Question

In the following matrix, you will identify who requires a specific document to be completed or where the document needs to be filed. You will also give a short description of the document’s purpose in the importing process. Am I correct?



letter of credit= buyer’s bank

air waybill= air carrier

pro forma invoice= bank

shipper’s export declaration= Department of Commerce

general export license=?

validated export license= Department of Commerce’s Office of Export Administration

export bill of lading=?

insurance certificate=?

commercial invoices= Some importing countries
require the commercial invoice to be in their language and to be visaed by their local consul.


consular invoices=purchased from the consul


certificates of origin=issued by the local chamber of commerce and visaed by
the consul.


inspection certificates=required by buyers of grain,foodstuffs, and live

Answer 1

letter of credit= A letter of credit (LC) originates at a bank, and guarantees that a seller will receive payment of a set amount, at a set time, from a buyer as agreed upon.

air waybill= An air waybill (AWB) is a shipping contract of sorts, between the seller and the carrier that is filled out at the time of shipping.

pro forma invoice= A pro forma invoice is a document that a buyer requests that contains description of the merchandise, price, delivery time, method of shipping, terms of sale, and points of exit and entry.

shipper’s export declaration= A shipper’s export declaration (SED) is required by the Dept. of Commerce in order to control export and supply export stats.

general export license= A general export license is issued for any product that does not require a specific license and does not require a further application for the good.

validated export license= A validated export license is required by the U.S. government. This license is required when exporting strategic materials, or anything into unfriendly countries.


export bill of lading= An export bill of lading (B/L) is a document that a transportation company or carrier issues to a shipper.

insurance certificate= An insurance certificate is proof that insurance is in place prior to shipping. This insurance can originate with either the buyer or the seller.

commercial invoices= A commercial invoice is required by buyer before payment for goods is rendered to the seller.

consular invoices= A consular invoice is purchased from the consul, prepared in the language of the country, and then visaed by the consul.

certificates of origin= A certificate of origin is usually issued by the local chamber of commerce and visaed by the consul.

inspection certificates= Inspection certificates are issued by the Department of Agriculture in the U.S.