How Can Handicraft Exporters in India Receive International Payments in 2026?

• Ticket size: Orders range from single retail parcels sold online to wholesale shipments for importers, retailers and interior buyers abroad. A sample order or small boutique order can be a few hundred dollars, while a container or seasonal order can run into tens of thousands.
• Currencies: Buyers usually pay in USD, EUR, GBP or AUD. The FEMA (Manner of Receipt and Payment) Regulations, 2023 allow buyers in countries outside the Asian Clearing Union to pay in INR or any foreign currency. Nepal, Bhutan and other Asian Clearing Union members follow separate rules in the same regulations.
• Geography: Buyers include importers, department stores, gift and home decor retailers, trade fair contacts and online shoppers. Some handicraft exporters also ship stock to an overseas warehouse and get paid only after the goods are sold there.
• Payment methods: Wholesale buyers often pay an advance by bank transfer and the balance after shipment, or pay against shipping documents sent through banks. Retail and online buyers usually pay by card or through a marketplace, which then pays out to the exporter.

1. 1Buyer's bankDeduction: A sending fee, if the buyer's bank charges one. On a SWIFT wire the buyer chooses who bears the charges, and some banks charge the sender.
2. 2Intermediary bankDeduction: A possible flat handling deduction. Correspondent banks routing a SWIFT wire can deduct their charge, so less than the invoice value can reach India.
3. 3AD bank or collecting providerDeduction: A conversion margin, an inward or bill handling fee and any export bill charges. The bank or provider converts the currency at its own rate, and banks charge for handling export bills and documents.
4. 4GST on feesDeduction: GST on fees charged by an Indian bank or provider. Fees charged to the exporter by an India-based bank or provider are a domestic supply.
5. 5Exporter's accountDeduction: None, unless the money is kept in an EEFC account and converted later. The credit carries the purpose code and remittance details the AD bank uses to close the shipping bill in EDPMS.

The table ranks platforms with full published pricing for USD by the INR received on USD 5,000, then lists other business platforms that accept USD, unranked. Fees were checked on 30 Sept 2026 or later.

Each row applies the platform's published fee, FX markup and 18% GST on the fee to the mid-market rate of ₹94.86 per USD for 3 Nov 2026.

• Shipping bill matching: Shipping bills for exported goods are reported in EDPMS, and the AD bank closes or updates the entry when payment arrives. Paragraph 11(h) of the RBI Master Direction on Payment Aggregators requires a cross-border aggregator to give the AD bank what it needs for that closure. See EDPMS closure.
• Order size: Paragraph 11(d) of the RBI Master Direction on Payment Aggregators caps each inward transaction through a cross-border payment aggregator at ₹25 lakh. Larger wholesale orders need splitting or a SWIFT wire. See PA-CB transaction limits.
• Advance payments: Regulation 10(1) requires an export advance and the later realisation to be routed through the same AD bank, unless the exporter informs both banks of a change. See advance payment against exports.
• Courier and post: From 1 April 2026, CBIC removed the ₹10 lakh value cap per consignment on courier exports, according to a PIB release. An older DGFT e-commerce handbook says postal exporters register with the Department of Posts using their IEC, GSTIN and AD code. Check current India Post requirements before shipping.
• Third-party payers: If a buying agent or another party pays for the buyer, Regulation 8 lets the AD bank permit third-party receipts when it is satisfied the transaction is genuine. Agree this with the bank before shipment. See third-party payments for exports.

Handicraft exporters in India need an IEC, an AD code registered with Customs, an EDF for each export and payment matched to the shipping bill in EDPMS. Under the FEMA (Export and Import of Goods and Services) Regulations, 2026, the EDF for goods shipped through an EDI port is deemed submitted as part of the shipping bill.

• IEC: Para 2.05 of Foreign Trade Policy 2023, Chapter 2 says no export of goods can be made without an Importer-Exporter Code unless exempted. The IEC is the same as the entity's PAN, is issued online by DGFT and must be updated every year between April and June. See how to apply for an IEC.
• AD code: Customs links each shipping bill to the exporter's AD bank through the AD code. The ICEGATE FAQs say the AD code is registered online from the user profile on ICEGATE, and approval can take 7 to 10 working days while pending with Customs. See AD code registration.
• Shipping bill and EDF: Regulation 3(1) requires a goods exporter to declare the full export value in the EDF at the time of export. At an EDI port the EDF is deemed part of the shipping bill. At a non-EDI port, the specified authority forwards the authenticated EDF to the AD bank. See EDF form for exports.
• EDPMS: Regulation 4(2) requires the AD bank to close or update the EDPMS entry when it credits the export receipt. For shipping bills up to ₹10 lakh, the entry may be closed on the exporter's declaration, filed one by one or quarterly in bulk. See checking outstanding shipping bills.
• eBRC: DGFT's eBRC system receives inward remittance messages directly from banks, and exporters self-certify eBRCs against them. The DGFT eBRC FAQs say the exporter registers on the DGFT website, links the IEC and generates the eBRC from the Services menu. See eBRC on DGFT.
• FIRA and purpose code: FIRA is not a term defined in RBI regulations; banks issue an inward remittance certificate or advice on request. Goods receipts use Group 01 of the RBI purpose code list: P0102 is "Realisation of export bills (in respect of goods) sent on collection (full invoice value)" and P0103 is "Advance receipts against export contracts, which will be covered later by GR/PP/SOFTEX/SDF". See purpose code for export of goods.
• Realisation: Regulation 5 requires the full export value of goods to be realised within nine months from the date of shipment, or twelve months if invoiced or settled in INR, under the 22 September 2026 amendment. Goods sent to an overseas warehouse count from the date of sale there. See export realisation period.

Handicraft exports from India are a zero-rated supply for GST, and profit is taxed as business income. Under IGST Act section 16, exporters can ship under an LUT without IGST and claim a refund of unused input tax credit, or, where notified, pay IGST and claim it back. Resident proprietors and firms other than LLPs may use section 58.

• LUT route: File a Letter of Undertaking in Form GST RFD-11 before exporting to ship without paying IGST under CGST Rule 96A. Unused input tax credit can then be claimed as a refund. See LUT filing on the GST portal.
• IGST paid route: If the exporter pays IGST on the export, CGST Rule 96 treats the shipping bill as the refund application once the export manifest is filed, a valid GSTR-3B return is furnished and the exporter has completed Aadhaar authentication under rule 10B. Invoice details in GSTR-1 must match the shipping bill, or the refund waits until the mismatch is fixed.
• Unrealised exports: CGST Rule 96B requires an exporter of goods who got a GST refund to repay it with interest, to the extent sale proceeds are not realised within the FEMA period. The repayment is due within thirty days of that period, including any extension, ending. If RBI writes off the realisation requirement on merits, the refund is not recovered.
• Section 58: The Income-tax Act, 2025 moves old section 44AD into section 58 from tax year 2026-27. For a resident individual, HUF or firm other than an LLP with turnover up to ₹2 crore, or ₹3 crore if cash receipts are within 5 percent, profit is taken as 6 percent of receipts through specified banking or online modes and 8 percent of the rest.
• Withholding: Buyers or marketplaces abroad may ask for tax information or deduct tax under their own country's law. Keep any deduction certificate, and check with a tax adviser whether a foreign tax credit can be claimed in India.

Rules and rails are linked to official sources below with the dates they were checked. Platform figures come from each platform's own pages, checked on 30 Sept 2026 or later, and RBI authorisation was checked against RBI's published list. Rates are XE live mid-market rates, dated 3 Nov 2026. The method is on the methodology page.

1. Foreign Exchange Management (Export and Import of Goods and Services) Regulations, 2026, Notification No. FEMA 23(R)/2026-RB (amended up to 22 September 2026), Reg 2(1)(f)(i) specified authority for goods: Commissioner of Customs in DTA; Reg 3(1) EDF at the time of export, deemed submitted as part of shipping bill at EDI port; Reg 3(3) non-EDI port EDF forwarded to AD; Reg 4(2) EDPMS closure, declaration for shipping bills up to ₹10 lakh, quarterly bulk declaration; Reg 5(1)(a),(b) nine months from date of shipment, from date of sale for warehouse exports, twelve months if invoiced or settled in INR, AD may extend; Reg 6 reduction, declaration up to ₹10 lakh per shipping bill; Reg 8 third-party receipts; Reg 10(1) advance and realisation through the same AD bank (checked 8 Oct 2026)
2. Foreign Exchange Management (Export and Import of Goods and Services) (Amendment) Regulations, 2026 (22 September 2026), Regulation 5(1): 'fifteen months' replaced by 'nine months'; 'eighteen months' replaced by 'twelve months' (checked 8 Oct 2026)
3. Foreign Exchange Management (Manner of Receipt and Payment) Regulations, 2023, Regulation 3(2)(I)(a): Nepal and Bhutan; ACU members through ACU mechanism; countries other than ACU members in Indian Rupees or in any foreign currency (checked 8 Oct 2026)
4. RBI Master Direction on Regulation of Payment Aggregator (PA), Para 11(d): maximum value per transaction for inward or outward transactions processed by a PA-CB is ₹25 lakh; Para 11(h): PA-CB to provide documents/information to the exporter's AD bank for closure of EDPMS entries (checked 8 Oct 2026)
5. RBI circular: Guidelines to facilitate faster cross-border inward payments (9 April 2026), Para 3: credit inward payments received during forex market hours within the same business day; para 4: effective six months from the circular date (checked 8 Oct 2026)
6. RBI A.P. (DIR Series) Circular No. 84: Purpose codes for reporting under FETERS (29 February 2012), annex, Group 01 Exports (of Goods), each followed in the list by 'other than Nepal and Bhutan': P0101 "Value of export bills negotiated / purchased/discounted etc. (covered under GR/PP/SOFTEX/EC copy of shipping bills etc.)"; P0102 "Realisation of export bills (in respect of goods) sent on collection (full invoice value)"; P0103 "Advance receipts against export contracts, which will be covered later by GR/PP/SOFTEX/SDF" (checked 8 Oct 2026)
7. RBI Master Direction - Deposits and Accounts, Para 3.1 EEFC account: 100 percent of foreign exchange earnings may be credited (checked 8 Oct 2026)
8. DGFT, Foreign Trade Policy 2023, Chapter 2: General Provisions Regarding Imports and Exports, Para 2.05: IEC is a 10-character number, same as PAN, issued by DGFT online; (a) no export or import of goods without an IEC unless exempted; (d) update every year during April-June; (e) de-activated if not updated (checked 8 Oct 2026)
9. ICEGATE FAQs (Indian Customs EDI Gateway), 'User can do online registration of AD Code by accessing user profile on ICEGATE'; AD code status 'custom pending' approval 7-10 working days; 'Status of SB in RBI' EDPMS public enquiry (checked 8 Oct 2026)
10. DGFT Electronic Bank Realisation Certificate (eBRC) page, eBRC based on electronic Inward Remittance Messages transmitted directly by banks to DGFT; exporters self-certify eBRCs; IRM utilisation report links remittances to shipping bills, invoices and eBRC (checked 8 Oct 2026)
11. DGFT FAQs on Self-Generation of eBRC, Q1 eBRC confirms payment received against export of goods or services; Q10 register on DGFT website, link IEC, Services >> eBRC >> Generating eBRC (checked 8 Oct 2026)
12. DGFT: E-Commerce Exports Handbook for MSMEs, Exports through the Postal Route: exporter registers with the Department of Posts with IEC, GSTIN and AD code; PBE III for e-commerce exports, PBE IV for other exports (older handbook; postal procedure may have changed) (checked 8 Oct 2026)
13. PIB (Ministry of Finance): CBIC operationalises comprehensive reforms for e-commerce exports and courier trade from April 1, 2026 (31 March 2026), Existing value limit of ₹10 lakh for commercial export consignments through courier mode removed from 1 April 2026; Notifications 33/2026 and 34/2026-Customs (N.T.); Circular No. 17/2026-Customs (checked 8 Oct 2026)
14. Integrated Goods and Services Tax Act, 2017, section 16 (CBIC), Section 16(1)(a): export of goods is a zero rated supply; 16(3): refund of unutilised ITC on supply under bond or LUT without payment of IGST; proviso: deposit refund with interest on non-realisation of sale proceeds; 16(4): notified classes may pay IGST and claim refund (checked 8 Oct 2026)
15. Central Goods and Services Tax Rules, 2017, Rule 96 (CBIC), Rule 96(1): shipping bill deemed an application for refund of IGST paid on goods exported, once export manifest/report filed and valid GSTR-3B furnished and Aadhaar authentication under rule 10B completed; mismatch with GSTR-1 defers deemed filing until rectified (checked 8 Oct 2026)
16. Central Goods and Services Tax Rules, 2017, Rule 96A (CBIC), Bond or Letter of Undertaking in Form GST RFD-11 prior to export, for export without payment of integrated tax (checked 8 Oct 2026)
17. Central Goods and Services Tax Rules, 2017, Rule 96B (CBIC), Rule 96B(1): refund on export of goods to be deposited with interest within thirty days of expiry of the FEMA period to the extent of non-realisation; proviso: not recovered if RBI writes off realisation on merits (checked 8 Oct 2026)
18. Income Tax Department: Objective and scope of the new Act (Income-tax Act, 2025), FAQ 2: 1961 Act repealed on 01.04.2026; FAQ 25: presumptive schemes in sections 44AD, 44ADA and 44AE consolidated into section 58 (checked 8 Oct 2026)
19. The Income-tax Act, 2025 (No. 30 of 2025), Gazette of India, Section 58(2) Table serial 1: eligible assessee, turnover up to ₹2 crore or ₹3 crore where cash receipts do not exceed 5%; 6% of receipts by specified banking or online mode and 8% of the rest, or actual profit if higher; 58(11)(a) eligible assessee: resident individual, HUF or firm other than LLP; 58(11)(a)(iv),(v): excludes commission or brokerage income and agency business (checked 8 Oct 2026)
20. Skydo homepage (pricing and fee calculator), Know what you pay; calculator showing GST 18% of transaction fee (checked 6 Oct 2026)
21. Razorpay MoneySaver Export Account (International Bank Transfers) pricing, Standard Plan: 0% FX markup, 1% fee, FlashLinks 2%, GST applicable, flat fee of INR 1,000 on transactions below INR 1,00,000, setup and AMC INR 0 (checked 6 Oct 2026)
22. Kotak Everyday Savings Account fees and charges, Foreign Inward Remittance certificate (Branch Request) INR 100/Request; GST on Foreign Currency Conversion; fees exclusive of GST (checked 6 Oct 2026)
23. HDFC Bank: Remittance Services Fees & Charges, Inward Remittance Charge: No Charge; FIRC Charge for Inward Remittance & FCY Cheque Collection INR 200 per FIRC; GST slabs on amount of currency exchanged (checked 6 Oct 2026)
24. Wise India: Fees for receiving money (Business), Conversion fee depends on the currency; eFIRC for every transfer; GST 18% of (conversion fee + eFIRC fee); calculator (checked 6 Oct 2026)
25. Stripe India pricing, International cards with USD/other currency presentment 4.3% + 2% if currency conversion is required; Mastercard and Visa cards issued outside India 3% + 2%; American Express outside India 3.5% + 2%; dispute received INR 1,000.00 (checked 7 Oct 2026)
26. PayPal India Merchant Fees, Receiving international transactions; Currency Conversions (3.0% converting balance and payments received; 4.00% all other cases); Withdrawals Out of PayPal; Dispute Fees; Other Fees (Last Updated 28 March 2024) (checked 6 Oct 2026)
27. Airwallex Help: Eligible Countries and Territories, INDIA IN - AWX Legal Entity SINGAPORE (checked 7 Oct 2026)