Terms used in export business such as Account sales,Ad Valorem Tariff,Ad valorem,Admission temporaire carnet,Advisory capacity etc.
This post explains about terms used in export business such as Acceptance Draft,Acceptance,Account sales,Ad Valorem Tariff,Ad valorem,Admission temporaire carnet,Advisory capacity,after sight (A/S),Agent etc. These terms used in international business are arranged in alphabetical order and you may add more information about terms used in export business at the end of this article, if you wish.
Terms used in export business
Absolute advantage - A country has an absolute advantage if its output per unit of input of all goods and services produced is higher than that of another country.
Acceptance1 - (1) It is a term used for a time draft (or bill of exchange) which has been accepted by the drawee and is unconditionally obligated to pay at maturity. The said draft should be presented first for acceptance - the drawee becomes the "acceptor" - then for the payment. The word "accepted" and the date and place must be written on the face of the draft. (2) A term for the drawee's act in receiving a draft and entering into the obligation to pay the mentioned value at maturity. (3) Any agreement to purchase goods under specified terms.
Acceptance Draft:A sight draft, documents against acceptance. See "Sight Draft," "Documents Against Acceptance."
Acceptance: This term has several related meanings: (1) A time draft (or bill of exchange) that the drawee has accepted and is unconditionally obligated to pay at maturity. The draft must be presented first for acceptance - the drawee becomes the "acceptor" - then for payment. The word "accepted" and the date and place of payment must be written on the face of the draft.(2) The drawee's act in receiving a draft and thus entering into the obligation to pay its value at maturity. (3) Broadly speaking, any agreement to purchase goods under specified terms. An agreement to purchase goods at a stated price and under stated terms.
Acceptance:The act of a drawee acknowledging in writing on the face of a draft, payable at a fixed or determinable future date, that he will pay the draft at maturity.
Accompanying administrative document (AAD) :A control document required for movements of excise goods in duty suspension within the European Union (EU) and for export.
Account sales :A term used when goods imported on consignment are valued for customs purposes by reference to the price they achieve when sold in the European Union (EU). Account sales commonly apply to importations of perishable goods.
Accounting Centre for Registered Excise Dealers and Shippers (REDCENT) :The accounting centre processes records of all payments of excise duty made under the Registered Excise Dealers and Shippers (REDS) system and holds registration records of all registered traders.
Acquisition :Receipt, by a person registered or liable to be registered for VAT, of goods that have been supplied by a registered person in another European Union (EU) Member State and removed from there to the UK.
Ad valorem duty :Duty expressed as a percentage based on the customs value of the goods, eg 10 per cent ad valorem means that the duty payable is 10 per cent of the customs value of the goods.
Ad Valorem Rate: An import duty rate determined "according to the value" (ad valorem) of the commodity entering a country, as opposed to the weight or other basis for calculation. An ad valorem tariff is a tariff calculated as a percentage of the value of the goods when clearing customs.
Ad Valorem Tariff:A tariff calculated “according to value,” or as a percentage of the value of goods cleared through customs; for example, 15 percent ad valorem means 15 percent of the value of the entered merchandise
Ad valorem tax - (in Latin: to the value added) - a tax based on the value (or assessed value) of property.
Ad valorem: according to value (see Duty).
Additional costs :The price you negotiate with overseas customers also needs to include some additional costs. For example, transportation costs may include the cost of special packaging and labelling, while the detailed documentation you generally need may involve extra costs.
Admission temporaire carnet (ATA carnet) :A document accepted by countries party to the Admission Temporaire (ATA) (Temporary Admission) Convention which facilitates the temporary import and export of goods and replaces normal customs documentation. In the UK, carnets are issued by the London Chamber of Commerce and Industry, and by several other Chambers of Commerce in various towns and cities.
Admission temporaire roulette (ATR) :Temporary admission on wheels -certificates used to indicate that goods are entitled to preferential rates of duty in Turkey.
Ad-valorem duty - It is a duty fixed according to the value of the goods.
Advance against documents - A loan made on the security of the documents covering the shipment.
advance against documents: A loan secured by turning over shipment documents of title to the creditor; an alternative to acceptance financing.
Advance fixing certificate (AFC) :A form of export licence for Common Agricultural Policy (CAP) goods. AFCs set the rate at which export refunds will be paid on exported products. Because AFCs must be applied for in advance of export, both the exporter and the Rural Payments Agency will know how much money will be paid in export refund over the life of the certificate.
advice: A form or letter that acknowledges certain activities concerning shipments, credits, etc.
Advising bank - A bank, operating in the exporter's country, that handles letters of credit for a foreign bank by notifying the export firm that the credit has been opened in its favor. The advising bank fully informs the exporter of the conditions of the letter of credit without necessarily bearing responsibility for payment.
Advisory capacity - A term indicating that a shipper's agent or representative is not empowered to make definitive decisions or adjustments without approval of the group or individual represented. Compare Without reserve.
African Caribbean and Pacific States (ACP) :A collective term for a large number of independent states which are treated similarly for the purposes of trade preferences. A complete list of the states included in the ACP group can be found in Volume 1 of the Tariff.
AFTA - (otherwise known as the Andean-FTA): The Andean Free Trade Agreement is being negotiated between the United States, Colombia, Ecuador, and Peru (with the possibility of including Bolivia at a later time).
after date (A/D): A payment on a draft or other negotiable instrument due a specified number of days after the date the draft is presented to the payee.
after sight (A/S): A payment on a draft or other negotiable instrument due upon presentation or demand to the payee.
Agency/Distributor: A direct market entry method where the exporter contracts a partner or representative in the country of import to sell and/or represent their products. Although the terms agent, sales agent, sales representative, distributor, etc. are often misused interchangeably, there are some important differences to note.
Agent - See Foreign sales agent.
Agent :For the purpose of the HM Revenue & Customs (HMRC)agent service, an agent is a third party that is authorised to transact online on behalf of a VAT-registered client. Examples include accountants and book-keepers appointed by individual clients.
Agent ID :An agent ID is given to an agent when they enrol in an HM Revenue & Customs (HMRC) online service for the first time. The agent supplies the details for half of the ID, the second part is generated by the government gateway. It is the agent ID that clients use to appoint agents to transact on their behalf.
Agent/Sales Representative: Overseas, a sales agent or sales representative is the equivalent of a manufacturer’s representative in the United States. The representative uses the company’s product literature and samples to present the product to potential buyers. A representative usually handles many complementary lines that do not conflict. The sales representative usually works on a commission basis, assumes no risk or responsibility, and is under contract for a definite period of time (renewable by mutual agreement). The contract defines territory, terms of sale, method of compensation, reasons and procedures for terminating the agreement, and other details. The sales representative may operate on either an exclusive or a non-exclusive basis. Firms in the US, and other developed countries have stopped using the term “agent” and instead rely on the term “representative,” since agent can imply the authority, perhaps eve
n a power of attorney, to make commitments on behalf of the firm he or she represents.
The above details describes about terms called in export business such as Acceptance Draft,Acceptance,Account sales,Ad Valorem Tariff,Ad valorem,Admission temporaire carnet,Advisory capacity,after sight (A/S),Agent etc. These phrases may help importers and exporters on their day to day business activities. The readers can also add more information about terms used in export trade below this post.continue reading:Terms used in export business such as Triangulation,Trust Receipt,UK transit ,United Nations, Verification, Warehouse
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