Export Credit Guarantee Corporation of India Limited-export-credit-guarantee-corporation

The Export Credit Guarantee Corporation of India Limited (ECGC) is a company wholly owned by the Government of India and based in Mumbai, Maharashtra. The organisation was inaugurated on July 30, 1957 as the Export Risk Insurance Corporation and got its present name in 1983. ECGC is the seventh largest credit insurer in the world in terms of coverage of national exports and the fifth largest credit insurance company, which deals with exports of any country. The present authorised capital of the company is Rs. 5000 crore and the paid up capital of the company is Rs. 1200 crore. The company provides export credit insurance support to Indian exporters, and is controlled by the Ministry of Commerce, Government of India. Export Credit Guarantee Corporation of India provides credit insurance covers to exporters against loss in export of goods and services. It also provides export credit guarantees to banks & FI’s to enable exporters obtain better facilities from them. In addition, it provides Overseas Investment Insurance to Exporters – Indian Entrepreneurs in Overseas Ventures (Equity/Loans). The insurance cover provided by Export Credit Guarantee Corporation of India helps the exporters in getting better access to credit facilities from financial institutions. Shri N Shankar is the Chairman cum Managing Director of Export Credit Guarantee Corporation of India. Product Portfolio Export Credit Insurance for Exporter Short Term (ECIE-ST) Turnover Based Shipments Comprehensive Risks Policy (SCR): A standard or whole turnover policy that is available to exporters with annual export turnover of over Rs. 5 crore. The policy offers a 90% cover for a period of 12 months. The minimum premium is of Rs. 10,000 Small Exporters Policy (SEP): Similar to the standard policy, the SEP provides an improved cover for exporters whose expected export turnover for the one year period is less than Rs. 5 crore. The maximum liability under the policy is for Rs. 2 crore Specific Shipment Policy (SSP): The policy is meant for exporters who do not have any cover under the standard or whole turnover policy or by an exporter who has a standard policy but shipments are not included in the cover. The policy provides up to 80% cover Services Policy (SRC): The policy protects Indian companies who have signed up with foreign parties for providing them with professional or technical services and are at risk from non-payment of amounts due to them. ECGC offers specific services contract and whole-turnover services policies for both comprehensive and political risks Export Turnover Policy (ETP): The policy is meant for large exporters who contribute more than Rs. 10 lakh in premium on an annual basis. The policy is valid for 12 months and provides 90% cover Exports (Specific Buyers) Policy (BWP): The policy covers shipments made to a particular buyer or a Letter of Credit (LC) opening bank for a set of buyers. The period of the policy is of 12 months and the cover provided is 80% Consignment Exports Policy (Stockholding Agent) (CSA): The cover is meant for exporters who sell to an agent on a consignment basis. The policy is valid for a period of 12 months. The cover given is 90% for the standard policy holders and 80% for others Exposure Based Buyer Exposure Policy (SBEP): The policy offers a simplified procedure and rationalised premium for exporters sending large shipments to a single buyer. The cover insures against commercial and political risks and gives the option to exclude LC shipments. The policy is valid for 12 months and provides a 90% cover for standard policyholders and 80% for others IT-Enabled Services Policy-Single Customer (SITES): A single customer policy, it is given to insure against loss for services rendered under a defined billing period. The policy is valid for 12 months and provides up to 80% cover Small And Medium Enterprise (SME): Meant especially for the SME sector, the policy guards against commercial and political risks. It is provided for a period of 12 months and offers a cover of 90% Software Project Policy (SPP): The cover is meant for exporters of software and related services provided on both on-site and off-site basis. The policy period is subject to the contract period and the cover given is 80% Medium & Long Term (ECIE-MLT) Construction Works Policy (CWP): The policy is meant for Indian contractors who work on civil construction contracts abroad. The loss cover is for 80% Specific Policy for Supply Contract: A standard whole turnover policy that provides a continuing cover for regular flow of an exporter’s shipments, and within which the period of credit is less than 180 days Specific Shipment Policy (SSP): The policy is meant for exporters who have secured contracts for the supply of capital goods such as machinery or other capital equipment on a deferred payment basis. The loss coverage is limited to 90% Specific Services Policy (SRC): Thepolicy insures against any loss arising from specific contracts wherein Indian businesses have provided technical or professional services to foreign principals. The cover limit is 90% Specific Services Contract Policy (SCP): Thepolicy guards against loss from specific services that are rendered to a foreign party abroad by an Indian company under a contract for provision of specific services Letter of Credit Confirmation Cover: The cover is meant for Indian banks which confirm foreign letters of credit and subjects themselves to risks from non-reimbursement of the amount they have paid to the exporters by the foreign banks.