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Introduction to International Trade Documentation – Part 1

Chapter1 Introduction to Trade Documentation INTRODUCTION Documentation lies at the heart of all international trade transactions. It provides buyers and sellers with an accounting record; shipping and/or logistics firms with instructions of what to do with freight; country of export and import with regulatory compliance, census and taxation information; and banks with instructions and accounting tools for collecting and disbursing payments. THE PURPOSE OF DOCUMENTS IN INTERNATIONAL TRADE Documents serve a key role to each party involve in international trade. To The Exporter documents provide an accounting record of a transaction, a receipt for goods shipped, the means for export clearance of the goods, as well as information and instructions to the many individuals, companies and governmental agencies who transport, handle, or inspect the shipment. To The Importer documents provide an accounting record of a transaction, assurance that the goods ordered are