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- New book offers assistance to the growing number of small companies involved in international trade
"Eagan, MN—In July 1999, a New York company was fined $900,000 by the U.S. Department of Commerce and denied its export privileges for one year for failing to properly follow U.S. export regulations. And they were not alone. Every year, the U.S. governmen
- Exporters Can Avoid $100 Filing Fee for SEDs with Shipping Solutions 2000 Export Software
"Eagan, MN—As of November 1, 2000, ocean carriers have begun charging $100 for each Shipper's Export Declaration (SED) submitted on paper with an export shipment. Exporters can easily avoid this charge by using Shipping Solutions 2000 export documentatio
- Companies can now file their export documents electronically using Shipping Solutions 2000 software
"Eagan, MN—Due to a major initiative by the U.S. Census Bureau, U.S. companies that export will now be able to file their Shipper’s Export Declarations (SEDs) over the Internet absolutely free using InterMart’s Shipping Solutions 2000 export software."
- New on-line forum provides free help for international trade professionals
"Eagan, MN—In its continuing efforts to serve the needs of small and mid-sized companies involved in international trade, InterMart, Inc. has created a free on-line forum to provide real-time answers to import-export questions. Forum participants can post
- New Software Eases the Burden of Export Paperwork
"Eagan, MN—International trade professionals burdened by the mountain of export documents they must prepare can now find relief in a new software program from InterMart, Inc. The company’s Shipping Solutions 2000 export software dramatically reduces the
- InterMart unveils International Business Training division, web site
"Eagan, MN—InterMart, Inc., developer of the popular Shipping Solutions export documentation software, has unveiled a new division concentrating on the educational needs of small and mid-sized U.S. companies involved in import and export.
- InterMart to introduce Shipping Solutions 3.0 at 1997 International Exporters-Importers Conference
"Minneapolis, MN—InterMart, Inc. today announced the release of version 3.0 of its popular Shipping Solutions export documentation software. The upgrade includes a variety of new export forms and other enhancements designed to make the software even easie
- InterMart announces version 2.0 of its popular Shipping Solutions export documentation software
"Minneapolis, MN—InterMart, Inc. today announced the release of version 2.0 of its Shipping Solutions™ export documentation software, a company spokesman announced today. The upgrade, which includes a variety of new export forms and other enhancements des
- InterMart releases a network version of its Shipping Solutions software
"Minneapolis, MN—InterMart, Inc. today released a network version of its Shipping Solutions™ export documentation software that will allow a variety of desktop users to access the Shipping Solutions database, a company spokesman announced today."
- InterMart introduces Shipping Solutions international export documentation software
"Minneapolis, MN—InterMart, Inc. today introduced an export shipping software that reduces the amount of time businesses need to devote to completing the myriad of export documents by up to 80 percent, a company spokesman announced today."
- Shipping Solutions software adds easy and affordable export compliance through partnership with NextLinx Corporation
EAGAN, MN - Small and medium-sized companies will soon have an easy and affordable solution for ensuring that their international shipments comply with U.S. export regulations. Shipping Solutions is teaming up with NextLinx Corporation to offer NextLinx's
- Understanding the NAFTA Certificate of Origin - Part Two
Last month’s article explained when a NAFTA Certificate of Origin is and isn’t required. This month’s article explains how to complete the form.
- Understanding the NAFTA Certificate of Origin - Part One
The Certificate of Origin summarizes the importer’s claim that goods qualify as originating and should receive preferential tariff treatment.
- You Can Say That Again: Bridging the Language Gap
- The Letter of Credit Triangle
- Bureau of Industry & Security (BIS) Dual-Use Licensing
A customer service representative recently approached me at a seminar and told me about a phone conversation she had with one of her U.S. customers who was looking to export a product they sell. Her customer asked if she had an ECCN for her product since
- The Top 10 Questions About NAFTA
Over the past year of writing NAFTA articles, I have received many questions about NAFTA issues. I have compiled a list of the top 10 questions and wanted to share them.
- Can You Cut Costs By Eliminating Your Letters of Credit?
When I first heard this question, I really thought it was a trick question. Kind of like, “Who is buried in Grants tomb?” Isn’t the answer obvious? Of the four main payment options, the letter of credit (LC) is definitely the winner when it comes to high
- Bye, Bye SED; Hello AES
If you haven’t yet made plans to file your Shipper’s Export Declarations (SEDs) electronically, you better start soon. Newly published export regulations and statements made by U.S. Census Bureau officials at recent public events make it clear that the pa
- Verifying NAFTA Origin
Canada, Mexico and the United States agreed to establish a uniform Certificate of Origin to certify that goods imported into their territories qualify for preferential tariff treatment accorded by NAFTA. Only importers who possess a valid Certificate of O
- Shipping Solutions Upgrades Best Selling Software Solution For Export Documentation
EAGAN, MN—Shipping Solutions announces the latest version of its best-selling software, Shipping Solutions Professional. The easy-to-use Shipping Solutions Professional guides novice and experienced exporters as they easily complete dozens of standard exp
- Does Your Product Require An Export License?
There are some basic steps you will want to take once you make the commitment to sell your product internationally. You have the responsibility to seriously examine your products and your customers to assure that you comply the Export Administration Regul
- U.S. Census Bureau Announces New Shipper's Export Declaration (SED)
The U.S Census Bureau has quietly announced a new version of the Shipper's Export Declaration (SED) that U.S. exporters must begin using on October 18, 2003. That is, of course, unless the exporter is shipping products that are on the Commerce Department’
- My Checklist for Reviewing a Letter of Credit
I know there are companies out there that never look at their letters of credit (LC) until they are ready to present documents to the bank. Once they’ve received one from their customer, they assume it’s as good as gold and immediately put it away for saf
- FAST Program Ensures Security Between U.S. and Canada
The FAST program is a bilateral initiative between the United States and Canada designed to ensure security and safety while enhancing the economic prosperity of both countries.
- SED and AES: Changes Are Coming Your Way
Many U.S. exporters continue to use the paper version of the Shipper’s Export Declaration (SED). Some use it as their primary method of filing, and others use it as a Shipper’s Letter of Instruction (SLI). In either case, it is now time to obtain the newe
- NAFTA Documentation: Commercial Invoice
In my next series of articles, I will address what documents are required for NAFTA countries along with some helpful hints to smooth the entry process into Canada and Mexico. I’ll start this series with the commercial invoice.
- Changes to Export Regs Mean New Fines and Penalties for Errors on the SED
I hate reading regulations. They are confusing and easily misinterpreted. But they are important. That’s why I’m paying attention to the changes in the Foreign Trade Statistical Regulations (FTSR) related to penalties. They are straightforward in at least
- Exporting to Canada: Steps to Smooth the Customs Process
When exporting to Canada, Canadian Customs requires specific information. This article will address what information is required to smooth the Canadian Customs Process.
- Does the New Year Mean New Codes for Your Products?
Exporters and importers should do some light housekeeping to make sure they remain in compliance with U.S. export and import regulations. By following a few simple steps at the beginning of every new year, you will ensure that your company meets the best
- Technology and Global Business: Videoconferencing
Trim down the cost of business travel. Lessen the time needed for distant meetings. Conserve wear and tear on your body. Eliminate jet lag. Circumvent exposure to SARS and other perilous diseases. Reduce exposure to terrorist activities. Increase your sta
- The Canadian Customs Entry Process
In 1989, the Canada – U.S. Free Trade Agreement went into effect, phasing out all tariffs and many non-tariff barriers to trade. The benefits of free trade are clear: two-way trade in goods and services between the two countries totaled $440 billion in 20
- U.S. and Chile Free Trade Agreement
The U.S.-Chile Free Trade Agreement (FTA) became effective on January 1, 2004. At that time, more than 85 percent of two-way trade in consumer and industrial goods became duty free. Duties on other products will gradually be phased out over a 12-year peri
- Negotiating for the Long Term
In the international arena, those who are most successful in the long term are those whose negotiating skills consistently produce favorable outcomes for all sides.
- How to Register for the Automated Export System (AES)
One of the most significant changes in U.S. export regulations is the move from the paper version of the Shipper’s Export Declaration (SED) to electronic filing of the information through the Automated Export System. If your company exports products that
- Delays in Rule-Making Process Push Back Implementation of Mandatory AES
At some point in 2004 all U.S. exporters will be required to switch from providing paper copies of the Shipper's Export Declaration (SED) to filing the information electronically through the Automated Export System (AES). It's just not going to happen as
- U.S.—Chile FTA Rules of Origin
Exporters familiar with the North American Free Trade Agreement (NAFTA) between the United States, Canada, and Mexico will recognize some aspects of the U.S.-Chile Free Trade Agreement’s (FTA) Rules of Origin. The Chile and U.S. FTA is largely modeled on
- U.S.—Chile FTA Certificate of Origin
U.S. exporters whose products qualify under the new U.S.-Chile Free Trade Agreement (FTA) Rules of Origin may provide their Chilean customers considerable savings. This article addresses the written declaration necessary for the Chilean buyer to claim fre
- U.S.—Chile Free Trade Agreement: Frequently Asked Questions
Since the signing of the U.S.-Chile Free Trade Agreement (FTA), I have received questions from exporters asking how to qualify their products for preferential duty treatment. I have compiled a list of the top 10 questions and wanted to share them with you
- The U.S. Export Enforcement Program
If you are exporting from the United States, you need to familiarize yourself with and understand the U. S. Bureau of Industry and Security. Known simply as the BIS, their primary mission is the accurate, consistent and timely evaluation and processing of
- Terms of Trade: Uniform Commercial Code and INOCOTERMS 2000—Part 1
The goal of this series of articles is to provide a basic understanding and working knowledge of what are known as terms of sale. Perhaps the most familiar of these terms is FOB; however, there are several others. Such terms are also known as trade terms
- Ocean Shipping Problems for Cargo Owners
Shipping goods in ocean vessels invokes special problems for importers and exporters that must be addressed through education and training in transportation laws. Failure to understand the intricate terms and conditions of ocean bills of lading and tariff
- Shipping Solutions Upgrades Best-Selling Export Documentation and Compliance Software
EAGAN, MN – Shipping Solutions announces version 7.1 of its best-selling software, Shipping Solutions Professional. This easy-to-use export software guides novice and experienced exporters as they complete and print export forms, file their shipments elec
- Terms of Trade: Uniform Commercial Codes and INCOTERMS 2000—Part 2
The goal of this series of articles is to provide a basic understanding and working knowledge of what are known as terms of sale for international transactions. The Uniform Commercial Code, Article 2 defines the terms that have been adopted for use in the
- New Regulations for Transporting Hazardous Goods Affect IATA Dangerous Goods Form
Recent changes to the IATA Dangerous Goods Regulations include revisions to the IATA Shipper's Declaration for Dangerous Goods.
- COGSA’s Gotcha's
Every law governing the carriage of goods contains many exculpatory clauses and “traps for the unwary.” The Carriage of Goods by Sea Act (COGSA) is no exception.
- The Shipper's Export Declaration: Will the Paper Version Disappear in 2005?
The Shipper's Export Declaration (SED) is still accepted for most export shipments by the U.S. Census Bureau and U.S. Customs & Border Protection as described in the Foreign Trade Statistical Regulations (FTSR). (The exception is for products that require
- How to File Through AES with Shipping Solutions Export Documentation Software
Shipping Solutions export documentation and compliance software makes it easy to file your Shipper's Export Declaration (SED) information electronically through the Automated Export System (AES) while also producing more than a dozen different export docu
- SED Cannot Be Provided to Foreign Governments
According to the U.S. Census Bureau's website, there have been many requests by foreign governments for copies of the Shipper's Export Declaration (SED) for exports from the United States. However, the information contained on the SED is confidential.
- Finding a Bank for a Back-To-Back Letter of Credit May Be Difficult
If you ever want to send a chill down the spine of your banker in the United States, just mention the phrase “back-to-back letters of credit.”
- U.S. and Jordan Free Trade Agreement
On January 1, 2002, the United States and Jordan entered into a free trade agreement. This agreement was designed to strengthen the bonds of friendship and economic relations and cooperation between them and to establish clear and mutually advantageous ru
- Nextlinx Launches New Restricted Party Screening Service
ROCKVILLE, MD - Cost-efficient Service Affords Small Businesses Opportunity to Screen Customers, Suppliers Against Restricted Party Lists
- New release of Shipping Solutions adds new forms and compliance features to best-selling export software
EAGAN, MN —Shipping Solutions is releasing version 7.2 of its Shipping Solutions Professional export documentation and compliance software. The software automates the process of creating the documents required for U.S. exports by up to 80% by eliminating
- Shipping Solutions Customers Give High Marks to Top-Selling Export Software
According to a recent survey of Shipping Solutions export documentation and compliance software customers, the typical Shipping Solutions user works for a U.S. manufacturing company that exports to Canada, the United Kingdom, and Mexico and uses Shipping
- Shipping Solutions Launches Affordable Compliance Tools for Small and Medium-Sized Export Companies
Small and medium-sized businesses that have found it difficult to meet their export compliance responsibilities now have an affordable online solution at their disposal. Shipping Solutions has just officially launched its collection of international trad
- Shipping Solutions® to Present Export Solutions Along with Google, eBay and Others at “Web Revolution for Business” Conference
David M. Noah, president and founder of InterMart, Inc., will be presenting his company’s Shipping Solutions export documentation and compliance software at the “Web Revolution for Business” conference in San Diego on August 14-15, 2007, at the Eleanor Ro
- Export Professional David Noah Joins SBTV.com with Exclusive Money-Saving Tips
When it comes to exporting, small firms lead the way in the United States. Founder and president of Shipping Solutions, David Noah, joins SBTV.com in an exclusive podcast series to provide tips on keeping up in the fast-paced world of exporting.
- New Release of Shipping Solutions Professional Export Software Adds New Incoterms 2010; Currency Options for Invoices
EAGAN, MN—Shipping Solutions is releasing version 7.50 of its Shipping Solutions Professional export documentation and compliance software. The software automates the process of creating the documents required for U.S. exports by up to 80% by eliminating
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Before you calculate your final selling price and negotiate a sales contract, you and your buyer must agree upon who is responsible for the expense of transporting and insuring the merchandise from the time it leaves your plant or warehouse to the time it arrives at your customer's premises.
To assist in this process, the International Chamber of Commerce (ICC) has created a generally accepted, readily understandable nomenclature called Incoterms 2000 that defines the responsibilities of both the buyer and seller in the various transportation options. Incoterms 2000 is not a body of law. It is an internationally agreed upon protocol for understanding who pays for what, who will produce which documents, when risk transfers, and who selects the carrier and forwarder.
The trade terms do not identify where the transfer of title or ownership occur. You should include a separate statement regarding transfer of title in the body of the contract, the quote, pro forma invoice and commercial invoice.P>
These international trade terms should not be confused with domestic trade terms, which are governed by a separate set of rules. The domestic terms are under the Uniform Commercial Code adopted by each state
You can get a better understanding of the differences between domestic and international terms in the following chart:
| Domestic |
International |
| Transfer of title to the goods presumed by use of term but can be negotiated by seller and buyer. |
Transfer of title not specified by use of the Incoterms; should be stated separately. |
| Risk and title transfer are presumed to transfer simultaneously but can be negotiated by seller and buyer. |
Risk transfer based on Incoterm selected; title transfers based on agreement between seller and buyer. |
| Five different terms; F.O.B. is the most commonly used term with specified locations stated, and modifications. |
Thirteen different terms are possible with specified locations stated, i.e. ex-works seller’s warehouse. |
| Based on Uniform Commercial Code adopted by each state, becoming a state law. |
An agreement adopted by the International Chamber of Commerce then incorporated into seller and buyer agreements. |
One of the best ways to understand Incoterms 2000 is to look at a sample quotation that is completed as if it is ready to be presented to your management team prior to releasing it to your international customer or vendor. Remember, Incoterms have the ability to work for both importers and exporters.
Since Incoterms 2000 is unlike the Uniform Commercial Code, which is a body of law in all of the U.S. except Louisiana, exporters must reference Incoterms 2000 in their commercial documents. One way to do this is to state in the commercial invoice “subject to Incoterms 2000, Trade Term: CIP London, UK.”
View the Complete January 2003 Newsletter |