International Chemical Business Terms
Below is a list of export and import related terms to help you navigate the international chemical business. All terms are listed alphabetically.
The bank that undertakes the shipping documents together with the export bill of exchange issued by the exporter based on the letter of credit (LC).The negotiating bank agrees to pay after confirming that the bill and shipping documents correspond to the terms of the letter of credit and also that there are no inconsistencies between the documents. Usually the negotiating bank pays the face amount of the bill to the exporter immediately and it receives the export price from the exporter’s bank (the bank issuing the letter of credit) only after that. The interest rate up to the actual date of remittance paid in advance by the importer’s bank to the negotiating bank will be charged to the exporter later. When undertaking an export bill of exchange without a letter of credit (L/C), such as for a D/P (Document against Payment) or D/A (Document against Acceptance), the risk of transaction is high as long as there is no payment guarantee from the bank in the importing country, and there are cases the exporter’s negotiating bank refuses to undertake it.
Non-Calling Certificate (Routing Certificate)
Related to the Middle East countries’ boycott of Israel, a document proving that the ships or aircrafts headed for Middle East don’t have a record of calling at Israeli ports. Issued by shipping companies, airlines or their agents.
One of the items mentioned in the bill of lading (B/L) representing the party that the shipping company notifies when the cargo has arrived at the port of discharge.
The forwarder specialized in handling the marine cargo.