project on export process and documenatin of leather by leather coordinator sahiwal
TRANSCRIPT
![Page 1: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/1.jpg)
Process and Documentation for Export of leather
Presented by:
Abusufian Rasheed Rana Rashid waqas
Salman Yamin
![Page 2: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/2.jpg)
General Perspective of Export Documentation
NTN Sales Tax Registration Bank Account Current Chamber Membership Documents for Clearing Agent
Packing List. Commercial Invoice. Letter of Credit (L/C). Certificate of Origin which is issued by Chamber of Commerce. National Tax Number Certificate
Form “E” Submission of Export Documents to the bank.
![Page 3: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/3.jpg)
Letter of Credit
• A guarantee from the importer’s bank that it will act on behalf of the importer and pay the exporter for the merchandise if all relevant documents specified in the letter of credit are presented according to the terms of the letter of credit.
– In essence the importer’s bank is substituting its creditworthiness for that of the importer.
![Page 4: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/4.jpg)
Parties Involved in a LC Transaction
A. Importer
B. Importer Bank
C. Exporter
D. Exporter Bank (seller’s Bank)
E. Shipping Company
G. Insurance Company
![Page 5: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/5.jpg)
Time Draft
• A written order instructing the importer or his agent, the importer’s bank, to pay the amount specified on its face on a certain date.
![Page 6: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/6.jpg)
Bill of Lading
• A document issued by the common carrier specifying that it has received the goods for shipment; it can serve as title for the goods.
![Page 7: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/7.jpg)
Banker’s Acceptances
• The exporter’s bank presents the shipping documents and the time draft to the importer’s bank.
• After taking title to the goods via the bill of lading, the importer’s bank accepts the time draft.
• At this point the banker’s acceptance is created.
– It is a negotiable money market instrument.
– A secondary market exists for banker’s acceptances.
![Page 8: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/8.jpg)
Banker’s Acceptances
• Banker’s acceptances can be held to maturity by the exporter.
• The exporter can also sell it (at a discount) in the money market.
• Since the risks are similar, B/As trade at rates comparable to certificates of deposit.
![Page 9: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/9.jpg)
Diagram of Letter of Credit Transaction
Importer Bank (foreign) Exporter Bank (US)
Importer
Exporter
Products Products
$
Docs
$
$
Docs
![Page 10: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/10.jpg)
Process of a Typical Export Transaction
Importer’s Bank
Exporter’s Bank
Importer Exporter
Money
Market
Investor
Purchase order 1
2 Letter of Credit 3
4 6 9
5 Shipment of goods
14 10 11
Shipping Documents and
time draft accepted 7
Payment-discounted value of B/A 8
B/A
12
13 16 B/A presented at maturity
15
![Page 11: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/11.jpg)
Export procedure of Leather Coordinator (Mr.Iqbal, 2015)
– Order Sheet
• Sample design (in paper or soft form)
• Size
• Rate
• Quantity
• Quality
– Performa Invoice
– Cargo and Custom clearing documentation
![Page 12: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/12.jpg)
Performa Invoice
Buyers
Description of Goods
Total Quantity
Value
Currency
Shipment Type
INCOTERMS
Delivery Date
Payment Mode
![Page 13: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/13.jpg)
Cargo and Custom clearing documentation
• The Shippers Letter of Instruction for Issuing AIRWAY bill
• Packing List/Weight Note
• Invoice
• Letter of credit
• Cargo Agent
• Form E
• Clearing Agent
• Covering letter
• Covering schedule
![Page 14: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/14.jpg)
The Shippers Letter of Instruction for Issuing AIRWAY bill
![Page 15: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/15.jpg)
Packing List/Weight Note Invoice
![Page 16: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/16.jpg)
Form E AZO Certificate
![Page 17: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/17.jpg)
GSP Form-A AIRWAY Bill
![Page 18: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/18.jpg)
GD-I Form (Goods declaration Form)
![Page 19: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/19.jpg)
Charges for Exports
• Service Charges=0.15% minimum
• With holding Tax= 1% @Leather
• Export development charges= FOB value 0.25% (MEHKARI, 2003)
• Courier charges=1500 minimum.
• Container charges= 1200$-2500$ per Container
![Page 20: Project on export process and documenatin of leather by leather coordinator sahiwal](https://reader033.vdocuments.us/reader033/viewer/2022042908/58edb0dd1a28ab72198b4591/html5/thumbnails/20.jpg)
Any Question ?