The preparation process of export contract. Commodities (inventory);
2. Certificates (supervision, review and renewal);
3. Transportation (consignment, customs declaration and insurance);
Paragraph 4 (preparation of documents and settlement of foreign exchange);
In China's export trade, most goods are delivered by sea, and most of them are arranged by us and paid by letter of credit. Next, we will introduce the basic links and related issues in the performance of export contracts according to the simple settlement contracts of CIF and sight negotiation letters of credit arranged by us. The basic practices of contracts with other terms of trade and terms of payment are basically the same, but there are some differences in some details.
Export Contract Performance Procedure 1: Inventory
Export contract performance procedure 2: urging, examining and amending the certificate.
Procedures for the performance of export contracts 3: consignment, customs declaration, shipment, insurance and shipment notice.
Export contract performance process 4: document preparation and foreign exchange settlement.
(1) Stocking: Fulfill the delivery obligations of the contract on time, with good quality and quantity, and prepare the goods according to the requirements of quality, quantity and delivery date stipulated in the contract.
0 1, arrange production or delivery to production or supply department according to prior agreement or purchase contract;
02, verify and check the quality, packaging, quantity, etc. Receivable goods, and accept the goods;
03. Even if some goods have been inspected and put into storage, they still need to be re-sorted, processed and packaged according to the requirements stipulated in the export contract, and the necessary signs such as marks and numbers should be painted on the outer packaging;
04, Article 30 of the United Nations Convention on Contracts for the International Sale of Goods clearly stipulates that the seller must deliver the goods, hand over the documents and transfer the ownership of the goods in accordance with the provisions of the contract and this Convention, which are the three basic obligations of the seller.
05. During the performance of the contract, the parties are required not only to fully abide by the express provisions of the contract, but also to abide by the implied obligations that are not expressly stipulated in the contract but should be performed by the parties according to laws and practices;
06, in the process of stocking, should pay special attention to the following questions:
(0 1) The quality and specifications of the goods must conform to the provisions of the export contract;
A. If there are written specifications, grades and standards when concluding a contract, the quality of the delivered goods must be consistent with the written specifications stipulated in the contract;
B. All contracts based on samples must be consistent with the samples;
C. If the contract is concluded by both the written description and the sample, the two must be consistent;
D, in addition, the quality of the goods must also be suitable for the common use of the goods with the same specifications and the specific use notified by the buyer to the seller when concluding the contract;
The quantity of goods must conform to the provisions of the export contract.
A. If it is found that the quantity of the goods does not meet the requirements of the contract, effective measures shall be taken in time to close the goods within the specified time limit; B, in order to make up for the natural loss in storage and the damage in domestic handling, as well as the shortage of goods stipulated in the contract terms, it is generally advisable to have a little more inventory than the quantity stipulated in the export contract;
C. According to the Uniform Customs and Practice for Documentary Credits (UCP500): Where is it? About what? 、? About what? Or words with similar meanings are used in quantity, which shall be interpreted as allowing the increase or decrease not to exceed10%;
D. The Uniform Customs and Practice for Documentary Letters of Credit also stipulates that unless it is stipulated in the letter of credit that the quantity of goods listed shall not be increased or decreased, the quantity of goods shall be increased or decreased by 5% if the withdrawal amount does not exceed the amount of the letter of credit, even if partial shipment is not allowed. However, when the letter of credit stipulates that the quantity of goods is calculated by package or individual, this extension is not applicable? ;
(03) The packaging of the goods must meet the requirements of the contract and transportation.
A, if the contract does not make specific provisions on packaging, according to the provisions of the United Nations Convention on Contracts for the International Sale of Goods, packaging should be carried out in a common way similar to goods;
B, if there is no general way, the goods should be packed in a way sufficient to preserve and protect the goods;
C. In the process of stocking, the internal and external packaging and decoration of the goods should be carefully inspected and inspected. If bad or damaged packaging is found, it should be repaired and replaced in time to avoid the difficulty of collecting foreign exchange without clean bill of lading during shipment;
D. Packaging marks include the marks and numbers of contents and styles (marks and numbers). If there are provisions in the contract or the customer specifies otherwise, it shall be handled according to the contract or the customer's designation; If the contract does not stipulate that the customer has no requirements for it, we will choose to brush it ourselves;
E. If the relevant authorities of the exporting country stipulate that the packaging mark must be written in a specific language (such as Arabic required by the Gulf countries), it shall generally be followed;
F, the main part of the logo and the text size should be appropriate, the handwriting of the pattern should be clear, and the pigment used is not easy to fade; G, on the premise of ensuring the quality of the goods and not violating the export contract, we should also reduce the volume or weight of the goods packaging as much as possible to save freight;
(04) The time when the goods are ready should be strictly in accordance with the shipment date stipulated in the export contract and the letter of credit, and arranged according to the shipping schedule. In terms of time control, it is generally necessary to leave room appropriately;
(05) For customers who are unfamiliar with the situation or have poor credit standing, and goods with special specifications, colors and shapes customized according to customers' requirements, they should generally be put into production after receiving the other party's letter of credit and verifying it, so as to prevent the other party from failing to perform the contract and causing losses such as difficulties in handling the backlog of goods;
(06) All export commodities that are subject to inspection and quarantine by the inspection and quarantine department according to the statutory inspection or export contract shall apply to the entry-exit inspection and quarantine institution for inspection according to the prescribed procedures, and obtain the corresponding certificate of conformity. The statutory inspection, including the packaging containers of animals, plants and products subject to quarantine, shall be accepted by the customs with certificates or other documents issued by the entry-exit inspection and quarantine institutions. Those that have not been inspected and quarantined by the inspection and quarantine institution or are unqualified in inspection and quarantine are not allowed to export;
(07) Goods must be provided by a third party without any rights or requirements.
A, this is legally called the protection of the seller's rights, that is, the seller should guarantee the complete ownership of the goods sold;
B, he shall have the right to sell the goods, and ensure that the buyer can peacefully possess and control the goods without interference from any third party. That is to say, the seller can't sell the goods obtained by illegally encroaching on the rights of others to the buyer, so that the buyer suffers recourse or accusation from the legal obligee (including ownership and mortgage) of the goods;
C. The goods to be delivered must also be goods that a third party cannot claim any rights and requests based on industrial property rights (such as trademark rights and patent rights) or other intellectual property rights (such as copyright);
D, but according to the provisions of the United Nations Convention on Contracts for the International Sale of Goods, such rights or requirements are limited to those that the seller already knew or could not have been unaware of when concluding the contract;
E. This right or requirement occurs because the seller must abide by the technical drawings, drawings, procedures or other specifications provided by the buyer, and it is impossible for the seller to undertake the above obligations;
(two) to supervise, review and replace the card.
If the contract provides for payment by letter of credit, the buyer must also go through the formalities of opening the letter of credit in time according to the contract, and the contents of the letter of credit opened should be consistent with the contract, or not, but accepted by the seller. 0 1, reminder
A reminder refers to urging the other party to open a letter of credit in time and deliver the letter of credit to the seller by letter, telegram, telex or other means;
Opening a letter of credit on time is an important obligation of the buyer.
C. Generally, the method of urging the certificate is to send a letter and telegram directly to foreign customers (issuers, actual buyers or middlemen), and ask the bank for assistance if necessary;
02. Examination and modification of certificates (to ensure the timely shipment of goods and the safety of foreign exchange collection)
A. A letter of credit is a guarantee document of a bank. The credit of the issuing bank and the contents of the letter of credit are related to the safety of foreign exchange collection. Therefore, after the letter of credit is issued, it should be carefully examined item by item according to the sales contract and the Uniform Customs and Practice for Documentary Letters of Credit.
B, in principle, the contents of the letter of credit opened by the buyer must be consistent with the provisions of the sales contract, and shall not be added or changed at will without the consent of the seller;
C. it is the common responsibility of banks and export enterprises to review letters of credit. Therefore, export enterprises must strengthen contact and cooperate closely with relevant banks;
D. If we find any clauses or contents that we can't accept when reviewing the certificate, we should ask the issuer to make amendments in time;
(3) Consignment, customs declaration, shipment, insurance and shipment notice.
A. After the goods are ready and the L/C is implemented, the export enterprise shall fulfill its obligation to ship the goods in accordance with the export contract and the L/C, that is, deliver the goods. There are many work links involved in arranging the shipment of goods, among which consignment, customs declaration, shipment, insurance and shipment notice are particularly important;
B. Consignment means that an export enterprise entrusts a freight forwarder or other units with the right to accept foreign freight business to handle export transportation business by sea, land and air with the carrier or its agent;
C customs declaration includes export customs declaration and import customs declaration. Export declaration means that the consignor (usually an export enterprise) or his agent declares the relevant documents of customs inspection to the customs and goes through the customs clearance procedures for the goods;
D, the word shipment is usually considered to be the same as the word "shipment" in the sales contract signed by Group F and Group C terms. Delivery? Synonym. according to
Interpretation of Article 46 of Uniform Customs and Practice for Documentary Credits 1993 revised edition formulated by the International Chamber of Commerce: Used to specify the date of shipment? Shipping? The word will be understood to include such things as? Shipping? 、? Shipping? 、? Receiving goods for shipment? 、? Post office receipt date? 、? Date of receipt? And other similar words, including those under the multimodal transport documents required by the letter of credit? Accept supervision? . In short, shipping? Refers to the export enterprise loading the goods on the means of transport to the designated destination or handing them over to the carrier responsible for transporting the goods to the designated destination;
E. insurance
Refers to foreign trade enterprises in the implementation of CIF or CIP export contracts, after the stowage is ready, the name of the ship or the means of transport is determined, and before the goods are shipped out of the warehouse or other storage places, they go through the insurance procedures in accordance with the provisions of the sales contract and the letter of credit, and pay the insurance premium to obtain insurance documents;
F. After the goods are loaded, the buyer shall be informed of the shipping notice in time. Its purpose is to make the buyer know the shipping situation in time, so as to make good preparations for receiving goods and go through insurance procedures when necessary. In the case of FOB, CFR, FCA and CPT contracts, the buyer shall go through the insurance formalities on his own after receiving the shipping notice. The object of the notice can be the middleman, the actual buyer or the issuing bank of the letter of credit, which depends on the customer's requirements and the provisions of the letter of credit. The contents of the notice mainly include: contract number, name of goods, quantity, total value, place of shipment, date of shipment, name of ship and estimated sailing date, etc. It is particularly important to issue shipping advice in time when performing export contracts under FOB, CFR, FCA and CPT conditions;
(4) Preparation of documents and settlement of foreign exchange
0 1, after the goods are loaded, the export enterprise shall correctly prepare all kinds of documents according to the requirements of the letter of credit, and send all kinds of documents and necessary documents to the bank for negotiation and settlement of foreign exchange within the time limit stipulated in the letter of credit;
02. According to international practices and general legal rules, if the seller fails to deliver the goods or the quality, quantity, packaging or time of the delivered goods do not conform to the provisions of the contract, which constitutes a breach of contract, according to the situation and degree of breach of contract, the buyer may take the following ways: a. claim damages from the seller;
B, delay in performance;
C, reduce the price;
D. delivery of substitutes;
E. repair;
F, declare the contract invalid, etc.
03. When one party breaches the contract and the other party takes any remedial measures, the right of the injured party to claim damages will not be affected. The amount of damages shall be equal to the amount of losses suffered by the injured party, including profits, but
Predictable contract losses are limited; However, losses that may be mitigated due to the injured party's failure to take reasonable measures shall be deducted from the compensation amount.
Performance of export contract
After the export contract is effectively signed, the buyer and the seller shall perform their respective obligations according to the contract. At present, China's export trade is mostly based on CIF terms and payment by letter of credit, and the work to be done when performing such export contracts mainly includes the following:
Prepare the goods:
There are two procedures for stocking: 1) stocking means that the export company places an order with the manufacturer or warehouse department according to the contract or letter of credit, requiring them to count, check, process and mark the goods according to the order.
2) Apply for inspection. Where the goods must be inspected and certified by China Import and Export Commodity Inspection Bureau according to the provisions of the state or the contract, they shall apply to the Commodity Inspection Bureau for inspection after the goods are ready. Only after obtaining the inspection certificate issued by the commodity inspection bureau will the customs release it, and all goods that fail to pass the inspection shall not be exported.
Enforcement of letter of credit
In the payment transaction of letters of credit, the mastery, management and use of letters of credit are directly related to the implementation of China's foreign policy and the security of foreign exchange collection. Therefore, the implementation of the letter of credit is an indispensable and important link in fulfilling the export contract. The implementation of a letter of credit usually includes three items: reminder, examination and amendment of the letter of credit:
1), reminding that in actual business, due to various reasons, the buyer does not open the letter of credit as agreed in the contract. In order to ensure the timely performance of the contract, it is necessary for us to remind the other party to open a letter of credit according to the contract at an appropriate time.
2) Review: The letter of credit is opened according to the contract, and the contents of the letter of credit should be consistent with the terms of the contract. However, in practice, for some reasons, the terms of the letter of credit are often inconsistent with the contract. In order to ensure the smooth implementation of foreign exchange collection contracts, banks and export enterprises should immediately check and review the letters of credit opened by foreign customers through banks. Banks focus on reviewing the credit standing ability, payment responsibility and foreign exchange demand route of the issuing bank. The exporter focuses on checking whether the contents of the letter of credit are consistent with the sales contract.