Best Practices for Live Crab Handling and Shipping
VerifiedAdded on 2020/11/03
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AI Summary
This assignment provides a comprehensive overview of the best practices for handling and shipping live crabs. It covers topics such as catching, handling, and processing crabs, as well as humane harvesting and safe transportation. The assignment also includes guidelines for transporting live wild animals and plants, and provides information on the importance of proper container packing for seafood export. Additionally, it lists resources from various organizations and companies that specialize in seafood export and freight forwarding.
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Contents
Task One..................................................................................................................................................3
All Procedures and steps for an Export of live crabs................................................................................4
Storage of Live crabs................................................................................................................................4
Packing crabs...........................................................................................................................................4
Why use air freight..................................................................................................................................6
Documents and approval needed for exports crabs from Srilanka..........................................................7
Documents needed for Import crabs to United Kingdom........................................................................7
Calculation of Volumetric Weight on Srilanka Airlines Cargo..................................................................8
Srilankan Airlines Route Map..................................................................................................................8
Srilankan Airlines Flight Schedules and Timing........................................................................................8
Costing.....................................................................................................................................................9
Delivered duty paid (DDP) Incoterms 2010..........................................................................................9
DDP Seller pays for:...............................................................................................................................10
DDP Buyer pays for:...............................................................................................................................10
Labeling / Marking.................................................................................................................................11
Carrier Acceptance by Air Mode............................................................................................................11
Payments for Seafood Shipments via Air mode.....................................................................................11
For the Exporter/Seller..........................................................................................................................12
For The Importer/Buyer.........................................................................................................................12
Risks that the exporter will face............................................................................................................13
Task 02,..................................................................................................................................................14
Packaging...............................................................................................................................................15
Labeling.................................................................................................................................................16
Preparing export declarations...............................................................................................................18
Preparing delivery orders or dock receipts............................................................................................19
The Costing............................................................................................................................................19
Ocean Freight charges LCL.....................................................................................................................19
Ocean Freight charges FCL.....................................................................................................................20
Air freight charges.................................................................................................................................20
1 | P a g e
Task One..................................................................................................................................................3
All Procedures and steps for an Export of live crabs................................................................................4
Storage of Live crabs................................................................................................................................4
Packing crabs...........................................................................................................................................4
Why use air freight..................................................................................................................................6
Documents and approval needed for exports crabs from Srilanka..........................................................7
Documents needed for Import crabs to United Kingdom........................................................................7
Calculation of Volumetric Weight on Srilanka Airlines Cargo..................................................................8
Srilankan Airlines Route Map..................................................................................................................8
Srilankan Airlines Flight Schedules and Timing........................................................................................8
Costing.....................................................................................................................................................9
Delivered duty paid (DDP) Incoterms 2010..........................................................................................9
DDP Seller pays for:...............................................................................................................................10
DDP Buyer pays for:...............................................................................................................................10
Labeling / Marking.................................................................................................................................11
Carrier Acceptance by Air Mode............................................................................................................11
Payments for Seafood Shipments via Air mode.....................................................................................11
For the Exporter/Seller..........................................................................................................................12
For The Importer/Buyer.........................................................................................................................12
Risks that the exporter will face............................................................................................................13
Task 02,..................................................................................................................................................14
Packaging...............................................................................................................................................15
Labeling.................................................................................................................................................16
Preparing export declarations...............................................................................................................18
Preparing delivery orders or dock receipts............................................................................................19
The Costing............................................................................................................................................19
Ocean Freight charges LCL.....................................................................................................................19
Ocean Freight charges FCL.....................................................................................................................20
Air freight charges.................................................................................................................................20
1 | P a g e
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Document need in MARINE transport...................................................................................................21
Document need in AIR transport...........................................................................................................21
Transportation insurance......................................................................................................................22
Limitation of Liability.............................................................................................................................22
Incoterms EX- Works (Exw)....................................................................................................................23
References.............................................................................................................................................24
2 | P a g e
Document need in AIR transport...........................................................................................................21
Transportation insurance......................................................................................................................22
Limitation of Liability.............................................................................................................................22
Incoterms EX- Works (Exw)....................................................................................................................23
References.............................................................................................................................................24
2 | P a g e
Task One
A commercial fisher has tasked you with transporting 907.185kg of Live Crabs from Batticaloa,
Sri Lanka to Bilingsgate Market, London.
- Explain step-by-step how you intend to do this.
- Justify your decision to take each of the steps you propose.
- Outline the risks the exporter will be taking.
- Offer costings
- Include relevant documents or explanations of these documents in an appendix.
Details:
• Commodity: Live Crabs (Fresh Lagoon Crabs)
• Pickup point: Batticaloa, Sri Lanka
• Shipper: Anura Fish Exporters (Pvt) Ltd. - Batticaloa, Sri Lanka
• Consignee in UK: Fresh Fish Inc. Bilingsgate Market, London, UK
• Incoterm: DDP - Fresh Fish Inc. Bilingsgate Market, London, UK (Delivered Duty Paid)
• Cargo Gross weight: 907.185 Kg (including the weight of the cartons)
• Cargo Dimensions: Master carton size 40" x 35" x 35" --- 60 Nos of Master Cartons
• Payment Terms: Letter of credit (L/C)
• Origin Airport: Colombo (CMB) - Sri Lanka *if by Air
• Origin Sea Port: Colombo, Sri Lanka *if by Sea
• Destination Airport: Heathrow (LHR) - United Kingdom *if by Air
• Destination Sea Port: Felixtowe - UK *if by Sea
3 | P a g e
A commercial fisher has tasked you with transporting 907.185kg of Live Crabs from Batticaloa,
Sri Lanka to Bilingsgate Market, London.
- Explain step-by-step how you intend to do this.
- Justify your decision to take each of the steps you propose.
- Outline the risks the exporter will be taking.
- Offer costings
- Include relevant documents or explanations of these documents in an appendix.
Details:
• Commodity: Live Crabs (Fresh Lagoon Crabs)
• Pickup point: Batticaloa, Sri Lanka
• Shipper: Anura Fish Exporters (Pvt) Ltd. - Batticaloa, Sri Lanka
• Consignee in UK: Fresh Fish Inc. Bilingsgate Market, London, UK
• Incoterm: DDP - Fresh Fish Inc. Bilingsgate Market, London, UK (Delivered Duty Paid)
• Cargo Gross weight: 907.185 Kg (including the weight of the cartons)
• Cargo Dimensions: Master carton size 40" x 35" x 35" --- 60 Nos of Master Cartons
• Payment Terms: Letter of credit (L/C)
• Origin Airport: Colombo (CMB) - Sri Lanka *if by Air
• Origin Sea Port: Colombo, Sri Lanka *if by Sea
• Destination Airport: Heathrow (LHR) - United Kingdom *if by Air
• Destination Sea Port: Felixtowe - UK *if by Sea
3 | P a g e
All Procedures and steps for an Export of live crabs
Key information on the handling, sorting and storage of live crabs for harvesters before transport.
Confirm legal size, sex and not berried as per state/territory regulations for export and
inspection.
Tie crab’s claws hard against the body to restrict movement as soon as possible. This minimizes
crab stress, aggression and damage to other crabs and handlers.
Apply care when legs are caught in basket. Pulling on legs can cause bleeding which increases
likelihood of death. Remove weak, slow or bleeding crabs. These may be revived using a
recovery procedure.
Put 5 to 7 crabs in one eskies/boxes and fill it with ¼ of salt water.
Storage of Live crabs
Temperature variation is a principal cause of mortality in the live transport of crabs and the Importance
of maintaining low water temperatures at about 8 degree C cannot be stressed too highly. The main
benefits are that at low temperatures crabs are less active. As such they produce less metabolic wastes
and require less oxygen to breathe, so putting a reduced demand on the water in which they are
travelling.
Avoid exposure to sunlight and breeze.
Transport vehicle cargo area should be cooled at 18ºC to 25ºC.
Packing crabs
Cool crabs to 18-25°C if possible prior to packaging. Provide air holes in eskies/boxes (2 in winter
or dry season, 4 in summer or wet season). If refrigerated transport is less than 15°C, reduce the
number of air holes.
Discard weak crabs - badly damaged, very slow or frothing crabs should be killed or removed
because these crabs will not survive further transportation.
Live crabs can be packed in layers separated by moistened material such as wood shavings,
newspapers or burlap. A layer of moistened materials can be placed on top. The box should
have ventilation holes on the top edge. Crabs should not be packed as high as the ventilation
holes.
4 | P a g e
Key information on the handling, sorting and storage of live crabs for harvesters before transport.
Confirm legal size, sex and not berried as per state/territory regulations for export and
inspection.
Tie crab’s claws hard against the body to restrict movement as soon as possible. This minimizes
crab stress, aggression and damage to other crabs and handlers.
Apply care when legs are caught in basket. Pulling on legs can cause bleeding which increases
likelihood of death. Remove weak, slow or bleeding crabs. These may be revived using a
recovery procedure.
Put 5 to 7 crabs in one eskies/boxes and fill it with ¼ of salt water.
Storage of Live crabs
Temperature variation is a principal cause of mortality in the live transport of crabs and the Importance
of maintaining low water temperatures at about 8 degree C cannot be stressed too highly. The main
benefits are that at low temperatures crabs are less active. As such they produce less metabolic wastes
and require less oxygen to breathe, so putting a reduced demand on the water in which they are
travelling.
Avoid exposure to sunlight and breeze.
Transport vehicle cargo area should be cooled at 18ºC to 25ºC.
Packing crabs
Cool crabs to 18-25°C if possible prior to packaging. Provide air holes in eskies/boxes (2 in winter
or dry season, 4 in summer or wet season). If refrigerated transport is less than 15°C, reduce the
number of air holes.
Discard weak crabs - badly damaged, very slow or frothing crabs should be killed or removed
because these crabs will not survive further transportation.
Live crabs can be packed in layers separated by moistened material such as wood shavings,
newspapers or burlap. A layer of moistened materials can be placed on top. The box should
have ventilation holes on the top edge. Crabs should not be packed as high as the ventilation
holes.
4 | P a g e
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When packing the live crabs ;The first pair of largest legs with pincers(chelate legs) of each crab should
be firmly tied up to the body by nylon thread to avoid damages .fight and movement of cannibalism
among the crabs , while packing to the box place some wet seaweeds in between and add a small
quantity of sea water (1/4 of the box)to the packed layers of crabs to enhance moist and cool condition
during the transport for place to destination, the best method of transporting live tied-up crabs are
washed with fresh sea water and packed on either in bamboo basket or in perforated Styrofoam boxes
for export purpose.
Live Product
Fragile
This Way Up
Keep Cool but NOT Refrigerated
Provide traceability of product – state of origin at least
5 | P a g e
be firmly tied up to the body by nylon thread to avoid damages .fight and movement of cannibalism
among the crabs , while packing to the box place some wet seaweeds in between and add a small
quantity of sea water (1/4 of the box)to the packed layers of crabs to enhance moist and cool condition
during the transport for place to destination, the best method of transporting live tied-up crabs are
washed with fresh sea water and packed on either in bamboo basket or in perforated Styrofoam boxes
for export purpose.
Live Product
Fragile
This Way Up
Keep Cool but NOT Refrigerated
Provide traceability of product – state of origin at least
5 | P a g e
Why use air freight
When we consider the shipment of live crabs it only stay alive for maximum of 4 to 5 days; so the
shipment of live crabs cannot be done via sea freight because of the fact that even the fastest ocean
service from Colombo to port of Southampton is about 18 days. And also considering about live crabs
the standard containers are air tight and there will be no ventilation for the crabs. Since we are dealing
with live crabs sea freight is not an option. So considering these facts the only option to transport the
live crabs is by using air freight.
Air cargo is often utilized for high value and low capacity shipments. The customary procedure of air
cargo dispatch is to consign a consignment enclosed by an air waybill to a cargo air carrier.
Airfreight is quicker and has higher security than ocean freight; therefore the premium rate usually is
lower. Worldwide airports can be reached in one day or during a few hours by airfreight, so reducing the
risks of thievery and harm to the products. Delivery to bound areas might take many weeks to arrive by
ocean freight. Time sensitive products such as live Crab (According to scenario) perishables often rely on
air cargo.
When we take the above scenario of transporting live crabs from Colombo (CMB) - Sri Lanka to the
Consignee in, London (LHR), United Kingdom. Sri Lankan Airlines (UL) prime services should be used,
since it provides a direct transport to the Final destination London (LHR) and also because of the fact
that we should deliver live crabs not dead ones, where other standard general cargo services use transit,
and may be delay in shipping, which ultimately result in delivering dead crabs.
The Srilankan airline provides extra special care to Perishables such as fish, meat, dairy, fruit and
vegetables. Specially maintained temperatures and storage facilities handled by professionally trained
staff ensure perishables come in peak condition.
Documents and approval needed for exports crabs from Srilanka
6 | P a g e
When we consider the shipment of live crabs it only stay alive for maximum of 4 to 5 days; so the
shipment of live crabs cannot be done via sea freight because of the fact that even the fastest ocean
service from Colombo to port of Southampton is about 18 days. And also considering about live crabs
the standard containers are air tight and there will be no ventilation for the crabs. Since we are dealing
with live crabs sea freight is not an option. So considering these facts the only option to transport the
live crabs is by using air freight.
Air cargo is often utilized for high value and low capacity shipments. The customary procedure of air
cargo dispatch is to consign a consignment enclosed by an air waybill to a cargo air carrier.
Airfreight is quicker and has higher security than ocean freight; therefore the premium rate usually is
lower. Worldwide airports can be reached in one day or during a few hours by airfreight, so reducing the
risks of thievery and harm to the products. Delivery to bound areas might take many weeks to arrive by
ocean freight. Time sensitive products such as live Crab (According to scenario) perishables often rely on
air cargo.
When we take the above scenario of transporting live crabs from Colombo (CMB) - Sri Lanka to the
Consignee in, London (LHR), United Kingdom. Sri Lankan Airlines (UL) prime services should be used,
since it provides a direct transport to the Final destination London (LHR) and also because of the fact
that we should deliver live crabs not dead ones, where other standard general cargo services use transit,
and may be delay in shipping, which ultimately result in delivering dead crabs.
The Srilankan airline provides extra special care to Perishables such as fish, meat, dairy, fruit and
vegetables. Specially maintained temperatures and storage facilities handled by professionally trained
staff ensure perishables come in peak condition.
Documents and approval needed for exports crabs from Srilanka
6 | P a g e
Sri Lanka National Plan of Action to Prevent, Deter and Eliminate IUU Fishing (SLNPOA-IUU)
contains measures that are being implemented and those proposed to be adopted for
implementation to combat IUU fishing activities conducted by local fishing in Sri Lanka waters,
and waters of national jurisdictions of other coastal States and high-seas Sri Lanka waters. It has
been prepared in accordance with the guidelines stipulated in the International Plan of Action to
Prevent, Deter and Eliminate Illegal, Unreported and Unregulated Fishing (IPOA-IUU) and
exporting live aquatics.
Fisheries of Sri Lanka are governed by Fisheries and Aquatic Resources Act, No. 2 of 1996 as
amended by Acts No. 4 of 2000, 4 of 2004 and 22 of 2006 (FARA), provisions of which are
administered by the Department of Fisheries and Aquatic Resources (DFAR). FARA does not
include provisions to implement measures on illegal fishing of aquatics and exporting services.
There for the relevant document should be submitted to provide the approval of local
government to catch aquatics and to export them to market.
Documents needed for Import crabs to United Kingdom
Import license is requires when importing live aquatics (crab, fish lobster etc.) because of
negative list.
A CARICOM Area Invoice (this is provided by the supplier and is necessary for any goods entering
the CARICOM region).
The supplier’s invoice. A copy of the Airway Bill (for items transported by air) or Bill of Lading
(for items transported by sea).
Import license for those items that are on the negative. information on obtaining an import
license, should be registered to the relevant fishery department
A declaration on the C75 or C76 form (used only when there is an ongoing demand-supply
relationship between the importer and the supplier) signed by the importer. A certificate of
origin (provided by the supplier).
7 | P a g e
contains measures that are being implemented and those proposed to be adopted for
implementation to combat IUU fishing activities conducted by local fishing in Sri Lanka waters,
and waters of national jurisdictions of other coastal States and high-seas Sri Lanka waters. It has
been prepared in accordance with the guidelines stipulated in the International Plan of Action to
Prevent, Deter and Eliminate Illegal, Unreported and Unregulated Fishing (IPOA-IUU) and
exporting live aquatics.
Fisheries of Sri Lanka are governed by Fisheries and Aquatic Resources Act, No. 2 of 1996 as
amended by Acts No. 4 of 2000, 4 of 2004 and 22 of 2006 (FARA), provisions of which are
administered by the Department of Fisheries and Aquatic Resources (DFAR). FARA does not
include provisions to implement measures on illegal fishing of aquatics and exporting services.
There for the relevant document should be submitted to provide the approval of local
government to catch aquatics and to export them to market.
Documents needed for Import crabs to United Kingdom
Import license is requires when importing live aquatics (crab, fish lobster etc.) because of
negative list.
A CARICOM Area Invoice (this is provided by the supplier and is necessary for any goods entering
the CARICOM region).
The supplier’s invoice. A copy of the Airway Bill (for items transported by air) or Bill of Lading
(for items transported by sea).
Import license for those items that are on the negative. information on obtaining an import
license, should be registered to the relevant fishery department
A declaration on the C75 or C76 form (used only when there is an ongoing demand-supply
relationship between the importer and the supplier) signed by the importer. A certificate of
origin (provided by the supplier).
7 | P a g e
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Uniform resource locator for Inspection on volumetric weight
http://www.srilankancargo.com/tools/volumetric-weight.
Srilankan Airlines Route Map.
Srilankan Airlines Flight Schedules and Timing
(Both Departure and Arrival)
8 | P a g e
Calculation of Volumetric Weight on Srilanka Airlines Cargo
(C1024 for live crab ,fish and stock)
1 / Commodity - C1024
Dimensions in inches (40 x 35 x 35) 60 cartons(ctns)
to centimeters (101.6 x 88.9 x 88.9)
101.6 x 88.9 x 88.9 x 60 ctns
-------------------------------- = 6882.56 kilograms
7000
http://www.srilankancargo.com/tools/volumetric-weight.
Srilankan Airlines Route Map.
Srilankan Airlines Flight Schedules and Timing
(Both Departure and Arrival)
8 | P a g e
Calculation of Volumetric Weight on Srilanka Airlines Cargo
(C1024 for live crab ,fish and stock)
1 / Commodity - C1024
Dimensions in inches (40 x 35 x 35) 60 cartons(ctns)
to centimeters (101.6 x 88.9 x 88.9)
101.6 x 88.9 x 88.9 x 60 ctns
-------------------------------- = 6882.56 kilograms
7000
Costing
Transport charges from Batticaloa to Airport -
Export custom documentation -
Handling charges -
Export corantime clearance -
Prime service charges -
Import custom clearance -
Import corantime charges -
VAT or possible taxes -
Transport charges from Heathrow to Billingsgate Market -
9 | P a g e
Transport charges from Batticaloa to Airport -
Export custom documentation -
Handling charges -
Export corantime clearance -
Prime service charges -
Import custom clearance -
Import corantime charges -
VAT or possible taxes -
Transport charges from Heathrow to Billingsgate Market -
9 | P a g e
Delivered duty paid (DDP) Incoterms 2010
Delivered duty paid means that the seller delivers the goods to the buyer, cleared for import, and
not unloaded from any arriving means of transport at the named place of destination. The seller has
to bear all the costs and risks involved in bringing the goods thereto including, where applicable any
duty (which term includes the responsibility for and the risk of the carrying out of customs
formalities and the payment of formalities, customs duties, taxes and other charges) for import in
the country of destination.
However, if the parties wish to exclude from the seller's obligations some of the costs payable upon
import of the goods (such as value-added tax : VAT), this should be made clear by adding explicit
wording to this effect in the contract of sale of the Incoterms 2010 rules).
DDP Seller pays for:
Packing suitable for air transport
Loading charges
Delivery to terminal
Customs clearance for export
Export taxes and duties
Loading on aircraft
Freight charges
Terminal charges airport arrival
Demurrage storage charges on airport due to customs clearance.
Customs clearance for import
Import taxes and duties
Delivery to final destination
Insurance
DDP Buyer pays for:
Unloading at destination
Sellers Risk and Cost
Buyers Risk and Cost
10 | P a g e
Delivered duty paid means that the seller delivers the goods to the buyer, cleared for import, and
not unloaded from any arriving means of transport at the named place of destination. The seller has
to bear all the costs and risks involved in bringing the goods thereto including, where applicable any
duty (which term includes the responsibility for and the risk of the carrying out of customs
formalities and the payment of formalities, customs duties, taxes and other charges) for import in
the country of destination.
However, if the parties wish to exclude from the seller's obligations some of the costs payable upon
import of the goods (such as value-added tax : VAT), this should be made clear by adding explicit
wording to this effect in the contract of sale of the Incoterms 2010 rules).
DDP Seller pays for:
Packing suitable for air transport
Loading charges
Delivery to terminal
Customs clearance for export
Export taxes and duties
Loading on aircraft
Freight charges
Terminal charges airport arrival
Demurrage storage charges on airport due to customs clearance.
Customs clearance for import
Import taxes and duties
Delivery to final destination
Insurance
DDP Buyer pays for:
Unloading at destination
Sellers Risk and Cost
Buyers Risk and Cost
10 | P a g e
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Labeling / Marking
All containers of seafood being shipped interstate must be marked according to the 1988 Lacey Act.
A Fish/Wildlife Sticker may be used by the shipper to provide required information. The following six
items to be prominently displayed on each shipment:
Name and address of shipper and consignee, or passenger.
24-hour phone number of the consignee or passenger.
Commodity note as Fish or Wildlife.
Specifies species name: such as live Crab
Number of each species or the weight of each type species.
Each container must be marked Live, Fresh or Frozen.
Carrier Acceptance by Air Mode
Compliance with the Lacey Act and its packaging requirements are mandatory where the
containers must be free of leaks and odors, random "tip tests" shall be conducted, with the
option of refusing an entire shipment should there be an excessive number of cartons leaking of
Indelible inks and waterproof labels must be used. Sequential numbering of multiple packages is
recommended (1 of 4, 2 of 4, 3 of 4, etc.).
Payments for Seafood Shipments via Air mode
Most Airlines does not accept COD (Cash on Delivery) payments because of Noncommercial
perishable goods must be prepaid. So airway bills like Letter of credit are being used, these Air
Waybills are never negotiable. They are always straight consignments even if “TO ORDER” is typed
in the Consignee block. Not being a title document, but merely a receipt for shipment, the
importing buyer can pick up the merchandise at the airport simply by providing proper identification
to the carrier.
11 | P a g e
All containers of seafood being shipped interstate must be marked according to the 1988 Lacey Act.
A Fish/Wildlife Sticker may be used by the shipper to provide required information. The following six
items to be prominently displayed on each shipment:
Name and address of shipper and consignee, or passenger.
24-hour phone number of the consignee or passenger.
Commodity note as Fish or Wildlife.
Specifies species name: such as live Crab
Number of each species or the weight of each type species.
Each container must be marked Live, Fresh or Frozen.
Carrier Acceptance by Air Mode
Compliance with the Lacey Act and its packaging requirements are mandatory where the
containers must be free of leaks and odors, random "tip tests" shall be conducted, with the
option of refusing an entire shipment should there be an excessive number of cartons leaking of
Indelible inks and waterproof labels must be used. Sequential numbering of multiple packages is
recommended (1 of 4, 2 of 4, 3 of 4, etc.).
Payments for Seafood Shipments via Air mode
Most Airlines does not accept COD (Cash on Delivery) payments because of Noncommercial
perishable goods must be prepaid. So airway bills like Letter of credit are being used, these Air
Waybills are never negotiable. They are always straight consignments even if “TO ORDER” is typed
in the Consignee block. Not being a title document, but merely a receipt for shipment, the
importing buyer can pick up the merchandise at the airport simply by providing proper identification
to the carrier.
11 | P a g e
(Q)When a letter of credit is used, how does the exporter prevent the buyer from getting
the merchandise without paying for it?
Answer: The Air Waybill consignee should be listed as the buyer’s bank. The bank will
transfer the goods to the buyer through an “Air Release”, but only after the buyer has paid or
obligated himself to pay for the merchandise. Air Waybills only be consigned to the order of the
buyer’s bank with that bank’s permission.
The fact is that Letter of Credit can be a very useful financial tool for both the buyer/importer and the
seller/exporter. While Letters of Credit are particularly well suited for high transactions,
For the Exporter/Seller
Upon presentation of the specified documents (in strict conformance) the Seller/Exporter is
guaranteed payment (the exception is if the Issuing Bank folds)
Eliminates risk of the buyer canceling the order and therefore reduces production risk
Makes it easier for the Seller/Exporter to secure order/production financing-pre-export
financing
Easier to secure receivable financing (in case where the L/C is not payable At Sight)
Buyer cannot refuse payment by raising a complaint about the goods. Any complaints must be
settled between the Buyer and Seller outside of the L/C.
For The Importer/Buyer
In most cases the Importer/Buyer avoids partial pre-payments or deposits
Helps reduce the risk of non-performance of the Exporter/Seller. If the Exporter/Seller doesn’t
ship the goods they don’t get paid.
Certainty that payment will only be make to the Exporter/Seller upon presentation of
documents in strict compliance with the L/C evidencing the shipment of goods.
Documents are received quickly, expediting customs clearance and ultimate delivery
Makes structuring an advantageous payment schedule easy
Importer/Buyer will receive timely delivery or the goods because the L/C terms dictate latest
acceptable shipment date.
12 | P a g e
the merchandise without paying for it?
Answer: The Air Waybill consignee should be listed as the buyer’s bank. The bank will
transfer the goods to the buyer through an “Air Release”, but only after the buyer has paid or
obligated himself to pay for the merchandise. Air Waybills only be consigned to the order of the
buyer’s bank with that bank’s permission.
The fact is that Letter of Credit can be a very useful financial tool for both the buyer/importer and the
seller/exporter. While Letters of Credit are particularly well suited for high transactions,
For the Exporter/Seller
Upon presentation of the specified documents (in strict conformance) the Seller/Exporter is
guaranteed payment (the exception is if the Issuing Bank folds)
Eliminates risk of the buyer canceling the order and therefore reduces production risk
Makes it easier for the Seller/Exporter to secure order/production financing-pre-export
financing
Easier to secure receivable financing (in case where the L/C is not payable At Sight)
Buyer cannot refuse payment by raising a complaint about the goods. Any complaints must be
settled between the Buyer and Seller outside of the L/C.
For The Importer/Buyer
In most cases the Importer/Buyer avoids partial pre-payments or deposits
Helps reduce the risk of non-performance of the Exporter/Seller. If the Exporter/Seller doesn’t
ship the goods they don’t get paid.
Certainty that payment will only be make to the Exporter/Seller upon presentation of
documents in strict compliance with the L/C evidencing the shipment of goods.
Documents are received quickly, expediting customs clearance and ultimate delivery
Makes structuring an advantageous payment schedule easy
Importer/Buyer will receive timely delivery or the goods because the L/C terms dictate latest
acceptable shipment date.
12 | P a g e
Risks that the exporter will face
Risk passes until the goods are delivered to the door step, since the incoterms is DDP
Very short time the exporter has, since it is live crabs
There can be delays while transporting from Batticaloa to Colombo
There can be an emergency landing.
There can be a crash
There could be a delay while transporting from Heathrow to Billingsgate
An accident could occur while transporting from Heathrow to Billingsgate
So it is advisable for the exporter to go for the maximum insurance cover, an “A” clause since
an expensive good is shipped. And also since the incoterms is DDP, where all the possible risk
passes to the exporter until the goods are delivered to the door steps.
13 | P a g e
Risk passes until the goods are delivered to the door step, since the incoterms is DDP
Very short time the exporter has, since it is live crabs
There can be delays while transporting from Batticaloa to Colombo
There can be an emergency landing.
There can be a crash
There could be a delay while transporting from Heathrow to Billingsgate
An accident could occur while transporting from Heathrow to Billingsgate
So it is advisable for the exporter to go for the maximum insurance cover, an “A” clause since
an expensive good is shipped. And also since the incoterms is DDP, where all the possible risk
passes to the exporter until the goods are delivered to the door steps.
13 | P a g e
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Task 02,
You have a client based in Colombo who wishes to import a water fountain from the U.S.
- Explain step-by-step how you intend to arrange this for your client.
- Justify your decision to take each of the steps you propose.
- Outline the risks your customer will be taking.
- Offer costings
- Include relevant documents or explanations of these documents in an appendix.
Details:
• Item: Giannini AcquaSparta Two Tier Fountain for Pond
• Gross weight with packing: 1,980 Kg
• Volume of the cargo with packaging: Height 2m x width1.5m x length 1m
• Shipper: Giannini Garden Ornaments Inc., 225 Shaw Rd., South San Francisco, CA 94080, USA
• Closest Airport to the shipper: San Francisco International Airport (SFO) *if by Air
• Closest Sea port to the shipper: Assume - Port of Long Beach, California *if by Sea
• Destination Airport: Colombo (CMB) - Sri Lanka *if by Sea
• Destination Sea Port: Colombo - Sri Lanka *if by Air
• Consignee: Rushi Garden Makers, No. 12, Rajaweediya, Kandy, Sri Lanka
• Company Website: http://www.gianninigarden.com/index.php<br< a=""> />• Product
description:</br<>http://www.gianninigarden.com/popup_img.php?imgpath=1/
fountaion_11_large.jpg
• Payment Terms: 100% Cash in advance (T/T Transfer)
• Incoterms: EX-WORKS (EXW)
14 | P a g e
You have a client based in Colombo who wishes to import a water fountain from the U.S.
- Explain step-by-step how you intend to arrange this for your client.
- Justify your decision to take each of the steps you propose.
- Outline the risks your customer will be taking.
- Offer costings
- Include relevant documents or explanations of these documents in an appendix.
Details:
• Item: Giannini AcquaSparta Two Tier Fountain for Pond
• Gross weight with packing: 1,980 Kg
• Volume of the cargo with packaging: Height 2m x width1.5m x length 1m
• Shipper: Giannini Garden Ornaments Inc., 225 Shaw Rd., South San Francisco, CA 94080, USA
• Closest Airport to the shipper: San Francisco International Airport (SFO) *if by Air
• Closest Sea port to the shipper: Assume - Port of Long Beach, California *if by Sea
• Destination Airport: Colombo (CMB) - Sri Lanka *if by Sea
• Destination Sea Port: Colombo - Sri Lanka *if by Air
• Consignee: Rushi Garden Makers, No. 12, Rajaweediya, Kandy, Sri Lanka
• Company Website: http://www.gianninigarden.com/index.php<br< a=""> />• Product
description:</br<>http://www.gianninigarden.com/popup_img.php?imgpath=1/
fountaion_11_large.jpg
• Payment Terms: 100% Cash in advance (T/T Transfer)
• Incoterms: EX-WORKS (EXW)
14 | P a g e
Packaging
This cargo load must be packed in a wooden box which has pallets for safe handling by the
forklift.
Inside of there must be bedding lying under the fountain and above the fountain.
And for the four sides there must be air bags as cushions and the fountain must be lashed to
stop any movement inside the wooden box.
The packing list must contain the same listed goods as the invoice, along with dimensions,
weight and quantity of the products. The packing list does not contain any prices.
Customs officials use this list to check cargo, while buyers use it to inventory merchandise
received. The packing list describes all items in the box, crate, pallet, or container, plus the
type, dimensions, and weight of the container
15 | P a g e
This cargo load must be packed in a wooden box which has pallets for safe handling by the
forklift.
Inside of there must be bedding lying under the fountain and above the fountain.
And for the four sides there must be air bags as cushions and the fountain must be lashed to
stop any movement inside the wooden box.
The packing list must contain the same listed goods as the invoice, along with dimensions,
weight and quantity of the products. The packing list does not contain any prices.
Customs officials use this list to check cargo, while buyers use it to inventory merchandise
received. The packing list describes all items in the box, crate, pallet, or container, plus the
type, dimensions, and weight of the container
15 | P a g e
Labeling
Specific marking and labeling is used on export shipping cartons and containers to:
Meet shipping regulations;
Ensure proper handling;
Conceal the identity of the contents;
Help receivers identify shipments; and
Insure compliance with environmental and safety standards.
The overseas buyer usually specifies which export marks should appear on the cargo for easy
identification by receivers. Products can require many markings for shipment. For example, exporters
need to put the following markings on cartons to be shipped:
Shipper's mark;
Country of origin (U.S.A.);
Weight marking (in pounds and in kilograms);
Number of packages and size of cases (in inches and centimeters);
Handling marks (international pictorial symbols);
Cautionary markings, such as "This Side Up" or "Use No Hooks" (in English and in the language of
the country of destination);
Port of entry;
Labels for hazardous materials (universal symbols adapted by the International Airi Transport
Association and the International Maritime Organization); and;
Ingredients (if applicable, also included in the language of the destination country).
16 | P a g e
Specific marking and labeling is used on export shipping cartons and containers to:
Meet shipping regulations;
Ensure proper handling;
Conceal the identity of the contents;
Help receivers identify shipments; and
Insure compliance with environmental and safety standards.
The overseas buyer usually specifies which export marks should appear on the cargo for easy
identification by receivers. Products can require many markings for shipment. For example, exporters
need to put the following markings on cartons to be shipped:
Shipper's mark;
Country of origin (U.S.A.);
Weight marking (in pounds and in kilograms);
Number of packages and size of cases (in inches and centimeters);
Handling marks (international pictorial symbols);
Cautionary markings, such as "This Side Up" or "Use No Hooks" (in English and in the language of
the country of destination);
Port of entry;
Labels for hazardous materials (universal symbols adapted by the International Airi Transport
Association and the International Maritime Organization); and;
Ingredients (if applicable, also included in the language of the destination country).
16 | P a g e
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Designation Symbol Explanation
Fragile,
Handle with
care
The symbol should be applied to easily broken cargoes.
Cargoes marked with this symbol should be handled carefully
and should never be tipped over or slung.
Top The package must always be transported, handled and stored
in such a way that the arrows always point upwards. Rolling,
swinging, severe tipping or tumbling or other such handling
must be avoided. The cargo need not, however, be stored "on
top".
No hand truck
here
The absence of this symbol on packages amounts to
permission to use a hand truck on them.
Stacking
limitation
The maximum stacking load must be stated as "... kg max.".
Since such marking is sensible only on packages with little
loading capacity, cargo bearing this symbol should be stowed
in the uppermost layer.
Clamp here Stating that the package may be clamped at the indicated
point is logically equivalent to a prohibition of clamping
anywhere else.
Tear off here This symbol is intended only for the receiver.
17 | P a g e
Fragile,
Handle with
care
The symbol should be applied to easily broken cargoes.
Cargoes marked with this symbol should be handled carefully
and should never be tipped over or slung.
Top The package must always be transported, handled and stored
in such a way that the arrows always point upwards. Rolling,
swinging, severe tipping or tumbling or other such handling
must be avoided. The cargo need not, however, be stored "on
top".
No hand truck
here
The absence of this symbol on packages amounts to
permission to use a hand truck on them.
Stacking
limitation
The maximum stacking load must be stated as "... kg max.".
Since such marking is sensible only on packages with little
loading capacity, cargo bearing this symbol should be stowed
in the uppermost layer.
Clamp here Stating that the package may be clamped at the indicated
point is logically equivalent to a prohibition of clamping
anywhere else.
Tear off here This symbol is intended only for the receiver.
17 | P a g e
Preparing export declarations
Customs form completed and submitted by an exporter at the port of export, it is meant to serve two
major purposes:
(1)To provide information on amount, nature, and value of exports to the statistical office for
compilation of foreign trade data, and
(2) To serves as an export control document. In some cases, an export license and/or a certificate of
origin is also required to be attached.
Booking, arranging for and confirming cargo space
shipper full name, contact details
equipment type and amount
port of loading
port of discharge
delivery type (ex-works, FOB)
commodity
if hazardous – preliminary DGD
As soon as shipper is contacted, container released and space reserved booking can be confirmed
(subject to space and equipment).
In order to catch a vessel Container should be at loading port before vessel cut-off time. Cut-off details
can be received from cross booking team.
After vessel departure once b/l is manifested cross booking team sends draft to customer for approval
and after approval issue original bill of lading or waybill.
As soon as container is loaded on last vessel to destination (feeder) freight invoice can be sent to
customer.
During container transportation from port of loading to port of destination cross booking team keeps
customer informed about movements, loadings. If any problems occur customer may apply to cross
booking team for further investigation.
18 | P a g e
Customs form completed and submitted by an exporter at the port of export, it is meant to serve two
major purposes:
(1)To provide information on amount, nature, and value of exports to the statistical office for
compilation of foreign trade data, and
(2) To serves as an export control document. In some cases, an export license and/or a certificate of
origin is also required to be attached.
Booking, arranging for and confirming cargo space
shipper full name, contact details
equipment type and amount
port of loading
port of discharge
delivery type (ex-works, FOB)
commodity
if hazardous – preliminary DGD
As soon as shipper is contacted, container released and space reserved booking can be confirmed
(subject to space and equipment).
In order to catch a vessel Container should be at loading port before vessel cut-off time. Cut-off details
can be received from cross booking team.
After vessel departure once b/l is manifested cross booking team sends draft to customer for approval
and after approval issue original bill of lading or waybill.
As soon as container is loaded on last vessel to destination (feeder) freight invoice can be sent to
customer.
During container transportation from port of loading to port of destination cross booking team keeps
customer informed about movements, loadings. If any problems occur customer may apply to cross
booking team for further investigation.
18 | P a g e
Preparing delivery orders or dock receipts
Written order permits the direct delivery of goods to a carrier
A dock receipt is a kind of document used in the shipping industry to acknowledge the receipt of goods
to be shipped. By issuing a dock receipt, the company recognizes the responsibility it has to store the
cargo and safely deliver it to the intended location. This is used as a basis for the bill of lading
The Costing
The total cost of importing a Gianni AcquaSparta Two Tier Fountain for Pond where the Gross weight
with packing is 1,980 Kg and the Volume of the cargo with packaging: Height 2m x width1.5m x length
1mOcean
Ocean Freight charges LCL
Freight........................US$ 235.00 / Per shipment
Pick up charges....................US$ 185.00 / Per shipment
B/L fee...................................US$ 50.00
Handling charges.......................US$ 95.00 / Per shipment
Documentation.....................US$ 85.00
Duty.................................... …….25%
VAT....................................... …..12%
NBT…………………………………….....…2%
CES………………………………………….…12%
Local D/O charges................SLRs. 6000.00 + VAT + NBT.
The transport cost from SEA Port Colombo, to Rushi Garden Makers, No.12 Rajaweediya, Kandy,
Sri Lanka…………………… SLRs.13.000.
19 | P a g e
Written order permits the direct delivery of goods to a carrier
A dock receipt is a kind of document used in the shipping industry to acknowledge the receipt of goods
to be shipped. By issuing a dock receipt, the company recognizes the responsibility it has to store the
cargo and safely deliver it to the intended location. This is used as a basis for the bill of lading
The Costing
The total cost of importing a Gianni AcquaSparta Two Tier Fountain for Pond where the Gross weight
with packing is 1,980 Kg and the Volume of the cargo with packaging: Height 2m x width1.5m x length
1mOcean
Ocean Freight charges LCL
Freight........................US$ 235.00 / Per shipment
Pick up charges....................US$ 185.00 / Per shipment
B/L fee...................................US$ 50.00
Handling charges.......................US$ 95.00 / Per shipment
Documentation.....................US$ 85.00
Duty.................................... …….25%
VAT....................................... …..12%
NBT…………………………………….....…2%
CES………………………………………….…12%
Local D/O charges................SLRs. 6000.00 + VAT + NBT.
The transport cost from SEA Port Colombo, to Rushi Garden Makers, No.12 Rajaweediya, Kandy,
Sri Lanka…………………… SLRs.13.000.
19 | P a g e
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Ocean Freight charges FCL
Freight........................US$ 500.00 / Per shipment
Pick up charges....................US$ 400.00 / Per shipment
B/L fee...................................US$ 125.00
Handling charges.......................US$ 205.00 / Per shipment
Documentation.....................US$ 180.00
Duty.................................... …….25%
VAT....................................... …..12%
NBT…………………………………….....…2%
CES………………………………………….…12%
Local D/O charges................SLRs. 19.000.00 + VAT + NBT.
The transport cost from SEA Port Colombo, to Rushi Garden Makers, No.12 Rajaweediya, Kandy,
Sri Lanka…………………… SLRs.28.000.
Air freight charges
Transit time: 2 to 3 days
1980 KG Actual Weight
Dims: 79 x 59 x 40 IN
Commodity: Water Fountain
From: SFO 94080 to SFO Airport: 94128
To: CMB
Freight........................US$ 400.00
Pick up charges....................US$ 375.00
AWB fee...................................US$ 195.00
Handling charges.......................US$ 160.00
Documentation.....................US$ 220.00
Customs...............................US$ 245.00
The transport cost from SEA Port Colombo, to Rushi Garden Makers, No.12 Rajaweediya, Kandy,
Sri Lanka…………………… SLRs.11.000.
20 | P a g e
Freight........................US$ 500.00 / Per shipment
Pick up charges....................US$ 400.00 / Per shipment
B/L fee...................................US$ 125.00
Handling charges.......................US$ 205.00 / Per shipment
Documentation.....................US$ 180.00
Duty.................................... …….25%
VAT....................................... …..12%
NBT…………………………………….....…2%
CES………………………………………….…12%
Local D/O charges................SLRs. 19.000.00 + VAT + NBT.
The transport cost from SEA Port Colombo, to Rushi Garden Makers, No.12 Rajaweediya, Kandy,
Sri Lanka…………………… SLRs.28.000.
Air freight charges
Transit time: 2 to 3 days
1980 KG Actual Weight
Dims: 79 x 59 x 40 IN
Commodity: Water Fountain
From: SFO 94080 to SFO Airport: 94128
To: CMB
Freight........................US$ 400.00
Pick up charges....................US$ 375.00
AWB fee...................................US$ 195.00
Handling charges.......................US$ 160.00
Documentation.....................US$ 220.00
Customs...............................US$ 245.00
The transport cost from SEA Port Colombo, to Rushi Garden Makers, No.12 Rajaweediya, Kandy,
Sri Lanka…………………… SLRs.11.000.
20 | P a g e
Document need in MARINE transport
Ocean bill of lading
The ocean bill of lading serves as a document of title, evidence of the contract of carriage between the
steamship company and the shipper, and a receipt for goods given by the steamship company to the
shipper. The bill of lading confirms:
Where to deliver the goods- No. 12, Rajaweediya, Kandy, Sri Lanka
How freight charges will be paid - Payment Terms: 100% Cash in advance (T/T Transfer)
To whom the goods are consigned - Rushi Garden Makers
The bill of lading spells out all legal responsibilities and liability limits for all parties to the shipment.
Since an original bill of lading is a negotiable instrument (copies are not), the shipper/exporter may want
to prepare it in such a way that he can retain title to the goods. In addition, the shipper/exporter should
find out whether the destination country requires specific wording on the OB/L before completing it.
Document need in AIR transport
Air way bill
An AWB is a bill of lading which covers both domestic and international flights transporting goods to a
specified destination. Technically, it is a non-negotiable instrument of air transport which serves as a
receipt for the shipper, indicating that the carrier has accepted the goods listed therein and obligates it
to carry the consignment to the airport of destination according to specified conditions. Normally AWB
refers to the Air Waybill issued by carrying airlines and also called Master Air Waybill (MAWB)
21 | P a g e
Ocean bill of lading
The ocean bill of lading serves as a document of title, evidence of the contract of carriage between the
steamship company and the shipper, and a receipt for goods given by the steamship company to the
shipper. The bill of lading confirms:
Where to deliver the goods- No. 12, Rajaweediya, Kandy, Sri Lanka
How freight charges will be paid - Payment Terms: 100% Cash in advance (T/T Transfer)
To whom the goods are consigned - Rushi Garden Makers
The bill of lading spells out all legal responsibilities and liability limits for all parties to the shipment.
Since an original bill of lading is a negotiable instrument (copies are not), the shipper/exporter may want
to prepare it in such a way that he can retain title to the goods. In addition, the shipper/exporter should
find out whether the destination country requires specific wording on the OB/L before completing it.
Document need in AIR transport
Air way bill
An AWB is a bill of lading which covers both domestic and international flights transporting goods to a
specified destination. Technically, it is a non-negotiable instrument of air transport which serves as a
receipt for the shipper, indicating that the carrier has accepted the goods listed therein and obligates it
to carry the consignment to the airport of destination according to specified conditions. Normally AWB
refers to the Air Waybill issued by carrying airlines and also called Master Air Waybill (MAWB)
21 | P a g e
Transportation insurance
International carriers assume only limited liability and make the seller responsible for the goods up to
the point of delivery to the foreign buyer. For this reason, you absolutely must have international
transportation insurance. Marine transportation insurance protects both ocean and air-bound cargo. It
also covers connecting land transportation. There are three main types of Marine and Air transportation
insurance:
Free of Particular Average (FPA) is the narrowest type of coverage. Total losses are covered, as
well as partial losses at sea if the vessel sinks, burns or is stranded.
With Average (WA) offers greater protection from partial losses at sea.
All Risk is the most comprehensive, protecting against all physical loss or damage from external
causes. Once the documents transferring title are delivered to the foreign buyer, you are no
longer liable for the goods
Limitation of Liability
Except as specifically set forth here, Company makes no express or implied warranties in connection
with its services;
Subject to below, Customer agrees that in connection with any and all services performed by Company,
Company shall only be liable for its negligent acts, which are the direct and proximate cause of any
injury to Customer, including loss or damage to Customer’s goods, and Company shall in no event be
liable for the acts of third parties;
In connection with all services performed by Company, Customer may obtain additional liability
coverage, up to the actual or declared value of the shipment or transaction, by requesting such coverage
and agreeing to make payment therefore, which request must be confirmed in writing by Company prior
to rendering services for the covered transaction(s).
In the absence of additional coverage under above, Company’s liability shall be limited to the following:
In no event shall Company be liable or responsible for consequential, indirect, incidental,
statutory or punitive damages even if it has been put on notice of the possibility of such
damages.
22 | P a g e
International carriers assume only limited liability and make the seller responsible for the goods up to
the point of delivery to the foreign buyer. For this reason, you absolutely must have international
transportation insurance. Marine transportation insurance protects both ocean and air-bound cargo. It
also covers connecting land transportation. There are three main types of Marine and Air transportation
insurance:
Free of Particular Average (FPA) is the narrowest type of coverage. Total losses are covered, as
well as partial losses at sea if the vessel sinks, burns or is stranded.
With Average (WA) offers greater protection from partial losses at sea.
All Risk is the most comprehensive, protecting against all physical loss or damage from external
causes. Once the documents transferring title are delivered to the foreign buyer, you are no
longer liable for the goods
Limitation of Liability
Except as specifically set forth here, Company makes no express or implied warranties in connection
with its services;
Subject to below, Customer agrees that in connection with any and all services performed by Company,
Company shall only be liable for its negligent acts, which are the direct and proximate cause of any
injury to Customer, including loss or damage to Customer’s goods, and Company shall in no event be
liable for the acts of third parties;
In connection with all services performed by Company, Customer may obtain additional liability
coverage, up to the actual or declared value of the shipment or transaction, by requesting such coverage
and agreeing to make payment therefore, which request must be confirmed in writing by Company prior
to rendering services for the covered transaction(s).
In the absence of additional coverage under above, Company’s liability shall be limited to the following:
In no event shall Company be liable or responsible for consequential, indirect, incidental,
statutory or punitive damages even if it has been put on notice of the possibility of such
damages.
22 | P a g e
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Company shall not be liable for any loss, delay, or damage to goods caused by acts of God,
public authorities, strikes, labor disputes, weather, mechanical failures, civil commotion, acts of
terrorism, hazards incident to a state of war, acts or omissions of customs, or defects in the
goods being shipped.
Incoterms EX- Works (Exw)
The Seller makes the goods available at his/her premises. This term places the maximum obligation on
the buyer and minimum obligations on the seller. The Ex Works term is often used when making an
initial quotation for the sale of goods without any costs included. EXW means that a buyer incurs the
risks for bringing the goods to their final destination. The seller does not load the goods on collecting
vehicles and does not clear them for export. If the seller does load the goods, he does so at buyer's risk
and cost. If parties wish seller to be responsible for the loading of the goods on departure and to bear
the risk and all costs of such loading, this must be made clear by adding explicit wording to this effect in
the contract of sale.
The buyer arranges the pickup of the freight from the supplier's designated ship site, owns the in-transit
freight, and is responsible for clearing the goods through Customs. The buyer is responsible for
completing all the export documentation. Cost of goods sold transfers from the seller to the buyer.
23 | P a g e
public authorities, strikes, labor disputes, weather, mechanical failures, civil commotion, acts of
terrorism, hazards incident to a state of war, acts or omissions of customs, or defects in the
goods being shipped.
Incoterms EX- Works (Exw)
The Seller makes the goods available at his/her premises. This term places the maximum obligation on
the buyer and minimum obligations on the seller. The Ex Works term is often used when making an
initial quotation for the sale of goods without any costs included. EXW means that a buyer incurs the
risks for bringing the goods to their final destination. The seller does not load the goods on collecting
vehicles and does not clear them for export. If the seller does load the goods, he does so at buyer's risk
and cost. If parties wish seller to be responsible for the loading of the goods on departure and to bear
the risk and all costs of such loading, this must be made clear by adding explicit wording to this effect in
the contract of sale.
The buyer arranges the pickup of the freight from the supplier's designated ship site, owns the in-transit
freight, and is responsible for clearing the goods through Customs. The buyer is responsible for
completing all the export documentation. Cost of goods sold transfers from the seller to the buyer.
23 | P a g e
References
SriLankan Airlines Ltd. All rights reserved. Legal Notice (2014 Srilankan Aero group.)Cargo
Srilanka, Available at: http://www.srilankancargo.com/ (Accessed: 15/05/2014 @ 17.37).
The State of Queensland (© The State of Queensland (Department of Agriculture, Fisheries and
Forestry) 2010–2014. Queensland Government) Communicating best practice handling of live
crabs, Available at:http://www.daff.qld.gov.au/research/research-areas/food-technology/research/
seafood/communicating-best-practice-handling-of-live-mud-crabs(Accessed: 2014.q2).
craigmostyn.Group (Copyright 2010 Craig Mostyn Group) Packing Process/Crab live.
craigmostyn [Online]. Available at: http://www.craigmostyn.com.au/seafood-export/products/packing-
process (Accessed: 2014 Week 02 May).
Torry Tony (Torry Research Station 2010) ' Catching, handling and processing crabs...', FAO Corporate
document repository, 2nd Edition Combined (@FOA 2013), pp. 21-24 [Online]. Available
at:http://www.fao.org/wairdocs/tan/x5905e/x5905e01.htm#TopOfPage (Accessed: 2014 Q2 May.).
Tanis Boganis (2013 sept 25) Live Crab Shipping, Available at: http://how-to-crab.com/live-
crab/ (Accessed: 17th May 2014).
Gulf States Marine Fisheries Commission. (© 2014 FINFO All rights Reserved.)CRAB(CALLINECTES
SAPIDUS), Sponsored and coordinated by Gulf States : Authorized by the five Gulf state marine resource
management agencies..
NSW Government | jobs.nsw (2014 NSW DPI Animal Welfare Unit.) Humane Harvesting of Fish and
Crustaceans, Available at:http://www.dpi.nsw.gov.au/agriculture/livestock/animal-welfare/general/
fish/shellfish(Accessed: 2014 May 15th).
Alaska Airline (2014 Alaska Air Group) Shipping Seafood, Available
at:http://www.alaskaair.com/content/cargo/ship-seafood.aspx (Accessed: Copyright © 1995 - 2014
Alaska Air Group, Inc. All Rights Reserved).
Andreas Kaufmann (Austria) &Michael Kiehn (Austria) ((CoP16, Austria, 2013)) 'CITES guidelines for the
non-air transport of live wild animals and plants', Guidelines for transport , 2nd volume(Confest 21 ref),
pp. 4.20-4.39.
24 | P a g e
SriLankan Airlines Ltd. All rights reserved. Legal Notice (2014 Srilankan Aero group.)Cargo
Srilanka, Available at: http://www.srilankancargo.com/ (Accessed: 15/05/2014 @ 17.37).
The State of Queensland (© The State of Queensland (Department of Agriculture, Fisheries and
Forestry) 2010–2014. Queensland Government) Communicating best practice handling of live
crabs, Available at:http://www.daff.qld.gov.au/research/research-areas/food-technology/research/
seafood/communicating-best-practice-handling-of-live-mud-crabs(Accessed: 2014.q2).
craigmostyn.Group (Copyright 2010 Craig Mostyn Group) Packing Process/Crab live.
craigmostyn [Online]. Available at: http://www.craigmostyn.com.au/seafood-export/products/packing-
process (Accessed: 2014 Week 02 May).
Torry Tony (Torry Research Station 2010) ' Catching, handling and processing crabs...', FAO Corporate
document repository, 2nd Edition Combined (@FOA 2013), pp. 21-24 [Online]. Available
at:http://www.fao.org/wairdocs/tan/x5905e/x5905e01.htm#TopOfPage (Accessed: 2014 Q2 May.).
Tanis Boganis (2013 sept 25) Live Crab Shipping, Available at: http://how-to-crab.com/live-
crab/ (Accessed: 17th May 2014).
Gulf States Marine Fisheries Commission. (© 2014 FINFO All rights Reserved.)CRAB(CALLINECTES
SAPIDUS), Sponsored and coordinated by Gulf States : Authorized by the five Gulf state marine resource
management agencies..
NSW Government | jobs.nsw (2014 NSW DPI Animal Welfare Unit.) Humane Harvesting of Fish and
Crustaceans, Available at:http://www.dpi.nsw.gov.au/agriculture/livestock/animal-welfare/general/
fish/shellfish(Accessed: 2014 May 15th).
Alaska Airline (2014 Alaska Air Group) Shipping Seafood, Available
at:http://www.alaskaair.com/content/cargo/ship-seafood.aspx (Accessed: Copyright © 1995 - 2014
Alaska Air Group, Inc. All Rights Reserved).
Andreas Kaufmann (Austria) &Michael Kiehn (Austria) ((CoP16, Austria, 2013)) 'CITES guidelines for the
non-air transport of live wild animals and plants', Guidelines for transport , 2nd volume(Confest 21 ref),
pp. 4.20-4.39.
24 | P a g e
http://www.hapaglloyd.com/downloads/press_and_media/publications/
Brochure_Container_Packing_en.pdf by Kent N. Gourdin (09) Global Logistics Management, 2nd edn., p
56-72(2013) , Availableat: http://www.logisticsmgmt.com/ (Accessed: http://www.logisticsmgmt.com/).
Thomas E. Johnson (2013). Export/Import Procedures and Documentation. london: ukprinters. p 125-
139
Freight forwarders
Saman Kohombange
Manager Freight Forwarding,
Harrisons Shipping (pvt) Ltd,
No.330, T.B.Jayah mawatha,
Colombo 10 - Sri Lanka.
Tel:0094 11 4608800/05.
FAX:0094 11 2695273
H.P.0094 0 777766191
www.capitalmaharaja.lk
Fazin Farook
Freight Line International (Pvt) Ltd
Tel + 94 114 621400
Fax + 94 114 621593
Mob + 94 714 533333
E-mail - fazin@freightlinelk.com
fazin@me.com
Web - www.freightlinelk.com
25 | P a g e
Brochure_Container_Packing_en.pdf by Kent N. Gourdin (09) Global Logistics Management, 2nd edn., p
56-72(2013) , Availableat: http://www.logisticsmgmt.com/ (Accessed: http://www.logisticsmgmt.com/).
Thomas E. Johnson (2013). Export/Import Procedures and Documentation. london: ukprinters. p 125-
139
Freight forwarders
Saman Kohombange
Manager Freight Forwarding,
Harrisons Shipping (pvt) Ltd,
No.330, T.B.Jayah mawatha,
Colombo 10 - Sri Lanka.
Tel:0094 11 4608800/05.
FAX:0094 11 2695273
H.P.0094 0 777766191
www.capitalmaharaja.lk
Fazin Farook
Freight Line International (Pvt) Ltd
Tel + 94 114 621400
Fax + 94 114 621593
Mob + 94 714 533333
E-mail - fazin@freightlinelk.com
fazin@me.com
Web - www.freightlinelk.com
25 | P a g e
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