U and I Sugar

Procedures: Containers

Buyer sends LOI and BCL.
Seller issues FCO (full corporate offer).
Buyer signs and returns FCO stating financial instrument to be used..
Seller issues draft contract and Pro Forma Invoice
Buyer returns the draft contract duly signed and sealed within 3 days together with formal purchase order including bank details.
Seller signs the contract and electronically returns to the buyer. The contract is now legally binding on both parties.
Buyer sends draft letter of credit and, if acceptable to seller, the buyer will open the letter of credit and shipment will take place OR
Buyer deposits a security deposit of 30% of the value of 1 month shipment to sellers account or activated financial instrument In the instance of a term contract. The buyer will open a non-operative letter of credit against which the seller will provide a performance bond. Issuance of the performance bond will automatically activate the buyer's letter of credit. Note: No performance bond on Spot. .
Balance paid on loading documents as per contract.
Shipping commences as per contract.

Procedures: Contract Bulk

Buyer sends LOI and BCL.
Seller issues FCO to buyer indicating the terms and procedures signed and sealed.
Upon seller’s receipt of the buyer’s endorsed FCO and acceptance, seller issues draft contract for the buyer’s review.
After the contract’s entire terms and provisions are approved, both parties execute the contract by electronic signature and then send it back by e-mail in PDF format. Seller also will include the draft of the PB and the standby letter of credit or bank guarantee as annexes in the contract.
Seller issues the Pro Forma invoice to buyer.
Buyer shall issue 5 (five) hard copies signed, sealed and notarized by a public notary, and send to seller by courier. (Through FedEx or DHL company only).
Seller signs, seals and notarize the received contracts and sends 2 (two) copies back to the buyer via courier. (Through FedEx or DHL company only).
Within five (5) banking days after receipt of the original contract signed, sealed and notarized by both parties, buyer instructs his bank to issue the Standby Letter of Credit (SBLC) non-operative by swift MT-760 to the seller’s indicated bank and a copy of the original swift must be sent by e-mail to the seller.
Within five (5) banking days after receipt of the pre-advise financial instrument acceptable to the seller and the seller’s bank, the seller issues a fully active two (2%) percent Performance Bond of the SBLC or BG value to activate said SBLC or BG. The seller then provides the Proof of Product (POP) and allocation.
Within three (3) banking days after the buyer’s receipt of POP and allocation, buyer issues an MT-103 field 23 or Documentary Letter of Credit (DLC) for the value of one month, to the favor of seller. The MT-103 field 23 or DLC must be paid at sight per each shipment against each vessel’s stipulated shipping documents presented to seller’s bank.
At loading of the vessels, buyer can make a physical appearance and sight inspection together with SGS at the time indicated during the notice of loading.
Seller would facilitate and assist buyer or buyer’s representative if there was a wish that buyer would want to be present at the loading for the first shipments, deliveries of goods to the port in Brazil.
Shipments will commence in strict compliance with contract terms within sixty (60) days of receipt of an acceptable Standby Letter of Credit or Bank Guarantee, as mutually agreed, and continue as per shipping schedule. Buyer to supply shipping schedule for the first ninety (90) days shipments within ten (10) days following the signing of the contract, with shipment schedule for the balance of nine (9) deliveries to be issued fforty five (45) days ahead of the actual shipment.

Past Performance will be given on all signed contracts which have had a BCL issued, and prior to any financial instrument being placed. If no BCL is available we will not provide Past Performance documentation.

Please ask for specific procedures and terms for any other contract type and delivery method.