Exporting and Importing can often be an extremely complicated and mundane process as there are so many rules, regulations as well as countless number of procedures to adhere to. This, many a times, may require to prepare and submit documents for import and export. Usually, freight forwarders would prepare it for us, but it is also good to know for ourselves as to how to complete the relevant documents by understanding what the terms mean. As such, in our new article series titled “Export Terms”, we would introduce you to all the various terms used in the international trade, be it through air, land or sea freight. We would roll out one related article on a regular basis, which would help you to get a comprehensive understanding as to the document preparation for the purpose of doing trade internationally.
What is an Export License?
The Export License is a document that is used by the local Government that you are exporting your goods from. This document from the government specifically authorises the exportation of specific goods in their specified quantities to the named destination. This document is usually needed for many countries around the world, especially if the country has strict requirements and regulations related to exports. Having this license would allow you or your business to carry out the export legally.
What is an Export Packing List?
This Export packing list refers to a list with the items for export in each package as well as its package type such as a box, drum or crate. The export packing list is detailed as it contains the net and gross weights as well as the measurements of the dimensions of the items.Essentially. the export packing list would provide the key information with regards to the items that are being packed for the purpose of exports. The export packing list is usually required by the customs authorities for the purpose of checking and scrtunising the contents of the packages.
What is a Bill of Exchange (BOE)?
A Bill of Exchange is commonly referred to as a BOE for short. It is basically a written note where one party who is known as the drawer, orders the other party to pay the specified sum unconditionally. The paying party is known as the drawee. The BOE can be paid as a sight BOE or a term BOE. Sight BOE basically means that the amount has to be paid the moment the drawee receives the BOE. A term BOE on the other hand gives the drawee a fixed date to pay by. The BOE is accepted by the drawee when he signs it, as such making it a binding contract. This document is a key document that has been used in international trade for many years.
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