《国际支付与结算》PPT课件.ppt

Chapter One Brief Introduction to International Trade Outline Of Chapter 1: 1、The Concept of International Trade 2、Trade Terms 3、Basic Methods of International Payments and Settlements Sale agreement between buyer and seller BuyerSeller Contract or Agreement Two important terms of sales agreement Sellers undertaking to provide the goods to buyer Buyers undertaking to pay the price in return All the other agreements and procedures commonly used in Intl trade result from the performance of this The Sales Agreement 1 Other contracts involved in the international trade a carriage contract with carrier to transport goods from sellers country to buyers country BuyerSellerCarrier Continued to arrange shipment Continued The buyer arranges payment through bank Buyer Arrange payment through its Bank Transfer money or foreign exchange to Sellers Bank Pay to Seller The buyer arrange payment of foreign exchange through banking system to seller Form of export contract Contract of this kind is concluded on the basis of an informal exchange of message, e.g. - telephone conversation - fax - e-mail - letters, etc. Often, exporter sends importer a proforma invoice indicating details of the goods and unit prices before the conclusion Contract of Sale The buyer and seller must agree on the goods to be sold and the price to be paid and which court or arbitration system has jurisdiction to hear any claims in the event of a dispute how the goods are to be delivered the method of payment the time period for delivery Law and Dispute Applying the law of the country most closely connected with the contract Trade term applicable to contract indicates there is no international law of trade - the point where risk transfers from seller to buyer - the point where charges transfer from seller to buyer - the point where responsibility of organizing transportation transfers from seller to buyer The most common method of covering most of these terms is by Incorporating International commercial terms(INCOTERMS) or trade terms. Trade terms are the contract clauses that specify: - who is responsible for organizing transport ? Seller Or Buyer carrier Only those with transporting vehicle could be named “carrier” 2 - who is to insure the goods in transit ? Seller Go to buy transport insurance at Insurance company or Buyer Generally speaking, the party with lower insurance price would take over the work. - who bears the risk of loss or damage to goods? Crash ! Who should go to insurance company to claim for the damage? Seller orBuyer claim Insurance company claim So, we need a point of place for risk transfer. It may be: Sellers premises Port of loading The rail of ship at port of loading On deck of ship at port of discharge At the front of two countriesetc. This point is the boundary of duty. If goods are damaged on sellers side, seller is responsible for claiming loss at insurance company. If it is on buyers side, it is buyers duty to do so. Where is the place at which seller hands goods over to buyer? Buyertake up goods at Sellers premises Buyertake up goods at Port of loading Buyer take up goods on the ship of port of loading Buyertake up goods on the ship of port of discharge etc. How is the transportation cost shared between seller and buyer? Seller is in charge of delivering the goods On deck of ship at port of loading Seller is in charge of delivering the goods Buyers premises Seller pays for loading truck, carriage fee to port of loading, export clearance, harbor charges and loading goods onto ship. Seller pays for all the charges incurred in the delivery, including carriage fees within exporting country, harbor and customs clearance charges of both importing and exporting country, loading and unloading charges, insurance premium and carriage fees within buyers country, etc. Seller is in charge of delivering the goods to the front of two countries Seller is in charge of delivering the goods On deck of ship at port of discharge Sellers delivery cost includes carrying goods to the front of the country, customs clearance in exporting country and insurance within exporting country,etc. Sellers delivery cost includes transporting goods to importing country (excluding unloading cost), insurance concerned and customs clearance in exporting country,etc. Those not mentioned should be borne by buyer. Lets summarize. The INCOTERMS makes stipulations on the followings: 1. The point of place at which charges transfer from seller to buyer. 2. The point of place at which risk transfer from seller to buyer. 3. The point of place at which seller deliver goods to buyer and buyer organizes transportation for next part of journey. They are concerning with delivery of goods from seller to buyer. INCOTERMS tells us about them. INCOTERMSThree letters abbreviation simplifies negotiation process same understanding of the contents Incoterms published by ICC is most authoritative, the standard explanation Gives legal effect to Incoterms by Incorporating them in sales agreement Should refer to the full effect of Incoterms 1990 or 2000, ICC Publication There are currently 13 Incoterms in use and they are categorised in four groups, designated by the first letter of the term (acronym), as follows: Group E - Departure Group F - Main Carriage Not Paid By Seller Group C - Main Carriage Paid By Seller Group D - Arrival Group E Departure 出厂价 Under EXW the Seller minimizes the risk by only making the goods available at his own premises. EXW Ex Works 工厂交货货(. named place) EXW represents sellers minimum involvement and the maximum involvement of the buyer in the arrangement of the transportation of the goods from sellers premises (factory, warehouse etc.) Table 1. Obligations under the EXW term (B = Buyer) BMain carriage/freight BLoading to the main carrier and port charges B Payment of customs charges and taxes in China B Export customs clearance BInland freight in China; delivery to the carrier or frontier BCargo (marine) insurance Suppose, China is exporter BOther costs and risks in Buyers country BInland freight in Buyers country BPayment of customs duties and taxes in Buyers country BCustoms clearance in Buyers country BUnloading from the main carrier and port charges When EXW is used, you should remember that: The export of the goods is NOT guaranteed and the buyer may, for example, keep the goods in China and/or re-sell it to a third party. Group F - Main Carriage Not Paid By Seller Under F Terms the Seller arranges and pays for the pre-carriage in the country of export. FCA - Free Carrier货货交承运人 (.named place) FCA requires seller to take responsibility for all risks and costs until the goods are delivered to the named place and collected by the carrier nominated by the buyer. FAS - Free Alongside Ship (.named port of shipment)船边边交货货 Under FAS (formerly known as FOW Free On Wharf (Incoterms 1990), seller must deliver the goods to the named port and place them alongside the ship. Seller are responsible for the export customs clearance and the buyer - for loading the goods onto the vessel. FOB - Free On Board 船上交货货 (.named port of shipment) FOB is one of the most common terms used in international trade. 1.Under FOB seller are responsible for delivering goods to the named port, export customs clearance and loading them onto the vessel. 2.In Incoterms the point of transfer of responsibility under FOB is described as the point “when the goods pass the ships rail”. Literally, that means that if during the loading onto the ship, the goods would fall on the wharf or into the water, seller are responsible for losses, but if the goods fall on the deck of the ship, the losses are the buyers responsibility. Table 2. Obligations under the F Terms (S= Seller, B = Buyer)(next page) FCAFASFOB Inland freight in China; delivery to the carrier or frontier S S S Export customs clearance S S S Payment of customs charges and taxes in China S S S Loading to the main carrier and port charges S B S Main carriage/freight B B B Cargo (marine) insurance B B B Unloading from the main carrier and port charges B B B Customs clearance in Buyers country B B B Paying customs duties/ taxes in Buyers country B B B Inland freight in Buyers country B B B Other costs and risks in Buyers country B B B When F Terms are used, seller should remember that: FAS and FOB are mono-modal terms and can only be used when the main carriage is by sea freight The term “FOB BeiJing”, meaning the delivery of the goods on board the plane, is incorrect. Under FOB seller are responsible for handling, loading, stowage and other port charges, while under FCA, these charges are for the buyers account. Group C - Main Carriage Paid By Seller Under C Terms the Seller arranges and pays for the main carriage but without assuming the risk of the main carriage. CFR - Cost and Freight 成本加运费费 (.named port of destination) CFR is formerly known as C delivery to carrier / frontier S S S S Export customs clearance S S S S Payment of customs charges and taxes in China S S S S Loading to the main carrier and port charges S S S S Main carriage/freight S S S S Cargo (marine) insurance B S B S Unloading from the main carrier and port charges B B B B Customs clearance in Buyers country B B B B Payment of customs duty/tax in Buyers country B B B B Inland freight in Buyers country B B S S Other costs and risks in Buyers country B B B B CFR and CIF are mono-modal terms and can only be used when the main carriage is by sea freight It is a common mistake when, under these terms, the place located in a middle of continent is named as a port of destination. Terms “CFR Xian” and/or “CIF Moscow” are incorrect terms. CIF and CIP are the only two terms, under which seller is compulsorily responsible for insurance. Under all other terms, buyer considers insurance as an optional responsibility. C Terms are quite different from other Incoterms. They are the only terms when the point of transferring costs responsibilities and the point of transferring risks are segregated. In other words, although seller is responsible for costs until the goods arrive to the named port or place of destination, the risks shift to the buyer at the port of loading or even earlier, when the goods are delivered to the carrier (Table 6). If it was agreed that the carrier is collecting the goods from sellers premises then risks transfer to the buyer at that point. From these perspectives, the C Terms are much more beneficial for seller than for buyer, as seller select the carrier and control the costs and timing of the main carriage without undertaking any risks, while the buyer takes all risks for a period of main carriage during which buyer has no means of controlling or limiting those risks. Group D Arrival目的国交货货 Under D Terms the Sellers cost/risk is maximised because he must take the goods available upon arrival at the agreed destination. DAF - Delivered At Frontier边边境交货货 (.named place) DAF is a mono-modal (land only) term. DES - Delivered Ex Ship 目的港船上交货货 (.named port of destination) DES by meaning and costs responsibilities involved is very similar to CFR. However, unlike CFR, under DES seller undertakes all risks until the goods arrive at the named port of destination. DEQ - Delivered Ex Quay 目的港码头码头 交货货 (.named port of destination) Under DEQ, seller must not only deliver goods to the named port of destination, but also unload them and place on the wharf (quay). DDU - Delivered Duty Unpaid 未完税交货货 (.named place of destination) DDU by meaning and costs responsibilities involved is very similar to CPT. DDP - Delivered Duty Paid 完税后交货货 (.named place of destination) Under DDP seller is responsible for all costs and risks involved in delivering the goods to a named place of destination, import customs clearance and other payments of domestic duties in the buyers country. Literally, seller provides “door-to-door” delivery and bear the entire risk of loss until goods are delivered to buyers premises. DESDEQDDUDDP Inland freight in China; delivery to carrier/ frontier S S S S Export customs clearance S S S S Payment of customs charges and taxes in China S S S S Loading to the main carrier and port charges S S S S Main carriage/freight S S S S Cargo (marine) insurance B B S S Unloading from the main carrier and port charges B S S S Customs clearance in Buyers country B B B S Payment of customs duties and taxes in Buyers country B B B S Inland freight in Buyers country B B S S Other costs and risks in Buyers country B B S S DES and DEQ are mono-modal terms and can only be used when the main carriage is by sea freight . Applicable Incoterms in Different Modes of Transportation Certain Incoterms are multi-modal and others are restricted to moves where the main carriage is by sea or land transport only . A common mistake in trade negotiations is selecting the Incoterm, which is inappropriate for the agreed mean of transport. The terms must be used for the correct form of transport if they are to offer any protection to you or to the buyer. Applicable Incoterms in Different Modes of Transportation（next page) 适用于不同运输方式的贸易术语 By air By road By rail By sea EXW yes yes yes yes FCA yes yes yes yes FAS yes FOB yes CFR yes CIF yes CPT yes yes yes yes CIP yes yes yes yes DAF yes yes DES yes DEQ yes DDU yes yes yes yes DDP yes yes yes yes Transfer of Risks Incoterms not only describe seller and buyers obligations and specify the point when the responsibilities for the transportation costs shift from seller to buyer, but also nominate the point when the risks associated with transportation transfer from seller to the buyer (Table 6). This is one of the most important issues you have to remember when negotiating Incoterms. Table 6. Transfer of Risks EXW When the goods are at the disposal of the buyer FCA When goods delivered to carrier at the named place FAS When the goods have been placed alongside the ship FOB When the goods pass the ships rail CFR When the goods pass the ships rail CIF When the goods pass the ships rail CPT When the goods have been delivered to the carrier CIP When the goods have been delivered to the carrier DAF When the goods have been delivered to the carrier DES When goods are placed at the disposal of buyer on board the ship DEQ When goods are placed at the disposal of buyer on the quay DDU When the goods are placed at the disposal of the buyer DDP When the goods are placed at the disposal of the buyer Selecting the Incoterm In trade negotiation, documentation, contracts, etc., all Incoterms must be expressed by the appropriate three-letter code and include the naming of a physical place of handover. You should also use the expression “Incoterms 2000” to conclude the term, thereby clearly indicating Incoterms 2000 as the source of reference for definition. e.g. USD100 PER TON “CIF Hamburg Incoterms 2000”. Three components Payment, ownership and delivery Incoterms deals essentially with questions of risk in goods and responsibility for their carriage, not directly determine when payment is to be made or when ownership in goods is to pass from seller to buyer International payment must be made through banks engaging in foreign exchange dealings. Buyer must sign another contract with bank to effect payment to seller according to contract Method of payment should be determined by buyer and seller in their contract 3 Method of Payment Advance payment Buyer makes payment to a seller before goods are shipped SellerBuyer Payment Ship goods Open account Seller dispatches goods to buyer, and then sends importer an invoice(and other documents) for payment at the end of an agreed period. Seller Ship goods Buyer Payment Buyer pays through bank by following means: -Telegraphic Transfer (T/T,SWIFT,etc.), fast and expensive - Mail Transfer (M/T), slow and cheap -Demand Draft (D/D), slow and easy to be negotiated Flow chart of international bank transfer Buyer 1Apply and buy foreign exchanges & pay charges Remitting Bank 2M/T rept. 3PO + BT by M/T or T/T 4M/T or T/T adv. Seller 5Rept. 6Pay Paying Bank 7Debit or credit Advice PO=Payment Order with the name and add. of beneficiary BT= Bank Transfer advising how money is transferred from remitting bank to paying bank With signature or test key Documentary Collection - Flowchart Seller/principal 1Deliver goods Carrier 2B/L 3Documents and Instructions (Application) Remitting Bank 4Receipt 5Collection Order or Instruction Collecting Bank 6Advise Buyer/ drawee 7Pay 8Release Documents D/A or D/P 9Hand in docs 10Deliver goods 11Credit Advice or Debit Authorization D/A (documents against acceptance) Seller/principal 1Time draft & Other docs Remitting bank 2Collection order & time draft & docs Collecting bank Buyer/payer 4Accepted draft 3Present time draft for ac