AboutDavideAndrew Papa Expertise All matters pertaining to assisting Private import export INTERMEDIARIES, AGENTS and BROKERS Regarding International trade Laws and procedures,Letters of credits, as per UCP600,Presentation, Commissions,International Rules of agency, and Incoterms 2000. All matters pertaining to shipping documents relating to the Import and export of products from one country to another.All matter for buyers and sellers of commodity products relating to the import and export industry.FTN with the introduction of UCP600 will release the publication "The world is yours" made specifically for Intermediaries.Our advice website is www.ftnx.9f.com
Experience FTN exporting founder Davide Papa has been trading for over 20 years- and has dealt with a huge variety of corporate entities including Gold and crude oil suppliers.FTN appeared in a major controversial Newspaper editorial in 1994- FTN exporting publication " The world is yours" is now in its third year of online publication.
Expert: DavideAndrew Papa Date: 6/26/2008 Subject: trms of payment to an exporter/we are bueyr
Question
Below is what i received from the first time exporter to us, Will this method of paymnet be secure for us? IS this a afe method of paymnet, ?
We can reproduce your specs upon immediate request.
Sunflower Oil Price: USD 675.00/MT –
Production: 2008
Origin: Nigeria
Destiantion to Nicaragua: 5-14 days Maximum
Inspection: SGS at loading port, at seller's expense and all international documents that are required.
Documentation: Certificates: SGS, Quality, Quantity, Origin, Insurance, Inspection, Radiation and Health Certificate, Commercial Invoice, Bill of Lading, Packing list, and others to the international requirements.
Payment terms after the signing of a contract: we require 50% advance payment by SWIFT and the balance of 50% after the delivery by SWIFT. These payment terms are valid for each separate delivery. We do not accept other payment terms, such as L/C, escrow accounts and we do not issue PB and bank guarantees.
Answer Dear Jack
Under no circumstances- Even if port trouble were resolved overnight.
Destination as best is average 15 days - Where they get 5 days from I don't know, unless they have developed new super ship yet to be seen- We are talking distances of
5000 N/M
You must only provide DLC based on: if it's a single shipment for Bio fuel use ( Note: if Sunflower oil is for human consumption it's sold in container loads (FCL) not bulk)
An Irrevocable UCP 600 formatted Non transferable, Letter of Credit, payable 100 percent at sight upon presentation of clean delivery document including clean on board Marine Bill of lading, marked notify party ( YOUR Name) and issued without blank endorsement-( See ftnexporting.com website in FAQ)
Sure they can't give a Performance guarantee as a SLC- but what they can give is an assurance on contract in the form of a LDD -( Late delivery discount-)i.e;
Should delivery be late as per contract a further USD$10 dollars per MT shall be discounted from the contracted price- and made as a debit against the supplier financial insturment to favour the buyer-
Also delivery must be implied as" Incoterm 2000 CIF" delivery rules-
Also: As per Incoterms CIF rules-Certificate of origin and PSI SGS certifcation when asked for is your expense applied as a credit to favour the Supplier- but the supplier must secure as such and pay as such, to which he gets reimbursed on the sellers invoice a credit for such- thus he has to apply the prices given and identify all such added extra- including freight rate-to equal USD$675 per MT at contract time-
Oh Yes! they must include a Export Permit- And you will insist on a "Ship Owners BOL" and no "Charter party BOL"
Insurance Value : 120%
Defining that its a very suspect offer indeed-Watch it; If they don't accept the DLC -NO DEAL
I would personally would not touch such an offer outright
All the Best
Davide Giovanni Papa
www.ftnexporting.com
