Shipping Documents
Commercial Invoice — format, contents & how to prepare
The primary customs and commercial document for an international shipment. Here's exactly what a commercial invoice contains, the standard format, and how to prepare one correctly.
A commercial invoice is the primary document that states the value, quantity, and terms of an international sale — used by customs to assess duty. It is issued by the exporter (seller) to the importer (buyer) and is mandatory for cross-border shipments.
Overview
What is a commercial invoice?
The commercial invoice is the central document in international trade. Customs authorities use it to assess duties and taxes, banks use it to process payments, and both parties use it as the record of the transaction. It must agree with the packing list, bill of lading, and any letter of credit — discrepancies are the most common cause of customs delays.
Contents
What a commercial invoice contains
Exporter (seller) name, address, IEC and GSTIN
Importer (buyer) name and address
Invoice number and date
Description of goods, HS code, quantity, unit price and total value
Currency and total invoice value
Incoterms (e.g. FOB, CIF) and place
Country of origin and country of final destination
Payment terms and bank details
Marks, numbers, gross/net weight and package count
How to prepare
Preparing a commercial invoice, step by step
Add the parties
Enter the exporter and importer details, including IEC and GSTIN for the Indian party.
Describe the goods
List each item with a clear description, HS code, quantity, and unit price; the totals must match the packing list.
State value and currency
Show the unit prices, line totals, and the grand total in the agreed currency.
Set the Incoterm
Specify the Incoterm and named place (e.g. FOB Nhava Sheva) so liability and cost responsibility are unambiguous.
Add origin, weights and marks
Include country of origin, gross/net weight, package count, and shipping marks.
Cross-check and sign
Verify the invoice agrees with the packing list and transport document, then sign and date it.
Generate it automatically
Create a commercial invoice in CargoFide
CargoFide's Document Builder generates your commercial invoicefrom shipment data, keeps it consistent with your other documents, and cross-checks for discrepancies before it's issued.
FAQ
Commercial Invoice — common questions
What is a commercial invoice used for?
It is used by customs to assess duty, by banks to process payment, and by both buyer and seller as the formal record of the international sale. It is mandatory for cross-border shipments.
What is the difference between a commercial invoice and a proforma invoice?
A proforma invoice is a preliminary quote issued before the sale is confirmed; a commercial invoice is the final, binding document issued once goods are shipped and is used for customs clearance.
Is an HS code required on a commercial invoice?
Yes — the HS (Harmonized System) code classifies the goods and determines the duty rate. Including the correct HS code helps avoid misclassification, delays, and penalties.
Can I generate a commercial invoice automatically?
Yes. CargoFide's Document Builder generates a commercial invoice from your shipment data, keeps it consistent with the packing list and B/L, and cross-checks for discrepancies.
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