II). Types & Uses of the Documentary Credits P35--58% m2 \" F6 @ c* r9 X1 }
1. Types P35--36
. U( Z! N" F1 T9 `9 O (1) Irrevocable Documentary Credit P35
: g9 W+ P; v B7 f# M+ f (2) Revocable Documentary Credit P35--36
- ?# {) _; I: e5 u, @, L) f 2. Uses P36--581 P/ o/ H" a' S8 u7 X% K' x$ F
(1) Irrevocable Straight Documentary Credit P36 (Specimen Refer to P37)* U! G7 c. j3 J* f& ]" ?
(2)Irrevocable Negotiation Documentary Credit P36--39
7 ~3 ]6 X* J( ^7 ` (3) Irrevocable Documentary Credit (Unconfirmed) P39, [3 K. y- x) S0 ?
(Specimen Refer to P40-41)6 Q/ g4 p/ G, O$ M1 Z6 R
(4) Irrevocable confirmed Documentary Credit P39--42
" b9 G/ j1 }5 L4 `8 I (Specimen Refer to P43-44)( [! O5 W4 X( L* ?2 m3 u" t5 Q
(5) Revolving Documentary Credit P42--45
$ }) G7 |. j X5 [ (6) Red Clause Documentary Credit P45 }/ C/ q: ]* Y: S0 a8 U/ b8 \
(7) Standby Credits P45--46
1 d+ z0 b$ D, H$ j$ { (8) Transferable Documentary Credit P47--54+ y G& W& p/ \ h/ }$ w
(9) Assignment of proceeds P55--56
, t4 a0 |7 r9 v8 `" f7 `9 X* O (10)Back-to-back Documentary Credit P57--58
2 Q4 s5 y# s. O4 r VI. Bonds, Stand-by letter of credit & Counter-trade P58--72
+ g; o# b$ j H9 i& h2 ~0 | (I) Bonds P58--62 (Specimen Refer to P66-72)
, l+ }: T/ c2 y0 R$ R 1. The Role of bonds in international trade P589 N7 S- F! o, b, D
2. Types of bond P58--59
) J: ]7 Z% ^% q" {. | 3. "On demand" bonds & conditional bonds P59--60
" x* _# H$ a% m8 r5 p. L; d 4. The procedure for issuing bonds P60
8 Z* D" [2 `) b 5. The procedure which bonds cause for exporters P60--61+ Y5 ~5 C- l4 S1 B7 m# F. B
6. How can an exporter overcome or reduce the problems of bonds ? P61--62/ M/ ]# |) @9 ^5 Q
7. Other precautions an exporter can take requiring to provide bonds P62
+ Y4 c4 r5 I0 c7 `4 G. z( F (II) Counter-trade P63--653 d/ |) I! R2 z( a& E2 r* i7 l8 U: P
1. What is counter-trade? P63
1 m3 g1 _- e/ ]5 u4 p. Z 2. Forms of counter-trade P63
$ \( u# v2 |+ E (1) counter-purchase(link purchase) P63
3 M; I d2 c2 r3 F (2) Barter P63
. H4 @7 P/ g, t, ?( a/ J3 _ (3) Compensation or buyback deals P63
0 F: E' K0 J. i8 C- g& I: ~ (4) Barter by means of trust accounts P63--64, N! X; x2 ] h6 r( k% m% t0 _
(5) Offset P647 ]0 ?# D6 H- y/ Y( J5 L
(6) Evidence accounts P645 r! D5 p! Y5 r! N8 |1 X; J0 j
3. Pitfalls of counter-trade for the exporter P64
5 V9 {7 L; r! ?" d) ]8 _, G 4. Sources of help for the counter-trade exporter P659 i1 ?; q5 G/ ?
(1) Banks P65
, H. [1 T7 K( t& w2 f (2) ECGD P65) O9 t" ]# I5 Y5 Z- {
(3) The Projects & Export Policy Division of the DTI P65 |