I've moved your thread to the general discussions.
You can view the ink levels in ID's Separations Preview panel by hovering over a spot with the mouse, and you can also set a highlight there for your ink limit. The only time, though, that ID will enforce a limit automatically is during a color conversion, so you may need to adjust native objects manually and linked objects in editor for those objects.
Your printer's comment seems contradictory to me, though. If your black cannot exceed 200, how can you have anything with a value between 200 and 340?
Great, thank you. I went into the colour separation and clicked on ink limit. It appears that if I exceed the ink limit selected on a particular illustration, it shows up in pink/red in the preview. I then make adjustments in the original file so that it will not exceed when reloaded. Is this correct?
When I go to colour settings, it shows both RGB and CMYK selected -- I need the PDF to be CMYK. Is there a way to select this? and will the profile I select(FOGRA27) limit the ink charge in anyway -- or do I have to do that manually picture by picture?
I agree about the printer's comment (probably something lost in translation).
If your images are RGB, and you need CMYK, you can probably deal with the total ink simply by choosing the correct profile as the output destination (ink limits are enforced during a color conversion). Did this printer specify FOGRA27 as the output profile?
Color settings are simply the default spaces for new files, and the policies to be used when importing content in case of a mismatch. ID can work with both RGB and CMYK content, so both spaces are specified. Ideally the printer should be providing a .joboptions PDF preset file for you to use during export, or very specific instructions.