THE RUBBER TRADE ASSOCIATION OF EUROPE

PRESESERVED RUBBER LATEX IN DRUMS

(HEVEA BRASILIENSIS)
INTERNATIONAL CONTRACT

As adopted by the International Rubber Association at its Ninth Biennial Meeting held in Bangkok on
7th July 1989 incorporating all subsequent amendments approved by the Management Committee
of the International Rubber Association to 1st September 2009.

Adopted for use by the Rubber Trade Association of London on and after 1st October 1989.

Adopted for use by the Association of the International Rubber Trade on and after 1st January 1992.

Adopted for use by the Rubber Trade Association of Europe on and after 1st May 2002.

With amendments up to and including 1st October 2009.

With the Special Trading Terms and Conditions of the Rubber Trade Association of Europe adopted for use
on and after 1st April 2014 appended.

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INDEX TO THE INTERNATIONAL CONTRACT FOR PRESERVED RUBBER LATEX IN DRUMS
Page
Arbitration 7*

Claims – General 5

Declaration of Shipment 6*

Freight 7

Frustration of Contract 6

Glossary 9

Insurance 2*

Notices to be Given under this Contract 6*

Packing 4

Quality 4

Quantity Contracted For 2

Sampling 4

Shipment 2

Special Trading Terms 8*

Terminology 8

Weighing 2

* See also Index to the Special Trading Terms and Conditions of the RTAE.

INDEX TO THE SPECIAL TRADING TERMS AND CONDITIONS OF THE RTAE

Arbitration 12

Declaration of Documents 11

Declaration of Shipment 10

Documents for Payment 11

General 12

Inspection of Documents 12

Insurance 10

Marks 10

Non-Business Days 10

Notices 10

Payment 12

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THE RUBBER TRADE ASSOCIATION OF EUROPE

PRESERVED RUBBER LATEX IN DRUMS

(HEVEA BRASILIENSIS)
INTERNATIONAL CONTRACT

We have this day SOLD upon the terms of this Contract, TO : ................................................ ,
BOUGHT FROM
including the Conditions hereinafter contained or referenced, the following:

Contract No.:

Latex Type (including preservative):

Quantity: Shipment
Landed

Packing:

From (Port):

Destination:

Contract Type (CIF/C & F/FOB):

Price per kilogramme or lb (WET):

Freight: Prepaid
Payable at destination

Shipment Period/Vessel:

Broker/Intermediary:

Brokerage/Commission:

Payment:

Weighing/Sampling at: (Port of Shipment/Destination/Factory)

Arbitration: Regional Centre (Otherwise at )

Remarks:

Subject to the Regulations and Conditions governing the International Contract for Preserved
Rubber Latex in Drums (Hevea Brasiliensis) and to the Special Trading Terms and Conditions
of the Rubber Trade Association of Europe in force at the date of this Contract.

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1. Quantity:

Contracts made under these conditions shall be for specified quantities only and shipment quantities
which shall consist of full drums suitable for the transport of latex and fit for export. Disputes arising
over variances between specified quantities and quantities actually shipped shall be settled between
Buyer and Seller, or failing such agreement, subject to arbitration.

The words ‘ton’ shall mean a metric ton or ‘tonne’ of one thousand (1,000) kilogrammes wet weight. If
the contract weight is expressed in avoirdupois two point two zero five (2.205) lbs shall equal one (1)
kilogramme.

The expression ‘about’ when used to define quantities contracted for shall mean that:-

No excess or deficiency between contracted and shipped weights shall be greater than one half
(½) per cent of the contract quantity or Bill of Lading quantity or any monthly portion of a
contract. The excess or deficiency over one half (½) per cent up to and including two (2) per
cent shall be invoiced or invoiced back at the contract price. Should the excess or deficiency be
greater than two (2) per cent, the whole of the excess or deficiency over the contract quantity or
any monthly portion thereof, shall, failing agreement between Buyer and Seller, be invoiced or
invoiced back at a price fixed by arbitration at the Regional Centre where the Contract is
domiciled.

2. Weighing:

2. (A) Weight Tolerances

The Latex is to be invoiced at net shipping weights. Should the difference in shipment and
landed weight (excluding theft, pilferage and damage in transit) exceed one half (½) per cent
but not over two (2) per cent this difference in weight in excess of one half (½) per cent but not
over two (2) per cent shall be invoiced or invoiced back at the contract price. Any difference
exceeding two (2) per cent shall be invoiced or invoiced back at a price to be mutually agreed
between Buyer and Seller or failing which the price shall be referred to Arbitration.

2. (B) Weighing

In the event of the Buyer claiming an adjustment by reason of the nett landed weights differing
from the nett shipping weights, as provided for in the foregoing Clause 2. (A), he shall provide
within thirty-five (35) calendar days of the landing of the Latex, a copy of the nett landed
weights certified by a sworn weigher or recognised wharfinger or warehouseman, estimated by
weighing gross ten (10) per cent of drums and deducting the marked tare.

All weighing shall be done and recorded to an accuracy of one (1) part in one thousand (1,000)
(equivalent to one (1) gramme in one (1) kilogramme).

If a weight deficiency is found and it exceeds one half (½) per cent of the invoiced weight, the
cost of weighing shall be borne by the Seller, otherwise it shall be borne by the Buyer.

3. Insurance:

Terms of Insurance shall be as agreed between Buyer and Seller at the time of contract.

4. (A) Shipment:

4. (A) (i) To be shipped by vessel or vessels loading or commencing to load in port of shipment
(and loading continuously therein till date of shipment), per terms of contract, with
transit direct, and/or indirect, with liberty to call and/or transship at other ports.

4. (A) (ii) The Latex must be shipped by a vessel scheduled to sail to the port of destination or any
alternative destination as mutually agreed between Buyer and Seller, or in the case of
transshipment must be on a through Bill of Lading, or otherwise the Bill of Lading must
be endorsed by, or a certificate obtained from the Shipping Company that transshipment

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has been effected and that the Latex is actually on board a vessel scheduled to sail as
above.

4. (A) (iii) When Latex is sold for monthly shipment or for a specified part of a month’s shipment,
each month’s or specified part of a month’s shipment to be treated as a separate contract
and carry an individual Bill of Lading. Each Bill of Lading shall be treated as a separate
contract in respect of conventional break-bulk shipments but where shipment is effected
in containers, each container shall be treated as a separate contract.

4. (A) (iv) Bill of Lading date will be proof of time of shipment in the absence of conclusive evidence
to the contrary.

4. (A) (v) A Bill of Lading dated in the month immediately following the contractual month(s) shall
be a good tender provided that it contains the following warranty endorsed on the Bill of
Lading and signed by the Shipowners or on their behalf by their authorised Agents:

Warranted that the vessel commenced loading in the port of shipment in (month)
and has been continuously loading therein until date of shipment which is the date
of this Bill of Lading.

4. (A) (vi) A Bill of Lading dated in the month immediately preceding the contract month(s) shall be
a good tender provided that it contains the following warranty endorsed and signed as
above:

Warranted that the vessel has been continuously loading in the port of shipment
since the date of this Bill of Lading and that the date of its final departure from the
port was ……………………………… (This date must be within the contract month(s)).

4. (A) (vii) If under the terms of this Contract, the Buyer has the obligation to declare a port of
destination and/or nominate a vessel and fails to do so by the fifth (5th) business day prior
to the month of shipment, then the Latex may be shipped to a port in the country of
destination or if no country of destination has been stated, to a port customarily serving
the country in which the Buyer is domiciled, at the Seller’s option but Buyer to be notified
by receipt-acknowledged telefax or e-mail not later than three (3) business days after the
fifth (5th) business day prior to month of shipment.

A Seller who has the option to ship from more than one port must declare the port from
which he intends to ship on or before the sixth (6th) business day prior to the month of
shipment to enable the Buyer to fulfil his obligation as stipulated in the previous
paragraph.

4. (B) (i) Specified Period of Shipment:

In the case of contracts calling for shipment through a specified period, where cargo is
shut out, or a vessel omits ports specified in the Contract, and when no other vessel is
available during the shipment period, the Buyer or the Seller shall be entitled to claim
shut out and invoke Clause 9, upon production of an appropriate certificate issued by the
Shipping Line or Representative

4. (B) (ii) Named Vessel:

If the Latex has been sold for shipment on a Named Vessel, and this vessel, through
change of schedule, should omit ports specified in the Contract or the Latex should be
shut out of said vessel, the party responsible for supplying the space shall, within nine (9)
calendar days after being informed, nominate the next vessel on which space is available
to the required port scheduled to sail not earlier than the scheduled sailing date of the
Named Vessel (failing which the other party shall be entitled to nominate the vessel).

4. (B) (iii) Should the loading date for the substituted vessel be more than three (3) weeks after the
loading date for the original nominated vessel, all additional expenses related to the
delayed shipment accrued or incurred at the loading end, shall be for the account of the
party responsible for supplying the space.

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5. Packing:

In new drums containing about …………………… kilogrammes, wet weight, each.

6. Quality:

If under the terms of this contract, the Buyer has the obligation to declare a Type/Grade of Latex and
fails to make such a declaration by the first (1st) business day of the month prior to the month of
shipment, then the Seller may ship the Latex with a Dry Rubber Content of sixty (60) per cent by
weight Full Ammonia preserved but Buyer to be notified by receipt-acknowledged telefax or e-mail not
later than the fourth (4th) business day of the month prior to the month of shipment.

The Dry Rubber Content to be sixty (60) per cent by weight (unless otherwise agreed between Buyer
and Seller and specially stated herein) which figure shall be taken to mean that any excess over sixty
(60) per cent shall not be charged to the Buyer, and the latter shall have no claim against the Seller for
any deficiency below sixty (60) per cent and down to fifty-nine point eight (59.8) per cent. In the case
of the Latex sold with a Dry Rubber Content other than sixty (60) per cent the Seller shall not be liable
for a claim if the deficiency is proportionately no greater than that permitted for sixty (60) per cent
Dry Rubber Content Latex.

If the Dry Rubber Content is below fifty-nine point eight (59.8) per cent but not below fifty-nine (59)
per cent a percentage allowance shall be made by Seller to Buyer, which allowance shall be that
proportion of the contract price equivalent to the amount by which the Dry Rubber Content falls short
of sixty (60) per cent, expressed as a percentage of sixty (60) per cent. If the Dry Rubber Content is
below fifty-nine (59) per cent, the Buyer shall have the option, to be exercised only after analysis has
been made as laid down in the subsequent paragraph, of rejecting the Latex and claiming default or of
accepting it with an allowance, provided that the Latex has not been removed from the quay or public
warehouse at destination called for in the contract unless factory weighing and sampling has been
agreed between the Buyer and Seller. In the event of the Buyer deciding to accept the Latex with an
allowance, there shall be subtracted from the established Dry Rubber Content a figure which shall be
the amount by which it falls short of fifty-nine (59) per cent and this shall be regarded as the Dry
Rubber Content for the purpose of calculating the percentage allowance to be given by Seller to Buyer.
This allowance shall be the proportion of the contract price equivalent to the amount by which the
notional Dry Rubber Content, as arrived at above, falls short of sixty (60) per cent, expressed as a
percentage of sixty (60) per cent.

The Dry Rubber Content to be ascertained by the Coagulation Method as adopted by the Management
Committee of the International Rubber Association by an approved independent analyst mutually
agreed by Seller and Buyer.

The Latex to be completely fluid, free from putrefactive odour, reasonably white in colour and
commercially free from extraneous matter. In the event of a claim arising, from any cause whatsoever,
failing an amicable settlement, it shall be referred to arbitration.

7. Sampling:

7. (i) Such sample or samples shall be drawn by an approved sampler or jointly by Buyer’s and Seller’s
representatives at a point as agreed in the Contract. If the Seller has not named his
representative, the labels of the samples shall be signed and sealed by Buyer in conjunction with
an independent recognised sampler and shall be accepted by the Seller.

7. (ii) Drums representing 10 per cent of the delivery subject to a minimum of one, shall be selected at
random.

7. (iii) Latex in individually selected drums to be adequately blended/homogenised in accordance with

either the ISO Method 123-01 and/or the ASTM Method D1076-06, as agreed at the time of
contract.

7. (iv) One half (½) litre shall be drawn from each of these drums and bulked.

7. (v) From the quantity so bulked, five (5) samples, each of not less than one half (½) litre shall be
drawn into separate containers (of non-absorbent inner surface chemically resistant to latex).

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Each container shall be filled full, sealed air-tight and labelled, stating the distinctive numbers of
the drums opened. Seals shall be applied in accordance with clause 7. (i) above. (In the event of
sampled drums being less than five (5) in number, adequate latex shall be taken to provide five
(5) samples).

Two (2) samples shall be retained by Buyer’s representatives and three (3) shall be retained by
Seller’s representatives, each to send one (1) sample to an approved Independent Analyst or a
recognised Regional Test Laboratory mutually agreed by Seller and Buyer, the remaining to be
kept for use in the event of arbitration and/or appeal against arbitration award.

All samples shall be kept within the temperature range of plus five (+5) and plus thirty (+30)
degrees Celsius.

8. Claims:

8. (A) Claims in respect of the Quality Specification

8. (A) (i) In the event of a claim, other than a claim for rejection, failing amicable settlement,
samples shall be tested by an approved Independent Analyst or a Regional Test
Laboratory as mutually agreed by Buyer and Seller. If this analysis is to be final and
binding on other parties then their agreement must also be obtained. In the case where
this agreement is not possible then the Co-ordinating Test Laboratory shall perform the
analysis.

For the purpose of this Clause the Standards Laboratory of the Rubber Research Institute
of Malaysia is appointed as the Co-ordinating Test Laboratory.

8. (A) (ii) If the quality is not in accordance with the contractual specification as confirmed by an
approved Independent Analyst or Regional Test Laboratory, then Buyer shall accept the
Latex with a fair allowance to be decided upon by arbitration in the Arbitration Centre
named in this Contract or subsequently agreed upon by Buyer and Seller, provided
Arbitrators are of the opinion that the Latex as shipped was bona fide fulfilment of the
Contract. Should Arbitrators decide that the Latex as shipped was non bona fide, they
shall fix an allowance and Buyer, if he has so claimed, shall have the option, to be
exercised within five (5) business days from the issue of the Award, of rejecting the Latex
and claiming default or accepting it with the allowance as the Arbitrators shall award.

8. (B) Claims – General

8. (B) (i) Sealed sample or samples in support of the claim must be produced by Buyer to the Seller
or his authorised representative within forty-two (42) calendar days of the date of
discharge at the port of destination named in the Contract. This period may be extended
by agreement between the parties or at the discretion of the Arbitrators, if the delay is due
to circumstances over which the final Buyer has no control. The cost of sampling,
supervision, analysis, despatch of samples promptly by air and all reasonable expenses
and charges of Buyer’s representative shall be paid by the Seller if a claim is sustained
except in the case where such charges equal or exceed the amount of the Award when
Arbitrators shall have the discretion to award those charges against either party.

8. (B) (ii) Final notice in writing of the claim, stating the grounds of the complaint must be given by
Buyer to the Seller or his authorised representative within five (5) business days of the
expiry of the period stipulated above for the production of sample or samples otherwise
the claim will be null and void. If a claim still remains in dispute at the end of a period of
fifteen (15) weeks from the date of the final discharge of the vessel at destination, it shall
be the responsibility of the Buyer to submit it to arbitration for settlement. Failure to take
this step within fourteen (14) days of the expiry of this period shall render the claim null
and void.

8. (B) (iii) The Seller further agrees that the destination for the purpose of inspecting the goods shall
be deemed, if Buyer so wishes, to be the factory or factories instead of ports named in the
Contract, provided always that the cost of transport and insurance from steamer to
factory shall be for Buyer’s account. While in factory, the goods shall be at factory Buyer’s
risk.

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8. (B) (iv) Factory in this Contract shall include premises used for storage occupied by the
proprietor of the factory whether or not the same shall be in the curtilage of the factory.

8. (B) (v) In the event of the Buyer claiming rejection the Seller may within five (5) business days
request that a second (2nd) sample or samples be taken in the presence of Buyer’s and
Seller’s representatives, as per Clause 7, and shall be tested by a Regional Test Laboratory
as agreed by Buyers and Sellers. Should Seller not name his representative at the time of
requesting the second (2nd) samples, then the labels of the samples shall be signed and
sealed by Buyer in conjunction with an independent recognised sampler and shall be
accepted by the Seller.

This result shall be final and binding on all parties.

The cost of second (2nd) sampling, supervision, analysis, despatch of samples promptly by
air and all reasonable expenses and charges of Buyer’s representative shall be paid by the
Seller if a claim for rejection is sustained.

8. (B) (vi) In the event of final rejection the Seller shall within ten (10) business days of the receipt
of the approved analyst’s report or the Award, notify the Buyer by receipt-acknowledged
telefax or e-mail naming the warehouse to which the Latex is to be returned together with
any instructions regarding sampling, weighing and insurance. The Buyer shall carry out
such instructions without undue delay and also insure the drums in transit. Buyer shall
be entitled to debit Seller with the cost of returning the drums to warehouse, including
insurance in transit. The cost of receiving the Latex into warehouse and of working and
sampling shall be for Seller’s account.

Where drums are delivered to a factory or factories without passing through a warehouse,
or when part of the consignment is delivered to warehouse and remainder is delivered to
a factory or factories without passing through a warehouse neither the onward movement
of the goods from port nor the breaking of quantity by distribution of one (1) contract
quantity between two (2) or more factories shall be deemed an acceptance by the Buyer so
as to cause the Buyer to lose thereby his right of claim or rejection.

9. Frustration of Contract:

Should Seller be prevented from fulfilling his obligations hereunder during the period stipulated
herein by reasons of act of God, act of Sovereign, government or parliament, consequences of
hostilities or warlike operations, blockade, political or civil disturbances or insurrections, riots, strikes,
lock-outs, combination of workmen or any other cause beyond his control which he could not
reasonably have been expected to anticipate and such cause or causes continue for a period of twelve
(12) calendar months from the commencement thereof, any obligations hereunder relating to
shipments or deliveries the fulfilment of which is thus prevented and payment therefore shall be
cancelled and no claim shall lie by either party against the other in respect of loss or damage arising
out of such cancellation.

Should such cause or causes continue for a period of less than twelve (12) calendar months any
outstanding shipments shall be shipped and any outstanding obligations hereunder shall be fulfilled as
soon as possible after such cause(s) cease(s) to operate but in no event later than six (6) calendar
months after such cessation.

10. Declaration:

Seller shall give Buyer the following:

10. (A) Declaration of Shipment:

Declaration of Shipment must be issued by the Seller or his authorised representative and must
state the contract reference, leading marks, number of drums shipped, weight, name of vessel
and Bill of Lading date.

10. (A) (i) The Declaration of Shipment must be issued by receipt-acknowledged telefax or e-mail to

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ensure receipt within nine (9) calendar days of the date of the Bill of Lading or the date of
first transshipment into ocean-going vessel as marked on the through Bill of Lading
(subject to the provisions of para. 10. (A) (iii) below) in case of CIF contract or within six
(6) calendar days for any other terms to enable a FOB or C & F Buyer to cover insurance.

10. (A) (ii) Failure by the Seller to issue the Declaration of Shipment within the period specified in
10. (A) (i) shall entitle the Buyer to claim for such damages as he shall prove to have
sustained.

10. (A) (iii) In no case shall a Declaration of Shipment be issued by the Seller or his authorised
representative later than the twenty-first (21st) calendar day following the last day of the
period of shipment. Failure to issue the Declaration of Shipment within this period shall
constitute a default and the twenty-second (22nd) calendar day following the last day of
the period of shipment shall be deemed to be the date established as the date of default
for invoicing back purposes, failing an amicable settlement prior to that date.

10. (A) (iv) Without the consent of the Buyer, a Declaration of Shipment, which on the face of it
complies with the contract, shall not be withdrawn or altered except in the case of a bona
fide error, of which the Seller must furnish adequate proof.

10. (B) General:

Any notice to be given under this Contract must be made with due despatch to the last known
place of business of the party to whom it is addressed.

All parties must acknowledge receipt of every notice or Declaration.

When an act has to be done on or before a given day, and such day shall happen to be a non-
business day, such act must be done on or before the next following business day, unless
provision is made to the contrary in these Conditions.

11. Freight:

Freight under C. & F. and C.I.F. Contracts to be for Seller’s account. Any alteration in freight resulting
from circumstances which, under Tariff rules, entitle a Shipping Conference to vary their freight rate
without notice shall if made after the date of contract and before the date of the Bill of Lading be
shared equally between Buyer and Seller.

12. Arbitration:

12. (a) When either party to this Contract claims that a default has occurred, then failing an amicable
settlement, the dispute shall be placed before arbitrators and if the latter decide that a default
has occurred, the Contract shall be closed out at a price and weight, which price shall be the
estimated market value of the Latex contracted for on the day the default has occurred or is
established within the discretion of the Arbitrators with a penalty of not less than one (1) per
cent of the value of the Contract or the equivalent thereof in the currency of the injured party.

12. (b) All Arbitrations shall be held in accordance with the provisions of the Constitution of a Member
Association in the designated Centre of Arbitration given in 12. (c) below and, unless Arbitrators
otherwise direct, all differences due under any Arbitration Award, whether arising out of claims
for default, or claims on quality, or otherwise, shall be paid in cash within seven (7) business
days from the receipt of the Award. In the event of an appeal, payment may be suspended
pending the result of the appeal; but should the Award be upheld the amount due shall be
increased by interest at bank rate for the contract currency in the country of the sustained party
and payment shall be due within three (3) days of the result of the appeal being made known to
the losing party.

12. (c) Any dispute arising out of this Contract shall be settled at the designated Centre of Arbitration
mentioned below, unless otherwise agreed upon between Buyer and Seller:

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Regional Port of Destination Regional Centre of Arbitration

Central and North America New York

Europe including Russia & Turkey London

Australasia, Asia, Africa and South America Singapore or Kuala Lumpur or

Jakarta or Bangkok at the choice of
the party whose application for
arbitration is first received at that
Regional Centre of Arbitration.
If applications are received from
both parties at different Regional
Centres of Arbitration on the same
date, Sellers choice of Regional
Arbitration Centre shall prevail.

Japan Tokyo

This Contract shall be construed according to the Laws of the Country wherein Arbitration shall
take place whatever be the residence or nationality of the parties, and its performance shall, in
every part and incident, be considered due in that country for the purpose of jurisdiction, and
the Courts and Arbitrators in that country shall have absolute jurisdiction over all disputes
which may arise under this Contract, and decisions shall be enforceable as final judgements in
any Country.

12. (d) In the event of there being more than one contract existing between the same parties, which
shall be closed in pursuance of an Association’s Constitution, an account shall be taken of what
is due from the one party to the other in respect of such contracts, and the sum due from the one
party shall be set off against the sum from the other party, and the balance of the accounts and
no more shall be claimed or paid on either side respectively.

12. (e) When the subject matter and terms of contracts are identical or identical except as to date,
quantity or price, all arbitrations in respect of quality or condition shall be held between First
Seller and Last Buyer or their authorised representatives and the award made in pursuance
thereof, subject to the right of appeal to the Association, shall also be binding on all
intermediary parties providing that the terms of the contract have been duly fulfilled so far as
they are concerned.

13. Terminology:

In these Conditions, unless the context otherwise requires, words importing the singular number only
shall include the plural number, and words importing the plural number only shall include the
singular number, and words importing persons shall include firms and corporations.

14. Minor typographical errors in the printing of an individual contract shall not be deemed to void the
contract.

15. Disputes arising from different interpretations of the terminology of this Contract shall be referred
back to the Management Committee.

All special clauses proposed by any Member Association using this Contract shall be notified to the
Management Committee of the International Rubber Association prior to their adoption. If in the
opinion of the Management Committee any such clauses should properly form part of this Contract
rather than of the special trading terms of an individual Association, the Management Committee shall
inform the Association concerned accordingly, and users of this Contract shall not be bound by such
special terms. The terms and conditions of the International Contract shall take precedence until the
matter is resolved. The Management Committee shall be responsible for notifying all Member
Associations of any special terms sent to them.

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No Member Association using this Contract shall be bound by the special trading terms of another
Association until they have received and acknowledged a copy of such terms.

Glossary:

‘Weights recorded to the nearest’ means that weights can be taken upwards as well as
downwards. Where the weight recorded is exactly halfway it will be taken upwards.

Dry Rubber Content (DRC) shall be determined to the nearest 0.01 per cent.

Technical Specifications shall be as agreed between Buyer and Seller.

For the present, recognised Regional Laboratories include the test laboratories of:
Rubber Research Institute of Cambodia – Phnom Penh, Cambodia
National Rubber Quality Supervision Testing Center – Haikou, Hainan, China
CIRAD – CP Chimie Technologie Hevea – Montpellier, France
Rubber Consultants, c/o Tun Abdul Razak Research Centre – Hertford, Great Britain
Processing & Quality Control Division – Kottayam, Kerala, India
Pusat Pengajian Mutu Barang Eksport Import – Jakarta, Indonesia
Malaysian Rubber Board – Kuala Lumpur, Malaysia
Philippine Rubber Testing Centre - Kabacan, Cotabato, Philippines
TUV SUD PSB Pte Ltd - Singapore
Rubber Research Sub Institute – Hatyai, Songkhla, Thailand
Rubber Research Institute of Vietnam – Ho Chi Minh City, Vietnam

‘Through Bill of Lading’ shall mean a Bill of Lading issued by a local carrier with authorisation to
act on behalf of the ocean-going carrier calling for shipment into a specific ocean-going vessel
scheduled for continent of destination.

Such Bill of Lading should be that of the final carrier and the authorisation should be registered
– through the Secretariat – with all IRA members. (It is understood that the above definition is
subject to appropriate amendment as necessary).

A ‘recognised sampler’ is one which is included in the list of recognised samplers maintained by
the Secretariat of the International Rubber Association.

Shut Out:

A shut out is deemed to occur when loading of rubber is not permitted by a shipping company
on a vessel for which space had previously been booked.

Marking:

Drums to be marked in accordance with Buyer’s instructions and the tare weight.

++++++

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SPECIAL TRADING TERMS AND CONDITIONS OF
THE RUBBER TRADE ASSOCIATION OF EUROPE

1. Insurance

1.1 Seller to effect insurance in accordance with the International Cargo Clauses (A) of 1st January 2009 at
the price of this contract plus 10 per cent. If and to the extent not so insured, the Buyer may claim a
Banker’s guarantee for the fulfilment of the insurance. Claims are to be payable at destination or in
London.

1.2 Seller must provide a policy capable of extension if required to final inland destination. Any additional
premium arising from such extension shall be for Buyer’s account.

1.3 If insurance of War Risks cannot be effected, the Seller shall at once notify the Buyer, whereupon the
shipment of this contract or any portion unshipped, shall be postponed until such time as War Risk
can be effected.

1.4 When the rate of premium for War Risk Insurance is more than 0.5 per cent, then the excess over 0.5
per cent shall be paid by the Buyer.

2. Notices

2.1 Any notice to be given under this contract must be made by e-mail or telefax or hand-delivery and
passed on by all parties to the last known e-mail address or telefax number or business address with
due despatch but in any case within two (2) business hours of receipt.

2-2 All parties must acknowledge receipt of every notice by e-mail or telefax or delivery by hand in a
manner that clearly identifies the recipient and the contract within one (1) business hour

3. Non-Business Days

3.1 When an act has to be done on or before a given day, and such day is a non-business day (which shall
include any day declared as such by the Rubber Trade Association of Europe), such act must be done
on or before the next following business day, unless provision is made to the contrary in these Special
Trading Terms and Conditions.

3.2 Every Saturday and Sunday and Bank Holiday or substitute Bank Holiday in England and Wales shall
be considered non-business days.

3.3 Member or non-Member parties to the contract prevented from acting by a local non-business day or
by closure of the local business day must ensure that the act is done on or before the next following
local business day or the business hours specified in these Special Trading Terms and Conditions and,
if required by other parties to the contract or arbitrators, to provide evidence of the local non-business
period. This clause shall have no effect on Special Trading Terms and Conditions Clause 5.2.

4. Marks

Any slight variation in marks (other than quality marks), numbers or ship’s name, shall not vitiate this
Contract.

5. Declaration of Shipment

5.1 Declaration of Shipment must be issued by the fist Member Seller by receipt-acknowledged e-mail or
telefax or hand-delivery fully in accordance with Clause 10. (A) of the International Contract and, in
addition, shall include the identity of the last Member Buyer. In the case of shipments made in
containers, the provisional declaration must state the container numbers and the name of the shipping
company upon whose Bill of Lading the rubber has been shipped.

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5.2 If the twenty-first (21st) calendar day referred to in Clause 10. (A) (iii) of the International Contract
shall happen to be a non-business day, the period for the issue of the provisional declaration shall be
extended to include the next following business day. In this case, the next following business day
thereafter shall be deemed to be the date established as the date of default for closing out purposes,
failing an amicable settlement prior to that date.

5.3 A Declaration of Shipment must be passed on by all parties by receipt-acknowledged e-mail or telefax
or hand-delivery within two (2) business hours of receipt. Failure to pass on a Declaration of
Shipment within the time limit specified above shall entitle Buyer to liquidated damages of not less
than one pound sterling per metric ton (£1.00/metric ton) or such higher damages as he shall prove to
have sustained.

5.4 Where a Final Declaration can be made within the periods stipulated above for Declarations of
Shipment, a Declaration of Shipment need not be made.

6. Declaration of Documents

6.1 Declaration that Documents are ready for delivery shall be made by receipt-acknowledged e-mail or
telefax or hand-delivery and shall contain sufficient particulars as to nett weight, freight, marks,
number, ship, port of shipment and Bill of Lading date, and the identity of the Last Member Buyer, to
enable invoices to be prepared. First Member Seller shall make such Declaration within two (2)
business hours after arrival of Documents. Declarations shall be passed on to subsequent Buyers by
receipt-acknowledged e-mail or telefax or hand-delivery within two (2) business hours of receipt. Any
party holding up Final Declaration beyond the stipulated period shall render himself liable to damages
to be fixed by arbitration. The First Member Seller and each subsequent Buyer shall render invoice to
his Buyer before the expiry of the next business day following Declaration. Any Buyer splitting Final
Declaration shall become last Member Buyer and first Member Seller, and shall state on the
Declaration on whom the Delivery Order will be issued.

6.2 Should first Member Seller make a Final Declaration earlier than the twentieth (20th) business day
after the date of the Bill of Lading, it shall be deemed to have been made on the twentieth (20th)
business day after Bill of Lading date, for the purpose of calculating the prompt date.

7. Documents for Payment

7.1 Payment shall be made in full, free from all bank or other transmission charges, in ……………………
against delivery of Shipping Documents, in accordance with Special Trading Terms and Conditions
Clauses 8 and 9. Shipment Documents shall consist of:

(i) complete set of clean ‘On Board’ Bills of Lading, or Bill of Lading (and Banker’s guarantee, if
required, for any missing copies) and/or Ship’s Delivery Order and/or Seller’s Delivery
Order (to be accompanied in each case by Banker’s guarantee, if required); and

(ii) policy of Insurance and/or Certificate and/or Letter of Insurance (accompanied in the case
of a Certificate and/or Letter of Insurance by Banker’s guarantee, if required) and

(iii) invoices for Customs purposes, if required, and/or Seller’s guarantee to produce same within
reasonable time (accompanied by Banker’s guarantee, if required); and

(iv) Test Certificate; and

(v) detailed Weight Note or Seller’s guarantee to hold Buyer harmless against being out of date
with claim for theft or pilferage and/or extra working charges that may be incurred.

7.2 A clean shipping document is one which bears no superimposed clause or notation which expressly
declares a defective condition of the goods and/or packaging.

7.3 Should charges arise from splitting of Documents the responsibility for such charges shall rest on the
party requiring the Documents to be split.

7.4 Documents as from the date of the Bill of Lading shall be for Buyer’s account ship lost or not lost.

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8. Inspection of Documents

8.1 Last Member Buyer shall inform first Member Seller with due despatch by receipt-acknowledged e-
mail or telefax or hand-delivery his receipt of Final Declaration, and inspect Shipping Documents
within nine (9) business hours from the time when Documents are ready for this purpose. Delay or
non-fulfilment of this Condition renders last Member Buyer liable to damages to be fixed by
arbitration. On receipt of notification from last Member Buyer of receipt of Final Declaration first
Member Seller shall permit last Member Buyer to inspect the Documents or, alternatively, at last
Member Buyer’s option, despatch by e-mail or telefax or hand-delivery copies of all the Documents,
certified by first Member Seller as true and complete copies, to last Member Buyer. Within the above-
mentioned period for inspection of Documents last Member Buyer shall by e-mail or telefax or hand-
delivery inform first Selling Broker either:

(a) that he has inspected the Documents and that the same are in order, or

(b) specify any objection to the validity of the Documents.

8.2 In the event of (b), first Member Seller shall take the necessary steps to remove Buyer’s objection and
obtain Buyer’s approval by receipt-acknowledged e-mail or telefax or hand-delivery.

9. Payment

9.1 A printed paper copy of last Member Buyer’s inspection and approval of the Documents shall be
attached and tendered by first Member Seller not later than noon (12.00) London time on the third
(3rd) business day after date of Final Declaration, unless last Member Buyer shall have required earlier
delivery of Documents and shall have so applied by e-mail or telefax or hand-delivery to first Member
Seller in which case a printed paper copy of last Member Buyer’s application shall also be attached to
the Documents by first Member Seller and despatched without delay. No interest shall be allowed to
any Buyer in respect of Documents taken up under this Special Trading Terms and Condition Clause.

9.2 Notwithstanding the foregoing, if the vessel has arrived, or is due to arrive, at the port of destination
before the prompt date and shippers are in possession of Shipping Documents, first Member Seller
may issue Final Declaration not earlier than three (3) business days before the arrival of the vessel and
payment shall be made not later than noon (12.00) London time on the third (3rd) business day
thereafter.

9.3 Documents must in all cases be passed on within one (1) business hour of receipt, cash against
delivery. Seller shall not be entitled to tender Documents to next Buyer and claim payment under this
Special Trading Terms and Condition Clause 9.3 after 16.00 London time.

9.4 The hours stated in this Special Trading Terms and Condition Clause 9.3 are based on London Banks’
closing hour of 17.00, the time in this Special Trading Terms and Condition Clause 9.3 shall be
automatically altered to correspond to any alteration which may be made in the said closing hour and
such alteration shall be effective for all contracts made under this Special Trading Terms and
Condition Clause 9.3 including those dated before the alteration.

10. Arbitration

10.1 Any dispute arising out of this Contract shall be settled by Arbitration in London, according to the
Articles and Regulations of the Rubber Trade Association of Europe.

10.2 This Contract shall be construed according to the Laws of England, whatever be the residence or
nationality of the parties, and its performance shall, in every part and incident, be considered due in
England for the purpose of jurisdiction, and the Courts of England or Arbitrators in England, as the
case may be, shall have absolute jurisdiction over all disputes which may arise under this Contract, and
decisions shall be enforceable as final judgements in any Country.

11. General

11.1 Uniform Laws on International Sale of Goods shall not apply to this Contract.

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11.2 The hours of a business day are from 9.00 to 17.00 London time.

11.3 Any Banker’s guarantee must be issued on a first class international bank.

11.4 Neither the Association nor the Committee shall have any liability whatsoever for the condition of
warehouses approved by the Association, for their suitability for the storage of rubber or the
performance by keepers of such warehouses of any responsibilities which they may assume towards
members of the Association or other persons. Persons placing rubber into such warehouses, or taking
delivery or rubber from such warehouses, shall accordingly have no claim against the Association or
the Committee for any loss or damage thereby incurred, however such loss or damage may be caused.

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