Under the Foreign Trade Policy 2015-2020, the government categorizes export houses based on their export performance to provide incentives and recognition. A 'Three Star Export House' status is granted to entities that achieve a specific FOB/FOR export value of US $100 million over the current and preceding two financial years, reflecting their significant contribution to the country's total export volume.

In international trade, an 'indent' is a purchase order received from an overseas buyer or sent to an overseas supplier. It contains the details of the goods, price, and terms of delivery. It acts as a formal request to initiate the import process, distinguishing it from other shipping documents like the Bill of Lading.

DFEC stands for Duty Free Export Credit. This is a trade facilitation mechanism often used by governments to encourage exports by allowing exporters to import necessary raw materials or inputs without paying customs duties, provided those inputs are used in the production of goods for export. It serves as an incentive to improve the competitiveness of domestic manufacturers in the global market by reducing their overall production costs.

The Foreign Trade Policy 2015-2020 aimed to improve trade infrastructure by notifying additional ports and Inland Container Depots (ICDs). Calicut Airport in Kerala and Arakonam ICD in Tamil Nadu were among the specific locations added to facilitate smoother international trade operations and logistics connectivity during that policy period.

Modes of entry refer to the strategies a firm uses to expand its operations into foreign markets. Exporting, licensing, and franchising are common methods for a firm to enter a foreign market. Importing is generally considered a procurement activity or a way to source goods from abroad, rather than a strategy for a firm to establish a business presence or market entry in a foreign country.

The Export Promotion and Credit Guarantee (EPCG) scheme is a trade facilitation measure often used by governments to encourage exports. It typically allows for the import of capital goods at reduced or zero customs duty, provided the importer fulfills specific export obligations over a set period. This helps domestic manufacturers upgrade their technology to compete effectively in the global market.

The Duty Drawback Credit Scheme was introduced to provide financial assistance to exporters. Under this scheme, exporters are eligible to receive interest-free finance against their duty drawback claims for a maximum period of 90 days, helping them manage working capital requirements while awaiting the processing of their duty refunds.

The term 'duty paid' refers to a price point where all necessary customs duties and related import expenses have been settled by the importer. This ensures the goods are cleared for entry into the domestic market, distinguishing them from 'in bond' goods which are stored under customs control before duties are paid.

While payment terms vary by contract, a monthly billing cycle is the most common standard in business-to-business transactions. This allows companies to consolidate multiple purchases made throughout the month into a single invoice, simplifying accounting processes and improving cash flow management for both the buyer and the supplier.

Commerce is broadly defined as the sum total of all activities involved in the removal of hindrances of persons, place, time, risk, finance, and information in the exchange of commodities. This includes the entire process of buying, selling, and the physical distribution of goods from producers to consumers. Therefore, all the listed activities are essential components of the commercial process.