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

• Ticket size: Leather exports are billed per shipment, so one invoice usually covers a full order of footwear, garments, bags or finished leather. Sample orders and small repeat orders can be a few thousand dollars, while a container load for a brand or importer can be much larger.
• Currencies: Buyers usually pay in USD, EUR or GBP. 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, while Nepal, Bhutan and other ACU members follow separate rules.
• Geography: Buyers include importers, brands, wholesalers and retail chains, often in Europe, the United States and the United Kingdom. Some orders come through buying agents or sourcing offices that place the order on behalf of the brand.
• Payment methods: New buyers often pay part of the order in advance by bank transfer. Established buyers may pay against documents sent on collection, on credit terms after shipment, or under a letter of credit opened by their bank.

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 before the money reaches India.
3. 3Collecting or negotiating bankDeduction: Collection, negotiation or letter of credit charges, where the bank handles the documents. Banks charge for forwarding shipping documents, checking them against a letter of credit or discounting a bill.
4. 4AD bank or collecting providerDeduction: A conversion margin and any inward fee. The bank or provider converts the currency at its own rate, which sits away from the mid-market rate.
5. 5GST 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.
6. 6Exporter's accountDeduction: None, unless the money is kept in an EEFC account and converted later. The credit carries the bank record used to close the shipping bill in EDPMS and to generate the e-BRC.

The table ranks platforms with full published pricing for USD by the INR received on USD 20,000, 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.

• Realisation deadline: Under Regulation 5, as amended on 22 September 2026, goods export proceeds must be realised within nine months from the date of shipment, or twelve months if invoiced or settled in INR. The AD bank can extend this. See export realisation period.
• Payment security: Advance payment and letters of credit protect the exporter from buyer default. Open account and documents against acceptance give the buyer credit, so check the buyer's record before shipping on those terms. See letter of credit for exporters.
• 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. Container-size orders usually need a SWIFT wire, a collection or a letter of credit. See PA-CB transaction limits.
• EEFC account: An EEFC account can take 100 percent of foreign exchange earnings, including advance receipts against exports. Monthly credits not used for approved purposes must be converted to INR by the last day of the next month. This helps exporters who import hides, chemicals or components.
• Short payments: If a buyer pays less because of a quality claim or discount, Regulation 6 lets the AD bank allow a reduction in export value. Where the value per shipping bill is up to ₹10 lakh, the exporter's declaration is enough. See reduction in export invoice value.

Leather exporters in India need an IEC, a shipping bill that carries the EDF, an EDPMS entry closed on realisation, the correct purpose code and an e-BRC. The FEMA (Export and Import of Goods and Services) Regulations, 2026 apply from 1 October 2026 and require realisation within nine months from shipment.

• IEC: Paragraph 2.05 of the Foreign Trade Policy says no export of goods may be made without an Importer-Exporter Code unless exempted. The IEC is issued by DGFT on an online application and must be updated online every year between April and June, or it is deactivated. See how to apply for an IEC.
• Shipping bill and EDF: Regulation 3(1) requires a goods exporter to declare the full export value in the Export Declaration Form at the time of export. At EDI ports, the EDF is deemed submitted as part of the shipping bill. See EDF form for exports.
• AD code: The shipping bill carries the AD code of the exporter's bank, which routes the export into that bank's EDPMS records. The DGFT eBRC FAQs confirm an e-BRC can still be generated when the payment arrives at a bank with a different AD code. Check the customs registration steps with your customs broker.
• EDPMS: Regulation 4(2) requires the AD bank to close or update the EDPMS entry when it credits the export proceeds. For shipping bills up to ₹10 lakh, the entry can be closed on the exporter's declaration, including quarterly bulk declarations. See EDPMS closure.
• Purpose code: Banks report receipts using the RBI purpose code list. P0101 is "Value of export bills negotiated / purchased/discounted etc. (covered under GR/PP/SOFTEX/EC copy of shipping bills etc.)". P0102 is "Realisation of export bills (in respect of goods) sent on collection (full invoice value)". P0103 is "Advance receipts against export contracts, which will be covered later by GR/PP/SOFTEX/SDF". All three apply to countries other than Nepal and Bhutan, and Circular No. 84 asks banks to report every receipt with a code. See purpose code for export of goods.
• e-BRC: The DGFT eBRC FAQs describe the e-BRC as DGFT's confirmation that the exporter received payment, and say the onus of generating it has shifted to exporters. The DGFT bulk eBRC guide allows P0102, P0103, P0104 and P0109 for goods. See what is e-BRC.
• FIRA: FIRA is not a term defined in RBI regulations. Goods exporters usually rely on the bank's inward remittance record and the e-BRC. See FIRC vs FIRA vs e-BRC.

Leather exports are usually a zero-rated supply for GST and business income for income tax. Under IGST Act section 16, exports can go out under an LUT without IGST, or with IGST paid and refunded. Resident individuals, HUFs and firms other than LLPs may use the section 58 presumptive scheme if turnover limits are met.

• GST zero-rating: IGST Act section 2(5) defines export of goods as taking goods out of India to a place outside India, and section 16(1)(a) makes it a zero-rated supply. Report each export invoice in GSTR-1 so the details match the shipping bill.
• LUT route: Under CGST Rule 96A, an exporter files a Letter of Undertaking in Form GST RFD-11 before export and ships without IGST, then claims a refund of unused input tax credit. See LUT filing on the GST portal.
• IGST-paid route: Under CGST Rule 96, the shipping bill of an exporter who pays IGST is deemed to be the refund application once the export manifest and a valid GSTR-3B are filed, among other conditions. See what is IGST refund.
• Non-realisation: The proviso to IGST Act section 16(3) requires a goods exporter who received a refund under an LUT to repay it with interest if proceeds are not realised, within 30 days after the FEMA time limit. Section 16(5) bars refunds where the exported goods carry export duty.
• Section 58: The Income-tax Act, 2025 moves the old section 44AD into section 58. Eligible resident individuals, HUFs and firms other than LLPs with turnover up to ₹2 crore, or ₹3 crore if cash receipts are within 5 percent, can declare 6 percent of receipts by banking or online modes and 8 percent of other receipts as profit. Companies and LLPs are taxed on actual profits.
• Old Act years: The Income Tax Department confirms the 1961 Act was repealed on 1 April 2026 and still governs tax years that began before that date. Section 44AD therefore covers the year 2025-26 (assessment year 2026-27), and section 58 applies from tax year 2026-27.

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 1(2) in force 1 October 2026; Reg 2(1)(f)(i) specified authority for goods: Commissioner of Customs in DTA; Reg 3(1) EDF at time of export, deemed part of shipping bill at EDI ports; Reg 3(3) non-EDI EDF forwarded to AD; Reg 4(2) EDPMS closure, declaration up to ₹10 lakh, quarterly bulk; Reg 5(1)(a) nine months from shipment, twelve if invoiced/settled in INR, AD may extend; Reg 6 reduction, declaration up to ₹10 lakh per shipping bill; Reg 7 set-off; Reg 13 unrealised beyond one year: full advance or irrevocable LC, caution list as on 30 Sep 2026 (checked 8 Oct 2026)
2. RBI A.P. (DIR Series) Circular No. 20 (16 January 2026): Export and Import of Goods and Services, Issues the 2026 Regulations and supersedes the earlier Master Directions on export and import from 1 October 2026 (checked 8 Oct 2026)
3. 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)
4. RBI A.P. (DIR Series) Circular No. 84 (29 February 2012): purpose code list annex, Group 01 Exports (of Goods), each description ending '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)
5. RBI A.P. (DIR Series) Circular No. 84: Compilation of R-Returns, Reporting under FETERS, AD banks to report all foreign exchange transactions under the revised purpose code list (checked 8 Oct 2026)
6. Foreign Exchange Management (Manner of Receipt and Payment) Regulations, 2023, Regulation 3(2)(I)(a): Nepal and Bhutan in INR; ACU members through ACU mechanism; countries other than ACU members in Indian Rupees or in any foreign currency (checked 8 Oct 2026)
7. RBI Master Direction on Regulation of Payment Aggregator (PA), Para 11(d): maximum value per inward or outward transaction processed by a PA-CB is ₹25 lakh; para 11(h): PA-CB to provide documents to the exporter's AD bank for EDPMS closure (checked 8 Oct 2026)
8. RBI Master Direction - Deposits and Accounts, EEFC account: 100 percent of foreign exchange earnings, including advance remittance received by an exporter towards export of goods or services; monthly accruals converted to Rupees by the last day of the succeeding calendar month after approved uses (checked 8 Oct 2026)
9. RBI circular: Guidelines to facilitate faster cross-border inward payments (9 April 2026), Banks to endeavour to credit inward payments received during forex market hours on the same business day; effective six months from the circular date (checked 8 Oct 2026)
10. DGFT FAQs (Self-Generation of eBRC), Version 1.0, FAQ 1: eBRC issued by DGFT as confirmation that the exporter has received payment; FAQ 56: eBRC can be generated where the shipping bill AD code differs from the IRM AD code; FAQ 65: onus of generating eBRC shifted to exporters (checked 8 Oct 2026)
11. DGFT User Guide on Bulk Generation of eBRC by Exporter, Version 1.0, For goods, only purpose codes P0102, P0103, P0104 and P0109 are allowed (checked 8 Oct 2026)
12. Foreign Trade Policy 2023, Chapter 2 (DGFT), Para 2.05: IEC mandatory, no export of goods without IEC unless exempted; IEC to be updated every year during April-June or deactivated; para 2.57: RCMC required when applying for an authorisation or other benefit or concession under FTP (checked 8 Oct 2026)
13. DGFT: IEC Profile Management, IEC is mandatory for export from India; PAN, bank account and address in the firm's name needed to apply (checked 8 Oct 2026)
14. Integrated Goods and Services Tax Act, 2017, section 2 (CBIC), Section 2(5): export of goods means taking goods out of India to a place outside India (checked 8 Oct 2026)
15. Integrated Goods and Services Tax Act, 2017, section 16 (CBIC), 16(1)(a) export is a zero rated supply; 16(3) proviso: deposit refund with interest within thirty days after FEMA time limit on non-realisation; 16(5) no refund where goods are subjected to export duty (checked 8 Oct 2026)
16. Central Goods and Services Tax Rules, 2017, Rule 96 (CBIC), Rule 96(1): shipping bill deemed to be an application for refund of IGST paid on goods exported, once export manifest and valid GSTR-3B are filed (checked 8 Oct 2026)
17. 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)
18. The Income-tax Act, 2025 (No. 30 of 2025), Gazette of India, Section 58(2) Table Sl. 1: any business, 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, 8% of the rest; 58(11)(a): eligible assessee is a resident individual, HUF or firm other than LLP (checked 8 Oct 2026)
19. Income Tax Department: Objective and scope of the new Act (Income-tax Act, 2025), FAQ 2: 1961 Act repealed on 01.04.2026; FAQ 21: old Act governs tax years beginning before 1 April 2026; FAQ 25: sections 44AD, 44ADA and 44AE consolidated into section 58 (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)