Question

Describe the steps involved in the processing of an export order. Discuss any four steps in detail.

Answer 1

1. Market Research and Setting Objectives of Distribution

2. Trade Regulations

3. Making Contacts  

Enquiries from interested overseas buyers

Checking buyer's background from ECIC and / or banks

4. Quotation and Terms

5. Sales Contract :-

Confirming the sales contract and terms of transaction such as payment terms

6. Contract Execution :-

Producing or sourcing goods

Packing and labelling

Arranging shipment

Preparing exports documentation

Arranging insurance, if necessary

7. Customs Clearance :-  Arranging export declaration and applying for export licence when necessary

8. Getting Paid :-  Subject to the payment terms specified in the sales contract, the exporter should present the required documents to the relevant parties for payment