Professional Internship Report The Process Of Procurement Of Agricultural Products For Exporting At Green World Import Export Company Limited.pdf

TON DUC THANG UNIVERSITY size 14 FACULTY OF DEPARTMENT OF DAI HOC TON BUC THANG PROFESSIONAL INTERNSHIP REPORT THE PROCESS OF PROCUREMENT OF AGRICULTURAL PRODUCTS FOR EXPORTING AT G

TON DUC THANG UNIVERSITY (size 14) FACULTY OF

DEPARTMENT OF

DAI HOC TON BUC THANG

PROFESSIONAL INTERNSHIP REPORT

THE PROCESS OF PROCUREMENT OF AGRICULTURAL PRODUCTS FOR EXPORTING

AT GREEN WORLD IMPORT EXPORT COMPANY LIMITED

PROFESSIONAL INSTRUCTOR: NGUYEN THI TUONG VY

SUPERVISOR: DINH TH! THIEN THU

STUDENT’S NAME: VU NGUYEN BAO TRAN STUDENT ID: 720K0622 CLASS ID: 20K70601

HO CHI MINH CITY July/2024

FEEDBACK OF SUPERVISING LECTURER

Student’s name: Vu Nguyen Bao Tran Student ID: 720K0622 Class: 20K70601 Academic Year: 2020-2024

Ho Chỉ Minh City, Dafe oe

Supervising Lecturer (Full name and signature)

EVALUATION OF MARKING LECTURER

Student’s name: Vu Nguyen Bao Tran Student ID: 720K0622 Class: 20K70601 Academic Year: 2020-2024

Ho Chỉ Minh City, Dafe oe

Marking Lecturer (Full name, Signed and Sealed)

ACKNOWLEDGEMENT

My internship with Green World Import-Export Co., LTD was an incredible chance to obtain significant experience and progress my career I would like to express my sincere thanks to everyone who supported me throughout my incredible internship experience at Green World Import-Export Co., LTD This opportunity has connected me with so many amazing people and professionals who have been instrumental in my growth

My heartfelt gratitude goes to my mentor and supervisor, Mrs Dinh Thi Thien Thu Her expertise and guidance in teaching me the intricate knowledge of making agricultural products have been invaluable Working with such a skilled and encouraging team, who always offered helpful advice, was an honor and a pleasure

I would also like to express my appreciation to the Ton Duc Thang University School Board for continually providing the conditions that allowed me to engage with the realities of business and gain practical experience The instructors at Ton Duc Thang University's Faculty of Business Administration have always warmly supported me, assisted me, and equipped me with the skills necessary to succeed in the workplace I am particularly grateful to my instructor, Mrs Nguyen Thi Tuong Vy, for her enthusiastic guidance, recommendations, and responsiveness to my questions throughout the entire reporting procedure

While I endeavored to produce a thorough report, I recognize that there may be areas for improvement | welcome any feedback from my instructors and colleagues at Green World to further enhance my knowledge and future work

In conclusion, I would like to extend my best wishes to Green World Import-Export Co., LTD My internship experience has instilled in me the importance of teamwork, a valuable lesson I will carry forward in my career I am confident that the knowledge and skills I gained will be instrumental in my success

Sincerely,

Vũ Nguyễn Bảo Trân

Contents

INTRODUCTION - - QQQ Q2 HH gà TT TH 0 th Tà th ki 3 CHAPTER 1 AN OVERVIEW OF GREEN WORLD IMPORT-EXPORT LIMITED COMPANY 4

1.1 _ General mformation offhe COITIDATV ó5 (Gv HH HT TH HH HH Tàn kh iế 4

2.2.1 General mformation about the product ÍOT €XpOTHTB ¿+ càng 17 2.2.2 Analyzing parties involved in the process 17 2.3 The Process Of Procurement Of Fresh Chilis At Green World Import Export Company Limited

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2.3.4 Harvest Observation and Product SeÌÏeCfIOT - Ác HT HH HH như, 31 CHAPTER 3 RECOMMENDATIONS AND SOLUTIONS TO IMPROVE THE EFFECTIVENESS OF THE PROCEDURE 34

3.1 SWOT Analysis of the Process of Procurement of Fresh Chilis at Green World Import Export

List of Figures

Figure 1.1 Organization chart of Green World Import-Export Co., LTD

Figure 0.3 The Overall Process of making frozen chili products for exporting of Green World Import- Export Co., Ltd

Figure 0.4 The relationships between parties involved in the DTOC€SS Ă Si Figure 0.5 inquiry emails of buying Fresh Chilis

Figure 0.6 Folow-up mails

Figure 0.7 Quoting mail

Figure 0.8 Nguyen Viet Thanh's Farm (1)

Figure 0.9 Nguyen Viet Thanh's Farm (2)

Figure 0.10 Analysis report of fresh chili's sample from Nguyen Viet Thanh's farm - «55+ +5

Figure 0.11 The contract between the farm and Green World (1)

Figure 0.12 The contract between the farm and Green World (2)

Figure 0.13 The contract between the farm and Green World (3)

Figure 0.14 Fresh chili was harvested at the farm

Figure 0.15 Freah stemless chili

Figure 0.16 The chilis were frozen at the factory of Green World

Figure 0.17 The chilis were frozen and packaged at the factory of Green World cccesceeceesececceseeees

List of Tables

Table 1: Personnel situation of Green World Import-Export Co., LTD (Source: Human Resouces ])epartimen - - c1 11121112111 121212111111111111011 10111115 knH kg kh II Table 2: Personnel situation of Green World Import-Export Co., LTD by Degree (Source: Human Resouces ])epartmen†) c1 1222112 112111211151 1511111111228 1 k1 ha nhờ II Table 3 Personnel structure of Green World Import-Export Co., LTD by Generation 12 Table 4 Green World Import Export Co., LTD's business results from 2021 - 2023 12

I 00600: 0si 00a 0 n .e 22 Table 6 summary of quotes for CompATISOH 2 2222212221221 12211112 12tr re 26 Table 7 Summary o£ Quofes for Cormpar1SOH L0 22 12111121112 2221 khe 27

INTRODUCTION

Agriculture in Vietnam is a vital sector with a distinguished global reputation The country's rich and diverse agricultural landscape allows it to produce a wide array of high-quality fruits and vegetables, which are now enjoyed in numerous countries worldwide Vietnamese agricultural products have successfully entered some of the most stringent markets, gaining the trust and satisfaction of international consumers This achievement is due to the nation’s dedication to sustainable farming practices, continuous enhancement of quality standards, and the diligent efforts of companies in the agricultural export sector

Green World Import-Export Company Limited 1s a significant entity in this industry With almost 15 years of experience in importing and exporting agricultural products, the company has established a strong network of suppliers and customers globally Green World is known for its ngorous quality control measures, ensuring that only top-quality products reach the international market The company's mission is to deliver fresh, high- quality, and sustainably sourced agricultural products to its global clientele, thus bolstering Vietnam’s agricultural reputation on the world stage

The procurement process for agricultural products intended for export is intricate and requires meticulous planning, coordination, and execution This report aims to thoroughly analyze this process at Green World Import-Export Company Limited, highlighting the various stages involved and the strategies employed to maintain the highest standards of quality and efficiency

The report is organized into three chapters:

CHAPTER 1: AN OVERVIEW OF GREEN WORLD IMPORT-EXPORT LIMITED COMPANY

CHAPTER 2: THE PROCESS OF PROCUREMENT OF AGRICULTURAL PRODUCTS FOR EXPORTING AT GREEN WORLD IMPORT EXPORT COMPANY LIMITED

CHAPTER 3: RECOMMENDATIONS AND SOLUTIONS TO IMPROVE THE EFFECTIVENESS OF THE PROCEDURE

CHAPTER lI AN OVERVIEW OF GREEN WORLD IMPORT-EXPORT LIMITED COMPANY

1.1 General information of the company

1.1.1 Company information

English Name of the

Company GREEN WORLD IMPORT —- EXPORT CO., LTD

Vietnamese Name of the

Company CONG TY TRACH NHIEM HUU HAN XUAT NHAP

KHAU THE GIGI XANH

Authorized Capital 5,000,000 USD

Working capital 900,000 USD

Vision To be a leading global supplier of high-quality, safe, and

naturally flavorful fresh, frozen, and dried fruits, vegetables, and seafood, showcasing the best of Vietnam's agricultural produce to consumers worldwide

Mission To deliver high-quality, safe, and naturally delicious fresh

and frozen fruits, vegetables, dried fruits, vegetables, and dried seafood from Vietnam to consumers worldwide by adhering to stringent food safety standards, maintaining organic certifications, and expanding our global market presence

1.1.2, Formation and Development Process:

Green World Import - Export Co., LTD operates as a limited liability company with legal status, its own seal, and distinct strategies After nearly 13 years in the field of processing and exporting agricultural products, the company has established its position both domestically and internationally

Green World Import - Export Co., LTD was established in December 2011, specializing

in the acquisition, processing, and export of fresh agricultural products, spices, dried goods, and flour Initially, its primary markets were China and Indonesia, with agricultural products constituting a small portion of its total export volume

Recognizing the potential of processed agricultural products for higher value and broader market reach, the company shifted its focus in 2012 They began exporting processed items, capitalizing on advantages like increased value, broader export potential, and improved preservation during transport Target markets expanded to include the Middle East and Europe, while simultaneously continuing to develop agricultural products in traditional markets such as China, Indonesia, and Malaysia

By July 2012, Green World started entering more challenging markets such as South Korea In 2013, they further diversified their export portfolio by expanding into North America with fresh fruit offerings

From 2013 to 2016, Green World concentrated on enhancing product quality and developing raw materials, maintaining a strong presence in its established markets From 2017 to 2018, Green World significantly expanded its market footprint across Africa, Europe, North America, and South Korea The company prioritized improving the

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quality of fresh agricultural products, spices, dried goods, and flour By 2018, they had introduced processed agricultural products, optimized their packaging, and strengthened partnerships, consolidating their position in competitive global markets

During 2019 and 2020, Green World extended its operations into Southeast Asia, focusing on enhancing supply chain efficiency and ensuring high-quality standards for both fresh fruits and processed goods They made substantial investments in sustainable practices and obtained certifications to enter regulated markets In response to the challenges posed by the COVID-19 pandemic in 2020, Green World swiftly adapted by enhancing their e-commerce capabilities and introducing imnovative health-focused products

From 2021 to 2022, Green World leveraged data-driven insights to refine customer engagement strategies They diversified their product offerings by introducing new lines

of organic and premium processed foods, thereby strengthening their market position Adaptive strategies in global trade and sustainability further bolstered their growth, with strategic alliances and niche market entries enhancing their competitive edge

Looking forward from 2023 to 2024, Green World continues to innovate with proprietary blends and plant-based alternatives, placing a strong emphasis on sustainability and technological integration They are expanding into emerging markets while maintaining excellence in their core product categories Guided by sustainability imitiatives and strategic partnerships, Green World remains poised for continued leadership in the global agricultural products sector

Currently, the company is an active member of the Vietnam Chamber of Commerce and Industry (VCCD, the Vietnam Food Association (VFA), and the Vietnam Fruit and Vegetable Association (Vinafruits)

1.1.3 Scope of business

¢ Product Portfolio

Fresh Agricultural Products:

Fruits (including organic certified): Dragon fruit, mango, lychee, longan, and other seasonal fruits These fruits are sourced from farms that adhere to strict quality standards, ensuring freshness and natural taste

Vegetables: A variety of leafy greens, root vegetables, and other fresh produce, selected for their quality and nutritional value

Fresh Spices: High-quality fresh ginger, garlic, chili, and other spices, known for their robust flavors and health benefits

Processed Agricultural Products:

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Dried Fruits: High-quality dried mango, dried pineapple, dried banana, and other dried fruits These products retain their natural sweetness and nutritional value

Dried Vegetables: Dried carrots, dried sweet potatoes, dred mushrooms, and other vegetables Ideal for long-term storage while maintaining nutritional benefits

Dried Seafood: Premium dried shrimp, dried fish, dried squid, and other seafood, known for their rich flavors and protein content

Spices: Dried chili, pepper, cmnamon, and other spices that are carefully processed to preserve their aromatic qualities

Flour: Various types of flour derived from high-quality agricultural produce, suitable for

a wide range of culinary uses

Europe: Supplying various EU countries with high-quality agricultural products that meet stringent European standards

Americas: Expanding presence in North America, offering a wide range of fresh, dried, and frozen products

Oceania: Serving markets in Australia with premium agricultural products

Others: Russia, Netherlands, and the UK, providing products that cater to the tastes and preferences of these markets

Certifications and Standards:

GLOBAL GAP: Certification for clean area plantations ensuring high standards in farming practices This certification guarantees that the company’s products are produced with sustainable and environmentally friendly practices

Organic Certification: Specifically for frozen dragon fruit, ensuring organic production standards This certification demonstrates the company’s commitment to offering products free from synthetic chemicals

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Food Safety: Adherence to international food safety standards to ensure the highest quality of products This includes rigorous testing and quality control processes to ensure that all products are safe for consumption

Memberships:

- Vietnam Chamber of Commerce and Industry (VCCI)

- Vietnam Food Association (VFA)

- Vietnam Fruit and Vegetable Association (Vinafruits)

Marketin: 8 Sales Purchasin; 8 Resources Financial Quality Control ty Delivery Workers

Department P Department P Department P Department Accountant Department P Department P

Figure 1.1 Organization chart of Green World Import-Export Co., LTD

1.2.2 Functions of Departments

4 Representative Office

Overseeing the company's domestic and foreign products business activities is a key responsibility of the Representative Office, which is headed by the Office Manager This office handles all aspect of the company's local and international commodities business, making ensuring its presence in several marketplaces is effectively maintained and handled Serving as a vital point of contact for the business and its target regions, the Representative Office makes sure that transactions and communications go smoothly, which is crucial for the expansion and market penetration of the business

Board of Directors

The Board of Directors, consisting of one director and one deputy director, holds the highest level of authority and responsibility within the company They represent the company legally and are accountable for all company operations Their duties encompass organizing, implementing, and taking overall responsibility for all company activities They operate, manage, and make decisions regarding the activities of all departments

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within the company Additionally, the Board of Directors sets business directions and plans for each accounting period and oversees human resource management, including policies related to employees

Marketing Department

The Marketing Department, comprising one manager and three employees, 1s responsible for proposing marketing plans and executing marketing activities Their role involves promoting the company's image, introducing products, identifying potential customers, and expanding the market reach They monitor market reactions and suggest adjustments

to marketing strategies as necessary, ensuring the company's offerings meet market demands and maintain a competitive edge

Sales Department

The Sales Department, with one manager and eight employees, is tasked with planning, implementing, monitoring, and proposing adjustments to the company's sales activities They manage and control the supply of goods to both domestic and foreign markets, ensuring a steady flow of products to customers This department also handles transactions with domestic and mternational customers, facilitating sales and maintaining customer relationships

Human Resources Department

The Human Resources Department, consisting of four employees, is responsible for managing the company's most valuable asset: its employees This department handles recruitment, training, and development, ensuring that the company attracts and retains skilled professionals They develop and implement HR policies, manage employee benefits, and ensure compliance with labor laws and regulations Additionally, the HR team oversees performance evaluations, employee relations, and career development programs, fostering a positive and productive work environment that aligns with the company’s strategic goals

Financial Accountant

The Financial Accountant advises the Board of Directors on financial management and planning They are responsible for the company's financial management, including revenue and expenditure oversight, document checking, and economic operations

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recording in accounting books They prepare financial reports, providing essential insights into the company's financial health and aiding in strategic decision-making + Factory

The Factory, oversees the factory's operations as per the directives from the Board of Directors and the actual requirements indicated by the Sales Department They ensure that production processes are efficient and meet the demands set forth by sales forecasts The Factory Manager coordinates with various departments to ensure the smooth production of goods

Quality Control (QC) Department

The QC Department is responsible for ensuring the quality of products produced by the factory They meticulously check each stage of production and packaging to guarantee that the products meet the company's standards Their role is crucial in maintaining product quality and consistency, thereby ensuring customer satisfaction and adherence to regulatory requirements

Delivery Department

The Delivery Department is responsible for managing the inventory of export goods, conducting quality inspections, and handling export documentation They ensure that products meet quality standards before shipment and that all export processes comply with regulations Their role is vital in maintaining the integrity of the supply chain and ensuring timely delivery of goods to customers

Workers

Workers play a fundamental role in the production process, directly participating in the manufacturing of products under the guidance of the Workshop Manager Their responsibilities include operating machinery, assembling products, and performing tasks necessary to produce high-quality goods They are the backbone of the factory's production activities, ensuring that products are made efficiently and correctly

1.3 Personnel situation of the company:

In addition to the company's shareholders and the personnel of the company, the personnel of Green World Import-Export Co., LTD include the following members: n5 Department Number of employees Percentage

1 Board of Directors 2 people 3.33%

2 Marketing Department 4 people 6.67%

3 Sales Department 5 people 8.33%

4 Purchasing Department 4 people 6.67%

5 Human Resources 4 people 6.67%

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Department

6 Financial Accountant 3 people 5.00%

7 Quality Control (QC) 3 people 5.00%

of Directors, comprising the smallest group with 3.33% of the total, is responsible for supervising and directing the company's overall strategic direction

No |} 212 Quantity Percentage

No Aøe Quantity Percentage

1 46-60 03 people 5.00%

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of employees are aged 46-60, offering significant stability and expertise essential for leadership and strategic decision-making About 11.67% of the staff are aged 36-45, providing a balance of experience and energy The largest group, comprising 30% of the workforce, 1s aged 26-35 This group brings new talents and an acute awareness of market trends, playing a crucial role in driving innovation Employees aged 18-25, who make up 20% of the workforce, contribute fresh insights and high digital literacy, vital for future development and adaptability This generational mix fosters a dynamic and well-balanced work environment, positionmg Green World Import-Export Co., LTD for long-term success and resilience in the import-export industry

1.4 Business Situation and Result

5 " j 5 Comparison (%) rane ae a

on ee ee (2021-2022) (2021-2022) TH Revenue from sales of 4 193,456,789 62,758,335,354 67,806,590,113 13.79 8,634,878,565 8.03 5,048,254,759 goods and services eee: :758,335,3 806,590 -18 -8,634,878, x 048,254,

Net revenue from

sales of goods and $4,234,567,890 62,758,335,354 67,806,590,113 13.59 8,523,767.464 8.03 5,048,254,759 services

Cost of goods sold

a — 31.345.678.901 35.342.164.456 37.462.694.323 -1129 -3.996.465,555 5.98 2,120,529,867 Gross profit from

sales of goods and 23.456.789.012 27.416.170.898 30.343.895.790 -13.70 3,959,381,886 10.67 2.927.124.892 services

a Business management = 99,012,345 expenses 7,395,816,482 1.454.162.157 -10.93 -§06,804,137 0.80 58,945,675

Net profit from —— 16,790,123,456 20,033,869,373 20,904,326 970 -1619 3,243,745,917 1433 2870.457.597 Other income 5,890,123 - 9,372,190 8,153,805 - 37.17 3,482,067 12.99 1,218,385 - Other aad expenses 3.901.234 4.719.356 4.766.550 -20.84 818,122 1.00 47.194

Table 1.4 Green World Import Export Co., LTD's business results from 2021 - 2023

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Based on the financial data provided for Green World Import-Export Co., LTD from

2021 to 2023, several key msights can be drawn regarding the company's business situation

Firstly, the company experienced a notable growth trajectory in revenue from sales of goods and services, particularly evident with an 8.03% increase from 202? to 2023 This growth reflects the company's ability to recover and expand its market presence following what appears to have been a challenging period, as indicated by the initial 13.79% decline

in revenue from 2021 to 2022 Such recovery underscores effective strategic adjustments

or market adaptations made by Green World Import-Export Co., LTD

Secondly, while the cost of goods sold also increased over the years, the company managed to maintain or improve its gross profit margins, as seen in the 10.67% increase

in gross profit from 2022 to 2023 This suggests efficient cost management strategies and possibly enhanced pricing or procurement efficiencies within the organization

Financially, the company showed resilience in managing its operational and financial expenses Operating revenue from financial activities saw moderate growth, while financial expenses decreased slightly from 2022 to 2023 This indicates a balanced approach to financial management, although further optimization in financial operations could still be beneficial

On the operational side, business management expenses remained relatively stable, with a minimal increase of 0.80% from 2022 to 2023 This controlled nse suggests effective overhead management despite the growth in revenue, highlighting prudent fiscal stewardship within the organization

Moreover, profitability metrics demonstrated significant improvement Net profit from business operations increased by 14.33% from 2022 to 2023, indicating strengthened operational performance and possibly enhanced efficiency across business processes Additionally, income tax expenses decreased notably by 18.32% from 2022 to 2023, potentially reflecting efficient tax planning or favorable changes in tax regulations

In conclusion, Green World Import-Export Co., LTD has navigated challenges effectively, showcasing resilience and a strategic approach to enhancing its financial health and operational performance Moving forward, continuous monitoring of expenses, optimization of financial activities, and sustaining revenue growth will be crucial to sustaining and building upon its current positive trajectory in the competitive marketplace

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CHAPTER 2 THE PROCESS OF PROCUREMENT OF AGRICULTURAL PRODUCTS FOR EXPORTING AT GREEN WORLD IMPORT EXPORT COMPANY LIMITED

2.1 The Overview of The Process Of Procurement Of Fresh Chilis For Frozening and Exporting At Green World Import Export Company Limited

In this chapter, I will delve into the comprehensive process of procuring agricultural products for export at Green World Import Export Company Limited The primary focus will be on the systematic approach that the company adopts to ensure the acquisition and transportation of high-quality fresh agricultural raw materials from reputable farms to its factory

Green World Company emphasizes the importance of maintaining the integrity and quality of agricultural products throughout the procurement process This involves two key steps:

1 Sourcing and Purchasing: The company collaborates with reputable farms known for their high standards of agricultural practices The selection criteria for these farms are stringent to ensure that only the best quality raw materials are procured

2 Transportation to Factory: Once the fresh agricultural products are purchased, they are promptly transported to Green World's processing factory The

transportation process is carefully managed to prevent any deterioration in the quality of the products

This chapter will provide an in-depth analysis of each of these stages, highlighting the meticulous procedures and quality control measures that Green World Company implements to ensure that the agricultural products retain their freshness and quality from farm to factory Through this analysis, I aim to understand the critical role of

procurement in the overall export process and how it contributes to the company's success in the global market

2.1.1 General information about the product for exporting

Comodity: Frozen Chili

HS Code: 070960

Volume: | cont20ft

POL(Port of Loading): Ho Chi Minh City, Vietnam

POD (Port of Destination): Japan

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As a purchasing staff, my primary responsibility was to identify and source high-quality chili farms in Vietnam to procure fresh chilis To achieve this, I conducted thorough research and visited multiple farms to ensure they met the necessary standards for quality and sustainability Once I found the appropriate farms, I negotiated contracts to secure the required volume of fresh chilis

After purchasing the chilis, they were transported to Green World’s factory, where the freezing process took place At the factory, the chilis underwent a stringent quality control procedure to ensure they were suitable for freezing and export The freezing process involved using advanced techniques to preserve the freshness, flavor, and nutritional value of the chilis

Upon completing the freezing process, the frozen chilis were packaged and prepared for export This involved coordinating with the logistics team to ensure the chilis were packed in a 20-foot container, following all the necessary export regulations and standards

Finally, the container was loaded at the Port of Loading (POL) in Ho Chi Minh City, Vietnam, and shipped to the Port of Destination (POD) in Japan Throughout this process,

I maintained clear communication with all stakeholders, including suppliers, factory managers, and logistics providers, to ensure a smooth and efficient operation This attention to detail ensured that the chilis arrived in Japan in optimal condition, ready for distribution and sale

2.1.2 Analyzing parties involved in the process

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(Krong Bong, Dak Lak)

Green World Import- Evergreen Line Service Co., LTD

Figure 0.2 The relationships between parties involved in the process

Farm (Located in Krong Bong, Dak Lak): This is where the raw materials (chillies) are grown and harvested

Carner: Acts as the forwarder, responsible for coordinating the logistics and transportation of the frozen chillies

Evergreen Marine Corp.: The shipping line that physically transports the frozen chillies via sea freight

Service Co., LTD: They are the consignee, receiving the shipment of frozen chillies upon arrival

Service’s forwarder: This is the delivery agent responsible for the final leg of the joumey, ensuring the frozen chillies are delivered to their final destination or customer 2.2 The Process Of Procurement Of Fresh Chilis At Green World Import Export Company Limited

2.2.1

1 Farm Search and Pricing Inquiry:

Step 1: Identify Customer Requirements

Step 2: Research and identify potential farms that match your requirements

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Step 3: Gather contact information and initial details about the farms

Step 4: Prepare and send initial inquiry emails to the farms

Step 5: Follow up with phone calls if necessary to ensure receipt of your inquiry

2 Quote Reception and Negotiation:

Step 6: Collect and review quotes received from the farms

Step 7: Prepare a summary of quotes for comparison

Step 8: Initiate negotiations with preferred farms

Step 9: Conduct follow-up negotiations as needed

3 Farm Selection and Contract Signing:

4, Harvest Observation and Product Selection:

Schedule a visit to the farm during the harvest period

Observe the harvesting process to ensure quality standards are met Select the products that meet your standards

Arrange for the transportation and delivery of the selected products Monitored the Delivery Process

Confirmed Receipt and Processed Payment

Evaluated the Overall Process and Documented Feedback

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2.2.2 Farm Search and Pricing Inquiry:

Identify Customer Requirements

Research and identify potential farms that match the requirements

Gather contact information and initial details about the farms

Prepare and send initial inquiry emails to the farms

Follow up with phone calls ïÝ necessary to ensure receipt of your inquiry

Step 1: Identify Customer Requirements:

To ensure a seamless procurement process and meet our customer’s expectations, the sales department of Green World provided detailed requirements for the chillies to be procured These specifications encompassed quality standards, quantity, packaging, delivery timelines, and other pertinent details

Product Specifications

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The primary objective was to procure chillies that adhered to stringent quality standards These standards were essential to maintain our reputation for delivering premium agricultural products The following criteria were outlined for the chillies:

Quality Standards:

Freshness: The chillies had to be freshly harvested to ensure optimal flavor and nutritional value Freshness was a critical factor that influenced the overall quality and acceptability of the product

Appearance: The chillies needed to be uniform in size, measuring between 4-7 cm in length They were required to exhibit a vibrant, fresh red color, free from any blemishes, bruises, or signs of decay This consistency in appearance not only enhanced visual appeal but also indicated high-quality produce

Flavor: The chillies had to possess a spicy flavor with consistent heat levels This characteristic was crucial to meet the culinary expectations of our customers who relied

on the distinct spiciness of chillies for their recipes

Quantity: The total quantity required for the initial procurement was 4 metric tons This quantity was determined based on current market demand and customer orders Ensuring the availability of this quantity was essential to fulfill existing contracts and maintain supply chain continuity

Packaging: While specific packaging details were not provided, it was implied that the chillies should be packaged in a manner that preserved their freshness and quality during transit The packaging needed to be food-grade and robust enough to withstand handling and transportation processes

Delivery Timelines:

Initial Shipment Date: The procurement process was time-sensitive, with the initial shipment date set for 2024 This timeline was established to align with market demand cycles and customer delivery schedules

Lead Time: A lead time of 4 weeks from order confirmation to delivery was specified This period allowed for sufficient time to coordinate with suppliers, ensure quality control, and manage logistics Adhering to this lead time was crucial to meet our delivery commitments to customers and avoid any disruptions in the supply chain

Step 2: Research and identify potential farms that match the requirements

Research and Identify Potential Farms

As a purchasing staff, I began by researching farms known for producing high-quality chillies I utilized agricultural directories, industry contacts, and online resources to compile a list of potential suppliers

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