1) Underwriting
Underwriting (exclusive sales) is one of the customary way of international trade. In China's export business, according to the characteristics of certain commodities and the need to expand exports, in the appropriate market, select the appropriate customer, can also be used in the way of underwriting. Underwriting (exclusive sales) pointed out that the mouth (principal) through the agreement of a commodity or a class of commodities in a certain region and the duration of the right to give a foreign customer or company's trade practices. Although underwriting is also sold, but underwriting with the usual unilateral export different. It is in addition to the parties signed a contract of sale, but also in advance of the signing of the underwriting agreement. The use of underwriting, the rights and obligations of the buyer and seller are with the underwriting agreement determined. Both signed the contract of sale must also comply with the provisions of the underwriting agreement.
The main content
One, the name of the underwriting agreement, the date and place of signing
Second, the underwriting agreement of the front
Often in the front of the terms, clear underwriters - the relationship between the principal is the relationship between principal to principal) that is, the relationship between the buyer and seller.
Three, the scope of the underwriting goods
The principal (exporter) operating a wide range of commodities, even if the same class or the same kind of goods, which there are different grades and specifications. Therefore, in the underwriting agreement, the parties must agree on the scope of underwriting goods.
Four, underwriting area
Underwriting area is the geographic scope of the underwriter to exercise sales.
There are usually the following methods of agreement:
1, to determine a country or several countries;
2, to determine a country in several cities;
3, to determine a city, etc..
To determine the size of the underwriting area, the following factors should be taken into account:
1, the size and capacity of the underwriting;
2, the sales network that the underwriter can control;
3, the nature of the underwriting merchandise and the type of goods;
4, the degree of market differences;
5, the topographical location of the underwriting area, etc..
Fifth, the underwriting period
The underwriting period can be long or short. In our export business, often in the signing of the underwriting agreement clearly stipulates the period, usually one year. The customary practice in other national markets, in the underwriting agreement does not specify the period, but only the provisions of the suspension clause or renewal clause and so on.
Six, franchise
Franchise refers to the underwriters to exercise the right to sell and buy exclusively, which is an important part of the underwriting agreement. Franchise includes the right to sell and buy exclusively. The former is the right of the principal (exporter) to give the underwriter the exclusive right to sell the referred goods in a specified area and period. The exporter is under an obligation not to sell directly to customers within that area. The latter is the obligation of the underwriter to purchase the item of merchandise from the exporter and not to purchase it from a third party.
VII. Quantity or Amount of Underwriting
In addition to the above, the underwriting agreement should also specify the quantity or amount. This quantity and amount of both parties to the agreement are equally binding. Sometimes when the quantity and amount are specified in the agreement, the Underwriter must assume the obligation to purchase the specified quantity and amount from the Exporter, and the Exporter must assume the responsibility to export the said quantity and amount to the Underwriter.
VIII. Valuation Methods
There are different methods of valuation of underwritten goods. One of the practices is to make a price within a specified period. That is, regardless of the agreement within the underwriting commodity prices rise, fall or not, to the agreement price shall prevail. Another practice is to make prices in batches within the specified underwriting period. Because of the international commodity market price changes, so the use of batch pricing is more common.
Nine, advertising, publicity, market reporting and trademark protection
The parties to an underwriting agreement are buyers and sellers, so the principal (exporter) is not actually involved in the sales business in the underwriting area, but he is very concerned about the development of overseas markets. In order to publicize the trademark used for his products, the principal often asks the underwriter to be responsible for placing certain advertisements for his goods. For example, some underwriting agreements provide that "Buyer shall be responsible for and contribute to the organization of exhibitions of Seller's machinery and equipment in the territory of his underwriting, the solicitation of orders, and the placing of advertisements in the local press." Some agreements provide that the underwriter shall visit promising customers or that the seller shall require the underwriter to provide as much market coverage as possible.
2) agent
Agent is an agent (agent) in accordance with my (principal) authorization (Authorigation) on behalf of myself with a third party to enter into a contract or other legal action. The rights and obligations arising therefrom are directly effective against me.
I. The relationship between the agent and the principal
The relationship between the agent and the principal belongs to the relationship between the purchase and sale. The agent, in the business of agency, only acts on behalf of the principal, such as soliciting customers, soliciting orders, signing contracts of purchase and sale on behalf of the principal, handling the principal's goods, and receiving payment for the goods, etc., and he himself does not participate in the transaction as a party to the contract.
II. The agent usually utilizes the funds entrusted to him for business activities
III. The agent does not enter into contracts with third parties in his own name
IV. The remuneration earned by the agent is the commission.
V. Types of Agents
In the capitalist market, there are usually the following types of agents:
1. General agent (general agency)
The general agent is the sole agent of the principal in the designated area.
He has the right to act on behalf of the principal in addition to the signing of contracts of sale, handling of goods and other commercial activities, but also to carry out some non-commercial activities. He has the right to assign sub-agents and may share in the agent's commission.
2. exclusive agency
(theexclusive agency or soleagency)
3. commission agency (commission agency)
Commission agency, also known as the general agent, refers to the same agent in the same agency area, time and duration, at the same time, there are a number of agents on behalf of the principal's behavior. The commissioner acts on behalf of the agent. Commission agency according to the actual amount of marketing goods and according to the agreement of the method and percentage of the commission charged to the principal, the principal can be directly with the actual buyer in the area of the transaction, but also do not have to give the commission agent commission.
3) consignment
Consignment (consignment) is a kind of commission on behalf of the sale of trade, but also one of the customary practices in international trade. In China's import and export business, the use of consignment is not universal, but in the transaction of certain commodities, in order to promote the transaction, the need to expand exports, can also be flexible and appropriate use of consignment. "Consignment" is a trade mode different from agency sales. It refers to the commission (the owner) will be the first consignment of goods to the consignment, commissioned by a foreign salesman (commissioned), in accordance with the conditions set out in the consignment agreement, by the salesman instead of the owner of the goods, the goods sold by the salesman to the owner to settle the payment of the goods of a trade practice.
Consignment mode
Consignment mode used in international trade, compared with the normal way of selling off, it has the following characteristics:
I. Duties of the consignor
The consignor first transports the goods to the destination market (place of consignment) and then sells them to the local buyer through the reseller at the place of consignment. Therefore, it is a typical spot transaction in which the sale is made on the basis of physical goods.
II. The relationship between the consignor and the consignee
The relationship between the consignor and the consignee is one of consignment, not sale. The consignor disposes of the goods only on the instructions of the consignor. Ownership of the goods remains with the consignor until sold on consignment.
III. Risks to be borne by the consignment
All costs and risks of the consigned goods are borne by the consignor until they are sold, including during transportation and after arrival at the place of consignment.
Consignment goods after shipment for export, before arriving at the place of consignment can also be used to sell road goods, the first a sale, that is, when the goods are still in transit, if the conditions of the sale of the transaction, the sale of the sale is not still transported to the original destination.
4) bidding tender
Tendering (invitation to tender) refers to the bidder at the time, place, issued a tender notice or tender sheet, ready to buy the variety of commodities, the number of goods and the relevant conditions of sale and purchase, inviting sellers to tender behavior. Bidding (tosubmit tender) is the bidder should be invited by the bidder, according to the bidding notice or bidding list of the specified conditions, in the specified time to the bidder to deliver the behavior of the plate.
In fact, bidding, tendering is a trade mode of the two aspects.
The bidding methods used internationally are summarized in three categories and four ways, namely
I. Competitive bidding
Competitive bidding (intenational competitive bidding, ICB) refers to the bidder to invite several or even dozens of bidders to participate in the bidding, through the majority of bidders to compete, and select the most favorable bidders for the bidder into the transaction, which belongs to the way of selling.
International competitive bidding, there are two practices:
1. open bidding. Open bidding is a kind of unlimited competitive bidding (nlimited competitive). When this practice, the bidder in the domestic and foreign major newspapers and magazines to advertise the bidding, where the bidding content is interested in the people have the opportunity to buy bidding information for bidding.
2. Selective bidding (selected bidding). Selective bidding, also known as invitation to tender, it is limited competitive bidding (limited competitive bidding). The use of a kind of practice, the bidder does not advertise in the press, but according to their specific business relations and intelligence information by the bidder to invite businessmen, pre-qualification, and then by them to bid.
II. Negotiated bidding
Negotiated bidding (negotiated bidding)
Negotiated bidding, also known as negotiated bidding, it is non-public, is a non-competitive bidding. This kind of bidding by the bidder to identify a few customers directly with the whole negotiation, negotiation is successful, the deal is reached. Three. Two-stage bidding (two-stagebidding)
Two-stage bidding refers to the unlimited competition bidding and limited competition bidding in a comprehensive manner, the use of such methods, it is with open bidding, and then with the choice of bidding in two segments.
Government procurement of materials, most of the use of competitive public bidding.
5) auction
Auction (auction) is the auction house is specialized in accepting the owner's commission, in a certain place and time, in accordance with the statute and the rules of the set, with the public bidding method, the final auctioneers to give the goods to the highest bidding buyer of a kind of spot transactions.
The goods traded through the auction are mostly some of the quality of the easy standardization, or difficult to store for a long time, or customarily used in the auction of goods. Such as tea, tobacco, rabbit fur, fur, timber and so on. Certain commodities, such as mink and Australian wool, are mostly traded through international auctions.
Auctions are generally conducted by specialized organizations engaged in the auction business, in a certain auction center market, within a certain period of time in accordance with locally specific laws and regulations and procedures.
Auction procedure is different from the general export transactions, the transaction process should be roughly through the preparation, see the goods, bidding for the transaction and payment and delivery of four stages.
Bidding methods
I. Incremental auction
Incremental auction, also known as the buyer called the auction. This is the most commonly used type of auction. Auction, by the auctioneer (auctioner) to put forward a number of goods, announced a predetermined minimum price, valuation by the bidder (bidder) successive bidding, bidding, sometimes the amount of each increase in the amount of quota, until the auctioneer believes that no one out of a higher person.
II. Reduced auction
Reduced auction, also known as the Dutch auction (Dutchauction), this method first by the auction called the highest price, and then gradually reduce the price, until a bidder that has been low to the acceptable price, said to buy.
Three. Sealed bidding auction
Sealed bidding auction, sealed bidding (sealed bids; closes bids) auction is also known as bidding auction. Using this method, the auctioneer first announced the specifics of each batch of goods and auction conditions, and then by the workshop in the specified time will be their own sealed bids submitted to the auctioneer, for the auctioneer to review the ratio of delivery, the decision to sell the goods to which a bidder. This method is not open bidding, and the auctioneer sometimes has to consider factors other than price. Some governments or customs in some countries in the disposal of stockpiles or confiscated goods often use this auction method.
6) futures trading
Futures trading (futurestransaction) is a large number of buyers and sellers of commodities on the exchange in accordance with certain rules, with shouting and with the help of gestures for bargaining, through intense competition to reach a deal in a way of trade.
Futures trading is different from spot trading in commodities. It is well known that in the case of spot trading, the buyer and seller can enter into a physical transaction in any way, at any place and time. The seller must deliver the actual goods and the buyer must pay for them. Futures trading, on the other hand, is the purchase and sale of futures at a certain time on a specific futures market, i.e., on a commodity exchange, in accordance with the exchange's pre-established "standard futures contract". The buyer and seller do not transfer ownership of the commodity after the transaction. Because futures trading has the following characteristics:
I. Futures transactions do not provide for the supply or acceptance of the actual goods by both parties;
II. The result of the transaction is not the transfer of the actual goods, but the difference in price between the date of signing the contract and the date of its fulfillment paid or taken;
iii. The futures contract is a standard futures contract established by the exchange and can be traded only in accordance with the standards and types of commodities specified by the exchange;
IV. The delivery period for futures trading is determined by the delivery period specified by the exchange. Delivery periods vary for different commodities;
v. All futures contracts have to be registered and settled at the clearing house set up by each exchange.
Types of trading
Futures trading, according to the purpose of the trader, there are two different types of nature: one is the use of futures contracts as a gambling chip, buy and sell, from the difference between the price rise and fall of the pure speculative activities in pursuit of profit; one is really engaged in the physical transaction of the person to do hedging. The former in the commercial custom called "buy short sell short", it is the speculator according to their own judgment of the market outlook and gambling speculative activities.
The so-called "buy short", also known as "long", refers to the speculator estimates that the price is going to rise, buy futures; once the price of goods period rose, and then sell futures, from which to earn the difference. The latter in the business custom called "hedging", also known as "Haiqin".
7) counter trade
Counter trade (counter trade) in our country is also translated as "reverse trade", "counterbalance trade", "reciprocal trade
Counter trade (counter trade) in China is also translated as "reverse trade", "reciprocal trade", "reciprocal trade", and some people call it generally "barter" or "big barter".
We can generally understand the countertrade as including barter, book-entry trade, mutual purchase, product repurchase, resale trade and other goods belonging to the scope of the sale of goods to the combination of in and out of the same characteristics of the export of imports as a variety of trade mode of the general term.
8) Classification
General trade
General trade refers to China's territory with import and export business rights of enterprises unilaterally imported or unilaterally exported goods. The import and export goods of goods assistance, foreign-invested enterprises imported for processing of domestic products, foreign-invested enterprises with domestic materials for processing of finished products for export or self-acquisition of products for export, hotels and restaurants imported food and beverage food, supply of domestic fuel, materials and spare parts for foreign ships or aircraft, overseas labor cooperation projects in the other side of the physical products to offset the wages of my labor force of goods imported (such as steel, timber, fertilizers, seafood), and equipment and materials brought out by enterprises in our territory in the form of in-kind investment in overseas investment are all counted as general trade statistics.
Compensatory trade
Compensatory trade refers to the overseas manufacturers to provide or use the overseas export letter goods imported production technology or equipment, production by our side, in order to return their products to the other side of the return of its products in the form of installment reimbursement of the price of technology, equipment, or principal and interest on the payment of goods in the form of transactions. If approved, you can also use the enterprise (including consortia) production of other products sold back to the other party for indirect compensation.
Trade in processing and assembly of raw materials
Trade in processing and assembly of raw materials refers to the foreigners to provide all or part of the raw materials, auxiliary materials, parts and components, components, ancillary parts and packaging materials, if necessary, to provide equipment, by us according to the other side of the requirements of the processing and assembly of finished products to the other side of the sale of the other side of the collection of fees, the other side of the valuation of the price of the equipment provided by the other side of the payment for the repayment of fees of the transaction. Forms.
Incoming processing trade
Incoming processing trade refers to the foreign exchange purchase of imported raw materials, materials, auxiliary materials, components, parts, components and packaging materials, processing of finished products or semi-finished products, and then exported after the export of the form of transactions. Import processing assembly trade can also take the form of counterpart contract transactions, that is, the buyer and seller signed import and export counterpart contract. Material imported when we first pay the material payment, processing of finished products exported to the other party to collect the finished product payment. Consignment, consignment trade
Consignment trade refers to the consignor to deliver the goods to the pre-agreed consignor, by the consignor in accordance with the pre-agreed or according to the terms of the consignment agreement, the consignor in the local market for the sale of the proceeds after deducting the consignor's commissions and other costs, in accordance with the provisions of the agreement will be the balance of the form of transactions paid to the consignor. The relationship between the consignor and the consignee is not one of purchase and sale, but one of entrustment, and the consignee has no ownership of the goods.
Border small trade
Border small trade refers to China's border along the land border line by the state approved the opening of the border counties (flags), the border city area (within the following referred to as the border area) approved by the border small trade right of the enterprise, through the state-specified land port, and the border areas of the adjoining countries between the enterprise or other trade institutions to carry out trade activities, including Barter trade, easy cash trade and other forms of trade.
Processing trade imports of equipment
Processing trade imports of equipment refers to the processing and import processing trade under the other side of the price or no price to provide imported machinery and equipment, including labor fees (or difference) to repay the equipment and processing trade under the foreign-invested enterprises to import the equipment does not deduct the amount of investment.
Processing trade under the foreign-invested enterprises imported equipment where the deduction of investment, according to "foreign-invested enterprises imported equipment" statistics. Whether or not to deduct the investment amount to the competent Customs tax relief approval department shall prevail in the results of the finalization.
Export of goods for foreign contracted projects
Export of goods for foreign contracted projects refers to companies approved by the Ministry of Foreign Trade and Economic Cooperation with the right to operate foreign contracted projects for the contracting of foreign construction projects and to carry out labor cooperation and other foreign cooperation projects and the export of equipment, materials, but does not include the border areas approved by the Ministry of Foreign Trade and Economic Cooperation with foreign economic and technical cooperation with China's neighboring countries to carry out the export of goods for foreign contracted projects and labor cooperation projects. Contracted projects and labor cooperation under the export of engineering equipment and materials.
Leasing trade
Leasing trade refers to the leasing business enterprises and foreigners to sign an international leasing trade contract, the lease period of one year and above the leasing of import and export goods.
Imported equipment, goods
Foreign-invested enterprises as investment in imported equipment, goods refers to foreign-invested enterprises to invest in the total amount of funds imported by the Dragon (including Chinese investment) machinery and equipment, parts and other materials (other materials refer to the construction of factories (farms) as well as the installation of the machine, reinforcement of the materials required), as well as imported in accordance with state regulations of a reasonable number of the enterprise's own use of Transportation, production vehicles and office supplies (equipment).
Trade in Processing of Materials
Trade in Processing of Materials refers to the processing or assembling of raw and auxiliary materials, parts, components or semi-finished products in our territory by overseas manufacturers in accordance with our requirements, and the reshipment of finished products to be imported, with payment of fees by our side, excluding the "export of materials for processing".
"Export with material processing" refers to our investment in overseas enterprises, the raw and auxiliary materials, parts, components or semi-finished products shipped to overseas processing or assembly, finished products sold abroad under the export of goods shipped under the export of material processing should be based on the actual way of statistics, such as: machinery and equipment, raw materials, etc., exported according to the "general trade" statistics. " General Trade " statistics; to, into the processing of finished products exports according to " to, into the processing trade " statistics; rental exports according to " rental trade " statistics.
Barter trade
Barter trade refers to the direct exchange of imported goods for exported goods without the medium of money.
Bonded warehouse inbound and outbound goods
Bonded warehouse inbound and outbound goods refers to goods directly deposited into the bonded warehouse from abroad and goods shipped out of the export supervision warehouse, excluding bonded warehouses, re-export goods. Export Supervision Warehouse goods and its statistical methods According to the "Chinese People's *** and State Customs on the temporary management of export supervision warehouse" (March 18, 1992 General Administration of Customs Decree No. 22 issued) and the "General Administration of Customs on the revision of the goods stored in the export supervision warehouse on the export of goods tax rebate management regulations notice" (Department of Supervision [1995] No. 440) of the provisions of the Export Supervision Warehouse refers to the storage of goods that have been Export Supervision Warehouse refers to a special warehouse for goods that have received export licenses or approvals in accordance with the regulations, and have been sold out of foreign exchange settlement and completed all export customs procedures to the Customs. Goods stored in the warehouse as "export supervision warehouse goods".
The bonded zone warehousing re-export goods
The bonded zone warehousing re-export goods refers to warehousing from abroad into the bonded zone, re-export goods and from the bonded zone out of the warehousing, re-export goods, excluding from abroad into the non-bonded zone and from the non-bonded zone out of the warehousing, re-export goods.
Processing trade
Processing trade mainly includes processing, assembly, processing, processing, processing and compensation trade. It is usually referred to with the "three to a complement" (i.e., processing, assembly, processing and small and medium-sized compensation trade) is that the difference is: to sample processing is a general export trade, not in the scope of processing trade. Processing and assembly, collectively referred to as processing and assembly. In the "three to a complement" in the removal of sample processing, plus processing and processing, is the main content of processing trade.
Overseas trade processing
Overseas trade processing refers to the domestic enterprises to existing technology, equipment investment, provide raw materials, spare parts or product design and technology, set up factories in foreign countries, processing and assembly, finished products on the sale of international economic and trade cooperation.