Over 25% of Micro and Small Enterprises in Northeast Struggling to Survive: Study
A recent study by the MSME Export Promotion Council (EPC) revealed that over 25% of micro and small enterprises (MSEs) in India’s Northeastern states are grappling with severe survival challenges. The region, home to approximately 74,000 MSMEs, faces multiple crises stemming from lack of affordable finance, rapid technological changes, and inadequate infrastructure.
While releasing the report in New Delhi, Dr. D.S. Rawat, Chairman of MSME EPC, highlighted that although startups in the region have helped generate employment, many remain in crisis due to insufficient support from larger units or institutions.
To address these issues, the EPC proposed a five-point strategy for reviving the struggling MSEs and fostering new startups. Key recommendations include:
State Government Intervention: Establish high-powered committees to prioritize and address the challenges faced by MSMEs in the region.
Conducive Environment: Develop a roadmap focused on skill development, MSME product showrooms, and stronger connections with R&D centers and global marketing agencies.
New Financing Model: Collaborate with the DoNER Ministry, multilateral institutions, and private players to create a more attractive investment environment and encourage entrepreneurship.
Single Window System: Introduce a ‘Single Window’ system to simplify processes for MSMEs and encourage private investment.
Private Sector Engagement: Foster collaborations with innovative companies and institutions, while encouraging private-sector funding through debt instruments with tax incentives.
The study also identified key challenges such as geographical barriers, underdeveloped transport systems, and low private-sector participation. It recommended building networks of development service providers to offer tailored solutions in technology, product development, and marketing, helping MSMEs navigate the difficult landscape.
September 27, 2024
BSE Pushes for Stricter Scrutiny of SME IPO Listings: Report

BSE Pushes for Stricter Scrutiny of SME IPO Listings

Sundararaman Ramamurthy, the CEO of BSE Ltd., has instructed bankers to enhance their oversight of SME initial public offerings (IPOs), following concerns about inflated financial figures in recent applications. According to sources familiar with the situation, Ramamurthy emphasized the need for bankers to carefully vet IPO hopefuls and conduct in-person assessments of company premises.
This initiative aims to raise standards in India’s rapidly expanding SME IPO market, which has drawn increased retail investment but also raised concerns among regulators. In August, India’s market regulator warned investors about potential misrepresentations by certain SMEs and their majority stakeholders.
While BSE Ltd. and the National Stock Exchange (NSE) offer listing platforms for small companies, the demand for these listings has surged, with some IPOs being oversubscribed by up to 400 times. As a result, tighter scrutiny and more robust due diligence are being encouraged to safeguard market integrity.
Earlier reports by Bloomberg News indicated that India’s securities regulator may also be considering additional oversight of micro-cap companies, potentially introducing measures such as monitoring the use of IPO proceeds and enforcing stricter guidelines for bankers handling these deals.

September 26, 2024
Watch out for cybersecurity Threats in India
Keep an eye out for cybersecurity threats
India’s digital revolution is booming, but with growth comes a surge of cyber threats targeting everything from personal data to critical infrastructure. Cybercriminals are becoming increasingly sophisticated, making cybersecurity a pressing concern. Let’s explore the major cybersecurity threats in India and how we can combat them.

Cybercrime is on the rise

India is among the top targets for cyberattacks worldwide. With millions of new users online, cybercriminals exploit the rapid shift to digital platforms. From ransomware to phishing, these threats are wreaking havoc across various sectors.

Some of the major security threats are

Phishing Scams: Cybercriminals often disguise themselves as trusted entities, sending deceptive emails to steal sensitive information. These scams are getting more sophisticated, making them harder to detect

Ransomware: This type of malware locks users out of their data, demanding a ransom for its release. High-profile attacks on healthcare and financial institutions have highlighted the vulnerabilities in critical systems.

Malware and Spyware: Malware infiltrates devices through shady downloads or malicious ads, while spyware silently gathers data without user knowledge. Both pose significant risks to personal and organizational security.

Data Breaches: Weak security measures make many companies easy targets for hackers. Data breaches can lead to the theft of personal information and financial data, causing major reputational damage.

DDoS Attacks: Distributed Denial-of-Service attacks flood websites with traffic, crashing servers and disrupting business operations. These attacks can severely impact e-commerce and online services.

There are several challenges we face trying to combat these threats,

A significant challenge is the lack of cybersecurity awareness among individuals and businesses. Many fall victim to scams due to ignorance of basic security practices. There’s a critical shortage of skilled cybersecurity professionals in India. The gap between demand and supply hinders effective protection against cyber threats. Many organizations, particularly small businesses, underinvest in cybersecurity, leaving them vulnerable to attacks.

Fighting Back: India’s Cybersecurity Response

Government Initiatives: The Indian government is actively enhancing cybersecurity through initiatives like the National Cyber Security Policy and Cyber Swachhta Kendra, aimed at promoting best practices and improving resilience.

Public Awareness Campaigns: Educating the public about cybersecurity is essential. Awareness campaigns can help individuals recognize threats and adopt safer online behaviors.

Strengthening Regulations: Enhanced laws and enforcement can deter cybercriminals. A dynamic regulatory framework is needed to keep pace with evolving threats.

Investing in Technology: Embracing advanced technologies like AI and machine learning can help organizations detect and respond to threats in real time.

Conclusion

As India embraces the digital age, prioritizing cybersecurity is crucial. The threats are real and evolving, but with awareness, technology, and collaboration, India can turn the tide against cybercrime. It’s time to build a safer digital future, ensuring that technological benefits are not overshadowed by risks. If you are being scammed, you can report the incident to the cyber crime portal :
https://cybercrime.gov.in/Webform/Helpline.aspx
September 24, 2024
CGTMSE Increases Credit Guarantee for Women MSMEs to 90%

CGTMSE Increases Credit Guarantee for Women MSMEs to 90%

The MSME Ministry has announced that women-owned micro and small enterprises (MSEs) will now benefit from increased credit guarantee coverage under the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) scheme. The move, aimed at boosting women’s entrepreneurship, will see credit guarantees for women-owned MSMEs rise to 90%, enhancing their access to collateral-free loans.
This new measure was highlighted by MSME Minister Jitan Ram Manjhi during a press conference discussing the ministry’s achievements over the past 100 days. The change, approved by the CGTMSE Board on September 9, 2024, also includes provisions to reduce the annual guarantee fee, further improving credit access for women entrepreneurs.
According to the ministry, approximately 27 lakh women-led MSMEs are expected to benefit from the initiative. The CGTMSE scheme was previously extended to women-owned MSEs in December 2022, offering an 85% credit guarantee on loans up to Rs 2 crore, which was later increased to Rs 5 crore.
The government’s goal is to facilitate Rs 5 lakh crore in credit guarantees for MSEs over the next two years through the CGTMSE scheme. In FY24, the credit guarantee amount doubled to Rs 2 lakh crore, marking the highest ever in a single fiscal year. In comparison, FY23 saw Rs 1.04 lakh crore approved across 11.65 lakh guarantees, while FY22 recorded Rs 56,172 crore across 7.17 lakh guarantees.
To further support women entrepreneurs, the ministry launched the Yashasvini Campaign in June 2023, aimed at raising awareness about government schemes, formalizing businesses, and building capacity for women entrepreneurs. The campaign kicked off in Jaipur in July with over 4,000 Udyam and UAP registrations, followed by a second event in Ranchi on September 11, involving 200 women entrepreneurs and self-help groups.
The press conference also highlighted the growth in Udyam registrations, which surged from 1.06 crore in 2023 to 5.07 crore in 2024, benefiting approximately 21 crore people through job creation. Additionally, under the Prime Minister’s Employment Generation Programme (PMEGP), 26,426 new micro enterprises were established, with loan disbursements totaling Rs 3,148 crore in the last 100 days, expected to create employment for 2.11 lakh individuals.

September 24, 2024
Amelia: Amazon’s AI-Powered Selling Assistant Transforming E-commerce with Artificial Intelligence

Amelia: Amazon’s AI-Powered Selling Assistant Transforming E-commerce with Artificial Intelligence

With the fast-paced movement of the e-commerce landscape, staying competitive demands forward-thinking solutions. Amazon, always at the forefront of innovation, has once again advanced technological boundaries by unveiling Amelia, an AI-driven selling assistant crafted to support and boost seller performance.
Amelia isn’t just another tool; it acts as a strategic ally for sellers. With the power of sophisticated artificial intelligence, Amelia delivers personalized insights, automates routine tasks, and offers real-time assistance, enabling sellers to excel on the Amazon platform effortlessly.
Key Features and Benefits of Amelia:
Tailored Business Insights: Amelia scrutinizes sellers’ performance metrics, identifying potential areas for improvement and delivering customized recommendations.
Instant Support: Sellers can ask Amelia for help on matters like inventory management, marketing approaches, and more, receiving quick, precise responses.
Task Automation: Routine tasks such as product listings, order processing, and customer service requests are automated by Amelia, freeing up time for sellers.
Predictive Analytics: By analyzing extensive datasets, Amelia forecasts trends and helps sellers make well-informed decisions.
How Amelia Enhances E-commerce Growth:
Simplified Seller Experience: Amelia streamlines the selling process, minimizing the time and effort required to run an Amazon business.
Boosted Seller Success: With insightful recommendations and real-time support, Amelia empowers sellers to achieve higher sales and profit margins.
Elevated Customer Experience: As sellers become better equipped to meet customer demands, the overall shopping experience on Amazon improves.
Amelia exemplifies Amazon’s commitment to empowering sellers and fostering growth in the e-commerce industry. By utilizing AI, Amelia is set to become an essential resource for sellers aiming to succeed on the world’s largest online marketplace.
As AI continues to evolve, its role in shaping the future of e-commerce is undeniable. Amelia showcases how AI can revolutionize the landscape, offering value to both sellers and customers.

September 23, 2024
IIMA Ventures Launches Growth Accelerator 2.0 to Support 15 SMEs

IIMA Ventures Launches Growth Accelerator 2.0 to Support 15 SMEs

Participants will start with a three-day bootcamp at the IIM Ahmedabad campus, featuring workshops and sessions on scaling businesses, led by IIMA faculty.
IIMA Ventures, the startup incubator of IIM Ahmedabad, has launched Growth Accelerator 2.0, designed to support 15 SMEs, family businesses, and growth-stage startups in driving strategic growth and innovation. The program will offer knowledge sessions, masterclasses, workshops, founder talks, diagnostic panels, and mentoring clinics to help participants seize growth opportunities.
Founded in 2002, IIMA Ventures focuses on studying, educating, incubating, accelerating, and investing in early-stage startups, aspiring entrepreneurs, and investors. Partner-Incubation, Chintan Bakshi, explained that the accelerator addresses significant gaps in the Indian SME ecosystem. “SMEs, despite being crucial to the economy, often struggle to leverage innovation for rapid growth. Tools like emerging technologies, business optimization, and lean startup frameworks can unlock growth potential for them,” he said.
For established businesses, rapid growth often demands not only resources but also the ability to execute strategies effectively. Growth Accelerator 2.0 provides a structured environment for leaders to experiment with and implement new strategies, whether through streamlining operations, adopting scalable technologies, or building competitive advantages.
Participants will begin their journey with a three-day intensive bootcamp at the IIM Ahmedabad campus, where faculty-led workshops will focus on scaling businesses. Successful entrepreneurs will also share real-world insights on business growth. Over the following two months, participants will receive personalized mentorship from domain experts to help them overcome their specific challenges.
Regarding selection, Bakshi added that the process is ongoing. The selection focuses on businesses that have validated their models, achieved steady sales, and whose leaders are committed to experimenting with change. “We assess entrepreneurs willing to work with us to accurately identify and invest in growth areas,” he said.
The Growth Accelerator is open to leaders across all sectors, including second and third-generation entrepreneurs aiming to scale operations. The program kicks off in mid-October and runs annually.
The first batch of the accelerator supported 10 businesses from various sectors, including engineering, auto parts, FMCG, furniture manufacturing, agricultural equipment, and skills training. Participants came from cities like Vadodara, Ahmedabad, Indore, and Jamshedpur, with many from smaller, non-metro areas. In 2023, they developed growth strategies aimed at scaling their businesses by 5 to 10 times.

September 23, 2024