Danarg Trading Company

Brown Sugar ICUMSA 600/1200

       Procedures

  1.   Buyer issues a full LOI or ICPO on behalf of the supplier after agreeing the price and terms of trading.

   2.   Seller shall issue a full corporate offer (FCO) to buyer to accept sign and return to seller.

  3.   Buyer shall issue an irrevocable corporate purchase order (ICPO) to the seller.

  4. Seller shall issue a draft sales and purchase agreement (SPA) to buyer to sign company seal and return to seller, seller shall duly sign company seal the sales and purchase agreement (SPA) and send to buyer, the sales and purchase agreement shall be operable when signed and company sealed by the buyer and seller.

  5. Upon lodging of signed contract with banks, buyer’s bank shall issue via swift an irrevocable divisible transferable DLC or SBLC at sight MT700 or MT760 100% cash backed, fully funded an operative letter of credit to seller’s bank within five (5) banking days of executing the sales and purchase agreement (SPA)

  6.  After sellers’ bank has received letter of credit confirmed, bank advises seller of such it proceeds to issue the performance bond (PB) 2% against operating letter in 7 to 10 days for the first shipment on behalf of the buyer and seller shall start transporting product to the loading port to load chartered vessel within twenty (20) days of seller’s bank receiving the confirmation on the letter of credit.

  7.  At loading port, SGS (society general de surveillance) and CCIC inspection by buyer must complete cargo inspections. The parties irrevocably agree that SGS or BUREAU VERITAS is the official authorized inspection agency and their documents rule and are final under this contract. Buyer is invited to visit product at the port of loading or send his own inspection team at buyer’s cost to attend SGS inspection at the loading port. Once completed the inspection and all shipping documents are issued, the package of shipping documents will be sent to seller’s bank which in turn will forward it to buyer’s bank that will process payment and forward it to seller’s bank. Seller upon receipt of payment, seller will send original shipping document to buyer by DHL or equivalent for clearance of customs.

  8. Buyer and seller shall simultaneously hand sign and company seal four (4) original hard copies of the sales and purchase agreement (SPA) made into PDF format that is acceptable by buyer and seller as legal binding original hard copies of the sales and purchase agreement (SPA). Seller shall distribute the executed four (4) original hard copies of the sales and purchase agreement (SPA), seller shall provide one hard copy to the seller’s bank and the seller shall keep one copy. the original hand signed company sealed original hard copies in PDF format shall supercede the draft copies of the sales and purchase agreement (SPA) and shall be acceptable legal binding documents for each of the parties and their banks. Once full payment is received for the shipment, a complete set of original documents will be sent to buyer or his designated bank so shipment can clear customs at the country of arrival or if preferable original documents will be sent from seller’s bank to buyer’s bank.

  9. Under international and national laws to which Danarg Trading Company are governed, The sending of confidential documents, such as the submission of documents, contracts with suppliers and other purchasing companies, is extremely illegal and causes us to violate the international terms of the international chamber of commerce. (ICC).

10. With the contract in hand, requesting different procedures such as documentation request and visits to factories, warehouses and producers, and what is not negotiated between buyers and sellers, will be considered speculatory and outside what has been agreed and signed may lead the cancellation of the agreement.

11.  We do not send physical samples, without exception.

12.  We do not send photos or videos to avoid disturbing the privacy and identity of our suppliers.

13.  All payments must be released at the port of loading, we do not accept any payment release at the port of destination

14. All inspection by SGS / CCIC-CIQ must be done at the port of loading. The SGS report at the port of shipment is the only reference for payment; we do not perform any inspection at the port of destination.

15.  All procedures must be followed for the negotiation to continue.