How much do you know about Import/Export Alphabets?

Question

How much do you know about trading with foreigners?

Custom Tariff,Proforma/Invoice,Transportation Costs,L/C,Commercial Cards,Negotiations and ....

Answer 1

Quite a bit.

I just took a International economics class and I got A, of course.

But I've never worked on that line of business.

Answer 2

1) have trade with corporates who are from developed countries - you will have less problem (may be no problem) and their Laws are ver strigent)

2) have polite language - firm standing -

3) understand the contracting party - their countries Law governing I&E and tell them what your countries laws are - be more specific - ignorance of law is no excuse - violation is a serious subject.

3) Customs tariff - available in book forms and also in web site.  -  now job is much easier - as old codes like BTN etc., have all gone and there is only one international tarriff  - which can be understood internationally.  all are available in web site.

4) Proforma Invoice is a negotiable instrument - to be prepared before receiving payment.  for advance payment it is before shipping - for LC payment or credit after shipment for receiving payment

5) Transportation cost - it is all depends upon mode of shipment like air, sea, post, rail, road, etc., and based on volument, weight, etc., - the counter part in the contract will give clues - and one can learn over period of time - Transportation cost is a mojor element in cost - one should be very careful

6) L/C, Commercial cards, - LC is a negotiable instrument normally given by commercial bank assuring credit (pay,ent) on fulfilment of condition of crfedit - it has validitity from the date of opening and upto it is expiry date with grace period for shipment/presentation)negotiation) of document - on mutual trust validity can be extended ( but cannot be curtailed in the case of ILC)

7) Negotiations - it is a process of bringiong to an understanding between the importer and exporter - this can be done over coprrespondance or in person by discussion.