Export of Services – DGFT clarifies
As per Para 9.53 (iv) of Foreign Trade Policy 2004-09, a Service Provider includes a person supplying "service" in India relating to exports paid in free foreign exchange or in Indian rupees which are otherwise considered as having been paid for in free foreign exchange by RBI.
As per GATT's Agreement, such services can be rendered within the territory of service providers’ nationality, and therefore earning of free foreign exchange by providing services is the only way a service provider can export his services as defined in the above said Para.
POLICY CIRCULAR NO. , Dated: June 8, 2005