EN 590 10 PPM CIF PROCEDURE
PROCEDURES AND TERMS OF PAYMENT
1. The buyer's bank will issue the MT760 payment guarantee as a guarantee instrument, and MT103/TT will pay for the goods after the inspection of the goods at the port of discharge.
2. Upon confirmation and endorsement of this contract, Seller issues a Commercial Invoice for the initial shipment and partial proof of product documents as follows to buyer.
a Q88 Details for the vessel book for hire.
b. Certificate of Quality for the available goods issued by Go st Standard Kazakhstan.
c . Statement of commitment of supply for the all contractual quantity notarized by a Public Notary.
d. Export License for Seller.
e. License to Trade in Crude Oil Materials for Seller.
f. Draft text for payment instrument performance guarantee.
3. Buyer shall issue payment guarantee through SWIFT MT 760 Guarantee Instrument. According to the text of draft article 5.9, the Buyer shall, within 7 banking days, issue a 45-day bank payment guarantee for 12% of the value of each shipment as security for payment.
4. Upon confirmation of the payment instrument, the seller loads the vessel and issues full proof of product documents as per clause Contract in buyer’s names. The vessel starts voyage to buyer’s port within 3 banking days.
5. Delivery is made as per clause Buyer inspects the product and pays 100% for the goods delivered in 7 days.
6. Within 7 days after seller confirms buyer’s payment, Seller pays out commissions to all brokers and mandates.
7. In case of delivered product is of lower or higher quality, prices may be modified by mutual agreement of the Parties.
8. Third party documents acceptable.
DOCUMENTS THAT MAKE UP THE PROOF OF PRODUCT
1. Bill of Lading from Shipping Company stating "FREIGHT PAID"
2. Charter Party Agreement from Shipping Company.
3. Ullage Report from Shipping Company done by "SGS" or Say bolt" or “GOST Standard Kazakhstan" confirming the quality and quantity on board the vessel.
4. Export License for Seller.
5. Insurance Policy in buyers names catering for the all transaction.
6. License to Trade in Crude Oil Materials for Seller.
7. Certificate of Origin / Allocation Certificate issued by the Kazakhstan Authorities.
8. Q88 details of the vessel hired.
9. Receipt of cargo samples signed by master.