the process of importing at huu loc trade co ,ltd

VIETNAM GENERAL CONFEDERATION OF LABOUR TON DUC THANG UNIVERSITY FACULTY OF FOREIGN LANGUAGES INTERNSHIP REPORT THE PROCESS OF IMPORTING AT HUU LOC TRADE CO.,LTD Student: Class: Student code: Supervisor: NGUYỄN NGỌC TÂM HCMC, April 2018 VIETNAM GENERAL CONFEDERATION OF LABOUR TON DUC THANG UNIVERSITY FACULTY OF FOREIGN LANGUAGES INTERNSHIP REPORT THE PROCESS OF IMPORTING AT HUU LOC TRADE CO.,LTD Student: Class: Student code: NGUYỄN NGỌC TÂM Supervisor: HCMC, April 2018 ACKNOWLEDGEMENTS Unconsciously, university learning life in Tôn Đức Thắng University is coming to an end, I will soon find a job Therefore, internships are a must for my undergraduates and enable me to get closer to the real work environment I knew nothing about the actual knowledge before I internship However, after the internship, I have learned a part of the social situation in practice Through the internship, I not only learned the knowledge that I cannot learn in class, but also took the opportunity to lay a solid foundation to consolidate my four years university knowledge and cultivate personal professional skills, thus opening up a broader perspective Moreover, I have found some of my unfamiliarity and lack of working experiences Only knowing my shortcomings, to overcome it, then I can improve myself During the internship, I encountered a lot of difficulties Thanks to the teachers of the Department of Foreign Languages, you gave me a very enthusiastic instruction during this internship period I can successfully complete the internship I did not only gain a lot of knowledge but more importantly, I also had a great chance to sharpen my skills in a professional working environment I am very appreciated to leaders and co-workers of Huu Loc Company, I am happy to work here Here, I wish to express my highest respect and sincere thanks to all of you ASSESSMENT Raw scores in figure Compan y Report Examiner’s Signature Total score(1) In figure Examiner’s Signature In word - Report score in detail: - Content (50pts): ………………………………………………………… - Organization (20pts) …………………………………………………… - Vocabulary, Grammar, Spelling and mechanics (30pts): …………………………………………………………………… Examiners’comments: …………………………………………………………………………………………………… …………………………………………………………………………………………………… …………………………………………………………………………………………………… …………………………………………………………………………………………………… …………………………………………………………………………………………………… ………………………… CONTENTS ASSESSMENT SHEET ACKNOWLEGDEMENT LIST OF TABLES AND DIAGRAMS LIST OF TABLES AND DIAGRAMS Diagram The diagram of the organizational structure ………………….Page Diagram Mains step of importing process at Huu Loc Trade Co.,Ltd …Page 7 Chapter 1: Introduction General Introduction of Huu Loc Trade Co., Ltd Trading Name: HUU LOC TRADING CO., LTD The company has legal personality, own seal and bank account Company Type: Limited liability company Address: 28 Street 16, Lu Gia Living Quarter, Ward 15, district 11, Ho Chi Minh City Tax code: 0301127257 Email: huulocco@hcm.fpt.vn Date of founding: 16/12/1993 Register capital: 43.000 USD Legal representative: Mr Nguyễn Phước Hữu Huu Loc Trade Co., Ltd has established and has started operation since 1994 The company met a lot of difficulties at the early time of operation During this time, the most different thing is to hire competent and experienced staff With the process of world economic integration, Huu Loc Company has been striving to integrate with the world's development However, the company has long adapted itself to the booming market to confirm its position due to its motivation, creation, and flexibility to the market The development of Huu Loc Trading Co., Ltd depends on the efforts of company personnel After three years of operating the company, the company invests in upgrading warehouse and expanding its area to aim at the timely supply of goods and increase profits Because the company was founded in 1994, some prominent advantages such as the advanced technologies from both inside and outside Vietnam, and investment in high-tech machinery have gradually entered the stable growth stage under the management of experienced leadership Products Initially, understanding that the plant simply cannot grow healthfully without nitrogen, protein and potassium needs, Huu Loc company mainly engaged in fertilizer including organic fertilizers, biological fertilizers using for boosting plants, orchids, green ornamental trees, bonsai trees, and garden plants Those fertilizers are now popular used in Ho Chi Minh City, Southern provinces and some of Northern provinces To expand the market and increase profits, the company later bought and sold orchids Huu Loc Trading Company is recently known for expertise in distribution different kind of orchids and fertilizers The company increased from kinds of orchids in 2000 to kinds of orchids including paphiopedilum orchid, phalaenopsis orchid, vanda orchid, oncidium orchid, Dendrobium farmeri paxt, Cattleya Lindley orchid, Aerdes houlletiam orchid, and hygrochlus orchid in 2016 In addition, the company also imports orchid seeds from abroad This project is a breakthrough in the company management process, opened a bright future Leaders and all staff of the company's strong perseverance, strong spirit and efforts to adapt to change, this turns company to positive situation at a critical time Company’s Product: Pic 1: Orchid, Pic 2: Orchid seeds General description of company’s department Sales Department Human Resource Department Vice director Import- Export department Director administrative accounting Accounting department warehousing accounting research- development department warehousing department Diagram 1.1 The diagram of the organizational structure Huu Loc Trading Co., Ltd including the following Department:  Director is the highest position in Huu Loc Trading Company He is founder of the company He arranges commercial, business activities, and directly approves contracts and transaction documents He takes initiative in setting the company's business plan, then guide others to follow the company's strategy and policy At the same time, he conducts the solutions for problems and 10 Chi Minh City market I luckily to be in the team that visit there I stayed focus on observation the way company becoming knowledgeable about the product 2.2 Analysis and Evaluation Based on the observation and the work I got for weeks, there are main steps of importing process: Collect information of the potential partner (make enquiry) Drafting the sale contract Accountant count inventory & Prepare customs clearance & finish warehousing procedures shipment to warehouse Payment Achieve Import certification Figure Mains step of importing process at Huu Loc Trade Co.,Ltd  The first step: Collect information of the potential partner (making enquiry) Import and export activities are an international business This trade directly affects the economy Therefore, first, companies must find the suitable international partner Companies easily to collect information of the potential partner due to the development of Internet, then contact to make enquiry, negotiate, and exchange information via e-mail During this time, the most important thing is to check if the seller is a trustworthy company It is better for the company to arrange special visits to partners to confirm their business and product quality Additionally, we need to check company financial situation conformed by the local bank If the company is in good condition and the proposed price is reasonable, cooperation can be carried out 14  The second step: Draft the sale contract The two parties draft the sales contract, export invoices and packing lists In the contract, it is necessary to clearly describe various terms, and necessary terms: + Contract agreement content: product name, order quantity, unit price, etc + Documents: Documents related to products and origins + Export Documentation: handled by authorized Export Company by the Vietnam Government + Payment: Payment method and payment terms used for buyer + Shipment date and shipment details + Rights and Obligations of Party A + Rights and Obligations of Party B + The length of time over which the contract will be valid + Legal responsibility in a breach of contract  The third step: Payment The importer will pay complied with the agreement of parties The common payment methods of the Huu Loc Company are L/C, T/T and Barter trade Letters of credit is the company most common payment method Because the bank guarantees to the seller that the company will pay, it is a safe payment method for our company Payment terms including the following information: + Amount of money + Name and Branch of the Bank + Beneficiary name, account number, swift code, banker name Company’s integrated accountant takes responsibility to pay after getting verifying documentation, and requesting disbursements 15  The forth step: Achieve import certifications Company must achieve the “Import License” and “Quality Certificate” as trade authorities demand Both import and export certifications are required However, it’s hard to meet regulatory compliance because Vietnam and even the rest of the world are supporting the export economy The two parties must apply for an import license after signing the contract, and the import contract will have a full legal basis In addition, because Huu Loc Trading Co., Ltd have carried on plant business, the company must also apply for Phytosanitary Certificate initialled by Vietnam the Plant Protection Organization Products which are tested national and international standard can be sold in target markets  Step fifth: Prepare customs clearance and shipment to the warehouse Two days before the arrival of the good, the shipping line will send us Arrival Notice concluding information such as Voyage No., Pick up terminal, Port of Loading, Port of destination, etc After having all the necessary certificates and documents, the company prepares submission of customs clearance The necessary documents required for customs declaration: packing list, sales invoice, contract, bill of lading, shipping bill, certificate of origin, various import licenses The company must handle a good list of customs declarations Because the law for imported goods is always strict, the declaration of goods must be accurate, especially the product code and tax payable In the event of an error, the customs will implement administrative penalties for tax fraud Preparing shipment and customs clearance are carried out at the same time Therefore, the consignee of Huu Loc Trade Co., Ltd hastened to apply for customs declaration form quickly to move the goods Company’ vice director and Head of Export-Import Department take care of these documents and handle custom brokerage unless company have to pay a lot of money for warehousing and storage fees 16  Step sixth: Accountant count inventory and finish warehouse procedures The goods are placed in the company's warehouse Warehouse management and accountants work together to inventory, and immediately notify the senior leadership when there is a problem 2.3 Analysis and evaluation of the Internship Skills and Qualifications Gained Many students not even know how write forms, invoice or enquiry emails The performing forms skills required in company are different from those required in the university In company, these requirements in company are more strictly In university, if I not perform well, I will get a bad score However, a imperfect form is not approved to use in company Therefore, I know how to write letters, forms or emails in a proper way, furthermore, I was trained to focus on details to make it perfect and to be responsible at work In the business translation process, it is necessary to be patient I have dealt with multiple meaning words and specialized words I was in trouble because I not understand trade terms even it was written in Vietnamese As a result, I must strengthen my professional capabilities, and accumulate foreign trade terms as well as related knowledge Thanks to my co-worker, they give me a lot of directions and explain me many specialized knowledges I luckily attended an Incoterms class, therefore, I not only know the substantial steps of import-export process but also partly understand some common specialized words After times attending the class given by my manager, I know what is Uniform Customs and Practice; what are Confirmed irrevocable Credit, Revocable Credit and Red Clause Credit, what are Negotiating Bank and Open Bank, etc In addition to specialized knowledge I also learned the skills such as using a fax machine and printer These tasks are not difficult however I think they are very important and useful I am very pleased to accomplish these tasks because I personally think success does not come from easy 17 works, but achievement of difficult tasks demands my best basic skills In addition, I have learned alot interesting things related to orchids, planting, and using fertilizer Impact on my future career plans The aim of this part is to emphasize the impact of this internship on my future career The first aspect is to learn and practice my specialized knowledge A good mentor will benefit me for the rest of my working time The instructors help me a lot at providing information supporting my translated document Besides, no one can show us things, so I have to train my observation to be more completed in terms of expertise, this challenges my self-learning ability, my observation ability Another aspect to consider, I think one of the important reason why most companies require work experience is more emphasis on social behaviour and work place environment During the internship, I have chances to train my soft skills, develop a professional working attitudes, learning how to deal with people, ask others how to things, how to make myself more professional This aspect help me a lot in improving myself Chapter 3: Conclusion 3.1 Strengths & Weaknesses of my Internship 3.1.1 Strengths of my Internship I have been received support from Ton Duc Thang University’s teachers and Huu Loc company’s members Luckily, the major studied in school are in line with the company business I get involve in translated document daily Additionally, I have frequently used my Word, Excel technique in my daily work 3.1.2 Weaknesses of my Internship At first, I lacked practical knowledge as well as specialized words There are too many essential things that I haven’t ever learn in school This problem slows my work, as a result, my slowness make office less productive sometimes I have misunderstood my instructors twice because I have no experience in entering data The problem is that I got afraid to ask questions Then I learned 18 that things would get worse if I did not ask questions at the beginning This helps me improve my soft skills in workplace 3.2 Results of Internship process For a college student, the internship is my first step toward something bigger in my career During the first week of internship, I had no experience but my observation Fortunately, under the guidance of Huu Loc company's leader and co-workers, I have learned a lot about how they work, and why they work that way to run the company I, in the first time in my life, have produced contribution to an organization though not much This internship gave me opportunities to study in advance what good things I should and broaden my knowledge beyond what I can learn at university 19 REFERENCES [1] http://www.vinamarine.gov.vn/Index.aspx?page=transportdetail&id=17 [2] I.C.J Veraart, International Trade and Port Logistic 1st edition, Avontate, 2011 [3] Nguyễn Minh Tuấn Hướng dẫn thực hành Thư tín dụng ngoại thương (L/C), NXB.Thành phố Hồ Chí Minh, 1991 20 21 22 23 24 25 26 27 28 ... step of importing process at Huu Loc Trade Co. ,Ltd …Page 7 Chapter 1: Introduction General Introduction of Huu Loc Trade Co. , Ltd Trading Name: HUU LOC TRADING CO. , LTD The company has legal... parties The common payment methods of the Huu Loc Company are L/C, T/T and Barter trade Letters of credit is the company most common payment method Because the bank guarantees to the seller that the. ..VIETNAM GENERAL CONFEDERATION OF LABOUR TON DUC THANG UNIVERSITY FACULTY OF FOREIGN LANGUAGES INTERNSHIP REPORT THE PROCESS OF IMPORTING AT HUU LOC TRADE CO. ,LTD Student: Class: Student code: NGUYỄN