based on the above basic information and add relevant information write the sale contract with complete and accurate terms

ABC Trading Co, Vietnam seller and BT Co., Japan buyer agree the conditions and terms of sale contract with the following information: — Commodity: Coffee — Quantity: 200 MT more or less

UEH UNIVERSITY COLLEGE OF BUSINESS FACULTY OF INTERNATIONAL BUSINESS - MARKETING

UEH

UNIVERSITY

FINAL EXAM SUBJECT: EXPORT & IMPORT MANAGEMENT

Instructor: Bùi Thanh Tráng

Class code: 23C1IBUS50307401

Classroom: B1-406

Student: Nguyễn Ngọc Châu Anh

Batch: K47 - Class: FTC0I

Student ID: 31211025796

Ho Chỉ Minh City, 3” December 2023

Table of Contents

Q1 Based on the above basic information and add relevant information, write the sale contract with complete and accuraf€ f€rTS 5 - 0 2222112122111 12 211111 rrưy 3 Q2 As seller, discuss in detail the procedure of the sales contract in Q1 7 Q3 Give an example of imported goods and discuss in detail the procedure of

ABC Trading Co, Vietnam (seller) and BT Co., Japan (buyer) agree the conditions and terms of sale contract with the following information:

— Commodity: Coffee — Quantity: 200 MT more or less 5%

— Price: USD1,800/MT CIF Yokohama Port

— Payment: By L/C 60 day from Bill of Lading date

— The contract will come into force from December 17, 2023

Q1 Based on the above basic information and add relevant information, write the sale contract with complete and accurate terms

INTERNATIONAL SALE CONTRACT

No:

Date: December 17, 2023 BETWEEN

Party A: ABC Trading Co, Ltd (Vietnam)

Address:

Represented by:

Hereinafter referred to the Seller

Party B: BT Co, Ltd (Japan)

Address:

Represented by:

Hereinafter referred to the Buyer

Both parties have agreed to sign the contract with the following terms and conditions:

1 Commodity:

Too long to read on your phone? Save to read later on your

- VIETNAM COFFEE ROBUSTA GRA COMpUter

- Origin: Dak-Lak, Vietnam

Unit price: USD 1,800/MT CIF Yokohama Port( INCOTERM 2010)

Total amount: USD 360,000 more or less 5%

Say Total: US Dollar thirty-six hundred thousand / 5% (five percent) more or less

on merchandise quantity shipped is acceptable

Payment:

Payment by irrevocable L/C 60 days from Bill of Lading date for 100% of the invoice value, in favor of the seller

Issuing bank: Tokyo Commercial Bank, Japan

Notifying bank: Vietcombank, HCM City, Vietnam

The following documents must be presented within 15 days after the date of shipment:

Commercial Invoice in three originals

Full set Bill of Lading marked Freight prepaid made out to order of Tokyo Commercial Bank

Certificate of Quality and Quantity in two copies

Packing List in two copies

Certificate of Origin form AANZFTA in two copies

Certificate of Insurance in two copies

7 Delivery:

Term of delivery: Delivery of goods will be made CIF

Time of delivery: not later than January 7, 2024

Port of shipment: Saigon port

Port of destination: Yokohama port

Partial shipment: not allowed

Transshipment: not allowed

8 Inspection:

The Buyer will inspect the goods before shipment In the event of any physical damages to the packing or shortage of goods in comparison with Certificate of quantity and quality, B/L The Buyer shall appoimt an Independent International Survey Company to make the survey report on the field The survey report shall be an evidence for making claims

The Seller must be responsible for the replacement of shortage and damaged goods correctly Survey charges are covered by the Buyer

If the goods conform with the shipping documents, and are in good condition, the Buyer shall inform the Seller by facsimile within seven (07) working days after the receipt of goods

9 Penalty

To delay shipment: the penalty for delayed shipment will be 500 USD per

week

To delay opening L/C: the Seller has the right to delay shipment

10 Insurance: will be covered by the Seller

Insurance policy or certificate m Duplicate for at least 110% of CIF invoice value and blank endorsed with claims payable at destination in the currency of the draft covering: Institue Cargo Clause(A) Institue War Clause( Cargo)

11 Force majeure:

Flood, fire, strike, or other labor disturbances, acts or omissions of government or other competent authorities, war declared or not, riot, civil commotion, sabotage, acts of god which may occur shall be considered as force majeure

The party that bears force majeure has to notify the other party of the force majeure cases by fax/telex within five (05) days upon the force majeure taking place Such force majeure cases, if any, must be certified by the Chamber of Commerce of the country concerned

12 Arbitration:

All disputes arising out of this contract or breach thereof which cannot be settled amicably by the parties concerned shall be settled by the International Arbitration Center in Vietnam The award of this organization shall be final and binding upon both parties

In the event of arbitration, the party against whom the award is made shall bear the entire costs of both parties to the action

13 General terms:

If any of the provisions in this contract is violated in part or whole, the aggrieved party shall formally inform the other party in writing to seek resolution

This contract will come into force from the signing date

This contract is made in four (04) copies in English Each party keeps two (02) copies of the contract having equal value

FOR THE SELLER FOR THE BUYER Q2 As seller, discuss in detail the procedure of the sales contract in Q1

Export procedure between ABC Trading Co, Vietnam (seller) and BT Co., Japan (buyer)

2 Consider payment term

Firstly, BT Co., Ltd (Japan) applies for and opens an L/C with Tokyo Commercial Bank Secondly, Tokyo Commercial Bank issues the L/C and forwards it to Vietcombank Then, Vietcombank sends the L/C to ABC Trading Co., Ltd Now, ABC Co must check all of the contents of the L/C against the sales contract, including the following aspects: Parties: Ensure the parties involved in the sales contract and the L/C are accurately identified and correspond to each other

Goods: Verify that the description of the goods, including quantity, quality, and specifications, matches between the sales contract and the L/C

Price and Payment Terms: Confirm that the price and payment terms outlined in the sales contract align with those specified in the L/C Pay close attention to details like currency, payment methods, and timelines

Shipment and Delivery: Check that the shipment and delivery terms, including Incoterms, shipping instructions, and delivery dates, are consistent between the sales contract and the L/C

Documents: Verify that the list of required documents, such as commercial invoices, packing lists, and certificates of origin, matches the sales contract and the LIC

Other Terms and Conditions: Review any additional terms and conditions, such

as insurance, dispute resolution, and force majeure clauses, to ensure they are consistent and aligned between the sales contract and the L/C

Discrepancies: If any discrepancies are found between the sales contract and the L/C, it's crucial to address them promptly to avoid potential delays, disputes, or non-payment issues

If the contents of L/c are similar to the sales contract

ABC Co will prepare to ship goods to the Carrier

Ifnot, ABC Co will have to inform BT Co to correct the L/c

3 Prepare goods for export

To fulfill the commitment in the export contract, export businesses need to carefully prepare export goods The process of preparing export goods is based on key factors such

as the signed export contract with the foreign partner and the L/C (if the contract requires payment by L/C) The work of preparing export goods includes:

m Contact suppliers of production materials

Prepare production materials

Production, inspection of finished products, storage

Packing exported goods

Coffee is stored in woven bags made of soaked jute or in specialized containers

The bag must be firmly woven and sewn, not loose, punctured or have broken threads when not containing, transporting, and preserving coffee The bag must be the same color, dry, clean, and have no strange odors

The mouth of the bag must be sewn closed with twine or made of non-metal

materials to ensure durability and not break or break during storage and transportation

The average weight of each bag when tested is not less than 60 kg

If goods are shipped by container, the container size must match the standard size of the means of transport or according to the customer's request Containers must be tight and durable and not deformed during loading, unloading an transportation

The container is made of odorless material, has good moisture insulation and does not contaminate the coffee

5 Determine quantity and quality

6 Delivery time

4 Inspect goods

Before transporting a coffee lot, businesses must register for phytosanitary inspection for the exported coffee lot with the phytosanitary authority 2-3 days in advance

The phytosanitary inspection registration documents include:

Phytosanitary inspection registration form (in accordance with the sample) Packing list

Power of attorney for phytosanitary inspection procedures (if any)

Samples of the exported coffee lot

The phytosanitary inspection process is as follows:

Registration: The exporter submits the phytosanitary inspection registration documents to the phytosanitary authority and declares online on the National Single Window Portal

Sampling: The cargo owner must register for inspection at least 1-2 days before bringing the goods to the port The phytosanitary authority takes samples Samples can be inspected at the port or at the factory

5 Transportation contract

Because the incoterm in the contract is CIF, ABC Trading has to handle the main carriage Therefore, this corporation is obligated to contract with the transportation company to sign the contract relating to shipping

Step 1: Contact the shipping company or agent to get a booking

Step 2: Take the booking to the shipping company's office to approve the empty container order (usually this office is located under the port) Will issue seal + packing list container

Step 3: Take the approved booking and order to the port or container issuer to pay, please take the empty container to the warehouse for packing

Step 4: Then take the order to issue an empty container to the Dispatch Department to

request an empty container

Step 5: Bring the tractor in to pick up the container and transport it to the warehouse for packing

Step 6: Finish packing the goods and pull them to the port to unload the container

6 Insurance contract

Under CIF terms, ABC Co Trading is responsible for insuring the goods for at least 110% of their value as specified in the sales contract The msurance coverage should extend until the goods have been delivered to Yokohama Port ABC Co Trading bears

Customers purchasing export cargo insurance need to fill out all information in the document or insurance request form

Customers purchasing export cargo insurance send a document or insurance request to the insurance provider

Documents or requests for import and export cargo insurance can be sent by fax

or courier to the surance provider

The company providing import and export cargo insurance sends cargo insurance

contracts to insurance customers

Customers who purchase import and export goods insurance will sign a confirmation after reviewing the specific terms in the insurance contract

The insurance company sends a statement of insurance premiums for imported and exported goods to insurance customers

Customers who buy insurance (ABC Co Trading) pay insurance fees for imported and exported goods

Be cleared customs procedures

Step 1: Prepare documents related to exported shipments

The company should prepare the set of export documents including documents such as: Sale Contract (Foreign trade contract)

Commercial Invoice (Commercial Invoice)

Packing list (Goods packing slip)

Phytosanitary certificate

Certificate of Origin

Booking note - This is the recording of the cargo owner's shipping company

12

reservation to transport goods

The receipt confirms that the container has been landed at the port

Other types of licenses depend on the exported goods

Step 2; Obtain the UCR- Unique Consignment Reference for the goods

Obtain the UCR- Unique Consignment Reference for export declarations without bills of lading in the following ways:

Log in to ECUSS software (for applied ports) according to these steps: HQ declaration-> additional declaration-> register for goods identification number (or

in the bill of lading number box of the export declaration)

Log in to the public service page:_https://pus.customs.gov.vn

In case, ABC co Trading does not have a digital signature, it needs to prepare a digital signature and register with the Customs office ABC Co Trading can also authorize a customs clearance agent to represent them in carrying out export procedures

Step 3: Declare customs information

Through VNACC/VCIS Customs declaration software; ABC Co Trading can declare information on export declarations and submit customs declarations, along with documents in customs records through the VNACCS System

Step 4: The system implements the export customs declaration classification process

The customs declarant at this step goes through the VNACCS/VCIS System to receive the system's feedback on the channeling results, which can belong to one of the following streams:

Green Lane

Once, the software has resolved the mildest cases ABC Co Trading just needs to go to the customs supervision agency to submit documents such as:

1 Equipment Interchange Receipt

2 Sheet with barcode (printed from the website of the General Department of Customs)