The export goods process mainly includes: quotation, order, payment method, stocking, packaging, customs clearance procedures, loading, transportation insurance, bill of lading, settlement of foreign exchange.
In the process of international trade, the first step is the inquiry and quotation of products. Among them, the quotation for export products mainly includes: the quality grade of the product, the specification and model of the product, whether the product has special packaging requirements, the quantity of the purchased product, the requirements of the delivery time, the mode of transportation of the product, the material of the product, etc. More commonly used quotations are: FOB on board delivery, CNF cost plus freight, CIF cost, insurance premium plus freight and other forms.
After the two parties to the trade have reached an intention to quote, the buyer's enterprise formally orders and negotiates with the seller's enterprise on some related matters, and after consultation and approval by both parties, the purchase contract needs to be signed. In the process of signing the Purchase Contract, the main contents of the commodity name, specification model, quantity, price, packaging, origin, shipment period, payment terms, settlement method, claim, arbitration, etc. are negotiated, and the agreement reached after the negotiation is written into the Purchase Contract. This marks the official start of the export business. Under normal circumstances, the signing of the purchase contract in duplicate shall take effect by both parties with the official seal of the company, and each party shall keep one copy.
There are three more commonly used international payment methods, namely, letter of credit payment method, TT payment method and direct payment method.
1. Letter of credit payment method
Letters of credit are divided into two categories: bare-ticket letters of credit and documentary letters of credit. A documentary letter of credit is a letter of credit with a specified document, and a letter of credit without any document is called a light letter of credit. Simply put, a letter of credit is a guarantee that the exporter will recover the purchase price. Please note that the shipment period of the exported goods should be carried out within the validity period of the letter of credit, and the delivery period of the letter of credit must be submitted no later than the validity date of the letter of credit. In international trade, letters of credit are the majority of payment methods, and the date of issuance of letters of credit should be clear, clear and complete.
TT payment method is foreign exchange cash settlement, by your customer will remit the money to your company's designated foreign exchange bank account, you can request a certain period of time after the arrival of the remittance.
Refers to the direct delivery payment between the buyer and the seller.
The stocking plays an important role in the whole trade process and must be implemented one by one in accordance with the contract. The main checks for stocking are as follows:
1. The quality and specifications of the goods shall be verified in accordance with the requirements of the contract.
2. Quantity of goods: to ensure that the quantity requirements of the contract or letter of credit are met.
3. Time of stocking: Should be in accordance with the provisions of the letter of credit, combined with the schedule of the ship, in order to facilitate the convergence of the ship and cargo.
According to the different goods to choose the form of packaging (such as: cartons, wooden boxes, woven bags, etc.). Different packaging forms have different packaging requirements.
1. General export packaging standards: according to the general standards for trade and export packaging.
2. Special export packaging standard: export goods packaging according to the special requirements of customers.
3. Packing and shipping marks of the goods (shipping marks): careful inspection and verification should be carried out to make it conform to the provisions of the letter of credit.
Customs clearance procedures
Customs clearance procedures are extremely cumbersome and extremely important. If customs clearance is not smooth, the transaction cannot be completed.
1. Export commodities subject to statutory inspection shall be subject to an export commodity inspection certificate. At present, China's import and export commodity inspection work mainly has four links:
Acceptance for inspection:Inspection refers to the foreign trade relations to the commodity inspection agency to apply for inspection.
Sampling:After accepting the application for inspection, the commodity inspection agency shall promptly send personnel to the place where the goods are stored for on-site inspection and appraisal.
Inspection:After the commodity inspection agency accepts the inspection, it carefully studies the inspection items declared and determines the inspection content. And carefully review the contract (letter of credit) on the quality, specifications, packaging provisions, to clarify the basis of inspection, to determine the inspection standards, methods. (Inspection methods include sampling inspection, instrument analysis inspection; physical inspection; sensory inspection; microbiological inspection, etc.)
Issuance of Certificates:In the case of exports, all export commodities included in the "Category Table" shall be issued a release order (or a release stamp shall be affixed to the customs declaration of export goods in lieu of a release order) after passing the inspection by the commodity inspection agency.
2. The personnel who hold the customs declaration certificate shall go to the customs to go through the customs clearance procedures with the text of the box list, invoice, declaration power of attorney, export settlement and write-off form, copy of export goods contract, export commodity inspection certificate, etc.
Packing list:Packing details of export products provided by the exporter.
Invoice:Certificate of export products provided by the exporter.
Declaration Power of Attorney (Electronic):A certificate of a unit or individual who does not have the ability to declare customs by entrusting a customs declaration Correspondent Bank.
Export Write-off Doc:By the export unit to the foreign exchange bureau to apply for, refers to the export capacity of the unit to obtain an export tax rebate of a document.
Commodity Inspection Certificate:After passing the inspection by the entry-exit inspection and quarantine department or its designated inspection agency, it is the general designation of various import and export commodity inspection certificates, appraisal certificates and other certificates. It is a valid document with legal basis for the parties involved in foreign trade to fulfill their contractual obligations, handle claims, disputes, conferences and arbitrations, and provide evidence in litigation. It is also a necessary certificate for customs inspection and release, collection of tariffs and preferential tariff reductions.
During the loading of the goods, you can decide how to ship the goods according to the amount of the goods and insure them according to the types of insurance specified in the Purchase Contract. Optional:
Types of containers (also known as containers):
(1) According to specifications and dimensions:
At present, the dry containers (DRYCONTAINER) commonly used internationally are:
The outer dimensions are 20 feet x 8 feet x 8 feet 6 inches,20-foot container for short;
40 feet X8 feet X8 feet 6 inches, referred to as 40 feet container; And 40 feet X8 feet X9 feet 6 inches, which has been widely used in recent years,Referred to as 40 feet high cabinet.
20-foot cabinet:The internal volume is 5.69 meters X2.13 meters X2.18 meters, the gross weight of the distribution is generally 17.5 tons, and the volume is 24-26 cubic meters. The 40-foot cabinet: the internal volume is 11.8 meters X2.13 meters X2.18 meters, the gross weight of the distribution is generally 22 tons, and the volume is 54 cubic meters.
40 feet high cabinet:The internal volume is 11.8 m X2.13 m X2.72 m. The gross weight of the distribution is generally 22 tons and the volume is 68 cubic meters.
45 feet high cabinet:The internal volume is 13.58 meters X2.34 meters X2.71 meters, the gross weight of the distribution is generally 29 tons, and the volume is 86 cubic meters.
20 feet open top cabinet:The internal volume is 5.89 meters X2.32 meters X2.31 meters, with a gross weight of 20 tons and a volume of 31.5 cubic meters.
40 feet open top cabinet:The internal volume is 12.01 meters X2.33 meters X2.15 meters, with a gross weight of 30.4 tons and a volume of 65 cubic meters.
20 feet flat bottom container:The internal volume is 5.85 meters X2.23 meters X2.15 meters, the gross weight of the distribution is 23 tons, and the volume is 28 cubic meters.
40 feet flat bottom container:The internal volume is 12.05 m X2.12 m X1.96 m, the gross weight of the distribution is 36 tons, and the volume is 50 cubic meters.
(2) According to the box-making materials:There are aluminum alloy containers, steel containers, fiberboard containers, glass steel containers.
(3) By purpose:There are dry containers; refrigerated containers (REEFER CONTAINER); hanging containers (DRESS HANGER CONTAINER); open top containers (OPENTOP CONTAINER); frame containers (FLAT RACK CONTAINER); tank containers (TANK CONTAINER).
Assembled containers, generally according to the volume of export goods to calculate freight weight.
Usually the parties have agreed in advance on matters relating to transport insurance in the signing of the Purchase Contract. Common insurance includes marine cargo transportation insurance, land and air cargo transportation insurance, etc. Among them, the marine transport cargo insurance provisions of the insurance coverage of the insurance, divided into basic insurance and additional insurance two categories:
(1) Basic insurance is safe insurance (Free from Paricular Average-F.P.A), water damage insurance (With Average or With Particular Average-W.A or W.P.A) and all insurance (All Risk-A.R.). The scope of liability for safe insurance includes: total loss of goods caused by natural disasters at sea; overall loss of goods in the course of loading, unloading and transshipment; sacrifice, sharing and rescue costs due to common sea loss; total loss and partial loss of goods caused by the transport vessel's reef, grounding, sinking, collision, flood and explosion. Water damage insurance is one of the basic insurance of marine transportation insurance. According to the insurance terms of the People's Insurance Company of China, its liability covers not only the risks listed in Ping An Insurance, but also the risks of natural disasters such as severe weather, lightning, tsunami and flood. The coverage of all insurance is equivalent to the sum of water damage insurance and general additional insurance.
(2) Additional insurance. There are two types of additional insurance, general additional insurance and special additional insurance. General additional insurance includes theft and pick-up, fresh water rain insurance, short-term theft insurance, leakage insurance, breakage insurance, hook damage insurance, mixed contamination insurance, packaging rupture insurance, mold insurance, moisture and heat insurance, serial taste insurance, etc. Special additional risks include war risk, strike risk, etc.
The bill of lading is the exporter after the export customs clearance procedures, customs release, by the Sinotrans company to sign out, for the importer to pick up the goods, settlement of foreign exchange documents.
The signed bill of lading is issued in accordance with the number of copies requested by the letter of credit, usually three copies. The exporter keeps two copies for tax refund and other business, and one copy is sent to the importer for pick-up and other formalities.
When shipping goods by sea, the importer must hold the original bill of lading, bill of lading and invoice to collect the goods. (The original bill of lading, packing list and invoice must be sent by the exporter to the importer.)
If the goods are transported by air, the goods can be picked up directly by fax of the bill of lading, packing list and invoice.
Settlement of foreign exchange
After the export goods are loaded out, the import and export company shall, in accordance with the provisions of the letter of credit, correctly repair the documents (packing list, invoice, bill of lading, certificate of origin of export, export settlement) and other documents. Within the validity period of the document stipulated in the letter of credit, submit it to the bank for negotiation and settlement.
In addition to the use of letters of credit settlement, other payment remittance methods generally have wire transfer (TELEGRAPHIC TRANSFER(T/T)), bill transfer (DEMAND DRAFT(D/D)), letter transfer (MAIL TRANDFER(M/T)) and other ways, due to the rapid development of electronic, now the main use of wire transfer remittance. (In China, enterprises enjoy preferential export tax rebate policies for export)
