(i) Export of engineering goods on deferred payment terms and execution of turnkey projects and civil construction contracts abroad are collectively referred to as Project Exports. Indian exporters offering deferred payment terms to overseas buyers and those participating in global tenders for undertaking turnkey / civil construction contracts abroad are required to obtain approval of Authorised dealer / EXIM Bank / Working Group at post-award stage before
undertaking execution of such contracts. Regulations relating to Project Exports and Service Exports are laid down in the Memorandum on Project Exports (PEM).
(ii) Pure supply contracts (contracts for export of goods) where at least 90 per cenf of the export value is realised within the prescribed period i.e. six months from the date of export and the balance amount within a maximum period of two years from the date of export are not treated as deferred payment exports, provided the exporter does not require / avail of any funded or non-
funded facilities for such exports from authorised dealers.