While preparing goods, all import and export companies, for example,contracts such as C.I.F. or C.F.R., must also do a good job in chartering and booking space, and handle customs declaration, insurance and other procedures.

A. Chartering and booking shipping space

Under the condition of C.I.F. or C.F.R., chartering and booking shipping space is one of the seller’s main responsibilities. If the exported goods is in large quantities and needs to be carried by the whole ship, then the chartering procedures should be handled externally; If the exported goods is in small quantities, and there is no need to ship the whole ship, the outward transportation company can arrange liner shipping or charter some shipping spaces for transportation.

The summary procedures for chartering and booking shipping space:

1. The import and export company entrusts the outward transportation company to handle the consignment procedures, fill in the shipping note.

 

2. After receiving the consignment note, the ocean shipping company shall review the consignment note, return the space allocation receipt of the consignment note after determining the ship of shipment, and hand over the shipping order to the import and export company for filling in, and then the ocean shipping company shall handle the same consignment procedures on behalf of the import and export company as the shipper to the ocean shipping agency.

3. After the goods are inspected and released by the customs, the master or the first mate shall sign and receive the "receipt" (also known as mate's receipt). It is a temporary receipt issued by the shipping company to the shipper indicating that the goods have been loaded. The shipper shall deliver the freight to the ocean shipping agency and exchange it for the official bill of lading with the receipt.

B. Customs declaration

Customs declaration refers to the procedure of declaration to the customs before the import and export goods are loaded and shipped. According to the provisions of China's Customs Law: all goods entering and leaving the country must go out through ports, stations and international air stations with customs, and the owner of the goods must declare to the customs. After being released by the customs, the goods can be picked up or loaded for export.

At present, China's import and export companies must fill in the export goods declaration form when handling customs declaration. If necessary, they also need to provide copies of export contracts, invoices, packing lists or weight lists, commodity inspection certificates and other relevant documents to declare exports to the customs.

 

C. Insure

For contracts that exported at C.I.F. price, the seller must timely go through the insurance formalities with the people's Insurance Company of China and fill in the insurance form before shipment. Insurance procedures for export commodities are generally handled one by one. When applying for insurance, the applicant shall list the name of the goods, the insured amount, the transportation route, the means of transportation, the date of sailing, the type of insurance, etc. Due to the large volume of business between our import and export company and the people's Insurance Company of China, in order to simplify the procedures, we generally do not really write the insurance form, but use the detailed list of export goods or cargo shipment analysis form to replace the insurance form. The insurance company accepts the insurance and issues the insurance policy or insurance certificate.

 

It can be seen from the above links of export contract performance that the connection of goods, certificates and ships is an extremely detailed and complex work in the process of export contract performance. Therefore, in order to perform export contracts well, import and export companies must strengthen the scientific management of export contracts, establish a process management system that can reflect the implementation of export contracts, take corresponding management measures, and do a good job of "four row" and "three balance". "Four row" refers to the analysis and queuing of sales contracts according to the situation reflected in the process card, including whether the letter of credit has arrived and whether the source of goods can be implemented. And it can be summarized into four categories: namely, "goods with certificates, goods without certificates, goods without certificates, and goods without certificates" can find problems and solve them in time. "Three balances" refers to taking the letter of credit as the object, according to the shipment date of goods stipulated in the letter of credit and the validity of the letter of credit, combined with the specific situation of the source of goods and transportation capacity, distinguishing priorities, and striving to achieve the connection and balance of the letter of credit, goods and ships. Try to avoid this phenomenon that inaccurate delivery, delayed delivery or non delivery.