1) underwriting
Exclusive sales is one of the usual ways in international trade. In China's export business, according to the characteristics of some commodities and the needs of expanding exports, we should choose the right customers in the right market or adopt the way of underwriting. Exclusive sales refers to the trade practice that exporters (principals) grant the right to operate a certain commodity or a certain category of commodities to foreign customers or companies in a certain region and within a certain period of time through agreement. Although underwriting is also fixed, underwriting is different from the usual unilateral export. In addition to the sales contract signed by both parties, an exclusive sales agreement must be signed in advance. Through underwriting, the rights and obligations of the buyer and the seller are determined by the underwriting agreement. The sales contract signed by both parties must also conform to the provisions of the exclusive sales agreement.
main content
1. Name, signing date and place of exclusive sales agreement
Second, the underwriting agreement.
Usually, in the above clauses, it is clear that the relationship between the underwriter and the principal is the relationship between himself and himself (the principal to the principal), that is, the buying and selling relationship.
Third, the scope of underwriting goods
Shippers (exporters) handle a wide variety of goods, even the same kind or goods of the same kind have different brands and specifications. Therefore, in the underwriting agreement, both parties must agree on the scope of underwriting goods.
IV. Coverage
Underwriting area refers to the geographical scope where the underwriter exercises sales.
There are usually the following conventions:
1, identify one or more countries;
2. Identify several cities in a country;
3. Determine a city, etc.
In order to determine the size of the underwriting area, the following factors should be considered:
1, underwriting scale and capacity;
2. The sales network that the underwriter can control;
3, the nature and types of underwriting goods;
4. Degree of market difference;
5. Topographic location of the insured area, etc.
Verb (abbreviation for verb) underwriting period
The underwriting period can be long or short. In China's export business, the term is usually one year when the underwriting agreement is signed. The customary practice in other countries' markets is that the underwriting agreement does not stipulate the term, but only stipulates the terms of suspension or renewal.
Six, franchising
Franchising refers to the underwriter's exercise of monopoly right and exclusive purchase right, which is an important content of underwriting agreement. Franchising includes monopoly and exclusive purchase right. The former means that the consignor (exporter) has the right to give the underwriter exclusive sales rights within the specified area and time limit. Exporters are obliged not to sell directly to customers in this area. The latter is the underwriter's obligation to buy goods from exporters rather than third parties.
7. Quantity or amount of underwriting.
In addition to the above, the underwriting agreement shall also specify the quantity or amount. The quantity and amount are equally binding on both parties to the agreement. Sometimes the quantity and amount are stipulated in the agreement, then the underwriter must bear the obligation to buy the specified quantity and amount from the exporter, and the exporter must bear the responsibility to export the above quantity and amount to the underwriter.
VIII. Pricing Methods
There are different ways to determine the price of exclusive goods. One way is to set the price at one time within the specified time limit. That is, no matter whether the commodity price insured by the agreement is rising or falling, the price stipulated in the agreement shall prevail. Another way is to price in batches within the stipulated underwriting period. As the price of international commodity market is changeable, it is more common to adopt batch pricing.
IX. Advertising, Publicity, Market Report and Trademark Protection
The parties to the underwriting agreement are buyers and sellers, so the principal (exporter) does not actually participate in the sales business in the underwriting area, but he is very concerned about the development of overseas markets. In order to publicize the trademarks used by their products, customers often ask the underwriters to be responsible for publishing certain advertisements for their products. For example, some underwriting agreements stipulate: "The buyer is responsible for and pays for holding exhibitions for the seller's machinery and equipment in its underwriting area, soliciting orders and advertising in local newspapers." Some agreements stipulate that underwriters should visit customers or sellers who promise to conclude transactions, and require underwriters to provide market reports as much as possible.
2) Agency
Agency means that an agent enters into a contract with a third party or carries out other legal acts on my behalf according to the authorization of the principal. The rights and obligations arising from this are directly effective for me.
I. Relationship between Agent and Principal
The relationship between the agent and the principal belongs to the entrusted sales relationship. In the agency business, the agent only acts on behalf of the principal, such as soliciting customers, soliciting orders, signing sales contracts on behalf of the principal, handling the goods of the principal, collecting payment, etc. He didn't participate in the transaction as a party to the contract.
2. Agents usually use the entrusted funds for business activities.
3. An agent does not sign a contract with a third party in his own name.
The remuneration earned by the agent is the commission.
Verb (abbreviation for verb) proxy type
In the capitalist market, there are usually the following agents:
1. General agent
The general agent is the authorized agent of the principal in the designated area.
He has the right to sign sales contracts, handle goods and other commercial activities as an agent, and can also engage in some non-commercial activities. He has the right to appoint a sub-agent and share the commission of the agent.
2. Exclusive agency
(Exclusive agent or exclusive agent)
3. Agency trade
Commission agency, also known as general agent, refers to the agency behavior of several agents acting on behalf of the principal in the same agency area, time and time limit. The commission agent collects the commission from the principal according to the actual amount of the goods promoted and the way and proportion agreed in the agreement. Customers can directly reach a deal with the actual buyers in this area without giving commission to the commission agent.
3) Consignment
Consignment is a trade mode of consignment, and it is also one of the customary practices in international trade. In China's import and export business, consignment is not widely used, but in some commodity transactions, in order to promote transactions and expand exports, consignment can also be used flexibly and appropriately. "Consignment" is a trade mode different from agency sales. It refers to a trade practice that the consignor (consignor) sends the goods to the consignment place first and entrusts a foreign consignment agent (consignor), and the consignment agent replaces the consignor according to the conditions stipulated in the consignment agreement. After the goods are sold, the consignment agent settles the payment with the consignor.
Consignment mode
Compared with the normal sales mode, the consignment mode adopted in international trade has the following characteristics:
First, the shipper's responsibility
The consignor first transports the goods to the destination market (consignment place), and then sells them to the local buyers in the consignment place through the consignor. Therefore, it is a typical spot transaction of physical sale.
2. The relationship between the principal and the principal
The relationship between the consignor and the consignor is consignment, not sale. The consignor only handles the goods according to the consignor's instructions. The ownership of the goods shall belong to the consignor before they are sold at the consignment place.
Three. Risks borne by consignment
All expenses and risks of the consignment goods before they are sold, including in transit and after they arrive at the consignment place, shall be borne by the consignor.
After the consignment goods are shipped and exported, before the goods arrive at the consignment place, the method of selling the goods by road can also be adopted, that is, when the goods are still in transit, if conditions permit, they will be sold, and if they cannot be sold, they will still be transported to the original destination.
4) Bidding
Invitation to bid refers to the behavior that a tenderer issues a tender notice or a tender sheet at a specified time and place, puts forward the variety, quantity and related trading conditions of the goods to be purchased, and invites the seller to bid. Bidding refers to the behavior that the bidder submits the bidding documents to the tenderer within the specified time at the invitation of the tenderer in accordance with the conditions specified in the tender announcement or instructions.
In fact, bidding and tendering are two aspects of a trade mode.
There are three and four bidding methods adopted internationally, namely
I. Bidding
Competitive bidding (ICB) means that the tenderer invites several or even dozens of bidders to participate in the bidding, and through the competition of most bidders, the most favorable bidder is selected for trading, which belongs to the exchange mode.
There are two ways of international competitive bidding:
1. Open tender. Open bidding is an infinite competitive bidding. In this way, the tenderee should publish the tender advertisement in major newspapers and periodicals at home and abroad, and anyone interested in the tender content will have the opportunity to purchase the tender materials for bidding.
2. Selective bidding. Selective bidding, also known as invitation bidding, is a limited competitive bidding. In this way, the tenderer does not advertise in newspapers and periodicals, but invites merchants according to his specific business relationship and intelligence data, and then they bid after passing the pre-qualification.
Two. Bidding negotiation
Negotiation bidding (negotiation bidding)
Bidding negotiation, also called negotiation bidding, is a non-public and non-competitive bidding. This kind of bidding is a direct negotiation between several merchants, and the negotiation is successful and a transaction is reached. Three. Two-stage bidding
Two-stage bidding refers to a comprehensive way of unlimited bidding and limited bidding. In this way, public bidding is adopted, and then selective bidding is carried out in two stages.
Most of the materials purchased by the government adopt competitive public bidding.
5) Auction
Auction is a spot transaction method in which the exclusive auction house accepts the entrustment of the client, bids openly at a certain place and time in accordance with the established articles of association and rules, and finally the auctioneer gives the goods to the highest bidder.
Most of the commodities traded by auction are commodities whose quality is easy to standardize, or which are difficult to survive for a long time, or which are customarily conducted by auction. Such as tea, tobacco, rabbit hair, fur, wood and so on. Some commodities, such as mink and Australian wool, are mostly traded through international auctions.
Auctions are generally conducted by institutions specializing in auction business in a certain auction center market and within a certain period of time in accordance with local laws and regulations.
The auction procedure is different from the general export transaction, and its transaction process generally goes through four stages: preparation, inspection, bidding transaction and payment delivery.
Bidding method
I. Incremental auctions
Price increase auction, also known as buyer's bid auction. This is the most commonly used auction method. At auction, the auctioneer puts forward a batch of goods and announces the predetermined minimum price. After evaluation, bidders bid one after another and compete for price increases, sometimes stipulating the amount of each price increase until the auctioneer thinks that no one can bid higher.
Two. Price reduction auction
Price reduction auction, also known as dutchauction, first calls out the highest price by auction, and then gradually reduces the asking price until a bidder thinks the price is acceptable and says to buy.
Three. Sealed bidding auction
Sealed bidding auction, sealed bidding; Auction is also called bidding auction. In this way, the auctioneer first announces the specific conditions and auction conditions of each batch of goods, and then each trainee submits his bid to the auctioneer in a sealed way within the specified time, so that the auctioneer can review and compare the bids and decide which bidder to sell the goods to. This method is not open bidding, and the auctioneer sometimes has to consider other factors besides price. In some countries, the government or customs often use this auction method when dealing with goods in stock or confiscated goods.
6) Futures trading
Futurestransaction is a trading method in which many buyers and sellers bargain by shouting and gestures according to certain rules and reach a transaction through fierce competition.
Futures trading is different from commodity spot trading. As we all know, in the case of spot trading, buyers and sellers can reach a physical transaction at any time, anywhere and in any way. The seller must deliver the actual goods and the buyer must pay for the goods. Futures trading is a futures trading in a specific futures market, that is, in a commodity exchange, in accordance with the "standard futures contract" formulated by the exchange in advance. After the transaction, the buyer and the seller do not transfer the ownership of the goods. Because futures trading has the following characteristics:
1. Futures trading does not require both parties to provide or accept actual goods;
2. The result of the transaction is not to transfer the actual goods, but to pay or take away the price difference between the contract signing date and the contract performance date;
3. Futures contracts are standard futures contracts formulated by the exchange and can only be traded according to the commodity standards and varieties stipulated by the exchange;
4. The delivery date of futures trading shall be determined according to the delivery date stipulated by the exchange. Different goods have different delivery times;
5. Futures contracts must be registered and settled in the clearing house established by each exchange.
Transaction type
Futures trading, according to the purpose of traders, has two different types: one is pure speculation in which futures contracts are used as gambling chips to chase profits from the price difference; One is that people who really engage in physical transactions do hedging. The former is called "short selling" in business habits, which is a kind of gambling speculation conducted by speculators according to their own judgment on market prospects.
The so-called "short selling", also known as "long selling", refers to speculators buying futures in anticipation of price increases; Once commodity prices rise, sell futures and earn the difference. The latter is called "hedging" or "Qin Hai" in business habits.
7) Counter trade
Counter trade in China is also translated into "reverse trade", "offset trade" and "reciprocal trade", and some people generally call it "barter" or "big barter".
Generally speaking, we can understand counter-trade as the general term of various trade modes that belong to the category of goods sales, including barter trade, bookkeeping trade, mutual purchase, product repurchase, transshipment trade, etc., which is characterized by the combination of import and export and the export offsetting import.
8) Classification
Total trade
General trade refers to the goods unilaterally imported or exported by enterprises with import and export rights in China. Payment assistance for import and export goods, materials imported by foreign-invested enterprises for processing domestic products, finished products processed by domestic materials or products purchased by foreign-invested enterprises, catering foods imported by hotels and restaurants, domestic fuels, materials and spare parts of foreign ships or aircraft, goods imported by our laborers who are compensated in kind by the other party in overseas labor cooperation projects (such as steel, wood, fertilizer and seafood), and equipment and materials brought out by domestic enterprises through overseas physical investment.
compensation trade
Compensation trade refers to a transaction form in which overseas manufacturers provide or use overseas export credit goods to import production technology or equipment, which is produced by us, and the price of the other party's technology and equipment is repaid in installments or the principal and interest are paid by selling back their products. If approved, other products produced by enterprises (including enterprise consortia) can also be sold back to the other party to obtain indirect remuneration.
Processing and assembly trade with supplied materials
Processing and assembly trade with imported materials refers to a transaction form in which foreign businessmen provide all or part of raw materials, auxiliary materials, spare parts, components, accessories and packaging materials, and provide equipment when necessary. We process and assemble finished products according to each other's requirements and sell them to each other. We charge the service fee, and the price of the equipment provided by the other party is reimbursed by our service fee.
feeding processing trade
Feed processing trade refers to the transaction form in which we buy imported raw materials, materials, accessories, components, spare parts, accessories and packaging materials with foreign exchange, and then export finished or semi-finished products. Import processing and assembly trade can also take the form of counterpart contracts, that is, buyers and sellers sign import and export counterpart contracts respectively. We pay for the materials when they are imported, and then charge the other party for the finished products when they are exported. Consignment and consignment trade
Consignment trade refers to the transaction form in which the consignor delivers the goods to the pre-agreed consignor, and the consignor sells them in the local market according to the pre-agreed conditions or the conditions stipulated in the consignment agreement. After deducting commissions and other expenses from the income, the balance shall be paid to the client in the manner stipulated in the agreement. The relationship between the consignor and the consignor is not a buying and selling relationship, but an entrustment relationship, and the consignor has no ownership of the goods.
Border small-scale trade
Small-scale border trade refers to the trade activities between enterprises in border counties (flags) and border cities (hereinafter referred to as border areas) approved by the state and enterprises or other trading institutions in border areas of neighboring countries through land ports designated by the state, including barter trade, barter trade and other forms of trade.
Processing trade imported equipment
Processing trade imported equipment refers to the machinery and equipment imported by the other party in a valuable or priceless way under the processing of materials, including equipment repaid by labor remuneration (or price difference) and equipment imported by foreign-invested enterprises in processing trade without deducting investment quota.
Equipment imported by foreign-invested enterprises in the form of processing trade shall be counted as "equipment imported by foreign-invested enterprises" after deducting the investment amount. Whether to deduct the investment quota shall be subject to the examination and approval result of the competent customs examination and approval department of the enterprise.
Export goods of foreign contracted projects
The export goods of foreign contracted projects refer to the equipment and materials exported by companies with the right to operate foreign contracted projects approved by MOFTEC for contracting foreign construction projects and carrying out labor cooperation and other foreign cooperation projects, but it does not include the engineering equipment and materials exported by enterprises with the right to operate foreign economic and technological cooperation approved by MOFTEC in border areas and neighboring countries approved by China.
leasing trade
Leasing trade refers to the import and export goods that enterprises engaged in leasing business sign international leasing trade contracts with foreign businessmen with a lease term of one year or more.
Imported equipment and articles
The equipment and articles imported by foreign-invested enterprises as investment refer to the machinery, equipment, spare parts and other materials imported by foreign-invested enterprises with capital within the total investment (including Chinese investment) (other materials refer to the materials needed for building factories and installing reinforcing machines), as well as a reasonable number of self-use vehicles, production vehicles and office supplies (equipment) imported in accordance with state regulations.
Export processing trade
Export processing trade refers to the transaction form in which raw and auxiliary materials, spare parts, components or semi-finished products in China are handed over to overseas manufacturers for processing or assembly according to our requirements, and the finished products are shipped back to import, and we pay the labor costs, excluding "processing export with materials".
"Export with materials" means that we invest and set up enterprises abroad to transport raw and auxiliary materials, spare parts, components or semi-finished products in China to overseas for processing or assembly. Goods exported under the export of manufactured goods are sold abroad, which should be calculated in a practical and simple way. For example, the export of machinery, equipment and raw materials is counted as "general trade"; Processing with supplied materials and the export of finished products processed with supplied materials are included in the "trade of feeding and processing with supplied materials"; Leased exports are counted as "lease trade".
barter trade
Barter trade refers to the trade in which exported goods are directly exchanged for imported goods without monetary medium.
Goods in and out of bonded warehouse
Inbound and outbound goods in bonded warehouses refer to goods directly stored in bonded warehouses from abroad and goods shipped from export supervised warehouses, excluding bonded warehouses and transit goods. The goods in export supervised warehouses and their statistical methods are based on the Interim Measures for the Administration of Export Supervised Warehouse in People's Republic of China (PRC) (Order No.22 of the General Administration of Customs, released on March 2006 1992) and the Notice of the General Administration of Customs on Amending the Provisions on the Administration of Export Tax Refund for Goods in Export Supervised Warehouse (Document No.440 of the Ministry of Supervision [1995]). Export supervised warehouse refers to a special warehouse for storing goods that have obtained export licenses or approval documents according to regulations, sold out of foreign exchange settlement and gone through all export declaration procedures with the customs. The goods stored in the warehouse are "export supervised warehouse goods".
Bonded area warehousing transit goods
The storage and re-export goods in the bonded area refer to the storage and re-export goods stored in the bonded area from abroad and shipped out of the bonded area, excluding the storage and re-export goods stored in the non-bonded area from abroad and shipped out of the non-bonded area.
processing trade
Processing trade mainly includes processing with supplied materials, assembling with supplied parts, feeding processing, discharging processing and compensation trade. The difference between it and the so-called "three supplies and one supplement" (that is, incoming processing, incoming assembly, incoming sample processing and small and medium-sized compensation trade) is that incoming sample processing belongs to general export trade and does not belong to the category of processing trade. Processing with supplied materials and assembling with supplied parts are collectively referred to as processing and assembling. It is the main content of processing trade to remove sample processing from "three supplies and one supplement" and increase feed processing and discharge processing.
Overseas trade processing
Overseas trade processing refers to the international economic and trade cooperation mode in which domestic enterprises mainly invest in existing technology and equipment, provide raw materials, spare parts or product design technology, set up factories overseas, process and assemble, and sell finished products on the spot.