a.) Letter of credit
This is a document that enables an importer to get goods on credit to assure the exporter that the amount due would be paid.
Importance
The letter signifies that the issuing bank would pay to the corresponding bank the amount stated therein provided that the exporter meets certain conditions such as submitting the necessary exporting documents
b.) Import license
A document that enables a person to import goods.
Importance
It shows that the importer has a permission to deal with the goods.
c.) Indent
This is an order sent by an importer to an agent in the exporting country.
Importance
- Contains the details of the goods required.
- The method of packing.
- The transporting company.
- The terms of payments.
d.) Bill of landing
A document prepared when goods ordered are loaded into the ship,
Importance/purpose
- It is evidence that goods have been received by the owner.
- It is evidence of the terms of contract between the ship owner and the shipper
- It is a document of title in that it enables the person named therein or his agent to claim the goods when they arrive at the port of destination.
e.) Policy or certificate of insurance
A document to show that goods are insured before being dispatched
f.) Certificate of origin
A document prepared by an exporter giving details of the goods exported and the name of the country of origin.
Importance
Enables the importer to get preferential treatment on the goods imported especially if they originated from a country that is a member of trading bloc.
g.) Airway Bill
A document prepared when goods are transported by air.
Importance/purpose
It shows the charges that the importer is supposed to pay to the airline company.
h.) Commercial invoice
This is a document that is prepared by the seller to demand payments
Contents include
- Name and address of the exporter
- Name and address of the importer
- Price
- Terms of sale
- Description of the consignment
- Name of the ship transporting the consignment.
Importance/purpose
To demand payments
i.) Consular invoice
A document that shows that the prices charged on the goods are fair as certified by the importing country’s officials or consul with the embassy in the exporting country.
Importance/purpose
Helps in speeding up delivery of goods to the importer.
j.) Proforma invoice
It resembles an invoice apart from being marked profoma. It does not hold the buyer liable for payment of the amount marked in it.
Circumstances under which it is issued.
- To serve as a formal quotation.
- To serve as a polite request for payment in advance for the goods ordered especially if the customer is new.
- Where the importer would like to initiate clearing of customs duty early enough to avoid delays.
k.) Freight Note
A document prepared by the shipping company to indicate the charges for shipping the goods.
Importance
It is sent to the exporter who upon payment of the charges gets a receipt
l.) Letter of hypothecation
This is a letter written by the exporter to his or her bank authorizing it to resell the goods being exported.
m.) Weight Note
A document that states the weight and measurements of the goods delivered at the docks
n.) Shipping Note
This is a document that is issued by the ship owner giving details of the goods shipped.
sharon kalunda answered the question on February 19, 2019 at 11:16
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