Import - Letter of Credit
(L/C) |
|
|
It is a written undertaking by issuing bank (in our
case by Dashen Bank) to be issued, at the request of
an applicant (customer of the Dashen bank, who is
buyer or importer), in favour of a beneficiary (who
is seller/supplier/ exporter) to effect payment to
the latter against presentation of shipping
documents which comply to terms and conditions
stipulated in the text of an L/C.
|
Documents required for
Permit Approval |
|
|
a) Import application form duly filled, signed &
stamped.)
b) Proforma Invoice
c) Insurance Certificate
d) Copy of valid foreign trade, investment,
industry, agriculture or mining licenses.
e) Tax registration certificate (TIN certificate).
f) Application letter for the transfer (i.e. for TT
mode of payment.)
g) Original title certificate for used vehicles.
h) Third party original price confirmation for used
commodities certified by Chamber of Commerce or
equivalent institution.
i) NBE issues delinquent importers list
periodically. Customer’s name should not appear in
the delinquent importers list of NBE for the period.
If the name appears, there should be subsequent list
indicating the given customer has cleared all
outstanding items at NBE.
|
What is expected from
importers? |
|
|
a) Importers should know foreign counter part as
detail as possible with regard to financial
soundness, reliability, integrity, full address,
etc.
b) Sales/Purchase contract should exist between the
two parties (importer and exporter) as L/C is only
international regulation which protects interests of
both parties only on arbitration level. Only
contracts signed between parties can be enforceable
by law at place and country of jurisdiction (if
specified.)
c) Banks deal only in shipping documents but not in
physical movement of commodities.
d) Follow up regarding status of shipment , timely
delivery of shipping documents by exporter and prior
arrangement of unpaid margin (if L/C facility is
granted by the bank) to collect documents, as soon
as received by Dashen Bank, remain the full
responsibilities of importers.
|
