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Commodities (Rice,
Canned Foods
& Rubber) Order
Please read
the following procedure carefully. If you cannot or will not accept
this procedure we will not be able to work with you on any other
requirements. This procedure is not a typical BROKERS, it is a
TRADERS procedure:
- In case, the
price is workable, please submit Purchase order or letter of
intent(LOI) along with banking details (BCL).
- We send you
full corporate offer (FCO), Sales Contract, and you shall sign and
seal, then return to us.
- We issue Pro
Forma Invoice along with banking details for open L/C.
- After
receiving clean L/C, we will ship to the broad within 30 days.
OUR
SHIPPING DOCUMENTS FOR YOUR IMPORTING PROCEED:
- SHIPMENT ADVISE
- BILL OF
LADING (B/L)
- COMMERCIAL INVOICE
-
PACKING/WEIGHT LIST
- QUALITY CERTIFICATE
-
PHYTOSANITARY CERTIFICATE ( FOR RICE)
- FUMIGATION
CERTIFICATE (FOR RICE)
- CERTIFICATE
OF ORIGIN (CO)
How can be
sure that I'll get the rice with the specifications which I request?
You will
always receive rice with the specifications you require, because our
QA procedure have the rice inspected by 3 institutions:
1. Rice
Committee Board of Trade / Chamber of Commerce
2. Ministry of Agriculture
3. Leading
International Surveyor which will certify the Quality, Quantity,
Packing, Weight, and Fumigation.
More Detail
> Click Here
Shipping and Transportation
How
can I get the products from PechSiam to my country?
Thailand has a
goods transportation infrastructure, with fully integrated into the
global shipping network. Products are primarily shipped by Air, Sea
and can be shipped overland within the region.
A major factor
in the final costing of rice products, Transportation plays a very
importance role in the rice industry. From the field through
processing and final deliveries selection efficient and
cost-effectives transportation is a major function in the Rice
Business Industry.
Break
Bulk Vessels (Conventional Vessels)
This type of
vessels carries very heavy loads ranging from a few hundred metric
tons up to over 25,000 metric tons. In Thailand ..Koh Sichang is the
commercial port for loading / unloading break bulk vessels.
Containerized
Vessels
Commonly used
as a means to ship import and export goods internationally, container
vessels provide a quick and convenient way to load and unload the
packed rice. However, a container vessel could carry less weight and
the shipping cost is more expensive.
How
quickly will my order be shipped?
Most orders
are processed, packed and shipped within one week of receipt. Goods
traveling by Air Freight usually take 2-4 days to reach their
destination. Cargo shipped by sea takes significantly longer, with
actual times varying depending on the distance of the journey. Listed
below are the approximate lengths of time it takes to ship goods, by
ship, from Thailand to the following destinations:
Japan 10 days
....... Singapore 3 days ....... Hong Kong 5 days ........
Indonesia 10
days ...... India 15-20 days .... Dubai ...... 16 days
Korea 15 days
...... Australia 20 days ...... Taiwan 9 days ..............
China 22 days
...... North America 25 to 35 days ...... Europe 25 days... Russia
... 30 days
Middle East
..22 days... South America 35 days .. Africa 25 days ... East Africa
.. 35 days
These times
are approximate and vary upwards or downwards depending upon the
destination with each country or region. These times are from port to
port only, and do not include processing time spent clearing customs
on departure from Thailand, or on arrival the destination countries
customs department.
Are
you paying a commission ?
All your
commissions including what you will have negotiated with the buyer
shall at your request be paid by us. We give you a price and you tell
us what the contract price should be and we take care of your
commission. This is normal practice. When the contract is signed, you
will receive a Fee Protection Agreement, and when our bank receives
an acceptable LC, you will receive an irrevocable Payorder from the
bank which will undertake to pay you the commission as and when they
receive the sale proceeds on negotiation of the LC.
So see our
price and add your commission to it before you make your offer to the
buyer, but keep in mind, that buyers are in the market and high
commissions which lead to unacceptable prices kill every deal.
Payment
How
do I pay for the products?
Most likely
that you will be paying for the goods with a letter of credit or L/C.
The L/C is used to protect both the buyer and the seller. Payment
will be given if this documents comply with the terms and conditions
set out on the letter of credit. Safeguards such as inspections of
the goods, quality control, and delivery times are possible
conditions added to the L/C.
L.O.I. / B.C.L.
In order to
buy all Agricultural Commodities, such as rice and rubber, L.O.I.
must be sent to us. So we can give you a legitimate price quote.
The L.O.I. (Letter
of Intent or Transaction Details)
must contain the following information.
1. Your firm's
name, address, telephone & fax number
2. Contact
person's name and title
3. Products
quantity and specifications
4. Contact length
5.Your target
price in USD.
6. Method of
packing, Bags, Bulk etc.
7. Destination
Port or country
8. Shipment size.
9. Method of
payment: Irrevocable L/C at sight or T./T
10. Preferred
shipping date, and
11. Confirming
Bank or a letter (B.C.L.)
from your Bank stating the actual buyer has or could have the
financial capacity to handle the payment.
This
lets our Legal Officer review the proposed L/C and perhaps make
suggestions for amendments, informally, at no cost to the buyer. At
this point if all terms and conditions of the L.O.I., L/C and
Contract are acceptable to both buyer and PechSiam, a Full Corporate
Offer (FCO), legallybinding, is made to the buyer.
How to make payments
There are a
number of different payment methods that can be used when you deal
with us. Three mostly used are T/T payment in advance, D/P and L/C.
1. T/T payment
in advance
2 .Letter of credit
3 .D/P
(document against payment)
1. T/T
payment in advance
T/T means
telegraphic transfer, or simply wire transfer. It's the simplest and
easiest payment method to use.
T/T payment in
advance is usually used when the sample and small quantity shipments
are transported by air. The reason why is that the documents like air
waybill, commercial invoice and packing list will be sent to you
along with the shipment by the same plane. As soon as the shipment
arrives, you can clear the customs and pick up the goods with the
documents. As it's acknowledged, T/T payment in advance presents risk
to the importer if the supplier is not an honest one.
For us, T/T
advance payment is required for some high-value samples (see our
samples ordering policy) and small quantity order shipped by air.
To the
customers who have long-standing business relationships with us, we
send free samples; and for the small quantity order, document against
payment is used.
It takes 3-4
days for us to received the wire transfer made from anywhere in the world.
2. Letter
of credit (L/C)
An irrevocable
Letter of Credit is also an often used payment method. It is often
referred to an L/C. Letters of Credit are formal payment methods that
offer a lot of protection to the parties.
Simply put, a
letter of credit is a letter written by the importer's bank to the
exporter. It verifies that the payment will be guaranteed when the
bank is presented with the concrete documents (bill of lading, and
freight documents). Most letters of credit are "irrevocable"
once the importer has had them sent.
A letter of
credit usually includes applicant (you, the importer), beneficiary
(our,I exporter) bank, negotiating bank, specification and quantity
of the goods, amount of money, loading port and destination port,
shipment date, the validity date of the L/C, terms and conditions
agreed by both the importer and seller, and the documents required by
the importers (bill of lading, commercial invoice, packing list,
insurance certificate, inspection, etc.)
The L/C
payment procedure is usually as follows:
a. You (the
importer) applies to open the L/C to us (the seller) through a bank
who can open the L/C in your country.
b. The opening
bank will inform The Bank in Thailand that the L/C has been opened.
c. The Bank in
Thailand will inform us that the L/C has been established.
d. We'll check
all the terms and conditions listed in the L/C. If all terms and
conditions are acceptable, we'll arrange the shipment within the time
specified in the L/C.
e. After the
goods are loaded onto the ship without any damage, the ship
agent will issue the clean bill of lading to us.
f. We will
submit the clean bill of lading and other relevant documents to The
Bank of Thailand to gather the payment. Only with clean bill of
lading can you claim the ownership of the goods.
g. The Bank in
Thailand will send the clean bill of lading and relevant documents to
your bank (the opening bank).
h. The opening
bank will inform you that all documents are received.
i. You will go
to the bank to make the payment to get the clean bill of lading and
relevan documents.
j. With all of
these documents, you can clear the import Customs and pick up the
goods after the goods arrive on the destination sea port.
The typical
L/C scenario takes 7 - 15 days to complete.
3. D/P
(document against payment)
The exporter
(we) makes shipment and sends the shipping documents to the
importer's bank for collection. The Bank in Thailand then sends
the shipping documents along with a collection letter to the
importer's bank, who then sends a collection notice to the importer.
The importer makes payment upon receiving the notice, and only after
payment does the importer receive the original shipping documents
with which you take the physical possession of the goods.
The major
advantage of the use of a cash against documents payment is the low
cost, versus using a letter of credit. But, this is offset by the
risk that the importer will for some reason reject the documents (or
they will not be in order). Since the cargo would already be loaded
(to generate the documents), we have little recourse against the
importer in cases of non-payment. So, a payment against documents
arrangement involves a high level of trust between the exporter and
the importer.
To our
customers who have long-standing relationships with us, for larger
quantity order shipped by sea, we usually make the payment
arrangement as 50% made via T/T advance payment and 50% made via D/P
to expedite the whole transaction process.
There
is no payment method that is perfectly safe to both the importer and
supplier at the same time. But, we still have got to do business,
right? So, we hold it's crucial to develop a long-term relationship
with our customers based on mutual trust.
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