INSTRUMENTS OF

FOREIGN TRADE
SWETA KUMAR MAHAPATRA
HPGD/OCT17/1553
FINANCE

WE SCHOOL
WELINGKAR EDUCATION
MARCH 2020
 INSTRUMENTS OF FOREIGN TRADE

INSTRUMENTS OF FOREIGN TRADE

Objectives:
 Documents used in foreign trade and their features
 Commercial documents used in foreign trade and their features
 Official documents used in foreign trade and characteristic features of each document.
 Various transport documents used in foreign trade and their features
 Insurance documents and their features
 Main documents used as financial and financing document in foreign trade and their
features
Meaning of Foreign Trade:
When residents of two or more countries do the purchase and sale of goods and services
is called foreign trade or international trade. The foreign trade of the country refers to Imports
and Exports of merchandise from and to other countries under the contract of sale.
Documents used in Foreign Trade
Documents are used to record a written evidence of having carried out a transaction in all trades.
Fairly large number of documents required in foreign trade or international trade to satisfy the
two basic requirements, viz., regulatory documents and operational documents. These large
numbers of documents are broadly classified as under:
1. Commercial documents
2. Official documents
3. Transport documents
4. Insurance documents
5. Financial and Financing documents

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INSTRUMENTS OF FOREIGN TRADE