This document discusses letter of credit and the Uniform Customs and Practice (UCP) standards. It provides an overview of UCP 600, including its structure and major changes from UCP 500. UCP helps facilitate international trade by standardizing procedures. UCP 600 is the 6th revision released in 2007 to address issues with UCP 500 and aims to reduce documentary rejections through clearer definitions, interpretations, and requirements. The conclusion states UCP 600 revisions are an improvement but time will tell if it achieves the goal of fewer rejections. Traders are advised to have clear sale contracts.

2. Introduction
Foreign trade
helps the firms
to do business
in abroad (Risk)
The
documentary
letter of credit
is widely used
ICC introduced
the Uniform
Custom Practice
for Letter of
Credit.

3. A STUDY ON PROVISIONS OF UCP 600
AND
COMPARISON WITH UCP 500

4. Letter of credit
To check the credit worthiness of
the buyer
It serve as a guarantee for
payments made to specified person
(when seller is unwilling)
The international banking system
acts as an intermediary between
exporters and importers.

5. ICC…
Facilitate trade
by promoting
the
standardization
of international
procedures.
It forms
Uniform
Customs
Practice
NGO,
Provide
policies and
Set ethical
standards

6. UCP REVISIONS
1933 First UCP No. 82
1951 UCP revised No. 151
1962 UCP revised No. 222
1974 UCP revised No. 290
1983 UCP revised No. 400
1993 UCP revised No. 500
2007 UCP revised No. 600

7. UCP 600
There are 39
articles in
UCP 600
600 is the 6th
revision, which
helps to overcome
the non-
satisfactory
problems of 500
Helps to
reduce the
documentary
rejections
The rules UCP
600 has been
divided into
certain divisions

8. Overview of UCP 600
Article 1-17
Basic
Responsibilities
Article 18-28
Specific
Requirements
Article 29-37
Documentary
Requirements
Article 38 & 39
Transferable
assignments

9. Major changes in UCP 600
ARTICLE 2
(Definitions)
ARTICLE 3
(Interpretations)
ARTICLE 9
(Advising of
credits and
amendments)
ARTICLE 12
(Nomination)
ARTICLE 15
(Complying
Presentations)
ARTICLE 17
(Original
Documents and
Copies)

10. Conclusion
The UCP 600 revision is to be welcomed
The Interpretations and Definitions are helpful
and there is more simple and clear in the drafting.
Time will tell whether documentary rejections are
reduced.
Traders are advised to make their sale contracts clear

11. ???