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Knowledge About Freight Forwarding And Export Trade Operation Process

Knowledge About Freight Forwarding And Export Trade Operation Process


CNS INTERTRANS International Logistics was founded in 2001 and is headquartered in Shenzhen. In the past 17 years, it has had good cooperative relations with logistics companies in more than 100 countries and regions in the world. For 17 years, it has provided good shipping services to more than 300 cities at home and abroad. CNS focuses on the transportation of large-scale engineering projects and has accumulated rich experience in transporting large-scale machinery and equipment that are ultra-long, ultra-wide, ultra-high, and ultra-heavy. We have long-term cooperation with customers in the new energy field, such as GAMESA, GE, ELECNOR, IBERDROLA, M. TORRES, TBEA, etc., for large-scale wind power stations, hydropower stations, solar power stations, petrochemical projects, seawater desalination projects, and new automotive stamping plant projects.

The process of exporting goods mainly includes the quotation, ordering, payment method, stock preparation, packaging, etc.

01: Quote

In the process of international trade, the first steps are product inquiry and quotation. Among them, the quotation for export products mainly includes product quality grade, product specifications, and models, whether the product has special packaging requirements, the amount of the purchased product, delivery time requirements, product transportation method, product material, etc. The more commonly used quotations are FOB onboard delivery, CNF cost plus freight, CIF cost, insurance fee plus freight and other forms.

02: Order

After the parties to the trade reached an agreement on the quotation, the buyer ’s company formally placed an order and negotiated with the seller ’s company on some related matters. After the two parties negotiated and agreed, they needed to sign a “purchase contract”. In the process of signing the "purchase contract", mainly discuss the name, specifications, quantity, price, packaging, origin, shipment period, payment terms, settlement methods, claims, arbitration, etc., and the agreement reached after the negotiation Write in "purchase contract". This marked the official start of the export business. Under normal circumstances, the signing of the purchase contract in duplicate shall be effective by both parties with the company's official seal, and each party shall keep one copy.

03: Payment method

There are three commonly used international payment methods, namely, letter of credit payment method, TT payment method and direct payment method.

(1). Credit payment method

Letters of credit are divided into two types: plain ticket letters of credit and documentary letters of credit. Documentary credit refers to a letter of credit with specified documents, and a letter of credit without any documents is called a plain ticket letter of credit. Simply put, a letter of credit is a guarantee document that guarantees the exporter to recover the payment. Please note that the shipping period of exported goods should be within the validity period of the letter of credit, and the letter of credit delivery period must be submitted no later than the effective date of the letter of credit. In international trade, where the credit is the most common form of payment, the date of issuance of the credit should be clear, clear, and complete.

(2) .TT payment method

The TT payment method is settled in foreign exchange cash. Your customer will remit the money to the foreign exchange bank account designated by your company. You can request remittance within a certain period after the arrival of the goods.

(3). Direct payment method

This refers to the direct delivery payment between the buyer and the seller.

04: stocking

Stocking plays an important role in the entire trading process and must be implemented one by one according to the contract. The main contents of the stock check are as follows:

1. The quality and specifications of the goods shall be verified according to the requirements of the contract.

2. Quantity of goods: guarantee to meet the quantity requirements of the contract or letter of credit.

3. Stocking time: According to the provisions of the letter of credit, combined with the schedule of the ship, in order to facilitate the connection of the cargo.

05: Packaging

You can choose the packaging form according to the different goods (such as carton, wooden box, woven bag, etc.). Different packaging forms have different packaging requirements.

1. General export packaging standards: packaging is based on the general standards of trade exports.

2. Special export packaging standards: packaging of exported goods according to the special requirements of customers.

3. The packaging and marks of the goods (transportation marks): should be carefully checked to verify that they meet the requirements of the letter of credit.

CNS provides global freight forwarder one-step logistics solutions. Welcome to consult.

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