what is re export

What is Re export? – A Detailed Guide

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Re export meaning or Re-exportation is a form of international trade in which a country exports goods previously imported from another country.

Okay, does this re export definition sound way too elaborate? Then for ease of understanding and usage, consider the following re export example to comprehend what is re export trade and re-export meaning:

Due to its location and relocation of manufacturing bases, specifically, the Pearl River Delta, mainland China is a major source of offshore trading activities. Thus, much of the footwear produced in China is exported to Hongkong and then re-exported to other nations, including India.

Re export trade is conducted between two friendly nations with no conflict or trade barriers. Dubai has emerged as a major re-exporting center, and it re-exportations various goods to Iran because of U.S. trade sanctions against it. Dubai can also be called an entrepot.

Now, what is an Entrepot?

An entrepot is a transshipment port or city where goods are imported, stored, or traded, usually to be exported again. In contemporary times, entrepots are used to refer to duty-free pots dealing in a high volume of re-exportation goods.

In other words, the meaning of Re-exportation is an export of imported foreign goods such that its items remain unchanged.

Let us further have a look at the reasons why goods are re-exported:

  • To send back goods imported for specific purposes like jobbing, executing a contract, servicing/repairing of machinery, display in fair/exhibition, etc.
  • Re exports also happen when the exported goods are unsatisfactory in quality measures, the goods exported do not match the buyer’s requirements, or when the goods have been exported for a specific purpose such as a project, exhibition, etc. For instance: There is such machinery equipment in the Vibrant Gujarat Summit held in India.
  • The country is a mid-way between the exporter country (manufacturer of the goods) and the destination country (importer of the goods). It specifically occurred in the older days when the trading was done via wind-powered ships. Nowadays, this scenario has become obsolete.

What is re-export

Below mentioned are the facts to be kept in mind regarding re export:


  • The state of items during export and import should remain the same. The goods should be unchanged or unaltered after importing and before exporting.
  • The records of the re-exported goods should be stored separately for organizational ease, efficiency, and analytical purposes. It is because the re-exported goods might require some additional information.

Having understood so much about re export meaning, reexport trade and what are re-exportation, it is time we walk through the re-export procedure. It is limited to the regulations set by the Indian government and may not hold effect in other countries.

  • Custom notifications are issued allowing duty exemption or duty concession on import of goods under different circumstances, provided these items are re-exported within the stipulated time frame.
  • To ensure that the goods are re-exported, the importers are required to furnish bonds undertaking to pay duty exempted at the time of import. This is to comply with the failure to Re-exportation goods within the specified time.
  • The bonds were canceled when the importer had re-exported the goods and adhered to the conditions of the notification. Re-exportation documents are essential to maintain sovereignty while dealing in the international market.
  • Follow‐up action by Customs after importing such goods is essential till the cancellation of the Bond. Failure to fulfill any of the conditions of the notifications entails payment of duty that was exempted or remitted at the time of import/re‐import.

The above-mentioned is the standard re exports procedure followed in India. We have tried to present it to you re export trade definition in the simplest manner possible so that you can reap all the information you require from this. In simple terms reexportation, the Re exportation of imported goods is called reexport trading.

Furthermore, according to the U.S. Bureau of Industry and Security (BIS), a re-export is “the shipment or transmission of an item subject to the Export Administration Regulations (EAR) from one foreign country (i.e., a country other than the United States) to another foreign country. A re export also occurs when there is ‘release’ of technology or software (source code) subject to the EAR in one foreign country to a national of another foreign country.”

In general terms, this means that if you require a license to export any item, software, or technology from the U.S. to any other country, then that same item, software, or technology requires a license to be re-exported from your country (of course, other than the US) to that same country. This holds for finished products and parts to manufacture finished products.

Having learned so much about what is a re-export, what is re-export trade, the regulations associated with them, and the re-export procedure, among other things, we are confident that you are taking back with you lots of information. If you still feel stuck understanding re export meaning and re export trade meaning, we at IMPEXPERTS, provide import-export courses, services, and a trade network. We have over 38 years of experience in this domain, and our services speak for themselves. Reach out to us today to get a one-stop solution for your business problem!

For more information, you can email us at info@impexperts.com or give us a call at +91 9211066888.




What is reexport the difference between exports and re export?

Goods manufactured in the country moved outside of the country are known as “Export.” In contrast, the goods imported from other countries are again exported to the importing country, or a different country is called re-export.

What is Duty Drawback under Re-Exports?

Duty Drawback is the concession offered to the importing company on specific goods. When the goods are imported to the country, the set duty is paid to the custom during clearance of the goods. Organizations can claim the duty drawback from the Government later through the customs department.

Submit the necessary export document to the custom to receive duty drawback facilities. The Duty Drawback is granted to the company under the Indian Customs Act, 1962. The company must submit the Duty drawback within 18 months from the import date. The duty drawback should be claimed within months; otherwise, the document will be considered invalid.

What is FOB price in Exports and Imports, and how does it work?

The word FOB stands for Freight on Board or Free on Board. It means the cost of movement of goods on board or Airlines. Also, the term is used when goods are sent by ship. All other expenses to deliver the goods from the main port to the buyer’s premises must be managed by the buyer.

Vaibhav Sharma

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