Processing contract 1 Commodity 2 Quantity 3 Price Unit price, delivery term, payment currency USD 5pc FOB Cat Lai port, Incoterms 2020 Total amount (in figures in words) Processor s obligations 4. 1. Commodity 2. Quantity 3. Price − Unit price, delivery term, payment currency USD 5pc FOB Cat Lai port, Incoterms 2020 − Total amount (in figures in words) − Processor s obligations 4. Quality − Sample (master sample, counter sample) − Technical stipulation − Inspection from Processee s representatives
Processing contract Commodity Quantity Price − Unit price, delivery term, payment currency USD 5/pc FOB Cat Lai port, Incoterms 2020 − Total amount (in figures & in words) − Processor 's obligations Quality − Sample (master sample, counter sample) − Technical stipulation − Inspection from Processee 's representatives Payment − Currency (price) − Time − Method − Docs (kinds, issuer, originals, copies) Shipment − Time − Place − Partial/transshipment − Notice of shipment: liner charter voyage/tramp loading/discharging Packing & marking Material & accessories − Supply method − Kinds: material for goods material for packing − quantity − value − quality − consumption rate − wastage allowance − Shipment (time, place, partial/transshipment, notice of shipment, shipping docs) − handling methods Ex: ● (Supply method) Party A accepted to supply free of charge on basis of CIF Sai Gon port (Incoterms 2010) all fabrics and accessories to Party B on which Party B organizes production to Party A’s requirement in quantity, quality and shipment time as follows: … Say: US Dollars one hundred and eighty four thousand ● (Consumption rate wastage allowance) 3% of material and 3% of accessories shall be added to consumption rate for production wastage allowances ● (Time) Party A will supply fabric, material and accessories to Party B after 15 days signing date this contract ● Partial shipment: Not allowed ● Transshipment: Not allowed ● (Notice of shipment) Party A will advise to Party B via fax/email the details of material and accessories shipment within a day of shipping date ● (Shipping docs) Shipping documents of fabric and accessories include: - Signed Commercial Invoice in triplicate - Full set original clean on board Bill of lading marked “Freight prepaid” - Certificate of origin - Packing list in triplicate Shipping documents shall be sent to Party B within days after shipping date ● (Handling methods) Any expense happened due to late documents from Party A shall be on Party A account Upon unloading of material and accessories in Party B warehouse, representatives of both parties will check the quantity and quality of all items delivered to Party B and will jointly establish a control report which will be sent to Party A within days following the arrival of materials, accessories delivered by Party A If the control report does not mention any differences between the quantity and quality of the materials received by Party B and the one that has been delivered by Party A, Party B shall be deemed to have accepted the goods delivered and no reclamation shall be accepted Should there be any delay in the delivery by Party A of the materials and accessories and if this delay either has prevented the production to begin or has terminated the production, the delivery time will be increased of the same delay As for the extra material and accessories after liquidation of the contract, both parties agree to transfer to the next contract upon request of Party A that be returned to the place of origin, to bear all responsibilities for any tax, or, to carry out of cancel of them in right of stipulation Machinery & equipment − Transfer method (lease, lend) − kinds, quantity, quality, value, consumption rate, wastage allowances rate => appendix − shipment (time, place of material delivery, inspection, notice of shipment, partial shipment or total shipment, shipping documents) − obligation to instal M&E − Processee 's obligation to guide/train Processor workers to operate M&E − Obligation to fix problems when M&E are bronken down/supply replacing spare parts − Handling methods Ex: In the implement of this contract, Party A agrees to lend to Party B some of machines and equipment for processing products Appendixes of machine and equipment have to be agreed by both parties and which also keeps on the policies of Vietnam Government At the expiry day of the contract, all the machines & equipment will be taking over to the next contract or other factories or Party B agrees to return all machines and equipment to Party A result in failing to continue production Party A supplies all replacing spare parts of machine in order to keep the production line operation The expenses of installing machine are in Party A account 10 Technical stipulation, sample, inspection - All technical details and designs as for sample submitted by the Party B, signed and sealed by both parties No 08/19 date April 1st 2019, each party keeps one The sample is a part not separate from this contract - Party A shall provide Party B with all technical conditions and appropriated documents such as master samples, paper patterns, consumption rates, size specifications and assortments, color cards… - Party B undertakes to respect the quality required by Party A and to base the production on the samples approved by both parties and according to the technical know-how of Party A - Quality inspection will be controlled by Vinacontrol and Inspection certificate made by Vinacontrol shall be final In the event quality production is below the quality level which was agreed by both parties at the time of the agreement, and, if Party B remains in default to remedy the default within 15 days of their noting, Party A shall have the right to terminate the agreement, all damages incurred in respection of the default 11 Training − Quantity of employees − Training quality − Type, time, place of training − Training cost 12 Label/Trademark − Processee is the owner − Processee authorizes Processor to use − Processee 's obligation to solve claims from 3rd party (if any) Ex: Party A undertakes that Party A is the owner of the labels under this contract Party A authorizes Party B to use these labels for production of the order under this contract Party A guarantees that will take all responsibilities for all disputes, if there are, arising for the labels under international and local law 13 Insurance 14 Penalty 15 Force majeure 16 Arbitration 17 (Claims) 18 General condition Expiry of the contract to Dec 31, 2019 By signing this contract previous correspondence and negotiation connected herewith shall be null and void This contract is made in Ho Chi Minh City- Viet Nam, in 06 English originals, 03 for each party of equal value This contract comes into effect from signing date, any amendment and additional clause to these conditions shall be valid only if made in written form by telex or fax and confirmed by both parties Complete equipment import contract Definition (A, B, C… alphabet) Object of the contract − Product line: Commodity Quantity Quality: function, capacity, origin, status: new/old, age… details => Appendix − Services supplied by the Seller Ex: 01 MP300 BATCH MIX PROCESSING PLANT-ELECTRIC HEATED - Self-contained plant for the mixing, homogenizing, pasteurizing and cooling of 300 liter/hour of ice cream mix and equipped with all other equipment which form a full complete production line - The machines and equipment of this production line must be brand new, most advanced, produced in 2015 in Italy and equipped with full accessories and shall be used for producing small cups, crimped cones ice cream, stick novelties and bulk ice cream - The specification and quantity of the individual machines and equipment are as per the attached Appendix No 01 of this contract - The service of the Seller‘s supervisor and the training of the Buyer ‘s personnel are stated in Article 13 Price − Contract value (in figures, in words) − Breakdown price: Production line value Installation fee Training fee − Value of single machines, equipment is showed in Appendix… Ex: The price of the equipment specified in App No1 including supervisor fees in Vietnam and training fees of 03 Buyer‘s people for 04 weeks in Italy is: USD 800,000 CIF Cat Lai port (Incoterms 2010) Saying: United States Dollars eight hundred thousand only, including spare parts for two running years after guarantee period Payment − Currency − Time − Method − Docs (kinds, issuer, originals, copies) Shipment − Time of delivery: within 140 days or 20 weeks after the Seller‘s receipt of down payment in Denmark − Loading port: port of Denmark − Unloading port: Cat Lai port, SR Vietnam − Partial shipment: not allowed Parking and making ● Marking Receiver: ABC company - Contract No.: - Loading port: - Unloading port: Cat Lai port - Net/gross weight: - Dimension: long x wide x height - Container No/No - Sender: ● Packing: in containers with packing lists enclosed: a) According to the international sea transport b) All the goods shall be packed in adequate packing which are suitable for the sea transport The packing has to guarantee the safety of long term transport protected against the rust occurred by sea water, humidity, rain and others Before the goods to be put in the packing, all protection measures against rust such as oil and crease applying, polyethylene wrapping shall be done in order to protect them of damage or rust during the transport period c) All packing material shall be made of new material d) The Seller shall be responsible for any damage or breaking of the good due to inadequate packing and due to rust arising from untouchable protection through crease applying e) Spare parts shall be packed separately with marking “spare parts”, individual kind of spare part shall be packed separately in each package and be marked with goods name, quantity and specification No of them The marking has to be written clearly in paint in English on two wall sides and top side of package and size of which may not smaller than 5cm for wood package and 10cm for container ● Within 72 hours after loading, the Seller has to send the Buyer the documents consisting 1/3 original B/L, copy of commercial invoice, packing list and certificate of origin by DHL to the consignee address: - ABC Company - Address : - - Tel - Fax -● Within 48 hours after the departure date of the goods carrying vessel, the Seller has to inform the Buyer by fax/email the following information: the name of vessel, B/L number, 12 B/L date, the departure date of vessel and ETA at Cat Lai, contract number, commodity, value, quantity, gross/net weight, size of package, total cubature Inspection − Dividing − Organiza − Place 10 Erection Installation Main obligations are conducted by Acceptance - Nomination: The Seller shall send expert who is skilled, has may experiences, speaks English and is in good health condition to Vietnam - Duties: In order to train the Buyer‘s personals as well as to supervise the assembling, operating commissioning and handling over the ice cream production line, moreover the Seller has responsible for insurance of his expert during the service period of him at the site and in Vietnam Besides the foreign expert, the Seller should send a Vietnamese technician to the site in order to take part jointly to the installation, commissioning and handling over of the ice cream production line - Erection & Test run: The Buyer shall supply skilled workers, normal workers, technical personnel, basic tools equipment, electricity, water, air, and another medium according to Appendix No to serve the installation - Time: The staying period of the expert shall last from beginning of installation to signing the commissioning certificate The Buyer shall bear all fees for the local transport, boarding and lodging of the foreign expert at the medium condition during his staying period in Vietnam Working hours of experts in Vietnam: hours per day and days per week Commissioning & Performance test: date Commissioning: Buyer’s preparation for material, workers => Acceptance => case /Acceptance cert Performance test: Is successful => cert of completion => Acceptance Is not successful => The Seller is responsible for any defect due to material or bad workmanship revealed within the period of guarantee Technology Transfer Agreement Definitions (định nghĩa) Scope of the contract − Transferor’s obligation − Transferee’s obligation Territory & Exclusivity − Territory Place to use products: The Transferee has the right to use technology and manufacture products in Vietnam Place to sell/produce products: The Transferee has the right to sell products in Vietnam and in the world − Transferee’s right to transfer to 3rd parties or not: The Transferee has :notthe right to transfer the technology to the third parties Technology transfer − Kind of transfer right: product/software/service/… − Technical doc: The technical indices and data, specifications, drawings, processes, technical and quality standards, Know-how, Erection, Test Run, Commissioning, Performance Test operation and maintenance for the production line, as well as manufacture of the Products, to be provided by the Transferor as listed in Appendix − Training: training rendered by the Transferor − Tech support: Transferor provide to Transferee necessary technical instructions with respect to Know-How to assist Transferee in using the product/ productline/ software/ service/… − Certificate of readiness of commercial production (acceptance) Price − 1st method, 2nd method-> the same as CEIC Payment − By L/C or by other − Time for payment − Payment method − Bank which payment when both parties sign Shipment − Shipment method − Which incoterms contract use − The party’s obligation to hire transportation − The date of shipping − POL, POD Packing and making Effectiveness of the agreement − Tech: The Transferee has the right to use technology and manufacture products in Vietnam − Encouraged: The Transferee shall forthwith notify the Bank of any action, injunction, claim for damages or other claim which is or may be made by a third party asserting that the Software infringes such third party’s Intellectual Property Rights The Transferor shall exert its best efforts to resolve such dispute The Transferee shall comply with the instructions of the Bank and cooperate with the Transferor in such dispute with a third party.) − Limited: Just the Transferor and the Transferee can access/use/sell this product without any appearance of any 3rd party − Prohibited: Transferee shall not grant the right to use, assign, sell, buy, or lease the Software to any third party, or create security interest over the Software for the benefit of any third party 10 Improvement & Innovations − Transferor’s obligation to inform I&I to Transferee: + If Technical Data provided byTransferor to Transferee does not fit with the plant condition of Transferee, Transferor is obliged to make modification and improvement on Technical Data + Transferor shall provide, on a gratuitous basis, to Transferee any modified and improved Technical Data in respect of the Know-How The Transferor shall in such case keep the Transferee informed of these modifications within sufficient time in advance − Transferee’s right to improve & innovate & obligation to inform I&I to Transferor: Transferee has the property rights on any technology, which is derived from modification and improvement by Transferee on the Know-How 11 Erection – Installation – Test run 12 Guarantee & warranty 13 Environmental protection & Harmful effects The Transferorcommitsto inform fully andclearlyto the Transfereeallinformationabout the consequences ofthe use oftechnologyon the environment, Moreover, as soon as having new information, the Transferorwillsend this informationfully and clearly to the Transferee 14 Patent right − Transferor is the owner − In case of violation transferor should get a license/ modify/ substitute/ take back − Transferee’s obligation to inform claims from 3rd party to Transferor − Transferor’s obligation to solve claims & pay relating fees 15 Confidential relationship Both parties shall treat as confidential all specifications, drawings, blue prints, nomenclatures, software, models and any other information supplied by each other, unless prior written consent to divulge the same has been obtained This shall not apply 24to information that has rightfully become public knowledge and to the record of supply of the Transferor which serves the Transferor to promote its sales activities worldwide.The Transferee shall ensure that its employees shall undertake in writing upon terms to be approved by the Transferor not to disclose to any person firm or company any of the information which such employees may receive in accordance with the provisions of this Agreement or relating to the Know-how 16 Force majeure 17 Taxes, levies and fees 18 Performance security The Transferor shall within 10 calendar days of the Agreement signing, lodge performance security covering 10% total Agreement price Performance security will be returned to the Transferor within 30 days from the date of expiration of Warranty period The Security shall be issued by a well know state own bank in Vietnam or a foreign bank‘s branch in Vietnam approved by the Transferee by way of an unconditional bank guarantee in a form acceptance to the Transferee, which security notwithstanding anything herein contained shall be available to the Transferee on demand.All cost in respect of such guarantees shall be to the account of the Transferor and the Transferor shall indemnify and keep indemnified the Transferee from against such cost 19 Termination of the agreement 20 Deduction from Transferor’s money 21 Arbitration 22 No assignment Rick RISKS IN EACH STEPS OF PERFORMING AN EXPORT CONTRACT Step Risks - Wrong procedure, policy changing (1) Obtaining Solution - There is no need to apply for an export license for common goods export - For goods subject to special management, restricted goods, or license conditional export, it is necessary to apply for a permit from a - T/T in advance, careless L/C checking competent agency in accordance with the law - Get to know your business partner carefully - Unbelievable Issuing bank - Consult the bank about the partner's business history - Clearly stipulate the penalty clause in the foreign trade contract if the contract is not performed (2) Requesting initial - Both parties deposit at the bank steps of payment - Request the bank's tools such as: Standby Letter of Credit, Performance bond, Bank guarantee Request to open L/C at reputable, well-known banks -The named confirming bank or the geographical bank of the - Quantity, quality, lack of product sources bank issuing the L/C in the exporting country - Sourcing with a stable and reputable source of goods (3) Sourcing goods for - Changing price of material - Should clearly stipulate in the commercial contract about the export Penalty clause about how if one party violates the contract, how (4) Packing & marking to handle it - Wrong, unsuitable => affect quantity, quality, being - Both parties must have clear regulations on packaging and claimed labeling - Specify the type of packaging, the quality of the packaging, etc The label on the package must match the type of goods inside - Make clearly specify who is responsible in the implementation - Quantity, quality (Careless) process as well as reasonable compensation when errors occur - Read carefully, buy and prepare goods according to the - Fail to meet buyer ‘s standard requirements of the contract - Hire an independent third party to inspect the goods before (5) Making pre- they are shipped shipment inspection - Send samples to the importer to inspect the goods for themselves and determine if the quality is acceptable before shipping any orders (6) Reserving shipping - Unbelievable carriers - Amendment of L/C if necessary - Gain the right to actively charter ships - Changing freight - Designate a well-known shipping company, especially should charter ships from companies with representative offices in the space importing country - Wrong doc vs L/C - Buy cargo insurance - Clearly stipulate the contents of the L/C and the necessary (7) Getting goods insured - Late (after vessel departure date) documents, revise until the two parties agree (8) Making documents - Consider a reasonable time to open L/C - Request the parties to specifically mention both the content and - Mistakes/difficult docs/late presentation form of the document in the contract - Provide information, only accept documents from reputable supply or certified agencies - The bill of lading is not made by the importer but in the name of the shipping company, so the importer needs to check and promptly compare the information on the bill of lading and the ship's schedule to verify the authenticity - The importer requires the exporter to send 1/3 of the original - FOB price bill of lading directly - Quality control and careful follow-up procedures throughout - Lack of cont./bad quality cont Late/Traffic jam => the delivery process (9) Dispatching goods closing time Broken down (=> port of loading) - Use the services of professional, highly specialized transport - Wrong port of container drop off and logistics companies - Vessel delay - Buy cargo insurance Some insurance companies also provide - Risk during transit, loading, discharging => cover for losses due to delays and malfunctions in exporting quantity, quality goods - Importer refuses to receive goods due to quality, - Communicate with the importer to discuss every detail of the (10) Obtaining Customs clearance (11) Receiving payment quantity order delays and give them an estimate of when to expect their - Web stuck package - The customs declarant must be careful, carefully check the - Wrong HS, data declared => red flow => waste time information in the documents about the errors mentioned above, & cost and notify the relevant parties for timely adjustment before - Forget to liquid the customs declaration, fill in log making the customs declaration book - Has not yet paid, delay, lack of payment value L/C, penalty, bank guaranty, check partner financial situation - Exchange rate (12) Claiming or solving - Can not reach mutual solving solution => sue - Carefully drafted in the content of the contract terms claiming - Clearly define the selection of arbitrators and regulations or related issues right from the negotiation stage - Attention to the issue of Dispute Settlement Terms from the round of negotiations => Enterprises need to understand the possibility of uncertainties, risks and the origin of uncertainties and risks in each work of organizing the implementation of import-export contracts From there, it is necessary to take measures to prevent and limit these uncertainties and risks by: - Draft and sign contracts closely, avoiding loopholes - Organizing the implementation of scientific contracts - Firmly grasp the laws, guidelines, policies and regulations of the state on export - Train a team of dynamic, creative, good professionals, foreign trade professionals, good at foreign languages RISKS IN EACH STEPS OF PERFORMING AN IMPORT CONTRACT Step Risks - Wrong procedure, policy changing Solution - It is important to know the goods with or without an import permit Where a permit is required, the importer should (1) Obtaining Import arrange it as soon as possible Stay active license - Read instructional texts, refer to recent texts, and the experiences of others Then preparation of documents can be (2) Taking initial steps of - T/T in advance, careless L/C checking carried out before officially dealing with foreign partners - Get to know your business partner carefully payment - Consult the bank about the partner's business history - Unbelievable Issuing bank - Clearly stipulate the penalty clause in the foreign trade contract if the contract is not performed - Both parties deposit at the bank - Request the bank's tools such as: Standby Letter of Credit, Performance bond, Bank guarantee Request to open L/C at reputable, well-known banks -The named confirming bank or the geographical bank of the (3) Reserving shipping - Unbelievable carriers bank issuing the L/C in the exporting country - Gain the right to actively charter ships - Changing freight - Designate a well-known shipping company, especially should charter ships from companies with representative offices in the space importing country - Wrong doc vs L/C (4) Getting goods insured - Late (after vessel departure date) - Mistakes/difficult docs/late presentation - Buy cargo insurance - Clearly stipulate the contents of the L/C and the necessary documents, revise until the two parties agree - Consider a reasonable time to open L/C - Request the parties to specifically mention both the content and form of the document in the contract - Provide information, only accept documents from reputable supply or certified agencies - The bill of lading is not made by the importer but in the name (5) Checking documents of the shipping company, so the importer needs to check and promptly compare the information on the bill of lading and the ship's schedule to verify the authenticity - The importer requires the exporter to send 1/3 of the original - Web stuck (6) Obtaining Customs clearance bill of lading directly - The customs declarant must be careful, carefully check the - Wrong HS, data declared => red flow => waste time information in the documents about the errors mentioned & cost above, and notify the relevant parties for timely adjustment - Forget to liquid the customs declaration, fill in log before making the customs declaration book - Late shipment, no shipment b/c of increased price - Use the services of professional, highly specialized transport - Wrong HS and logistics companies - Carefully check the information of the documents before the (7) Taking delivery of goods are delivered goods - Buy cargo insurance Some insurance companies also provide cover for losses due to delays and malfunctions in exporting (8) Inspecting - lack of quantity, quality goods -The contract clearly stipulates the quantity, quality, marking, - wrong packing & marking packing of goods import - Stipulate penalty conditions when receiving unsatisfactory products products - Choose a guarantor bank to solve the problem - Can not reach mutual solving solution => sue - Clearly define the selection of arbitrators and regulations or (9) Claiming or solving related issues right from the negotiation stage claiming (10) Making payment - Carefully drafted in the content of the contract terms - Attention to the issue of Dispute Settlement Terms from the - T/T in advance, careless L/C checking round of negotiations - Get to know your business partner carefully - Unbelievable Issuing bank - Consult the bank about the partner's business history - Clearly stipulate the penalty clause in the foreign trade contract if the contract is not performed - Both parties deposit at the bank - Request the bank's tools such as: Standby Letter of Credit, Performance bond, Bank guarantee Request to open L/C at reputable, well-known banks -The named confirming bank or the geographical bank of the bank issuing the L/C in the exporting country => Making a clear contract, penalty, payment % after receiving products, bank guaranty Document Issuer Function Content Purpose How to get Issuer Function Content Purpose Commercial Invoice Exporter/ his agent It is the basis for the seller to demand money from the buyer As the basis for customs tax calculation, insurance (if any) It is the basis for the buyer to compare and track whether the seller's delivery is in accordance with the contract If there is a bill of exchange in the set of documents, the invoice is the basis for checking the amount on the bill of exchange When an invoice is accepted for payment by a buyer or a bank, it becomes an instrument to finance import and export activities Name of the exporter, importer and consignee; description of goods It is a requisite for the invoice to be signed by an exporter or his agent Normally invoice is prepared first, and several documents are then prepared by deriving information from the invoice Commercial invoices are usually made by the seller according to the seller's own form Packing list Exporter - Name and address of the seller - Buyer's name and address - Invoice number - Order number of parcels - Packaging method - Type of goods, quantity of goods packed in each package, net weight, gross weight of each bag/carton/box/box/type of goods and net weight, tare weight of the whole shipment , the volume of the whole shipment A consolidated statement Its informative and itemize the material in each individual package, such as a drum, box or carton It is very useful document for customs time of examination and for the warehouse keeper of How to get the buyer to maintain a record of inventory and to effext delivery The packing slip is usually placed in the outer package so that the buyer can easily find it for easy counting The packing slip is also sent with the payment documents according to the provisions of the contract or L/C Lệnh giao hàng (Delivery Order – D/O) Issuer Function Content Purpose How to get Carrier/ agent A document in exchange for: - One or all duly endorsed original bill(s) of Lading or duly authorized issued Bank Guarantee - A telex release confirmation from the loading port or principal confirming surrender of one or all Original bills of lading issued for the shipment - A copy of a Sea waybill issued releasing the cargo to the legal consignee mentioned in the bill of lading Only with this delivery order the consignee can clear the cargo with customs and take delivery of the cargo from the port or terminal or depot or wherever it is stored Request the port/cargo management department to transfer the lien to the consignee D/O is delivered after the consignee presents a valid bill of lading and pays the costs related to transportation such as freight, overdue container storage fees (if any) Equipment Intercharge Receipt – EIR Issuer Function Content Purpose How to Issued by the port's sales office or Depot in for container forwarding services at the port To transfer a cargo from one vessel to another or to a shipping terminal Includes the container number, vessel/ voyage code, stacking position and stowage position A doc required signed by the port ( the port’s warehouse ) with leader ship Show that the forwarder has paid all the service fees used at port, to take the container out of the port or bring the container into the port get Issuer Function Content Purpose How to Phytosanitary certificate A plant protection organization of the exporting contry Phytosanitary certificates are used to attest that consignments meet the requirements of phytosanitary importation and are applicable to most plants, plant products, and objects subject to phytosanitary control other in international trade Plant censorship certification contributes to plant protection, includes wild plants and trees/unmanaged plants and wild plants (including aquatic plants), habitats and ecosystems in importing countries Phytosanitary certificates also facilitate international trade in plants, plant products, and other plant censored objects by providing an agreed international document and related procedures • Shipper’s (Exporter’s) company name, address and contact details • Consignee’s company name, address and contact details • Place of origin • Country of final destination • Means of conveyance (road, rail, air, sea) • Declared point of entry • Import permit number • Details of products included in the shipment – including shipping marks and container numbers, number and description of packages, product name, quantity, botanical name, commodity code and total mass • Company statement, example • Treatment details including – date, treatment type, chemical, concentration, duration & temperature plus any additional information or declarations • An authorized officer from the governing authority will sign and stamp the certificate Phytosanitary certificates are issued to indicate that consignments of plants, plant products or other regulated articles meet specific import phytosanitary requirements and are consistent with the declaration confirmation of the certificate of conformity Phytosanitary certificates should only be issued for this purpose The importer of goods requires a phytosanitary certificate to get the products cleared through get customs before the shipments arrives into port The shipper of the goods must contact their country’s relevant department and apply for the certificate Usually applicants must first be registered with the department before applying for the relevant certificate The exporter’s facility may have to be inspected by an authorized officer to ensure that it complies with strict hygiene standards to be eligible for export Bill of Lading Issuer Function Carrier - A receipt from the carrier confirming that they receive the goods for carriage - It’s an evidence of the contract of carriage of goods between the shipper and the carrier - A document is confirmed by ownership of goods The holder of the original and named as the consignee in the bill of lading has the right to receive the goods at the port of destination and has the right to sell the goods by transfer of the B/L Content The front side of the B/L includes the following contents: + The title of bill : Bill of lading/Ocean bill of lading/Marine bill of lading/Port to port bill of lading/Through bill of lading + Bill of lading number + Name, logo, address, phone, fax of the shipping company + Name, address, phone, fax of the consignee + Name, logo, address, phone, fax of the consignee + Name, logo, address, telephone, fax of the notified party + Place to receive goods for transportation, place to return goods + Name of port of loading, port of discharge + Train name, train number + Number of copies of the original bill of lading + Commodity information: code, name, quantity, weight, volume + Charge status (prepaid/postpaid) + Signature of bill of lading issuer Bill of Lading is a transport document and an evidence of the contract of carriage by sea It also acknowledges that the carrier has received cargo for shipment or cargo has been shipped Purpose How to get on board Each carrier (shipping line) has its own form of bill of lading Airway Bill Issuer Function Content Purpose Carrier The air waybill serves many functions, including: - Evidence of receipt of goods by an airline - Contact information among all parties - Contract of carriage between shipper and carrier - Freight bill - Customs declaration - Description of the goods - Guide for handling and delivering goods - Tracking of shipment • Name of the ship/carrier, • Name and address of the shipper • Name and address of the consignee, • Port of departure and destination, • Particular marks necessary for identification of goods, • Description of goods (General description), • Packing and Container description, • Indication of Full Container Load (FCL) or Less C • Transit places (where applicable), • Pre- paid freight or freight collect clauses, Date and signature of the issuing carrier or his agent and Declaration that the Warsaw Rules (the provisions in the 1929 Warsaw Convention), as amended, apply to limit the carrier's liability for loss of goods or damage to the goods IATA defines an air waybill as a document made out by or on behalf of the shipper which evidences the contract between the shipper and the carriers for carriage of goods over routes How to get of the carrier(s) The AWB is not a document of title and is therefore not negotiable like a bill of lading (order type) After the consignor delivers the goods to the carrier and completes the export customs procedures, the carrier will issue an air waybill Certificate of Origin (C/O) Issuer Purpose Exporter, Authorized chamber representative For importers: C/O helps importers enjoy preferential import tax, helping the amount of tax reduced when there is c / O is very large In fact, many importers use a lot of tricks in business to get the origin of goods from a country that enjoys preferential import tax incentives, especially in the case of trilateral trade For the XK: C/O does not help exporters benefit from taxes Only a handful of governments require C/O for exports At this time, C/O carries the meaning of statistics on the quantity of exported goods However, in the case of DDP sales For the State: C/O supports the government in implementing the anti-dumping, subsidies, trade statistics, maintaining the quota system, avoiding tariff fraud or serve the government's procurement activities in accordance with the provisions of that country's law and international law Content Concept How to Name & address of the buyer, the seller ; name of goods, quantity, weight, marking , the goods owner’s statement & the Chamber of Commerce’s authentication on the origin of the goods A Certificate of Origin (CO) is an important international trade document that certifies that goods in a particular export shipment are wholly obtained, produced, manufactured or processed in a particular country They declare the ‘nationality’ of the product and also serve as a declaration by the exporter to satisfy customs or trade requirements Depending upon which country one is exporting to and whether preferential tariff rates are get available when exporting to certain countries, one has to approach different agencies to procure a Certificate of Origin The list of qualified agencies is given in the Hand Book Procedures Vol.1 For procuring a non-preferential Certificate of Origin, one must approach any agency that has been listed under Appendix 4C of the Hand Book Procedures Vol.1 For preferential Certificate of Origin, one must approach agencies listed under appendix 4A of the Hand Book Procedures Vol.1 They must submit the following documents when applying for a Certificate of Origin: • A cover letter for the issue of Certificate of Origin • Details of the product that is being exported (amount, origin etc.) • Packing list in duplicate for the concerned invoice • One copy of the invoice with the following declaration: “We hereby declare that the goods mentioned in this invoice are of Indian Origin and manufacture.” • Nine copies of the Certificate of Origin • Fee that is applicable per certificate