I am an exporter and have old relationships with most of the clients. One of my client has verbally confirmed an exporter order and he would issue Purchase order (PO) in coming days. Can I hedge currency risk on this order without having PO in hand?

I am an exporter and have old relationships with most of the clients. One of my client has verbally confirmed an exporter order and he would issue Purchase order (PO) in coming days. Can I hedge currency risk on this order without having PO in hand?

RBI permits exporters and importers to hedge currency risk for such situations by using a facility called PP limits (Past performance).