DOCUMENTS USED

IN
INTERNATIONAL TRADE

V.G.NULKAR
DOCUMENTS USED IN INTERNATIONAL TRADE

 Types of documents:
 Official / Regulatory Documents
 Commercial Documents
 Financial Documents
 Transport Documents
 Risk Coverage Documents
 Miscellaneous Documents

If a document performs more than one function, it can be classified

into more than one category.
 DOCUMENTS USED IN INTERNATIONAL TRADE

 Regulatory Documents: Documents which satisfy

requirements of the statutory / trade / other regulatory
authorities are called regulatory documents or official
documents.

In International Trade the commercial parties need to

execute documents to satisfy the requirements of Trade
Control Authorities, Exchange Control Authorities,
Banking Authorities, etc.
DOCUMENTS USED IN INTERNATIONAL TRADE
 Some of the regulatory docs for export from India:
 Pre-shipment:
 GR / SDF / PP forms
 AR form
 N form
 Export license / certs
 Certificate of pre-shipment inspection
 Shipping Bill
 Certificate of origin
DOCUMENTS USED IN INTERNATIONAL TRADE

 Despatch Note (for postal export)

 Certified Invoice
 Israel Black List Certificate
 Manufacturer's Certificate (in addition to the Certificate of Origin).
 Certificate of Chemical Analysis (reg the quality and grade of
chemicals,metallic ores, pigments etc)
 Certificate of Shipment
 Health/ Veterinary/ Sanitary Certification (for export of foodstuffs,
marine products, hides, livestock etc).
 Certificate of Conditioning (reg humidity factor, dry weight etc.)
 Antiquity Measurement (issued by Archaeological Survey of India
in case of antiques).
 DOCUMENTS USED IN INTERNATIONAL TRADE

 Shipping Order - Issued by the Shipping (Conference) Line for

reservation of space (specific vessel, specified port, specified date).
 Cart/ Lorry Ticket - It is prepared for admittance of the cargo
through the port gate.
 Shut Out Advice - It is a statement of packages which are shut out
by a ship and is prepared by the concerned port shed.
 Short Shipment Form - It is an application to the customs
authorities at port which advises short shipment of goods and
claims the return.

 Post shipment:
 8. FIRC
 9. Bill of Entry
DOCUMENTS USED IN INTERNATIONAL TRADE

 Commercial (Operational) Documents:

Documents used or executed to satisfy the
normal commercial requirements of the
parties to the transactions are referred to as
commercial documents.
DOCUMENTS USED IN INTERNATIONAL TRADE

 Some of the common commercial

documents are:
 1. Proforma Invoice
 2. Commercial Invoice
 3. Consular Invoice
 4. Customs Invoice
 5. Legalised Invoice (visaed invoice)
 6. Combined Certificate of Origin and Value
DOCUMENTS USED IN INTERNATIONAL TRADE

 Financial Documents:
 The documents which perform the function of
obtaining finance, collection of payment etc.
are known as Financial documents. The
most common financial document used is a
bill of exchange.
DOCUMENTS USED IN INTERNATIONAL TRADE

 Bill of Exchange (B/E):

Also known as "Draft" or "Hundi".
A B/E performs the following five basic functions:
a) Means for collecting payment (evidencing a
commercial transaction)
b) Means for Demanding Payment

c) Means for extending credit

d) It is a promise of payment (on acceptance by the

payee)
e) It is a receipt for payment (on discharge / payment)
DOCUMENTS USED IN INTERNATIONAL TRADE

 Bills of exchange can be classified into two categories,

depending upon the time of payment allowed thereunder.

 Sight B/E (DP BASIS): Under such a B/E the drawee has
to make payment on presentation / sight/ demand.

 Usance B/E (DA BASIS): They are also known as

"TENOR" or "TIME" B/E. The drawee is directed to make
payment after a stated number of days or a period from a
particular date or event.
DOCUMENTS USED IN INTERNATIONAL TRADE

 TRANSPORT DOCUMENTS: Documents evidencing

shipment.
 1. Bill of Lading
 2. Airway Bill
 3. Air Consignment Note
 4. House Airway Bill
 5. Postal Receipt
 6. Courier / Expected Delivery Service
 7. Multimodal Transport Document ("Combined
Transport Document”):
DOCUMENTS USED IN INTERNATIONAL TRADE

 Risk Coverage Documents :

 Used for risk coverage of the cargo /
materials / valuables.

 1. Insurance Policy
Specific policy
Open policy

 2. Insurance Cover Note (provisional policy)

DOCUMENTS USED IN INTERNATIONAL TRADE

 MISCELLANEOUS DOCUMENTS:
 Documents which may be categorized in one or more of other
types of documents.
 1. Packing List
 2. Weight Certificate
 3. Certificate of Analysis and Quality
 4. Certificate of Inspection
 5. Health Certificate (live stock / plants)
 6. Advance Declaration for export (for shipments to
USA).