Shipping Documents
Airway Bill Versus Bill of Lading
- The airway bill will be sent with the honey cargo from Australia and will be used for reference during transit.
- It will also be helpful for customs clearance once it arrives at the destination and is received by us, the importers.
- It will act as proof of receipt of the goods and will be issued by the air carrier to the shipper (Difference between Airway… 2019).
- The bill of lading, on the other hand, is a document that proves receipt of goods by the air carrier for carriage.
- A sea carrier issues it.
Packing List
- The packing list will be the detailed document listing all the containers of Capilano 100% pure Australian honey that have been exported to us as the buyers.
- It will be created by Capilano Honey, who is the shipper (Thompson, 2019).
- The packing list will help in the importing and exporting country to determine whether the shipment is in compliance with the import taxes and duties in the destination country (US).
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Certificate of Origin
- The certificate of origin will contain information about the product, country of origin of the honey (Australia), the destination (US), and the country of export, which is still Australia (Barone, 2019).
- It will help with the identification of whether the honey is eligible for export and whether it is subject to duties.
Insurance Certificate
- The insurance certificate will be used as proof that the honey in the shipment has an insurance policy onboard the air carrier or sea carrier (Bertolo, 2017).
- It will be necessary because the honey will be bought in bulk, and neither of the parties wants to be liable for any large losses.
Purchasing Documents:
Request for Quotation from Buyer
- In this case, we, as the buyers will ask the supplier (Capilano Honey) to send us a price quote for the amount of honey that we want to import (Kenton, 2019).
Quotation from Seller
- This will be provided by the seller (Capilano Honey) and will be used to let us know the cost of the honey that we wish to purchase before we make the decision. When the seller sends the quotation, they will have committed to the price.
Purchase Order from Buyer
- We will issue the Purchase Order as the buyers committing to pay Capilano Honey for the sale of their honey, which will be delivered in the future.
Purchase Order Acceptance from Seller
- The purchase order acceptance will be issued by Capilano Honey to us, stating that they agree to provide us with the specific amount of honey that we will have ordered.
Proforma Invoice from Seller
- Capilano Honey will issue the proforma invoice before the shipment is made.
- It will contain all the information about the honey that they will deliver.
- This will include specifications such as price and weight.
- It will also declare that the seller will provide the honey on a specific date at a particular price.
Commercial Invoice from Seller
- The commercial invoice will record the transaction between Capilano Honey and us.
- It will include information such as the date, the names, and addresses of the buyer and seller, the means of payment, and the unit and overall price of the honey recorded in the agreed currency.
Letter of Credit from the Buyer to the Seller