Understanding Transport Documents
By: Zahoor N. Dattu
COURSE DESCRIPTION: The beneficiary/exporter must arrange for the goods to be handed over to a carrier directly, or through an agent, or to a freight forwarder. The carrier or their agents would usually acknowledge that the goods have been received for transport, as per the terms of the beneficiary's instructions to the applicant in another country.
Accordingly, the carrier or their agents issue a transport document that:
- Acknowledges that the goods have been received from the beneficiary
- States the terms and conditions upon which the carrier undertakes the transport of goods
Since payments under documentary credits are not made against the transfer of goods but against documents (which represents the goods) under the credit, a clear understanding of transport documents is vital.
NUMBER OF PAGES: 87