Expert opinion · Exports

What is EDPMS, and when does a Shipping Bill close?

Every Shipping Bill you file opens an entry that stays visible to your bank and to RBI until the export proceeds are realised and reported. Here is how that system works and what keeps an exporter in good standing.

FxLayer compliance deskFEMA, RBI reporting and cross-border tax 7 min read Updated
  1. CustomsShipping Bill filedData flows from ICEGATE to EDPMS
  2. AD bankDocuments lodgedInvoice, bill of lading, export declaration
  3. BuyerProceeds receivedInward remittance with a purpose code
  4. AD bankRealisation reportedMatched to the Shipping Bill
  5. ClosedEntry closedeBRC issued, nothing outstanding
The life of a Shipping Bill in EDPMS

Key points

  • EDPMS holds one entry for every Shipping Bill, received automatically from customs.
  • Your AD bank reports each realisation against the Shipping Bill; you cannot close an entry yourself.
  • Export value should generally be realised within nine months of the date of export.
  • Entries left open past their due date lead to bank follow-up and, in persistent cases, caution-listing.

What EDPMS is

The Export Data Processing and Monitoring System (EDPMS) is the platform the Reserve Bank of India uses to follow every export of goods and software from shipment to realisation. It replaced the paper GR, SDF and SOFTEX follow-up that banks once handled manually, and it gives RBI, customs and the authorised dealer (AD) banks a single view of what has been exported and what has been paid for.

Each Shipping Bill filed with customs becomes an EDPMS entry, tagged to the AD bank code the exporter declared. From that moment the entry is outstanding until the bank reports that the full export value has been realised, or that the shortfall has been regularised through an approved reduction, extension or write-off.

How a Shipping Bill reaches EDPMS

Customs transmits Shipping Bill data from ICEGATE to EDPMS each day. The entry carries the Shipping Bill number and date, port code, invoice value and currency, the exporter's IEC and the AD bank code. Software exports follow the same path through the SOFTEX form; exports from non-EDI locations are captured from the export declaration.

If the Shipping Bill names the wrong AD bank, the entry sits with that bank. The exporter has to ask the bank named on the Shipping Bill to transfer the entry, which is a common reason for entries that look open long after the money has arrived.

How realisation is reported

When the buyer pays, the inward remittance arrives at your AD bank with a purpose code such as P0102 (realisation of export bills sent on collection) or P0103 (advance received against an export contract). The bank then matches that remittance to one or more Shipping Bills and reports the realisation in EDPMS. A single remittance can settle several Shipping Bills, and a single Shipping Bill can be settled by several remittances.

Bank charges deducted abroad, short payments and discounts all leave a gap between the invoice value and the amount realised. Small differences are usually closed by the bank on a declaration; larger ones need a reduction in invoice value, supported by documents such as a credit note or buyer correspondence.

The nine-month rule

Under the FEMA rules on export of goods and services, the full value of an export should generally be realised and repatriated within nine months of the date of export. RBI has varied this period for specific situations from time to time, so always check the current Master Direction or ask your AD bank.

Where payment will take longer, the exporter can ask the AD bank for an extension before the period runs out, with reasons and evidence of follow-up with the buyer. Where part of the value will never be received, the shortfall can be written off within the limits RBI allows, which are linked to the exporter's realisations in the previous year and conditional on surrendering any export incentives claimed on the unrealised part.

What happens when entries stay open

AD banks review overdue EDPMS entries regularly and write to exporters for an explanation. An exporter whose entries stay unexplained can be placed on RBI's caution list, after which banks handle new shipments only against advance payment or an irrevocable letter of credit. Coming off the list means clearing the outstanding entries and asking the bank to de-list the exporter.

How to keep EDPMS clean

  • Check the AD bank code on every Shipping Bill before it is filed.
  • Give the bank the Shipping Bill numbers a remittance relates to as soon as it arrives, instead of waiting for the bank to ask.
  • Track each Shipping Bill against its due date and start the extension request well before it falls due.
  • Reconcile your own register against the bank's outstanding statement every month.

FxLayer keeps each Shipping Bill, its remittances and its closure letter on one record, counts down to the due date and prepares the request to the bank once the value is fully matched.

Questions

No. ICEGATE is the customs system where the Shipping Bill is filed. EDPMS is RBI's system that receives the Shipping Bill data from customs and records its realisation as reported by the AD bank.
Exporters do not log in to EDPMS. The AD bank can share the list of outstanding entries for your IEC, and many banks show it on their trade portals.
Only the AD bank. It closes the entry when it reports a realisation equal to the export value, or when it records an approved reduction, extension outcome or write-off.
An electronic Bank Realisation Certificate, issued through DGFT's system from the bank's realisation data. It is the proof of realisation used for export incentives and GST refunds.

This article is general information on Indian foreign exchange and tax rules as they stood on the date shown. It is not legal or tax advice. Rules and limits change; confirm the current position with your AD bank, the relevant RBI Master Direction or your adviser before acting.

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