Procedures and term of payment 1
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Procedures and Terms of Payment

Procedures and Terms of Payment

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11 of 1

  • Full Name Full Name Comment goes here.
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  • Sir,
    Do you have a Supplier or can you deal?
    My client has an urgent need as per below,
    Product MAZUT M100-75
    Quantity 50,000 MT
    Contract period SPOT WITH OPEN EXTENSION
    Specifications sulfur
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    Procedures and term of payment 1 Procedures and term of payment 1 Document Transcript

    • PROCEDURES AND TERM OF PAYMENT Based on FOB- under INCOTERM 2010 last editionSPOT PURCHASEA) Tank to Vessel or Pipeline to Vessel:1. Seller issues SCO (on company’s official letter head).2. Buyer issues ICPO to End Seller.3. Seller issues FCO.4. Buyer signs and returns FCO with acceptance.5. Seller issues Contract6. Both Buyer and Seller sign/seal S&P contract and lodge it to their bank respectively7. Seller provides copy of SGS and tank receipts numbers as well as Tank Farm or Pipeline Terminal andNumber, for the lift able amount, to Buyers Bank and also a copy of the documents by secure email(...............). to the Buyer.8. Upon the prove of the SGS and the Tank Receipt by Buyer/Buyer’s Bank, Buyer proceeds with thepayment of the lift able amount through MT 103/23 and obtain a Dip Test Authorization for the first lift.9. Seller issues full POP to Buyers Bank by secure line or Fax and a copy of the documents to Buyer’s secureemail (...............).10. Upon confirmation of the full POP, Buyer is proceeding with the payment of the rest amount, by SWIFTMT 103, directly to the Seller’s designated bank account against Title Transfer11. All commissions are paid by the Buyer simultaneously with the MT 103 payment.NOTE: FULL POP includes ownership transfer of the title of the goods to the buyerTERMS OF PAYMENT:1. In order to effect payment, after the verification copy of the SGS report and Tank Receipt or Pipe lineAgreement and Terminal Number, Buyer shall issue an MT 103/23 for the first lift-able quantity (00,000 MT.)and to obtain DTA2. Buyer, establishing payment through MT103 (money transfer), for the first lift able quantity, against titletransfer to Buyer’s name.3. Seller sends the full POP to the Buyer’s Bank by secure line or Fax and a copy of the documents toBuyer’s secure email (..............) .4. Each shipment payment will be on delivery through MT 103 (money transfer) against documents and titletransfer to Buyer’s name.B) Tank-to-Vessel) starting with CI:1. Seller send Commercial Invoice to the Buyer2. Buyer signs Commercial Invoice to accept price & procedure3. Seller sends Copy of SGS Report, Tank Receipt and DTA to Buyer’s secure email (............ )4. Buyer has SGS perform a DIP test5. Buyer pays via MT103 within 48 hours after receiving the SGS report, Tank Receipt DTA6. Seller transfer Title to the Buyer7. Buyer lifts product within 7 days of payment by MT103 (without storage fees)8. Next lift within xxx days following again from procedure step 1TERMS OF PAYMENT :A. Seller issues Commercial Invoice for the 000,000 MT (LIFTABLE) ready for immediate delivery atXXXXXXXX Port.B. Seller sends copy of Tank Receipt Storage and SGS Report, DIP Test Authorization to the Buyer’s secureemail (.............. ) .C. Buyer in receipt of Seller’s SGS and Tank Receipt, Dip Test Authorization for the lift able Quantity of000,000 MT shall swift the lift able quantity amount by MT103 to Seller’s bank..D. Seller in receipt of the MT103 Payment for 000,000 MT Shall send by courier (DHL) original SGS Report,Tank Receipt, DIP Test Authorization, Export Certificate, Ownership Title change, Export license and allother necessary documents.
    • E. Buyer shall make full payment by MT103 after in receipt of Seller’s original SGS Report and Tank Receipt,Dip Test Authorization, Ownership Title Change, Export License and all other necessary documents.C) Vessel to Vessel (inshore)1. Seller issues SCO / FCO (official letter on company letterhead).2. Buyer issues this ICPO to End Seller.3. Seller issues Contract, with full Seller’s details (Address & Banking) to the Buyer4. Both Buyer and Seller sign SPA (sale and purchase agreement), and lodge it to their bank respectively.5. After contract has been signed by both parties, Seller sends by email to Buyer’s secure email (.............. )the following documents:a. Full Commercial Invoice (in the name of ......................)b. Bill of Ladingc. Charter Party Agreementd. Q88e. Quality and quantity (SGS report)f. Whiteness letter from Captain6. Upon the verification and authentication by Buyer of the documents mentioned in paragraph five (5),Buyer issues an MT 103/23 for the first lift and obtain ATB.7. After successful ATB, Buyer establishes payment through MT 103 (money transfer) for the first lift ablequantity, against title transfer to Buyer’s name.NOTE: FULL POP includes ownership transfer of the title of the goods to the BuyerTERMS OF PAYMENT:1. In order to effect payment, after the verification of the following (hereunder), Buyer shall issue MT103/23for the first trial shipment quantity (000,000 MT.) in order to obtain ATB. Full Commercial Invoice (on the name of ...........................) Bill of Lading, Charter Party Agreement, Q 88, Quality and quantity (SGS report) and Whiteness letter from Captain2. Buyer shall establish payment, through MT 103 (money transfer), for the first trial shipment quantityagainst title transfer to Buyer’s name.3. Buyer issues RDLC or MT 103/23, for the total period of the Contract ( as a mortgage, in case when theSeller has more than one Vessel to supply.)4. Seller sends the full POP to the Buyer’s Bank by secure line or Fax and a copy of all documents to theBuyer by secure email. (...................).5. Each shipment payment will be on delivery, through MT 103 (money transfer), against documents andtitle transfer to Buyer’s name.
    • ANNUAL PURCHASEA) Tank to Vessel or Pipe line to Vessel:1. Seller issues SCO (official letter on company).2. Buyer issues this ICPO to End Seller.3. Seller issues FCO.4. Buyer signs and returns FCO with acceptance.5. Seller issues Contract for ONE (1) year period, with full Seller’s details (Address & Banking) to the Buyerwith rolls and extensions up to three years period.6. Both Buyer and Seller sign/seal S&P contract and lodge it to their bank respectively7. After contract signed by both parties, Seller sends by email to Buyer’s secure email (..............)thefollowing documents: Copy of tanks receipts and name/position of the farm where the tanks exists, or pipeline number andpipeline agreement Copy of fresh cut SGS Report (less than 24 hours old)8. Upon the verification and authentication by Buyer of the documents mentioned in paragraph seven (7),Buyer issues MT 103/23 and obtains Dip Test Authorization for the first lift.9. After the successful Dip test, Buyer established payment through MT 103 (money transfer) for the first liftable quantity, against title transfer to Buyer’s name.10. Buyer issues an RDLC or MT 103/23, in the amount of a monthly quantity - revolving, for the totalperiod of the contract, as a mortgage.11. Seller sends the full POP to the Buyer’s Bank by secure line or Fax and a copy of the documents toBuyer’s secure email (.................)12. Delivery commence as per contract schedule.13. Each shipment payment will be on delivery, through MT 103 (money transfer) against documents, andall commissions will be paid to all beneficiaries simultaneously with each payment.TERMS OF PAYMENT:1. In order to effect payment, after the verification of the fresh cut SGS report and Tank Receipt, the Buyershall issue an RDLC or MT 103/23, for the first lift able quantity (00,000 MT.), in order to obtain DTA2. After the successful Dip Test, Buyer shall established payment trough an MT 103, for the lift able quantity,against title transfer to Buyer name.3. Buyer issues an RDLC or MT 103/23, in the amount of a monthly quantity - revolving, for the total periodof the Contract, as a mortgage.4. Seller sends the full POP to the Buyer’s Bank by secure line or Fax and a copy of the documents toBuyer’s secure email (..................).5. Each shipment payment will be on delivery, through MT 103 (money transfer), against documents andtitle transfer to Buyer’s nameB) Vessel to Vessel (inshore)1. Seller issues SCO (official letter on company).2. Buyer issues this ICPO to End Seller.3. Seller issues FCO.4. Buyer signs and returns FCO with acceptance.5. Seller issues Contract for ONE (1) year period, with full Seller’s details (Address & Banking) to the Buyerand with rolls and extensions up to three years period.6. Both Buyer and Seller sign/seal contract, and lodge it to their bank respectively.7. After contract signed by both parties, Seller sends by email to Buyer’s secure email (..................) thefollowing documents: Full Commercial Invoice (on the name of ..................) Bill of Lading Charter party agreement Q 88 Quality and quantity (SGS report)
    • Whiteness letter from Captain8. Upon the verification and authentication by Buyer of the documents mentioned in paragraph seven (7,)Buyer will issue an RDLC or MT 103/23 for the first lift to obtain ATB.9. After successful ATB, Buyer established payment through MT 103 (money transfer) for the first lift ablequantity, against title transfer to Buyer’s name.10. Buyer issues RDLC or MT 103/23, in the amount of a monthly quantity – revolving, for the total periodof the Contract, as a mortgage.11. Seller sends the full POP to the Buyer’s Bank by secure line or Fax and a copy of the documents toBuyer’s secure email (..............).12. Delivery commence as per contract schedule.13. Each shipment payment will be on delivery through MT 103 (money transfer) against documents, and allcommissions will be paid simultaneously with payment, to all beneficiaries.TERMS OF PAYMENT:1. In order to effect payment, after the verification of the Full Commercial Invoice (on the nameof .........................., Bill of Lading, Charter Party Agreement ,Quality and quantity (SGS report) andWhiteness letter from Captain, Buyer shall issue an MT 103/23 for the first trial shipment quantity (000,000MT.) and will receive/obtain ATB.2. After successful ATB, Buyer will establish payment trough MT 103, for the first trial shipment, against titletransfer to Buyer name.3. Buyer will issue an RDLC or MT 103/23, in the amount of a monthly quantity – revolving, for the totalperiod of the contract (12 Months), as a mortgage.4. Seller sends the full POP to the Buyer’s Bank by secure line or Fax and a copy of the documents toBuyer’s secure email (................).5. Each shipment payment will be on delivery through MT 103 (money transfer) against documents and titletransfer to Buyer’s name.