Applications
It is a highly versatile product and may be employed in several applications, from domestic to industrial processes. Some of the several uses are: preparation of foods in general, soda, juice and sweetened beverage industries, brewery, baking, fondants, food industries, etc.

Procedures

The problem that the sellers usually have is the trust with new clients in need to buy sugar IC45. The buyer is concern about the real POP and the seller is concern about payment by MT 760 that is required to be sent first.
There is a very simple and easy way to get this done without any concern.

1. MT799 sent by the buyer – it’s nothing else but the readiness to send MT760 and it costs a little. So no risk at this point from the buyer side.

2. RWA – readiness to accept MT760 is the best banking proof that the seller is ready to accept the instrument by his bank. Also it means that his bank is ready to send POP and PB2%. And that information also is sent by the seller bank officer along with RWA.
So IN THIS POINT the buyer receives the banking legal and official confirmation on POP and PB.
POP and PB is already lodged in the bank and ready to be sent.
IF THE BUYER DOES NOT RECEIVE RWA HE DOES NOT SEND MT760! So no risk!

3. MT760 sent by the buyer.

4. POP and PB is sent by the seller.

5.MT 103 with SBLC is sent after SGS and BL.(full set of documents loading )

Clause 8. PAYMENT TERMS:

– – CONTRACT GUARANTEE TO BE SUPPLIED BY BUYER’S BANK WITHIN 10 (TEN) BANKING DAYS. UPON BUYER’S BANK SWIFT MT799 WITH REDINESS TO SEND MT760 AND UPON SELLER’S BANK CONFIRMATION RWA LETTER OF READINESS TO ACCEPT MT760, A SWIFT MT 760 (SBLC) IS SENT TO THE SELLER’S BANK, BEING A CONFIRMED, NOT ACTIVE IRREVOCABLE, TRANSFERABLE, AUTO-REVOLVING CORRESPONDING TO ONE MONTH CONTRACT VALUE, (12,500 MT AT USD 00.00 /MT) WHICH IS EQUAL TO A TOTAL OF USD$ 0,000,000.00 (xxxxxx DOLLARS) 100% SUBMITTED AND RELEASED INTO SELLER’S BANK.
– – AUTOMATIC ACTIVATION OF FINANCIAL INSTRUMENT IS DONE BY SENDING 2% PERFORMANCE BOND AND PROOF OF PRODUCT TO THE BUYER’S BANK.
– – THE BANK GUARANTEE MUST TO BE VALID FOR A PERIOD OF 11 (ELEVEN) MONTHS. SELLER’S BANK WILL ACTIVATE THE FINANCIAL INSTRUMENT WITHIN 10 (TEN) BANKING DAYS AFTER SENDING POP AND 2% PB.
– – PAYMENT AT SIGHT 100%, EACH SHIPMENT IS PAID BY MT103 UPON SUBMISSION OF ALL SHIPMENT DOCUMENTS. THE BUYER RECEIVES INVOICE WITH THE VALUE OF EACH SHIPMENT MONTHLY. THE VALUE OF ONE MONTH’S INVOICE WILL BE EQUAL WITH USD$ 5,000,000.00 (FIFTY MILLION DOLLARS), ACCORDING THE CONTRACT, THE WIRE TRANSFER WILL BE ISSUED FOR EVERY INVOICED VALUE.

Clause 10. PROCEDURES:
1. THE SELLER ISSUES FCO (FULL CORPORATE OFFER) TO BUYER. BUYER SIGNED AND SEAL THIS FCO AND RETURN TO SELLER FCO;
2. SELLER ISSUES DRAFT CONTRACT WHICH WILL INCORPORATE FULL TERMS, CONDITIONS AND DELIVERY SCHEDULE;
3. BUYER SIGNS AND SEALS EACH PAGE OF FINAL CONTRACT AND RETURNS TO SELLER. SELLER SIGNS AND SEALS FINAL CONTRACT AND SEND BACK TO BUYER; SELLER AND BUYER LODGE THE FINAL CONTRACT TO THEIR RESPECTIVE BANKS;
4. SELLER ISSUES PROFORMA INVOICE;
5. WITHIN 10 (TEN) INTERNATIONAL BANKING DAYS THE BUYER’S BANK ISSUES MT799 WITH READINESS TO SEND MT760. THE SELLER’S BANK ANSWERS WITH RWA AND THE BUYER’S BANK SENDS MT760 WITH A NON OPERATIVE, IRREVOCABLE, TRANSFERABLE, AUTO REVOLVING, CONFIRMED (BY TOP 50 WORLD BANK) UNCONDITIONAL, UNRESTRICTED, UNENCUMBERED, SBLC TO SELLER’S BANK;
IF THE BUYER DOES NOT RECEIVE RWA HE DOES NOT SEND MT760 WITH SBLC.
6. WITHIN 10 (TEN) INTERNATIONAL WORKING DAYS THE SELLER’S BANK ISSUES TO THE BUYERS BANK PB (PERFORMANCE BOND GUARANTEE) 2%, AND POP (PROOF OF PRODUCT) MAKES THE SBLC OPERATIVE.
7. THE SELLER’S BANK SHALL SEND TO THE BUYER’S BANK A COMPLETE SET OF SHIPPING DOCUMENTS FOR CONFIRMATION AND VERIFICATION THEN UPON RECEPTION OF THE ORIGINAL DOCUMENTS WITHIN 5 (FIVE) BANKING DAYS PAYMENT AT SIGHT (100% MT-103) IS RELEASED.
8. SHIPMENT BEGINS/COMMENCES WITHIN 20/40 DAYS FROM RECEIPT OF 100% OPERATIVE SBLC AND MT 103.

BANK’S OFFICIAL LETTER-HEAD

Date : __________________________________________
To : SELLER’S NAME

Ref : __________________________________________
Buyer’s Code : __________________________________________
Dear Sir,

We are informed that our client
Mr.______________________________________________________________
President of ___________________________ ,would like to purchase ________ MT of ______________________________________at US$ _________._____________ / MT (_____________________________________ UNITED STATES DOLLARS PER METRIC TON) ___ FOB / ___ C&F / ___CIF __________________ (Port), ____________ (Country), for a total of US$_______________________._________ (UNITED STATES DOLLARS) with deliveries of __________________ MT.

We understand that payment is to be by : IRREVOCABLE, TRANSFERABLE, AUTOMATIC REVOLVING, DIVISIBLE, DOCUMENTARY LETTER OF CREDIT, CONFIRMED OR ISSUED BY TOP 50 WORLD BANK, REVOLVING AS NECESSARY, PAYABLE 100% AGAINST PRESENTATION OF SHIPPING DOCUMENTS, FOR THE ENTIRE CONTRACT VALUE OF US$ ___________________.

This letter does not assume any financial liability or any contractual relationship with the parties, is just to inform you that the Buyer has the financial capacity to cover US $ ___________________ and to issue such payment instrument, should they contract for the purchase of the ________ MT.

The buyer transaction code # _____________________ has been assigned to this purchase to be attached to the Seller’s Contract.

Accountname : __________________________________________
Accountnumber : __________________________________________
Bankname : __________________________________________
Bankaddress : __________________________________________
Tel : __________________________________________
Fax : __________________________________________
Telex : __________________________________________
BankI.D. # : __________________________________________
Swift : __________________________________________
Routing : __________________________________________

If this bank is not a top 50 world bank, must name
ConfirmingBank: __________________________________________
Very truly yours.

1st. Bank Officer’s Name
Signature : __________________________________________
Printed : __________________________________________

2nd. Bank Officer’s Name
Signature : __________________________________________
Printed : __________________________________________

Bank’s Seal :

SAMPLE — Should be submitted on Banker’s Letterhead

BANK CAPABILITY LETTER (BCL)
CONFIRMATIONOF FUNDS CERTIFICATE
(Bank must be one of the TOP 25 Prime Banks)

Date:…………….., 2014.

From (Name and address of Bank):
Telex:
SWIFT:
Telephone number:
Fax number:
Name of account holder:
Subject:

To who is my concern;

We are informed that our client ______________ (name of company or client), accountnumber ___________ (optional) would like to purchase _____________ (Total quantity in MT) of __________________ (type of commodity/product) at US Dollars ($ ___________ per MT), CIF, _____________(name of port of delivery and country) for a total contract amount of US Dollars $ _________________________ (total contract amount).

The Agreement price, as quoted, is subject to the payment of Fully Funded irrevocable, transferable, divisible ____________________ (Method of payment agreed) unconditional Confirmed by prime bank, will be issued for the 100% of the Agreement amount and valid for (…..) months and (……) days for the total quantity of ______________ (Write total quantity) metric tonnes (+/-5%) and total contract value of US Dollars $…..,000,000,000.00 (________________ United States Dollars) +/-5%.

This is to inform you that the Buyer has the financial capacity to issue such Letter of Credit subject to bank formalities, should the buyer contract for the ________________ (Write name of commoditie/Product) origin Brasil.

Bank officer 1 Bank officer 2

Signed and sealed Signed and sealed

_____________________ _____________________
Title and typed full name Title and typed full name