The shipping Incoterms rules or International Commercial Terms are a series of pre-defined commercial terms published by the International Chamber of Commerce (ICC). They are widely used in cross-country business processes. A series of three-letter trade terms related to common contractual sales practices, the Incoterms rules are intended primarily to clearly communicate the tasks, rates and risks associated with the transportation and delivery of goods.
The rules are accepted by governments, legal authorities and business practitioners worldwide for the interpretation of most commonly used terms in international trade. They are intended to reduce or remove altogether uncertainties arising from different interpretation of the rules in different countries. As such they are regularly incorporated into sales contracts worldwide.
Loading usually begins in 30 to 45 days from the date of the financial instrument is accepted.
When commodity is shipped, there are many documents which accompany it. Some of these documents are required in order for the seller to be paid, others are required in order that the shipment can be imported into a foreign country, and still others provide an assurance that the commodity meets the requirements set out in the contract, has been properly handled, and is being shipped aboard a seaworthy vessel. This is a list of the most commonly provided types of shipping documentation, along with explanations of their function.
Note: Not all shipping documentation may apply for all commodities, its may vary from commodity-to-commodity. A list of the full documentation will be listed on the contract.
A commercial invoice is made out from Bahuvida to the buyer. It details the specifications of the commodity being shipped and the total cost of the shipment. This invoice is normally required in order for Bahuvida to receive payment under the terms of a Letter of Credit (LC), and functions as a tax invoice for the buyer.
A bill of lading is a document which is issued by a shipping company, carrier/transporter. The document confirms the specifications of the shipment received the port where it was loaded, and the destination port. It also outlines the terms of carriage. Bills of lading can be negotiable or non negotiable. A negotiable bill of lading enables the holder of the bill of lading to change the destination port of the shipment. A non negotiable bill of lading means that the shipment will be delivered to a specified port, and this designated port cannot be changed.
A packing list is simply a document which outlines the quantity and type of commodity shipped. This document is normally very detailed. In order for Bahuvida to obtain payment it is important that the packing list is identical to the terms of the contract and those set out in the Letter of Credit.
SGS is an international independent inspection company which will inspect any agro commodity shipment before it leaves the port and verify that the commodity is of the correct weight, grade, quality, and condition as stated in the bill of lading, packing list, and contract. If all is in order, they will issue a certificate which states that the particular commodity met certain standards when it was shipped.
Note: Inspection and certification company can differ and it is Bahuvida's choice, in some cases it may choice of Buyer.
This is essential for buyer when importing agro commodity from one country to another. The certificate of origin is often issued by Bahuvida, although it can sometimes be issued by a government agency, authorities or recognized chambers of commerce’s will be provided to buyer where the commodity is from.
A phytosanitary certificate states that the commodity meets the phytosanitary requirements which are in place in India it is being exported to. Phytosanitary certificates are always required for plants and plant products, as these can represent a potential hazard to the ecosystem of the country to which they are being exported.
Depends on commodity being exported, if necessary Bahuvida will provide phytosanitary certificate from Directorate of Plant Protection, Quarantine & Storage, Ministry of Agriculture, Govt. of India.
When the commodity being shipped in bulk, the shipping company statement relates to the ship aboard which the commodity will travel. It normally states that the ship is of a certain age, and that it is well maintained. This document is designed to provide assurance that the vessel is sea worthy.
*Note: Above terms and conditions or statements or any other information may change from time-to-time and/or for commodity-to-commodity.