Issuing Bill of Lading

Bill of Lading or B/L is one of the transport document that is issued by a carrier or their agent or forwarder. Bill of Lading is the title documents that pointing the owner of the goods and each shipment by sea will has a Bill of lading. You can find the rule for Bill of Lading in UCP. Today the latest version of UCP is UCP600.

Before Bill of Lading is issued up, shipper will send a shipping booking or shipping instruction to forwarder or sometimes directly to shipping line. On the shipping instruction sheet shown the shipment data that will be used by forwarder for booking the space in a vessel. The fastest on sending this shipping instruction will keeping you on getting the space in a vessel more possible. The contents of a B/L will follow to the data stated on the sipping booking. Mostly, shippers send the proforma shipping booking which is containing an estimation only. Then in the event that the shippers have finished their production they will send the final shipping booking or final data to be inputted to the bill of lading by forwarder. The sending of this actual data commonly do on the injury time or close to the closing time of sending data. But, of course, sending the final data earlier is the better, especially for shipment to Japan. At this time our forwarder asked us to send the final data far away from the closing date, because if the shipment data is missing it can makes the container will not be loaded to the vessel.

The types of bill of lading that I have ever used are consisting ocean bill of lading, non negotiable sea waybill, and surrendered bill of lading. For exporting to Europe Union, the importers mostly use ocean bill of lading or bill of lading and Forwarder Cargo Receipt. 

Buyers or importers from Japan are usually use the surrendered bill of lading. They actually don't need an original bill of lading once they do the clearance of the goods, because the surrendered B/L that is sent by email or fax  is enough to do the clearance. I think the surrendered B/L is suitable for shipment from Indonesia to Japan that having about ten days sailing date, this short sailing date will take to a problem if they request an original bill of lading, because shippers need several days at least seven days to get the original bill of lading, possibility goods arrived before buyer getting the bill of lading from shipper, then the additional fee of storage will coming up to buyer.

Bill of lading contents :

• Shipper. Shipper will arrange the shipment booking and provides the data for each shipment and shipper also collecting all shipping documents to pass away to buyer or consignee.
• Consignee. Consignee is party of receiver for the goods that are shipped. Occasionally, the transport documents will be sent to them for clear the goods.
• Notify party. This party of bill of lading may same with consignee or sometimes is different with consignee. 
• Vessel name and its voyage. This will be shown on the forth column. For exportation to far away from Indonesia that the port origin is Indonesia, for instance to Europe or USA, two vessel will be typed on bill of lading, because the shipment used two vessel, first vessel is used from Indonesia to transit port and the second vessel is used from transit port to final port.
• Mark or shipping mark, container number and its seal. These data is showed at behind the left of the description of the goods. For LCL shipment type the container number and its seal data will be provided by consolidator of forwarder as the stuffing or loading the goods to the container do by consolidator or forwarder. Differently, FCL shipment, shipper will arrange the loading of the goods to the container, so that the container and seal number are provided by shipper. The shipping mark is always provided by shipper.
• Description of goods. Buyer will provides the description of goods for each order. This usually can be found on purchase order sheet.
• Nett weight and gross weight. Shipper will provides both data and pass to forwarder or shipping line to insert to bill of lading.
• Total container number and size and type.
• Place and date of issue. This date is usually same with the boarding date, but sometimes both date of issue and boarding date are different.
• Type of movement. This data are refer to loading type to the container. CFS/CFS movement will be shown if in one container consists two or more shippers and consists two or more buyer are included. CY/CY movement, means that in one container is used by one shipper only and containing one buyer. CFS/CY, if this type movement is showed on a bill of lading, means that the container are containing two or more shipper and only one buyer is included.
• Freight payable at. This is pointing to who is obligated to pay the freight.

All above data types have to follow instruction from buyer or the Letter of Credit.
 

Creating an Invoice

Shipper will creates an invoice based on the agreement prior to orders are putted to them. If buyer decided the term of shipment they wanted is " payment before shipment date and after inspection" In this case the invoice will be issued by shipper after inspection date and the payment should be received by them then they will directly arrange the exportation to destination as agreed. One of our buyer decided the payment term is on documents against payment , this mean the invoice will be performed once the goods were already been exported and after all documents required are completely provided then they will send the invoice along with the other documents to bank for arranging the payment.

The contents of an invoice that I ever made up as follow:

• Beneficiary. This party are commonly issue the invoice to be performs to buyer and also beneficiary as receiver of the payment from buyer.
• For account and risk of Messrs. This party is destination of the invoice performed. Commonly buyer are stated as to be this party. But sometimes buyer has decided the other name and address to be filled in this space. 
• L/C date, its number and the issuing bank. If the term payment are stated on L/C, those information are always stated on the invoice created up.
• Inconterm. This column will be filled in by FOB, FCA,C&F, CIF, Ex-work or others terms based on  both parties shipper and buyer agreed.
• Information of the carrier or vessel. Exportation from Indonesia to Japan is almost using direct vessel, so that the vessel is only one stated on this column. Differently, Exportation to Europe or USA is always has the vessel transits in Singapore or Malaysia, so that the vessel will be showed on the invoice are containing two vessels.
• Shipment route. The shipment route is consisting Port of  Loading, Port of transit, Port of discharge, and Place of Delivery. If the shipment is using direct vessel, the port of transit wouldn't be showed up. The shipment date is also showed on this column
• Consignee and applicant, Some buyer also decide to ask shipper to mention the consignee and notify party as showed on its B/L.
• Description of goods. The description of each goods are commonly mentioned on the purchase order, for instance " Ladies pullover 100% acrylic". A description of goods are consisting design or product name and composition.
• Style and order number. An order usually has an order or purchase order number and style number for identification purpose. So that the style and order number are very important things to be mentioned on each shipping and financing document as an identity of each order are putted to shipper.
• Color name and number. The color name and number are always mentioned on each invoice. Sometimes the difference color will leads to difference price of each color.
• Size. Mentioning size of each product in invoice is a must, because each size range usually has a specific price. The baby size will be different with the boy size, because material consumption for each size range will be different.
• Quantity of product. Quantities have to be performed on the invoice to calculate the total amount of each color, size, and all total quantities to be delivered to.
• Unit price. Of course, the unit price should be showed on each invoice to calculate the total amount to be paid by buyer.
• Total amount. The total amount of each shipment will be mentioned on the invoice. This is sometimes followed by total amount in words.
• Total quantities. Commonly, the total quantities are mentioned on invoice to show buyer what the actually quantities to be exported to them.
• Total box, the nett weight, gross weight, and its volume.Those information is not only important for buyer, but this is also using on the clearance process.

All those invoice contents are very important to give an attention when we are willing to create an invoice. And the correct contents will lead buyer can easily to process the payment, identification and of course, for the clearance the goods in customs.

In case you have an exportation of salesman to France, now customs will check the price once upon the exportation and payment process. It is a must to mention on both invoice for customs and payment in the same price. Our buyer in France reminded us to do this, because if this is not followed will leads to the penalty applied to buyer.

For all the above things, you have to contact constantly buyer regarding of invoice they want to create up. So that they can protect any unwanted thing happened to them. 

Packing List

A packing list performs a list of the goods or a products that is packed with a packing method. Packing list commonly is created on spreadsheet application like Microsoft Excel or any others. Sometimes buyer has decided the format of the packing list in their shipping manual to be used to each their order they have. If buyer doesn't has a certain format of packing list, shipper will makes a draft to propose to buyer for getting their approval including the content of each shipment.      

Now, some buyers have an online shipment system in a single window. They manage their orders by online system. Starting they put an order to a shipper till the goods are delivered of received by their warehouse, all these are recorded on their online system. Once shipper has finished produce their order, shipper submit the order data to be shipped out to the system covering quantity to be shipped out, the total packaging, the color, its nett weight and gross weight, packing method, and the shipment mode. Then the shipping marks and packing list will automatically created by system based on shipper data submitted to.

The packing list will be passed to buyer and bank in original, and it stated also on the first number of packaging, and occasionally the forwarder request the packing list to shipper, too. 

All contents on packing list stated are should be avoided from wrong. If found the wrong of the contenta it will become a big trouble and sometimes it will affect to the discount or penalty are coming to shipper. We have ever got some penalty because of this wrong thing. For several years ago our buyer from France has decided that the packing list should be written manually by hand. Of course, this is will becoming a big trouble when we don't have spare time to do this, because the closing time for cargo loading almost going over. Sometimes we didn't double check to the packing list we created up according to the short time to send the goods to the consolidator of the goods.

In addition, if we made a wrong content to the packing list and this has arrived in buyer hands or their agent, the extra handling can not be avoided. Then the additional handling fee in destination will born to shipper account.

  

Export to Japan Using IJEPA

When this posting I created, Japan was becoming the major destination of our export. Formerly , our buyer in France is the biggest amount of our export. But after the economic crisis happened in Europe Union, their orders was being dropped to the lowest that have ever happened. Moreover some buyers had been gone away and putted their order to some companies in another countries with the lower price given to them. I hope Japan will be better in amount and the price.

Fortunately, our government and Japan have an agreement to make both parties getting the benefits in trade international from each other. This agreement form is EPA or Economic Partnership Agreement between Japan and Indonesia. For import from Indonesia importer has to provide a document with the name is IJEPA ( Indonesia - Japan Economic Partnership ) and for Import from from Japan the document should be provide is JIEPA ( Japan - Indonesia Economic Partnership Agreement). This agreement will gives the reduction to any duties. To get those opportunities or facility both parties have to comply to some rules of origin as agreed. But not all goods will be covered by this agreement.   

Using this facility both importers Japan and Indonesia will get the reduction for duty till zero. Of course this will makes both parties to get this opportunity for their exports and imports. This will naturally push importer to increase their orders, because the price that will be offered to their customer will be lower and lower. For exporter will get more orders from their buyer and of course with the better in price offer.

In getting this facility the rule of origin has to be followed. The rule of origin involves origin criterion, direct consignment, and documentary evidence.

Origin criterion has product specific rules, those are change in HS code which has three change segmentation , value added in 40 percent or more, specific process, and basic principle or 40 percent value added.  

Change in HS code consists change in chapter ( CC ) , this change in the first two number from the raw material. The second is change in tariff heading ( CTH ), this change is in the first four number of the raw material. And the last is change in tariff sub heading ( CTSH ) or in the first six number from the row material. For instance as follow :

Change in chapter ( CC ) : 
Material : 2603 is HS code for Copper ores.
Goods : 7401 Cooper mattes.

Change in tariff heading ( CTH ) :  
Material : 7402 is HS code for Unrefined copper.
Goods : 7403 Refined copper.

Change in tariff sub heading ( CTSH ) :  
Material : 7403.11. is HS code for Cathodes and section of cathodes .
Goods : 7403.12 Wire - bars.

The requirement for getting IJEPA preference:

• The goods is under cover IJEPA agreement.
• Comply to preference criterion.
• Comply to transport criterion.

Criterion preference of IJEPA:

1. The goods has not an import contents. The letter "A" is written on IJEPA form.
2. The goods is produced by one of the two parties which the materials are got from one of Indonesia or Japan. The letter "B" will be given to the IJEPA form.
3. The goods can fulfill the requirements of PSR or product specific rule. The letter "C" will be stated on IJEPA form.

Safeguard Measures for Cotton Yarn Importation.

In Indonesia, safeguard measures for cotton yarn other than sewing thread do by giving additional duty to the yarn imported from another country beside commonly duty applied to. This regulations release after the importation value and quantity highly increase in big amount and this taking effect to the industries in Indonesia were disturbed in the market share. In the other hand the yarn industries report to Trade Ministry concerning this condition and ask them to apply the additional duty for safeguard measures.

This condition is dilemma. The additional duty of the safeguard is a benefit for yarn industries, of course, this will taking effect to the market share for another country will decrease and the opportunity will comes to local yarn industries. Contrary, for manufacturer industry that its row material is decided by importing from another country, this is will be an additional production charges that will inflict to the higher price to offer to buyer. In the other hand buyer will reconsider to compare with others suppliers in different countries if the price is too higher for their customers.  

The rule has been applied since 6^Th in June 2011 and the validity of this rule will apply for three years onward since this rule is stated. Indonesia's government stated IDR 40,687 for each one kilogram to be an additional duty beside the common one on the first year. For the second year they stated IDR 38,144 for each kilogram, and the last year IDR 35.601 per kilogram to be going applied. I think those additional charges are big enough to limit the importation of the cotton yarn.

However, the additional duty of the safeguard didn't apply to all country in the word. There are 105 counties stated to be exception from this additional duty, those are Albania, Angola, Antigua and Barbuda,  Argentina, Armenia, Bahrain, Bangladesh, Barbados, Belize, Benin, Bolivia, Botswana, Brazil, Brunei Darussalam, Egypt, El Salvador, Fiji, Former Yugoslav Republic of Macedonia, Gabon, Georgia, Ghana, Grenada, Guatemala, Guinea, Guinea Bissau, Guyana, Haiti, Honduras, Burkina Faso, Burundi, Cambodia, Cameroon, Cape Verde, Central African Republic, Chad, Chile, Colombia, Congo, Costa Rica, Cote d'Ivoire, Croatia, Cuba, Democratic Republic of Congo, Djibouti, Dominica, Dominican Republic, Ecuador, Jamaica, Jordan, Kenya, Korea - Republic of, Kuwait, Kirghiz Republic, Lesotho, Macao - China, Madagascar, Malawi, Maldives, Mali, Mauritania, Mauritius, Mexico, Moldova, Mongolia, Morocco, Mozambique, Myanmar, Namibia, Nepal, Nicaragua, Niger, Solomon Islands, South Africa, Sri Lanka, Suriname, Swaziland, Nigeria, Oman, Panama, Papua New Guinea, Paraguay, Peru, Philippines, Qatar, Rwanda, Saint Kitts and Nevis, Saint Vincent and the Grenadines, Saudi Arabia, Sierra Leone, Tanzania, The Gambia, Togo, Tonga, Trinidad and Tobago, Tunisia, Uganda, Ukraine, United Arab Emirates, Uruguay, Venezuela, Vietnam, Zambia, and Zimbabwe.

The HS codes of the goods that are applied additional duty of safeguard measures consisting from number 5205.11.0000 till 5206.45.0000. When the goods came to Indonesia and importer submitted the importation data then the customs will automatically checked by their system according to data submitted by importer to customs system. System will check the HS code of the goods whether there are any regulations to be applied to or not. The goods under HS code range number from 5205.11.0000 to 5206.45.0000 will be checked by customs according to status given by system, the status system of the goods usually in yellow line or red line. In case yellow line is given to an importation the customs are checking the shipping documents only, then finally after additional duty paid up the customs will approve the goods to be shipped out to shipper and the customs process was finished. In order to the customs given the red line, this means that the goods should be checked in both checking documents and physically checking, then finally the goods are allowed to be picked up based on customs approval.

For especially manufacturer in Indonesia that has an order which is the materials would be imported from another country has to check the HS code and the rules to be applied to, for example this additional duty for safeguard measures rule. So that all charges of the importation can be added to the price offer to their buyer, this way will protects their benefits to be lost. 

Additional duty for safeguard is not only apply to the cotton yarn other than sewing thread, this is also has applied to some commodities for instance cotton fabric, so that the importer should consults or check with customs regarding any goods will be imported, or at least they have to check to the web provided by customs.     

Learning International Trade Process

1. Sales Contract Process

Promotion

Firstly before exporters or manufacturer export their product to another country they usually make some promotion through any media such as advertisements in newspapers, magazine, or through online by putting the ads in website that well know and having high traffic like Google, Facebook and so on. Occasionally the promotions do by exhibition or by governments directly in an expo or sometimes through the embassy.

Letter of Inquiry.

After one or more buyers interest to the product can be produced by exporter then they send a letter of inquiry which having the contents price and any specification of the goods involves the styling, the quantity will be ordered, delivery time, and the details of transport line. But the most shippers do in getting an order is though a third party or a buying agent. Buying agent will proactively looks for some manufacturers who can provide or produce the products buyers want to. Buying agent usually takes some sample to show to some manufacturers or shippers and ask them whether they can produce the same product or not. Then manufacturers will try to make the same product as the sample to show buyer to get their comment to the sample.

Offering the price

After buyer has approved the sample made by a manufacturer, manufacturer or exporter will automatically sends their price offer base on the sample made up. Manufacturer will calculates based on row material consumption, transportation fee or all importation charges in case the row material will be imported from another supplier from another country, and production charges. Buyer or sometimes traders will directly review shipper's price offer and will compare to the bottom price buyer decided. Occasionally, buyers or traders will compare with another shipper who sent the same sample in considering best quality and the lowest price offering. Some years ago, we have ever made a business relation with a buyer, they always sent their design to many manufacturers who can make the same sample that sent by the buyer or their agent. Then they took the lowest price from various manufacturers offering or mostly they done this by like a tender, they putted a very low price then manufacturers sent or submitted their reasonable price they could offer. This buyer type doesn't pay our goods quality, they always think a high benefit.

Order Sheet.

Order sheet or sometimes called purchase order. The contents consists style number, purchase order number, row material, description of the goods, quantity, price, payment term, shipment mode, destination or port destination, and final destination.

Sales Contract Process.

Sales contracts made by exporter based on order sheet and offer sheet, all important things that are mentioned on both offer sheet and purchase order or order sheet are should be mention on sales contract, too. You may put the additional conditions if any on the sales contract. Such the additional condition commonly put down, the tolerance of over and short quantity, insurance, transshipment, and many other you need to put down on the order sheet. Both buyer and shipper have to put their authorize signs on the order sheet. However, in business practice, with using email they only send and receive order sheet to be agreed by both side without sending the original order sheet and sometimes they did not put down their signs anymore. In the other hand, in our business practice with one of our buyer this is enough by sending the importer Proforma Invoice to check and confirm and buyer has assumed that this is same as sales contract.

2. Letter of Credit Opening

After both parties exporter and importer agreed to all conditions and importer is no doubt to put the order to importer, then the next step is applying a Letter of Credit to any bank trusted in case both exporter and importer choose L/C to becomes payment term. The applying is made by importer to any bank or called Opening Bank, Importer has provide some funds equal to amount of the goods to be exported by exporter or called beneficiary, then the bank can issue the L/C after all requirement for applying an L/C. Before an L/C to be issued and transferred to Advising bank better applicant pass its draft to beneficiary to check and makes sure the term and condition the L/C is correct, this way is to avoid some discrepancies conditions.  

3. Cargo Shipment

After exporter received the L/C from advising bank, as beneficiary they has obligation to provide the goods to be ready to export, this called ready to export if the goods is has been inspected by buyer's agent and the inspection result is in good condition and of course ready to export.

Shipping company will receive shipper's booking for shipment and they will coordinate with their agent at destination to get buyer green light for shipment process. And they have to provide transport documents such as Bill of lading, shipment advice, and FCR for shipper. The shipping company also responsible to arrange the shipment till importer or consignee received the goods in a good condition.

4. Negotiation or presenting documents

Beneficiary or exporter send all documents required to advising bank and advising bank will check the documents presented whether the documents comply with L/C or they found any discrepancies. In order to Advising Bank found any discrepancies conditions they will ask shipper whether they will make the correction or send the documents with discrepant condition to Issuing bank.

After all documents have been arrived at Issuing Bank, they will scrupulously check all term and condition of the documents presented. If all documents comply with the L/C in term and condition Issuing bank has an obligation to fulfill the payment within four days since they received the documents. But if the documents didn't comply with the L/C, they will ask importer to give their approval or acceptance then the payment can be fulfilled.

  

    

FCL Versus LCL in Efficiency

FCL is abbreviation from Full Container Load, when the shipment with using FCL term there are only the goods to be loaded only from one shipper. When a shipper has some goods to be shipped out to another country he or she has to calculate its CBM or volume to decide what size container will be suitable and used up. Various container size you can use for your goods commonly consisting 20 feet, 40 feet, 40 feet in high cube, and 45 feet. The following list you will find out the details interior measurements for each container:

• Container with the size 20 feet : the length 6.058 meters, width 2.438 meter and the height 2.591 meters.
• Container with the size 40 feet : the length 12.192 meters, width 2.438 meter and the height 2.591 meter.
• Container with the size 40 feet HC: the length 12.192 meters, width 2.438 meter and the height 2.896 meters.
• Container with the size 45 feet : the length 13.716 meters, width 2.438 meter and the height 2.896 meters. 

The thing has to be considered is you have to check your package measurements of the length, wide, and its height. Then calculate how many cartons can fill in a container in width line , length line and height line. By this way you can easily decide a container to be used up with no doubt anymore.

LCL is abbreviation from Less Container Load is choosing when the total volume of the goods to be loaded to a container is in low amount. Some goods from different shipper are combined  into one container . The loading or stuffing will do at consolidator warehouse. Shippers usually send their goods or cargos to the consolidator warehouse by their selves or using a third party or trucking company. Therefore, they has to calculate all costs will coming up involve transportation to the consolidator warehouse and some handling charges at the consolidator warehouse to be considered.

Meanwhile, a shipper has to compare between FCL and LCL when they are willing to export their goods. By this way they will decide what is the cheaper between LCL and FCL to protect the costs safety.

You can compare between FCL and LCL by calculating the CBM or volume and each cost in using both FCL and LCL. The FCL shipment of export has costs THC or terminal handling cost, B/L fee, trucking or transport to terminal container, and sea freight in case freight paid by shipper or in C&F term shipment. LCL has costs that usually involves trucking or transport to consolidator warehouse, CFS or container freight station charges that calculated each volume. B/L fee, and sea freight cost or fee which the rate is calculated per volume or CBM.

Some importers who putted their orders to us has decided if a shipment has the CBM or volume 12 over it should be arranged on FCL, of course, after they have compared the costs between FCL and LCL. There are also some buyers want firstly to know the volume of their shipment prior to shipment arranging, then they will send us their approval of details shipping instruction to be followed.

In my country LCL shipment only available on the last day in every week or the boarding date it commonly  on Sunday or Monday. Unlike LCL , the FCL shipment schedule is always provided on mid week or end week vessel schedule.

Occasionally, there are some buyers insist to ask us to arrange their shipment by using FCL although the volume of the cargo is less then ten cubic meters. This is because they want the container opened in their warehouse or at a specific place instead of  in forwarder or customs place. Hopefully, their goods will protect from any damage while handling. 

How to Prepare an Exportation

How to export some goods to another country? You might be have aver asked yourself in a time. I also have ever asked me the same question many years ago when I didn't have a knowledge yet about export and import world. How to begin and what is the last step to export a goods in a big amount? If you unusual or never do the exportation to another country you will confuse, because many factor and rules have to be learned in export and import some goods by using a forwarder. Additionally, rules concerning export- import are different for each country. And the export-import is not only a knowledge, but this is a skill that needs much exercises and long experience to become an expert.

However, in this posting I will try to tell you a lists preparations to export some goods to another country in around the globe I have ever done.

1.  Goods details to be shipped out. The first thing to realize in exporting a goods is knowing goods description in details. For instance, you will export some sweaters to USA by using a forwarder services, you have to know such as who will wear those sweaters?, what is the row material?, what is the composition of the material?. Those goods specifications will be mentioned on export documents or shipping documents.
2. Categories and HS code or harmonise system of the goods you will export. Category of the goods is refer to the age segmentation and style of the goods. Each goods will have a specific HS code which is consisting six digits number for example cardigan, jerseys and sweater which is the row material in synthetic like 100% acrylic will having the HS code 6110.30.0000 in Indonesia and 6110.30.9900 in France. Sometime the last four digits is different in a country to each others. You may check all HS code lists to customs in each country or you will find out in their webpage.  
3. Rules in both country of origin and destination. After you got the HS code of your goods, you have to check what rules to be applied to the kind of your goods. In my country we can easily check out the rules applied to any goods after we knew its HS code. Our government has created a webpage that have a feature or a page for checking all HS code with description of goods in details and the rules to be applied. We can easily anytime check out by online the rules for each HS code we have got.
4. Term of shipment. Various terms of any shipment we can use up. The term shipment commonly I have ever used involved ex-work, FOB or free on board, CIF or cost insurance freight, C&F or cost and freight. The ex-work is all charges transportation from shipper's factory till to be arrived at destination or receiver born to buyer. If we use FOB, the cost transport from usually port of loading until the goods received by buyer is obligated to buyer. CIF term shipment is all charges from factory to port at destination including the insurance is has to pay by shipper. Likely CIF, the C&F term is all charges till the goods arrived at port destination has to pay by shipper except the insurance charge it will be invoiced to buyer.
5. Term of payment. Before a purchase order to be issued, the payment term has to be decided. Some of them I ever used are T/T payment, DAP or Document Against Payment, Documents Against Acceptance, Advance payment, Payment after done the inspection, and payment under L/C or letter of credits. All those payment terms will be explained in details in a specific posting.
6. The port of discharge and destination.
7. B/L or bill of lading type. Those are Original Bill of lading, Sea Waybill, Surrendered B/L, FCR, Full set of B/L. Those Bill of lading type are different to each others.
8. Consignee and notify party.
9. Packaging details and the shipping mark.The packaging has to follow buyer requirement. Buyer usually send a guide of the goods delivery to be followed by shipper. The purpose of managing  the packaging is to make easy in distributing to many store or to some the customers. So that the packaging should be managed by a guidance  from buyer then the manufacturer follow that guidance is a must. Marking of each packaging is commonly showing the identity which are usually having the contents buyer or consignee name, manufacturer, style or item number, purchase order number , quantity, gross and nett weight, port name, destination, and packing method. The shipping mark will be noted on surface of the cardboard. 
10. Various tests and inspection before shipment. The tests I mean are testing for goods including the raw material, and each parts accompanied the goods such as the accessories, poly bag, and its cardboard box. In some countries I found they have many laws to be complied in avoiding some substances come to those countries. So that buyer ask us to do some tests of the goods contents and even of part of the packaging. Regarding the inspection, after the goods were ready and all tests have been done, now the time for final inspection by inspector that is pointed by buyer. In order the inspector didn't found a major defect or the inspection result is under the tolerant then the inspector issue the inspection certificate that will note on the inspection certificate a pass inspection, it's mean that the goods can then be exported to destination as agreed.
11. Document required and its specimen. The shipping document commonly requested are packing list and weight list, invoice, Bill of lading, House Air waybill in order the shipment by air, and inspection certificate. Additionally some buyer requests certificate of origin, shipping advice, manufacturer certificate, single country of origin declaration and so on. If buyer wants the same format for each documents you may ask to buyer directly. However, if buyer can not provides the specimens you may create the documents required and send the drafts to buyer to get their approval.
12. Forwarder and the shipping line or airline. You will send the shipping booking to forwarder that pointed by buyer in case the shipment is in collect term, means the sea freight or air freight will be invoiced to buyer or consignee as agreed. Sometimes buyer also requests to use a specific shipping line to handle their shipment, so that we have to mention the shipping line will use up when we send the shipping instruction to the forwarder.

Those are the basic preparations you have to obtain when you are willing to export some goods using a forwarder service. Each country has specific lows in international trade that you have to realize when you will export to, beside rules in your country. If you didn't have enough knowledge of laws in a country keep in touch with your buyer an ask proactively to them.  

Choose Best Courier Services

When you have goods or package will send to any place in around the world you might consider what is the best courier will send your package to destination you want to. There are many various couriers companies you will find in your region may be, or you have ever got some offerings about courier services through some media such as emails, sales letters, social media, or marketer call you directly to give clearly explanation of their services.

However, you have to realize that all most marketers will always give you the good of their company or service to get your worth attention then hopefully you consider to use their service or buy their product. The actually you have to give more attention is what the expertise they have to ensure your package to be going to destination with a good condition, in time delivery, and easy to track your package alert while your package in the way.

Here I will give the list of things that you may consider when you willing to send a package for especially to abroad destination:

1. The agent for each city or country. Credibility agent of each country is sometimes different with the head office. This based on my experience in last time ago. Our buyer sent a package through a courier, our buyer then informed us these shipment when the package already in the way and they also informed us its Air waybill. Then I tried to track the package status, surprisingly I didn't find out the branch office in my country and even person in charge in handling the package until somebody called me to inform the notice of arrival of the package. In that time I asked to them " where is actually their office in this country or our city?" Then they only gave us a personal phone number to follow up the package or shipment. Therefore, you have to chose a courier with a fixed agent that having a clearly address.
2. Tracking online system. The tracking online system is part of the most important things to provide by any courier company to make easy for both customers or shippers and courier company on tracking and manage various of shipments. By this tracking online system a customer or sender or receiver can easily follow up the status shipment any time and any where by real. He or she doesn't needs to contact the customer service for just knowing where her or his package is to be, just type the web address and put the Air Waybill number to get the last update of the package.
3. Proactive in giving information. Proactively give any information about our shipment and anything happened that will impact to our package is one factor in making our trust. I have ever used various couriers to arrange various shipment to another countries in the globe. There is a courier that provides a service that when our package already in delivered status or has received by consignee they will automatically send me a notice concerning these receiving. Additionally, they always let me know of any news that impact to a shipment such as government regulation of both from origin and destination, a typhoon and various news that useful for me and of course, for my shipment.
4. Helping. This is one thing that you may consider for choosing a courier to arrange your shipment. If we regularly send package to around the world, might be you have ever  faced an unsatisfying condition to one of your shipment, for instance, the shipping documents was not complete that impacted you could not received you package until you fulfilled the documents required. A good customer service will assists you to solve these problem till everything to be clear and finally you can receive the package smoothly. If your package is in a big amount or weight this will takes to a high storage fee on you. The storage rate is counting per charge weight per day. Therefore, the short time in clearance a package is will be better in saving your money.
5. Customer satisfied. The short way to know what is the credibility of any courier is by asking to anyone that ever used its service. This way mostly that I ever done to look for a courier to ensure I prefer a courier service that will makes me confidence to arrange my shipment. You may ask to your friends or you clients of their experiences to their shipments. The information usually consisting the name, its service, the delivery time, and also the price or rate.
6. The best price and discount. After you consider those five things listed then you may also consider the price offer and the discount. The best price and the discount will be given to a customer when he or she can be a member or after had an account for her or his shipment on both export and import. By giving your permission to be a member of any courier they assumed you has a regular shipment for each period of time or monthly.

As a conclusion, before you decide a courier company that will arrange your shipment better you check their expertise and experiences in handling various shipments that ever handled. Those six things listed above is quite enough to check a courier company that will makes you confidence on giving your package to them.             

Documents Against Payment is not T/T Payment

Documents against payment or sometimes called DAP is one of part of term payment in trade for especially in international trade. With using this payment term shipper or beneficiary or drawer having an obligation to provide the shipping documents as agreed that mentioned on purchase order or PO, and then send the documents through bank to pass to buyer's or consignee's bank. After consignee's bank received the documents, they proactively send a notification of this arrival. Before consignee can collect or pick the documents up they must settle the payment according notification from their bank then the documents for clearance the goods can be released.

This is important that don't proactively arrange the payment by transfer to shipper account directly. This will effect the payment status still in blank in your bank records, because this payment not follow the DAP line. Then the impact you can't release the documents. The such case was happened to our trade. View months ago one of our buyer from France putted an order or bought some sweaters  to us with a little quantities. Before the order is confirmed, they send us a sample to follow for making sample with some modifications and the measurements are included. Then we directly made the sample that followed their requirements and instruction. When the sample was being ready we directly send it to buyer to get their approval.

Fortunately they gave their approval and the purchase order was made up and sent to us by email. Then we sent them an order confirmation which was mentioning the payment term was in DAP or documents against payment and they have agreed of this payment term.  

After that we did further process to order the yarns as the raw material for knitting then the bulk production was done. After the production was finished and the quantity was full then we exported the goods with using a nominate forwarder that pointed by buyer. Then we made the transport document and finance document to send to our bank for beneficiary. We sent to our bank all documents require covering Bill of Lading , Certificate of Origin GSP Form A, Commercial Invoice, packing list, and consignee's bank details.

Our bank did not checked the contents of documents, because those documents were not under Letter of Credit or L/C. Our bank only checked whether the documents presented were complete or not. After that our bank sent them to consignee's bank. When the documents was already received and then the bank sent an the acknowledgement  to applicant or our buyer. 

Our buyer wired the payment to our account directly or this transfer is called T/T payment. Of course, this was wrong, they didn't arrange their payment by followed DAP line and this brought to impact they could not took the documents from bank, because the payment status is still empty. 

Many times they sent me an email to release the documents, we said that the documents will be released after they settled the payment. Then they sent a telex through their bank that mentioned that they have wired the payment and asked us to release the documents. When we received this telex from our bank we directly called our bank concerning this telex and our bank said that they was false by wiring the payment by T/T instead of follow the DAP line, so that their bank could not release the documents. Then I realized this situation or condition and directly instructed our bank to send a telex which is having the contents " We already received the payment in these amount and please release the document free of payment. All charges if any will born to applicant and our bank may close the file". Finally, our buyer as applicant could picked up the documents to release the goods from customs. 

This case show us that DAP is different with T/T payment and can not be mixed up one to each other, and by understanding both payment terms and conditions will make a short time in releasing the documents and of course, safe a couple of money.