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International Trade Procedures and Documentation
Notes be sent on the printed form or on a simple letter. The usual practice is to repeat the broad terms
on which the exporter accepts the export order once again, to get the things clarified thoroughly.
Confirmation of Export Order
In case the exporter is satisfied about different aspects of the export order as discussed above, he
shall send a confirmation of the export order to the buyer. In fact, there is no standard format to
be used in export order confirmation. It is just a letter to be sent by the exporter to the importer
that he is satisfied with all the terms and conditions as mentioned in the order and he shall
deliver the goods as per the schedule. Now the importer is required to open a letter of credit in
favour of the exporter so that the exporter can start his work on the export order and can avail of
the necessary packing credit form the bank.
Reserving Space for Shipment
In order to overcome the problems of shipping space for transporting cargo to importers country
with carriers/shipping company; it is advisable for the exporter to get the shipping space booked
in advance. He shall take necessary steps to get the space booked with a shipping company from
the port of shipments. Nowadays, exporter’s works have become easy as freight forwarder takes
care of all such responsibilities but it is imperative to inform the freight forwarder for the same.
The information of the arrival of ships becomes available at least 10 weeks in advance and
accordingly the exporter can get his shipping space booked for transporting the cargo. He shall
also see that the product does not demand any kind of special packaging or special shipping
facility such as cooling heating, humidity control, etc. If goods are perishable; he must check the
carrier’s capability to handle it. As the freight forwarder looks at all these issues it is pertinent to
appoint an experienced and renowned freight forwarder to handle all these issues.
Delivery Note/Purchase Order
If the exporter himself is the manufacturer; he must send a delivery note to the production
department of the firm indicating the delivery schedule and other terms and conditions such as
specifications, etc. He can attach the copy of the export order so that the production department
may take care of all such requirements as needed in the order. As an industry practice, it is
observed that the exporter must send at least 20 days in advance the delivery note to the production
department of the firm, but it varies from industry to industry as iron production takes much
higher time in comparison to fast moving consumer goods.
In case, the exporter is a merchant exporter he shall immediately contact his supplier to supply
the goods and intimate him a time schedule that is at least 5 days in advance of the delivery date.
It is advisable to keep a routine tab on the suppliers to get first hand status on the work in
progress. Immense care is to be taken regarding quality concerns and specification while getting
goods outsourced from the third supplier. Some important contents to be supplied to the
production department or third suppliers are:
1. Size specification and standard of the product
2. Quantity required by the exporter
3. Quality clearly defined as expected
4. Delivery time and schedule
5. Any special issues concerning the use of inputs, etc.
6. Labelling and marking requirements, if any
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