Ebsi tradebrief issue 10 by eBSI TradeBrief

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IATTO CONFERENCE COVERAGE ...................1 EBRD TRADE FINANCE .................................2 SUPPLY CHAIN FINANCE CASE STUDY ............4 INVESTING IN TRADE ......................................6 GLOBALIZATION AND CULTURE .......................9 CUSTOMS BONDED WAREHOUSES..................13 THE POWER OF GLOBAL NETWORKING ...........17 ACHIEVING EXPORT COMPETITIVENESS ..........19 EXPORT CUSTOMER SERVICE ........................23 CHINA SYSTEMS UPDATE ...............................26 RECENT EVENTS ...........................................28

TradeBriefeBSI

ISSUE 10

October. 2012

IATTO Trade Training Conference – best practice in trade certification! Tallinn, Estonia, 12th to 14 September 2012

Estonia, a bridge between Eastern and Western Europe and a world leader in internet-based infrastructure development, was the ideal venue for the 38th Forum of IATTO (International Association of Trade Training Organisations). The medieval capital Tallinn played host to 28 countries and 240 delegates, taking part in four days of discussion about how international trade works. The focus was on the challenges of global collaboration and how we can learn to manage the education, training and management needs of a shrinking world that wants to trade out of a global recession. Expanding Trade Needs Trade Professionals It was interesting to observe the trends in trade development activity and its continuing expansion despite challenging economic times. Global Trade measured USD2 Trillion in 1970, rose to USD6 Trillion in 2000, and reached USD15 Trillion in 2010. The WTO estimates global trade will expand to USD33 Trillion by 2020. Thomas Smith demonstrated the need for certified trade professionals and how online network driven collaborative learning is the only methodology with real time global reach. Other successful models from the International Trade Center (ITC) of the United Nations and the University of Ottowa were also explored and discussed. The participants had the chance to experience first hand interactive learner driven training from eBSI. Given the projected growth in world trade between now and 2020 Thomas outlined the need for ‘knowhow, expertise and do-how!’ to succeed in international trade and finance.

Thomas Smith ‘expanding trade needs accredited professionals’

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News & Commentary

Andrei Eftimov, of Tutunska Banka in Macedonia stresses the importance of international cooperation

EBRD TFP Trade Finance Forum in Istanbul, Turkey Istanbul, Turkey

The Trade Facilitation Programme (TFP) of the European Bank for Reconstruction and Development held its annual TFP Trade Finance Forum 2012 in Istanbul, Turkey on 26-28 September, 2012 with over 200 participants attending from 80 countries.

Vincent O'Brien, participated in a joint session with other EBRD TFP consultants Stephen Tricks and Igor Roussine and outlined the success of EBRD's Technical Assistance programs and explained future plans for further projects. .

Over the past few years, the Forum has been a great success with bankers and trade finance professionals and has become a renowned trade finance specialist hub fostering dialogue and cooperation and between the members of the international trade finance banking community with a focus on the EBRD countries of operation. The 2.5 days event featured sessions covering international trade finance issues such as correspondent and trade finance banking relationships, availability of counterparty and country banking limits, risk taking capacities amongst banks in the current turbulent market. The final session covered Technical Cooperation and the success of the EBRD eLearning program.

Anastasiya Trofimushina of Kyrgyz Demir Bank at EBRD Trade Finance Forum 2012

EBRD TFP Trade Exchange 4 Out Now! Download it directly from here Thomas Smith with Allya Aratbayeva at the Forum

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TradeBriefeBSI Editors Note Welcome

News & Commentary

New eBSI Online Certifications to

this tenth edition of eBSI Tradebrief which now has 41,320 readers! I am pleased to take over from Vin as the editor, but I know he is always a hard act to follow.

Besides the fact that qualified export professionals and international trade specialists is increasing globally due to the difficult economic climate the world over, eBSI has now expanded its offering in response to the growing demand for Logistics, Supply Chain and CIPS qualifications in the labour market through strategic partnerships with leading organisations in these fields. From October 2012 onwards eBSI will be offering courses from other prestigious Trade and Logistics Training organisations as follows: the Chartered Institute of Logistics & Transport UK in conjunction with Logistics Learning Alliance for CILT Courses using their unique learning model

However, with our expert contributors, quite a few of which are our graduates I am confident of success in satisfying the expanding readership.

the Institute of Supply Chain Management through IoSCM UK offering online certifications in this important area serving international trade

This edition looks at a number of important tools for International Trade, such as iComTrader.com and the Business Networking website Webportglobal.com.

the Institute of Chartered Shipbrokers through their online learning partner Coracle Online

We have technical articles on Supply Chain Finance, Bonded Warehouses & Prioritising Trade.

Each organisation compliments perfectly the current offering of International Trade and Trade Finance courses currently offered by eBSI and Certified by the Institute of Export UK.

We welcome our new media partner Trade & Forfaiting Review. I look forward to your help and guidance in my new position.

Jenya China Systems Scholarship

eBSI Tradebrief wishes to acknowledge the generous support of China Systems Corporation who awards a EUR 2000 scholarship every issue to one deserving recipient.

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Finally for those seeking a Sourcing qualification we have we have incorporated courses with the Chartered Institute of Purchasing and Supply in collaboration with the Chamber Business Training in the UK. You can see a general overview of the courses available on our interactive presentation on eBSIâ&#x20AC;&#x2122;s home page at www.ebsi.ie. You can fill in an enquiry form there or we also welcome enquiries by email and will be happy to provide full info and pricing and Emerging Market course opportunities to those contacting Thomas Smith at ts@ebsi.ie.

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Expert Commentary

Supply Chain Finance – a case study The article by Carlos Bacigalupe in the last edition of Trade Brief highlighted the advantages of Supply Chain Finance (SCF) and in particular how new methods of funding trade via SCF and Trade Receivable programmes are greatly assisting the improvement in liquidity and working capital for both buyer and supplier alike. Whilst it is true that since its inception some ten years ago SCF is primarily used in developed countries, such is the growing popularity of SCF with key multinational buyers that many suppliers located in emerging markets are now beginning to benefit financially from the introduction of SCF programmes.

Expert Profile Name: John Turner Position: Director, Trade Finance Ireland Employer: Ulster BankGroup Location: Dublin, Ireland Specialisation: Trade Finance Contact: john.turner@ulsterbankcm.com

First, let us re-cap on the advantages of SCF for both buyer and supplier:-

Buyer

Supplier

Supports extension of payment terms W/C improvement by extending credit terms

Certainty and Visibility of payment Cash on demand once invoice approved

Strengthens relationship with seller by provision of competitive W/C finance

Improves cash-flow management

Accounts payable process undisturbed

Payment of a discount is the only cost

Now let’s look at how this has actually worked in practise: Last year a leading UK multiple was keen to expand its existing SCF programme to a major supplier of clothing located in Turkey. Existing terms of trade were 90days from shipment date. The Turkish supplier relied for its working capital on a local invoice financing facility with its domestic bank. The high level of interest rate appertaining in Turkey (12%) plus the generous 5% margin charged by its bank with high arrangement fees meant the Turkish supplier was paying about 20% to fund its working capital & export trade to the UK. Furthermore, despite the strong credit rating of the UK buyer (a leading global brand) the Turkish bank would only advance 80% of the receivables due. The UK buyer was aware that its Turkish supplier was unhappy with its local financing arrangements and consequently proposed a highly attractive deal whereby the buyer was prepared to extend the payment terms form 90 days to 180 days and provide 100% finance on submitted invoices. For its part the UK buyer was able to raise funds to finance the SCF facility with the Turkish supplier from its domestic UK bank at 1% over cost of funds, effectively circa 2% all in. A distinct contrast to the rate of 20% paid by the Turkish supplier to its local bank for only partial financing. The buyer proposed to process the supplier’s invoices using the electronic platform in place with its London bank, to which the Turkish supplier was also given access. Using electronic invoicing meant that the buyer could approve the invoice and simultaneously instruct its bank to make payment. Thus, the Turkish supplier received its cash within seven days of shipment (see flow chart above). The only caveat imposed by the UK buyer was that in recompense for doubling the creditor days from 90 to 180 days and providing 100% immediate payment it required the Turkish supplier to give them a 3% discount on the price of the goods supplied. Such were the obvious interest cost savings and improvements in its cash flow / time value of money that the Turkish supplier readily agreed to the proposal.

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Expert Commentary

In diagrammatic form the process can be shown as below.

The ability of a SME supplier located in a high interest rate jurisdiction to leverage off a major global buyer with a strong credit rating based in an economy with low interest rates was the key determinant to a successful SCF financing. Another key to success is the use of electronic platforms that did not exist a decade ago. This serves to highlight how the speed of technology in trade finance continues apace with invoicing through the medium of an electronic delivery channel now becoming part of every day trade.

The counter-party that has of course lost out in this case is the local Turkish bank. The supplier which is a valued client has now affectively refinanced itself via a SCF facility put in place by the buyer and the buyerâ&#x20AC;&#x2122;s bank, both based in the UK. The obvious solution for the Turkish bank is to offer its client a 100% Trade Receivable facility in Sterling, but that presupposes that the bank concerned has ready access to Sterling funds at a competitive rate and is prepared to take a full 180 day credit risk on the UK buyer. International Trade Receivable facilities are something we shall explore in the next issue.

John Turner EBSI EXPORT ACADEMY

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Expert Commentary

Pumping Private Money into Trade Activities

Traditionally, trade finance has been provided to import/export companies by banks and/or other financial institutions. Such dependency of the financial sector adversely affects to both importers and exporters in their needs to get either funding or credit, especially in downturn times. Actually, in any financial crisis, the inevitable shortage of cash and credit imposed by banks to their clients implies an additional burden to producers and/or manufacturers adding such lack of financing to the problems experienced by the effect of the crisis. We all know examples of companies that have been forced to reduce their activity, or even close, by the lack of liquidity or credit necessary to continue operations. However, new players are entering the pitch. Private investors, knowing the benefits and relative safety offered by trade, are willing to support trade business and simultaneously get some return to their investments.

Expert Profile Name: Carlos Bacigalupe Position: Trade Finance Specialist Employer: eBSI Location: Madrid, Spain Specialisation: Trade Finance Contact: cb@ebsi.ie

Options for Investors There are different options for an investor to finance trade operations; in this article we will mention one of the simplest. All companies, regardless of the sector in which they operate, need to keep a stock in their warehouses. In some cases, inventories consist of raw materials purchased to its suppliers, or semi-finished products that need to incorporate into their production process. In other cases, major stocks are manufactured products which are deposited in warehouses waiting to be sent to the final purchaser, or any type of source of energy needed for the production. In either case, the company has on its balance sheet the value of the stock which must be funded from its own resources or through a bank loan. In a situation of lack of liquidity or credit shortage, the problem is compounded when stocks have to be stocked for long periods of time, either by the nature of the goods themselves, such as timber that takes a while to dry, or product seasonality, for example, orange juice which has to be manufactured in accordance with the harvest season. Letâ&#x20AC;&#x2122;s put a practical example to understand the benefits: A Spanish steel mill needs coal for its production process. Due to the high impact of transport cost in the purchase the company buys large quantities (e.g. 25,000 Mt) from Colombia in order to reduce the cost and get a better purchase price. The problem arises when the company verifies that 25,000 Mt covers its production needs for a period of 6 months and, therefore, it has to finance the stock â&#x20AC;&#x201C; plus all the import and transport added costs â&#x20AC;&#x201C; using either its working capital or a bank loan. Unfortunately, the option to buy a lesser quantity of coal implies a higher purchase cost.

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Expert Commentary The agreement between the investor – usually a pool of them acting through a Special Purpose Vehicle (SPV)- and the steel mill can be structured in many ways, depending on the time that both parties wish to finance stocks and the functions to be performed by each party, entering commercial aspects involved, image, cost, etc. The easiest way is as follows: the investor buys the coal directly from the seller in Colombia in the conditions (price, quality, quantity, etc) previously negotiated by the steel mill and requests that the coal be delivered in the steel mill's warehouse.

The investor bears all the costs involved in the import transaction (purchase, inland transport, maritime transport, discharge, duties, etc.) and remains the wholly owner of the product that has been stocked in the steel mill’s warehouse. As per their agreement, the steel mill takes daily from the warehouse the quantity needed for its production and, at the end of the month, pays to the investor the amount established in the agreement, i.e. purchase price + pro-rata of involved costs + percentage of profits for the investor (estimated in terms of time). In fact, the investor becomes a “just-ontime” provider of coal to the steel mill.

Benefits for both parts are significant: the steel mill pays only when effectively uses the coal and only bears a small additional cost (i.e. investor’s profit) for the financing period (which in the traditional way equals the bank’s finance costs). Besides, its indebtedness ratio is lower, as no bank loan exists and the obligation with the investor is a commercial agreement. For the investor’s point of view, he gets a profit for the period of time he bears the costs without taking a high risk because he’s at all times the owner of the coal until the moment he sells it to the steel mill. There is a handful of options using such a collaboration scheme, covering several sectors, products and roles. In fact, each transaction is structured properly to generate profits for both parties. In future articles we’ll review different options on the same structure of collaboration between private investors and foreign trade companies.

Carlos

International Trade Certified Training Programmes

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Programme Intakes every two months from January & March 2009 Certificate in Logistics Certificate in Finance ITS Accreditation Advanced Certificate in Delivered exclusively by: International Trade & Logistics The electronic Business School International Diploma in Export Operations Tel: +353 94 9381444 Fax: +353 94 9381708 Certified Courses in Shipping Web: http://www.ebsi.ie Email: info@ebsi.ie

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Expert Commentary

Getting Ready to Trade at SME level SMEs have high expectations when they start to develop export strategies and define foreign market entry models. This might be influenced by different criteria varying from country to country. The economic crisis has had a crucial impact on export strategies. Many companies have been forced to minimize their activities in their small domestic markets and even withdraw from them completely while allocating scarce resources to go overseas. Traditional large export markets such as Germany, United Kingdom, Russia and others have suddenly become highly sought after export destinations by SMEs.

Expert Profile Name:Sigitas Brazinskas Position: Export Consultant Employer: Self Employed Location: Vilnius, Lithuania Specialisation: Export Development Contact: sigitas.brazinskas@value.lt

It’s not surprising when SMEs build flexible teams and service orders in near markets. This is even more relevant to service industries, construction, manufacturing of specialist elements of the value chain, electrical installations and metal processing. Traditional manufacturing is starting to follow this trend also, however. Once an export goal is set, a company’s natural core objective is to identify contacts of potential partners in a market to start trading internationally. This is a basic element of an internationalization strategy: partner search or promotion activities such as trade fairs, mailing, and registering on-line inquiries. As there is a quick shift from the local to the foreign market, companies are often not ready to make these radical changes in their processes and procedures. Long trading traditions on the local market may have formed specific work practices which are often not applicable in foreign markets. Therefore another important criteria comes onto the agenda before taking a decision to go overseas: the assessment of current potential and development of human resources, technologies, promotion literature and web-site, and finally, awareness of business culture in the target market. Exported oriented SMEs can follow a simple and clear formula to be successful in exporting: 1) Carry out an assessment of export potential, 2) identify target customers and channels, 3) create a database of potential clients (some SMEs pay too much attention to this aspect and not enough on further steps), 4) develop an entry strategy and tactics, 5) Identify and secure a sufficient budget for developing the company’s export business, 6) set goals for expected results and a follow-up on them. Development of these elements will involve monitoring these essential topics as they will be subject to continuous change as the SME has to adapt to the ‘realities on the ground’. For example, when contracting with buyers, which Incoterm is going to be used and do we understand the risks, responsibilities and obligations of each party? What is the potential of leveraging tools such as an internet presence or penetration of social media as a promotion tool among other items to be discussed by the SME’s management. Proper consolidation of these initiatives along with promotion activities into a cohesive export marketing plan should lead to enhanced company competitiveness and attractiveness.

In conclusion, SME’s should make the effort to balance promotion and business development activities over the long term. To build experience and capability while minimizing risk, closer markets should be approached within the company’s existing export potential where business culture and market requirements are similar, and logistics costs are not yet significant. In the longer term staff capacity building, as well as technological innovation have to start dominating the focus of the SME’s management. By developing the SME’s capability while promoting internationally in easier markets first contribute to create a long term competitive platform for export success.

Sigitas

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Advertisement Feature

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Expert Commentary

Does Globalization create the Need for Cultural Understanding? It seems like just a short time ago we lived in a world in which contact with other cultures was incidental and peripheral. Sure, there used to be immigrants from other countries and then there was of course some contact when we travelled, but for most there was no real need to dive deeper towards understanding other cultures. Moreover, the impact of developing countries and regions at the other side of the globe on our daily life was very minimal, if at all. Well, that's changing, and there is now a need to accept and embrace globalization, or be destined to failure (or worse, talk of isolationism as a way around it).

Expert Profile Name: James Vena Position: Founder & CEO Employer: iComTrader Global Management Inc. Location: New York, USA Specialisation: Trade Facilitation Contact: jvena@icomtrader.com

In todayâ&#x20AC;&#x2122;s world everything is connected with everything, and even minor accidents in a remote part of the world can have a big impact on all of our lives. Foreign companies buy shares in European companies and all of a sudden you lose your job. Companies expand into other regions, and all of a sudden you move to Shanghai or Buenos Aires. Demonstrations and uprisings in the Middle East affect the price of petroleum, pirates in the Indian Ocean affect global trade, and capitalism in China becomes both a problem and a panacea. Today we are fairly well informed about all of these things, as we can watch or follow the events live on the Internet and discuss it with the people around us. Some of those people may even come from those regions. Tourists and business travellers no longer want to be seen as the typical foreigner visiting, since they know that speaking at least a few phrases and understanding some key points of the culture will help them to have better success and a more meaningful experience. Of course, the other side of the coin is the resistance that developed nations are pushing back with, as they allow politics, emotions, prejudices and fear, rather than common sense, to dictate their actions. I have noted that many bright and accomplished people are opposing the inevitable change and natural progressions that are occurring as we globalize. Perhaps, they aren't as smart as I thought. Is it greed or ignorance that makes so many people fear globalization? One must remember that a significant re-distribution of wealth and quality of life is now happening, which had never been seen before. Those who have benefitted during the 20th century did so at very disproportionate levels, as wealth and quality of life were primarily amassed in the West. During the days of communism, the West spent lots of time and money trying to thwart its rise, by promoting capitalism and materialistic wealth as the products of democracy. Now that the desires of capitalism, freedoms and democracy have won out, the old adage of "be careful of what you want, as you just may get it" comes to mind. Many in the West are resisting the changes, as they feel that things are being taken away from them as developing nations sacrifice to get a piece of the global pie. Well, that pie is about to get bigger for all! While it is true that much of the worldâ&#x20AC;&#x2122;s manufacturing base has shifted away from the West, to developing countries in emerging markets, it will be those emerging economies that will want more. This is where the global growth is lurking, for those who embrace and accept the globalization and multiculturalism of the new world. It is happening quickly, and will even be more rapid over this decade, with tremendous, never before seen growth levels. The only thing standing in everyone's way is fear (and politics). What is the best way to fight fear? Understanding!

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Expert Commentary And we are pretty well informed about all of the above as we can watch or follow the events live on the Internet and discuss it with the people around us, some of them might even come from those regions.

As Pankaj Ghemawat recently posted in his Wall Street Journal commentary, The Seven Secret's of Successful Globalization: "A fashionable consensus among MBA students, managers and luminaries such as Colin Powell, George Soros and Tom Friedman, to name but a few, has been building around the notion that the world is globalized—that borders don’t matter at all. But fashion is no substitute for the facts…” (Following are a few excerpts from Mr. Ghemawat’s article):  First-generation immigrants represent only 3% of the world’s population. The percentage of the world’s population comprised of immigrants is the same as it was in 1910.  Foreign direct investment is about 10% of global fixed capital formation. FDI-intensity has never exceeded 20%.  Some pre-crisis measures of cross-border capital flows/stocks are actually comparable to earlier peaks more than 100 years ago—and thanks to the crisis, are now lower.  Less than 20% of the bits transmitted on the Internet cross national borders. International and particularly intercontinental Internet traffic is decreasing rather than increasing.  International trade accounts for close to 30% of global GDP, but that percentage recedes back toward 20% if we strip out double-counting. While trade-intensity has been setting new records, the big drop-off in 2009 is a reminder that trends can be reversed.  Instead of viewing the world as a collection of standalone countries neatly divided by clearly marked borders, we need to think of the world in terms of countries that are embedded in space, at varying distances from each other (World 3.0). In World 3.0, linkages between countries can be substantial, but the countries themselves remain distinct, and the world diverse. Focusing on such distances or differences and how to deal with them is to unlock what, to use an acronym, seem to be the seven “secrets” of successful globalization. 1. 2. 3. 4. 5. 6. 7.

Sensitivity to differences. Evaluation of cross-border moves. Closeness versus distance. Regional realities. Economic arbitrage. Timing. Strategy options.

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Expert Commentary

Adaptation to differences, aggregation at the regional level (or on some other basis) and arbitrage are just some of the strategy options touched on Mr. Ghemawat’s article. I agree fully with his statement that “Recognition of the full set of options—instead of simply treating globalization as a matter of cloning the domestic business model everywhere—is essential to increasing the odds of global success, and to maximizing value creation." In closing, I’d like to reiterate that the only thing standing in everyone's way is fear (and politics), and that the best way to fight fear is with understanding. It is always better to fight fire with water, than with fire. Cultural understandings will easily douse the flames of fear that are brought on by globalization.

James A. Vena Founder & CEO of iComTrader For more information about how to effectively globalize business through cost effective growth, please feel free to contact James, or read more of his articles and op-eds at the following sites: Company Website - http://www.iComTrader.com “Vena’s Viewpoint” Blogs - http://www.icomtrader.com/blog.cgi?category=Vena'sViewpoint LinkedIn Profile: http://www.linkedin.com/in/javena LinkedIn Group: http://www.linkedin.com/groupRegistration?gid=1966079 About the Author: A lifelong international trader, global business developer, venture capitalist and entrepreneur, James Vena has founded, developed and managed several global trading ventures. The iComTrader international network is his latest creation, along with iComTrader Int'l Trading, iComTrader.com and more recently iComTrader Global Management, Inc. His vision has been simply to merge skilled people with modern technology to create new avenues of commerce and globalization. He sees the value of social networking via Internet, but has never lost sight of the importance of "people doing business with people". Combining the exchange-like portal of iComTrader.com, set into a global network of skilled trade professionals, has helped James to achieve his vision of turning any product or service into a commodity, with an exchangelike venue to support real and transparent pricing, rather than anecdotal values. Now, with a roster of worldwide partners, the clients of iComTrader are experiencing first hand the power and value of his vision.

European Trade Finance Yearbook UK based commercial finance publisher, BCR Publishing Ltd are extending their range of publications with a brand new title about to be launched in association with European Bank for Reconstruction and Development, called the European Trade Finance Yearbook. BCR have been producing high quality and highly regarded Yearbooks since 1997 with titles such as the World Supply Chain Finance Yearbook and World Factoring Yearbook. The European Trade Finance Yearbook is a response to the demand for more information on a sector that has seen substantial growth in the last twenty years. The new Yearbook is a country by country review and analysis of the trade finance markets covered by the EBRD, including Central and Eastern Europe and other major European markets. The European Trade Finance Yearbook includes information about the markets for the main forms of trade finance deployed in each country covered, the major players, industry environment, competition, pricing trends and future prospects, statistical data, estimates and qualitative commentary. The Yearbook also contains a directory of trade finance banks. Readership of the new title will include trade finance banks in Europe and beyond, corporates, trade finance law firms, business libraries, consultancies, ECAs, central banks and government departments. To order a copy of the new European Trade Finance Yearbook, or for more information, please contact info@bcrpub.co.uk. The cost per copy is £140.00.

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TFR Featured Article

The Practicalities of Customs Bonded Warehouses As more customs bonded warehouses spring up around the globe, exporters are in a good position to benefit from this counterparty performance and credit risk management tool. Licensed by a country’s local customs authority for temporary storage or processing of goods on which no duties are paid until the goods are cleared for internal consumption, customs bonded warehouses provide services such as deep freeze or bulk liquid storage, commodity processing and coordination with onward transportation. (A summary of the cargo flows is set out in Figure 1 and the theory of how the process should work is outlined below.)

Expert Profile Name: Ruslan Kharmalov Position: Founder & Managing Director Employer: Intertrade Dynamics Location: Rolle, Switzerland Specialisation: Trade Development Contact: mb@bcrpub.co.uk

Summary of customs bonded warehouse theory Two parties enter into an international sales contract that requires delivery of goods on a cost insurance and freight (CIF) or cost and freight (CFR) basis. The parties agree that the buyer will pay for the goods before their arrival at the port of discharge, and that the seller will keep the original bills of lading until receipt of payment. Due to various reasons – for instance, a short distance between the ports of loading and discharge – the buyer fails to make the payment on time but assures the seller that it will be made in a matter of days. The seller faces a dilemma: to unload the goods  and accept uninsured credit risk on the buyer or postpone unloading operations until receipt of payment but run the  risk of vessel demurrage.

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There is an alternative if the port of discharge has an independent customs bonded warehouse. A legitimate holder of the bills of lading – usually the seller or his financing bank – may instruct the carrier to unload the goods in the bonded warehouse and hold them in custody until receipt of payment. This way the seller may retain control over the goods while avoiding demurrage expenses. Should the buyer default on the sales contract, the seller may resell the goods to other customers in the same market or re-export them without paying customs duties in the country of transit (which includes a considerable value-added tax in many jurisdictions).

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TFR Featured Article

The practical challenge In practice, the seller must be prepared to manage this process very carefully, as it is not uncommon that the goods are misdelivered from the bonded warehouses – even considering the perceived security of government participation. The following case is an example of a real situation I encountered a few years ago. A commercial transaction began along the lines of the one set out in Figure 1. The goods were unloaded at the port of discharge, and the buyer made the payment a few days later. The seller informed the buyer that he instructed the carrier to deliver the goods. To the seller’s astonishment, the buyer responded that most goods had already been shipped from the port of discharge. When the seller enquired why the goods had been released to the buyer, the latter’s forwarding agent replied that only the buyer had a stevedoring agreement (docker labour agreement) with the port, and the buyer was also indicated as the notify party in the bills of lading. Further investigation bore no fruit, as the parties engaged in the handling of the goods at the port of discharge accused each other of miscommunication on the goods’ actual status, though agreeing that the goods had been misdelivered to the buyer. Taking into account that the goods were paid for, the seller decided not to pursue that case any further. As the seller’s bank was aware of  all developments, the whole story did not help the professional reputation of all parties involved. The problem of misdelivery of cargo under a bill of lading is well covered, but most comments focus on emerging markets. In my opinion, developed markets are no less prone to this problem – just for other reasons. The misdelivery outlined in the above example took place in a leading European port; one that is considered a paragon of efficiency. Too often, however, efficiency is provided at the expense of safety.

Getting it right In order to ensure against unwelcome surprises, a party contemplating the  use of a customs bonded warehouse as a risk management tool should consider the following:  National legislation on bonded warehouses may substantially differ from one state to another, so make sure there is an appropriate regulatory framework in the country of destination.  Not all merchandise is acceptable for storage in bonded warehouses. For example, perishable goods such as crops and foodstuffs may not be deposited in a bonded warehouse in some countries, or their authorised storage may be limited in time. Make sure that the bonded warehouse is suitable for your cargo.  The port of discharge should operate an independent, public bonded warehouse and not a private one. Entrust the cargo to an independent and impartial custodian acting in your best interests.  Before entering into a contract of affreightment, inform the carrier that you may need to unload (but not deliver) the cargo at a bonded warehouse at the port of destination against a letter of indemnity (LOI). Make sure that the carrier agrees to follow the consignee’s instructions in this respect.  Issue negotiable bills of lading to your order or to the order of the financing bank. Coordinate with all parties concerned that part 1/3 of the original bill of lading will be sent in a ship’s bag, and that part 2/3 of the original bill of Lading will be kept by the consignee until receipt of payment.

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When the need to unload the cargo in the overseas bonded warehouse starts to loom, proceed as follows:  Do not surrender the original bills of lading to unload the goods into the bonded warehouse. Instead, have the consignee instruct the carrier to unload the cargo against a letter of indemnity (LOI). Be proactive with all related formalities, as the carrier may require the original to start unloading operations. The more sub-charterers are involved in the sea voyage, the more time is required to complete related formalities.  Do not attempt to manage the whole process through the carrier. Contact all parties concerned – the ship’s agent, the discharge port authority, and the customs representative – and inform them about the forthcoming operation. Notify these parties about the legitimate owner of the cargo and about circumstances requiring its unloading in the bonded warehouse. Make it crystal clear that no delivery is possible to the buyer without the cargo owner’s explicit instructions and the delivery of the original bills of lading. Ask the port authority about conditions of storage, and guarantee payment of stevedoring and storage expenses incurred by the cargo in case the buyer does not fulfill his payment obligations.   Whenever appropriate, request that all parties concerned acknowledge in writing agreement with your instructions. The carrier should be informed of your activities and copied on all  related correspondence.  Considering that the bonded warehouse is not necessarily separated from the main port area, ask the port authority about the exact location of your cargo, and request the port authority to issue a bonded warehouse receipt as soon as the cargo is unloaded from the vessel. You may also consider sending an independent surveyor to inspect the physical location and condition of the cargo, as well as having the surveyor randomly inspect the cargo throughout the storage period.  Take into account the aspects of  cargo safety. How is the bonded warehouse safeguarded, and what kind of insurance is in place? If the warehouseman’s insurance is not sufficient, the easiest solution is to extend the marine insurance policy to insure the cargo at the port of  discharge against all risks.  Try to have a contingency plan in  case the buyer defaults on the sales contract. Think about the next steps  in advance.  When the buyer makes the payment, have the retained bills of lading  endorsed and delivered according  to the buyer’s instructions.

Ruslan More extensive coverage of this article can be obtained from the TFR Website at http://tfreview.com/feature/risk/my-cargo-my-bond-practicalities-customs-bonded-warehouses You can create a free 21 day access to try the service out or purchase a subscription. You can subscribe today and benefit from an exclusive 15% discount. Simply call Joe Snodin on +44 (0)20 7566 8210 or visit www.wlrstore.com/tfr and quote reference TFR-EBSI for your discount.

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New Tools for Traders

The Power of Global Networking WebPort Global is a new and exciting online trade network created for companies and members of World Trade Centers, Chambers of Commerce, Professional Associations, and any organization that participates in or supports importing and exporting. WebPort Global is particularly focused on helping Small and Medium Enterprises grow by bringing together vast global resources, people, information and a set of easy-to use tools to one integrated platform while staying connected to their own trade organization.

Expert Profile Name: Jim Krzywicki Position: Vice President Employer: Webport Global Location: Boston, USA Specialisation: Trade Networking Contact: jkrzywicki@webportglobal.com

On a single platform, WebPort Global brings together these organizations, their members and a broad range of support organizations that make-up the Small and Medium Enterprise global trade mosaic. The value of WebPort Globalâ&#x20AC;&#x2122;s technology-supported community comes from the professionals around the globe who provide aggregated information, help each other and share experiences across organizations and companies. With WebPort Global, each company participates in the global community through their respective sponsoring organization, with other members and experts. Each organization maintains its own identity and direct connection to its membership. By being connected globally, these organizations can better help their members and strengthen their role as global partners. Vetted members can connect and work with each other, choose to receive notifications for related content, events, other members and marketplace listings. They can post their own marketplace listings and even search for suppliers and customers in a structured data base with details for millions of companies. WebPort Global helps SMEs find customers and suppliers from all over the world through a trusted and easy-to-use platform. WPG has been implemented through partners in over sixty countries throughout the world. The basis for a comprehensive and extensive MARKETPLACE is established. Partners and members can make connections, source content and most important buy and sell in a global marketplace. WebPort Global governance, partner selection and services enable Small and Medium Enterprises to engage in global trade activities with confidence. SMEs become part of a trusted community rich in resources and prestige. A broad range of relevant content from some of the worldâ&#x20AC;&#x2122;s leading trade organizations authorities, most active agencies and knowledgeable users is available for members to share through WPGâ&#x20AC;&#x2122;s KNOWLEDGE Center.

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Functionality for broader publication of MARKETPLACE listings has been added. Members can have their Product and Service Listing visible beyond the private community. Members who wish to keep their listing visible only to WPG Members can continue to do so. Enhancements of this functionality includes optional extended distribution of EVENTS, external featuring of PARTNERS and other selected content. The result of this feature will be to provide more exposure for products, events and information that WPG members wish to publicize. WPG members can search import and export information to find suppliers and customers. These services are used by the world’s largest companies and typically are cost prohibitive for most SMEs. WPG Members will have access to information for millions of companies around the world. WebPort Global has implemented Dun & Bradstreet® vetting as one of its programs to maintain a trusted environment for its members. WPG Members will soon have the opportunity to generate their own Dun & Bradstreet® reports based on their unique requirements. Group Forums/Discussions enable Organizations and members to work more closely together even though they may be in different locations around the world. WPG Development continually enhances the platform based on member feedback & new functionality requirements. Information about and access to global markets is no longer reserved for large enterprises. With WebPort Global, any company can confidently find new customers or suppliers from around the world. Small and Medium Sized Enterprises are often intimidated by the real and perceived difficulty of trading beyond their borders. SMEs require a high degree of trust and familiarity to take the steps necessary to engage globally. Through WebPort Global, SMEs can manage the process by meeting experts and other business professional of interest, learning what they need to know to increase their confidence levels, and then engage in trade transactions through a trusted environment. In the majority of situations, SMEs join WebPort Global through and remain connected with an organization where they already know other members, like a Chamber of Commerce or World Trade Center. Small and Medium Enterprises are an underserved and untapped source for exports globally. WebPort Global hopes to provide the platform to accelerate their role in import/export globally. WebPort Global is the fastest, most effective and most economical way to participate in global trade for a Small and Medium Enterprise. For less than $1 per day, an SME can instantly have access to thousands of leads, connect with a Far East shipping expert, find a manufacturer, see who needs their product, attend a focused seminar and much more. They can do this through their existing Trade organization or independently.

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eBSI Weblinks for Exporters

eBSI Weblinks for Exporters is a new section that will provide you every issue with websites recommended by our course participants as being of particular use to them in their international Trade Activities! Websites that can be considered for inclusion in this section include but are not limited to International Trade, Trade Finance and Logistics sites such as: • Business Networking Sites • References or Blogs If you have a site to recommend then send it • Import Export Directories to Weblinks for Exporters at weblinks@ebsi.ie! • Country Portals

China Systems is the largest Trade Finance Software vendor in the world with a broad and loyal customer base. Their Eximbills Trade Finance System is a great platform to manage trade finance operations for any bank. http://www.chinasystems.com

Coracle Voice is a social media, news monitoring and online consultancy service for the shipping industry. Coracle Voice is brought to you by Coracle Onlinehttp://coraclevoice.co.uk/

Coracle delivers expert professional development packages and training solutions for the shipping industry. Their blended and adaptable skills courses allow shipping professionals to easily integrate education and training into their work or home lives. That is why eBSI counts Coracle as its strategic education partner for our clients in the Shipping industry. eBSI Students receive a 10% discount on courses with Coracle! http://www.coracleonline.com/apps

iComTrader is a unique trade development network which combines the pwer of the internet with the effectiveness of local boots on the ground. Great opportunities for exporters and agents alike. http://www.icomtrader.com/

An extensive online community with a high concentration of trade related organisations under one website. A great place to find opportunities. http://www.webportglobal.com

Exportcourse.com is a free online resource which offers basic guides to exporting and coordinates enrolments for Caribbean students of eBSI Export Academy. Their basic guides are an excellent primer for the more advanced studies offered by the International Trade Specialist Accreditation. http://www.exportcourse.com

GlobalTrade.net is an initiative from the Federation of International Trade Associations (www.fita.org) with the objective of being a knowledge resource for international trade professionals & a crossborder database of international trade service providers. http://www.GlobalTrade.net

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Are you sick of spending hours planning your logistics for your next business trip? Use this site to centralize your hotel and flights search while minimizing costs too! http://www.besthotelsoptions.com

The ITFMPN is an educational and professional body which is dedicated to the task of broadening the professional horizons of tomorrow's trade finance officers , managers, and Lawyers in Nigeria. http://www.titfmpn.org

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IIBLP Update

2012 Annual Surveys Annual Surveys in Dubai and Istanbul a great success! The IIBLP Middle East Annual Survey of Letter of Credit Law and Practice and Guarantee and Standby Forum took place on 8 & 9 October 2012 in Dubai at Dubai Chamber of Commerce. At the event were leading lights in Trade Finance wishing t stay at the forefront of their field. “I gained a lot from the LC Survey” said Stephannie O. Ojeikere, Manager of the Institute of Trade Finance Management and Practice, from Lagos, Nigeria. Their website can be found at http://www.titfmpn.org. The European Survey took place at the very edge of Europe in the historic city of Istanbul, Turkey on 11 & 12 October 2012. The local host for the event was YapiKredi Bank and local organizer was ICC Turkey. Both surveys convey Professional Development credits (CDCS Specialists receive 13 PDUs and CSGP Specialists get 4 CEUs). As an Associate Director of IIBLP, Vincent O’Brien also participated actively at the events.

Vincent O’Brien with Stephannie O. Ojeikere of the Institute of Trade Finance Management and Practice, Nigeria. Dubai 8 & 9 October 2012

FIT Initiative Graduation held in Dhaka Bangladesh on 1 August 2010

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Expert Commentary

Achieving Export Competitiveness This article summarizes a paper on “Applying the Four Gears of National Export Strategy to Achieve Export Competitiveness that I wrote back in May 2012. In the paper I emphasized the vital role of public-private partnerships in promoting the Development Perspective and noted that to produce a successful national export strategy, the public and private sectors need to be vibrant and to work in partnership to promote broad-based, dynamic, competitive exports with growing value addition that will encourage both domestic and foreign direct investment to enhance socio-economic development and poverty reduction. I emphasized an aspect that specifically addresses the export sector’s contribution to socio-economic development, where the main issues to assess are the export sector’s contribution to employment generation, poverty reduction; enhancement of backward linkages; environmental sustainability; and finally to women’s involvement in the economy. I concluded that the three critical networks of a national export strategy, (Trade Support Network, Services Delivery Network, and Strategy Support Network), have been successfully supportive of export competitiveness targets through effective public-private partnerships only when the developmental perspective has been given thorough considerations by the engineers of the national export strategy.

Expert Profile Name: Rasim Abderrahim Position: Trade Development Consultant Employer: Sustainabilitycorp.net Location: Amman, Jordan Specialisation: Trade Development Contact: rasim@sustainabilitycorp.net

The paper also emphasized the critical role of networks’ support and services by addressing the Institutional Perspective stressing that exporters today need to compete through sound export promotion strategies. I noted that where exporters find effective export services and support networks nationally, their abilities to succeed in export markets are better and stronger. I concluded that a successful application of the four gears of national export strategy after giving the socio-economic perspective its considerations, is supportive of national export competitiveness only when exporters are helped and provided with various trade and export support services. The paper ends with nine conclusions. The ninth conclusion addresses four observations that I have made in analyzing cases of effective applications of the four gears of national export strategy to achieve export competitiveness. The four observations are related to “State-Level Export Competitiveness”, “State-Level Branding”, “Regional-Level Export Competitiveness”, and “Regional Export Networks”. The main paper (in 7 pages) comes with a reference paper (in 10 pages) providing references to three information resources:  Sector-Level Strategies, (Excerpts from “M. S. Odoom Domson and P. Richard Vlosky, 2010).  Export Cluster Formation, (Excerpts from the ITC’s Paper on Innovations in Export Strategy, Competitiveness through export clustering, 2005).  The Four Perspectives of National Export Strategy, (Excerpts from the JAMAICA Export Strategy, 2009). If you would like to read the full report feel free to email us at info@ebsi.ie and request the ‘Four Gears Report’ in the subject line. We will be happy to send you by reply.

Rasim

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Expert Commentary

Are you being served? International trade is dependent upon a broad range of high risk supply chain activity, whilst cultural differences can influence the overall perceptions and expectations of customers. It is important for a seller to manage and reduce this uncertainty. By documenting all non-conformances, a seller may then undertake root cause analysis before performing corrective and preventative actions. Customer surveys may then be solicited to gauge buyers' perceptions of the seller's organisation. Analysis of the overall results will detect negative trends and facilitate more strategic continuous improvement projects.

Expert Profile Name: Gavin Makowski Position: Supply Chain Manager Employer: Dishman European Operations Location: London, United Kingdom Specialisation: Supply Chain Management Contact: gavinmak@hotmail.co.uk

This article seeks to provide practical tips and guidance, particularly for smaller organisations that might lack a system and do not have an ISO quality system in place. 1. What to record One may view non-conformances as the umbrella term for failures to fulfil a requirement. These may take the form of a customer complaint, described as any dissatisfaction of the buyer whether it be raised formally in writing or as a simple verbal remark.

Expert Profile Position: Customer Services Manager Employer: Dishman Europe Ltd Location: London, UK Specialisation: Supply Chain Management

Additionally, near misses are issues identified before manifesting into customer complaints. Finally, continuous improvement ideas are suggestions that seek to reduce the risk of possible non-conformances in the future. All employees - and external parties such as transport companies, warehouses, customs agents and upstream producers - should be encouraged to report non-conformances as well as suggest improvements. Limited recourse should fall upon those disclosing their own errors: one should look to the future rather than dwell in the past. Collecting non-conformance data should be a routine and important procedure within the organisation. 2. How to Record It An internal Non-Conformance Report (NCR) template can record relevant data in addition to guiding the investigation itself. As well as describing issues details, the majority of scenarios could be plotted within a matrix allowing for future statistical reporting (See sample below.).

Lets see how this wold work by referring to the Incident Analysis above. You will see two letter codes preceding each box. To report damaged packaging occurring in transit calls for the code DAPATR as shown in the example – DA – Damaged; PA – Packaging and TR – Transportation /Shipping. By extension, a transport company not booking in delivery with an offloading site will lead to missing communications during transportation, code MICOTR. Another example might be an incorrectly consigned bill of lading under a contract of carriage entered in to by the manufacturer, code INDOMA.

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Expert Commentary

3. How to investigate it With the details of the non-conformance being available, the seller may now seek to identify Corrective Actions to resolve the issue and Preventative Actions to avoid reoccurrence (known as CAPA). A root cause analysis is a useful approach to aid investigation of the circumstances. i. Root cause analysis: One should not only consider how the event occurred but also why it happened. The investigation should be in depth and consider factors beyond the obvious/apparent cause(s). Within a large organisation, the analysis might involve a cross-functional team of senior managers using flow charts and other complicated tools and resources. But a smaller organisation can also be effective with a basic methodology, the "five whys"; just keep asking "why?" until you arrive at the root cause. For instance: Why it was a problem? ............. Why was it late? ............. Why did he not leave earlier, as traffic is common? ............. Why was this? ............. Why? ............. Why?

.............

Why?

.............

The delivery was late The driver had some traffic He actually left the depot later than expected The transport route planner asked him to. The planner spelt the town name incorrectly and thought it was closer than it was. Operator error, however, a double check was not made either. A double check is not part of written procedures, but will now become so.

A response "Operator error" or "Failure to follow procedures" is not a root cause. Restatements of the problem or excuses should be ignored, in terms of root cause analysis. Often, the resulting root cause may identify a party at fault different to that assumed within the initial recording of the non-conformance (Fig.2.).

To illustrate, packages damaged in transit during airfreight might ultimately be found to be caused by the adoption of unsatisfactory packaging by the original producer/supplier; marine insurance policies and Incoterms (2010); both expect goods to be packaged suitably for the transport conveyance being used. A customer complaint may also be found to be invalid. Such as, upon booking in delivery with the customers warehouse manager the driver may be instructed to unload a few days later, but the warehouse manager neglects to inform the purchasing manager with the latter subsequently complaining about 'late' delivery. Another example might be a customer omitting a requirement from their purchase order - where there is no failure to meet a requirement a non-conformance simply cannot exist. It is also possible for a faulting party to remain unknown: insufficient evidence may require â&#x20AC;&#x2DC;benefit of the doubtâ&#x20AC;&#x2122; to be provided to all involved parties, although corrective and preventative actions will still be required. If the seller is not at fault then they should express this fact to the customer to remove any incorrect or unfair misconceptions.

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Expert Commentary

ii. Corrective Actions: The aim here is to resolve, or at least reduce, business risk and bad customer relations as quickly as possible and at lowest cost. For near misses, it is hoped that the issue can be fixed before hitting the customers radar. Some examples of corrective actions include: Lost bills of lading may be corrected by the issue of an automatic release and bank guarantee to free up the consignment at the destination port.  Delayed vessels may justify payment of an express delivery services for the onward road journey  Damaged packaging may be acceptable to the customer, if they are offered a price concession  Damaged product may be fixable, or a free of charge replacement may be offered Product issues are often the most serious due to the high values they represent. The status of the goods should be recorded along with any financial liabilities, such as credit notes, write off losses or marine insurance claims.

For example, one customer might reject product that another can accept, leading to the status of re-sell and no financial liability. Or a product sit in quarantine awaiting a final decision. Alternatively, if the product is damaged beyond acceptance or repair, it will need to be disposed of and financial liabilities include a customer credit note which may or may not be reclaimable under marine insurance. The Finance department should be kept informed in advance of any possible liabilities. Of course, the seller should not agree to accept liability, replace product or issue credit notes unless there is root cause evidence that shows that they have failed to perform. iii. Preventative Actions After corrective actions there should be consideration of preventative actions to ensure no reoccurrence of similar issues. Some examples of preventative actions include: Product quality issues may be avoided through the use of 3rd party pre-shipment inspections before goods depart  Stronger plastic packaging, new pallets, shrink-wrapped and strapped with metal banding may reduce the risk of transit damage  Express bills of lading or sea waybills rather than 3/3 originals and electronic or standby letters of credit may all speed up the administration and documentation process  Changes to contractual terms to clarify exactly what is expected for future transactions  Additional training of employees and contractors to target areas of weakness  In repeated and serious cases the reprimanding or a change of personnel or contractor A single instance of a small non-conformance may not justify a heavy-handed change in procedures and the time, training and cost implication that it might entail. This article is a taste of a new unit on Export Customer Service which will be available in our Trade & Customs Practice and Foundation Certificate in Transport & Logistics courses. For more info contact info@ebsi.ie.

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China Systems Update

CS ‘iPad 2’ Prize Draw won by Uwe Noll of Deutsche Bank at prestigious event in Dubai, UAE!

Vincent O’Brien, in his role as China Systems Trade Finance Advisor, concluding the China Systems Prize Draq held during the IFC Partners meeting in Dubai in October. Mr. Uwe Noll, Director, Global Transaction Banking of Deutsche Bank was the proud winner of an iPad 2. Pictured above are Vincent O’Brien, Uwe Noll, Stefan Tryggvasson of China Systems and Bilge Osik of IFC.

CS Newsflash E. SUN Bank launches Global Treasury System using China Systems’ Eximbills Enterprise E. SUN Bank has recently announced the successful launch of their new Global Treasury System developed in partnership with China Systems, the world’s leading trade finance, payments and supply chain finance solutions vendor. The pilot site for the system was the bank’s new branch in Singapore, which officially opened in July. E. SUN Bank is the first client to adopt China Systems’ Java EE-based trade finance system, Eximbills Enterprise, as a platform to address their centralized global financial business requirement in developing their Global Treasury System. After going live in E.SUN Bank’s Singapore branch, the Global Treasury System will eventually be rolled out to the bank’s Head Office and all their overseas branches. The Global Treasury System covers both front and back end treasury transactions and is 100 percent compliant with SWIFT MT3xx Series messages. As part of its support for MT3xx messages, the system provides a matching mechanism for MT300 and MT320 messages thus allowing the straight through processing of large volume Foreign Exchange and Money Market transactions with the system automatically validating counter-party transactions. This significantly reduces errors typically experienced in manual processes and substantially increases efficiency of operations. In addition, Securities transactions are also supported, which includes a variety of interest-bearing bonds. The main advantages of the Global Treasury System are its inherent capability to support business diversity, flexibility, and ability to integrate to the bank’s dealing solutions. The Java EE platform is also in line with E. SUN Bank’s IT strategy for a global development framework which will allow them to support and maintain a centralized, single platform Global Treasury System for bank-wide deployment. The flexibility of the Global Treasury System provides significant business benefits to E.SUN Bank as it is able to deliver new time-to-market business products, and better and more financial services to its clients worldwide, resulting in a rapid global expansion of their business..

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Advertisement Feature

DISCOVER HOW GLOBALTRADE.NET CAN HELP YOUR OVERSEAS OPERATIONS Want to share your expertise to the international trade community and in return gain new business leads from other trade professionals? FITA Online (http://www.fita.org) makes it possible through its new website http://GlobalTrade.net .

Are You an Importer/Exporter? Find informative content and service providers for your international trade operations in GlobalTrade.net’s Knowledge Resource. Here international trade professionals can find experts’ analysis, market surveys, tips, white papers, country profiles, experts’ views, webinars, news flows, video tutorials, etc. Are You a Service Provider? Feature your expertise by posting content to our Knowledge Resource and listing yourself in our Database of International Trade Service Providers. International trade professionals can select experts such as international marketing consultants, trade finance companies, banks, freight forwarders, quality control firms, lawyers, accountants, customs brokers, instructors, insurance providers for their international operations.

http://www.GlobalTrade.net is run by FITA Online (http://www.fita.org) , the online services division of the Federation of International Trade Associations (FITA), together with partners U.S. Commercial Service, UK Trade & Investment, ThomasNet, Alibaba and Kompass. eBSI Export Academy has teamed up with FITA Online to provide you with special invitations to try out this new website. You will be among the first to try it out. So what are you waiting for? Sign up today! The new website is currently in its “soft launch” phase- that meaning you can only access it by an exclusive invite. Launching in only a matter of weeks, GlobalTrade.net would like to invite all eBSI TradeBrief subscribers to create a profile today, post informative content and gain new business leads for FREE. Creating a profile and posting content is free. Being listed in the Database of International Trade Service Providers is free until June 2011.

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eBSI Recent Events

Demand for eBSI experts to deliver seminars and attend conferences around the world has grown dramatically despite financial crisis. Here is a brief overview of some of our more notable appearances since last issue! Fujairah, United Arab Emirates

Vincent O’Brien, eBSI’s First Director was invited by Bank of Fujairah in United Arab Emirates to deliver a trade Finance Seminar there on 15-27 April 2012.

Minsk, Belarus

As part of our continuing tour of EBRD Countries of Operation delivering URDG 758 and Incoterms 2010 training workshops, Vincent O’Brien visited Belarus on 45 May 2012.

Baku, Azerbaijan

The next leg of Mr. O’Brien’s Tour of EBRD URDG 758 and Incoterms 2010 Seminars was delivered in Baku, Azerbaijan on 7 & 8 May 2012.

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eBSI Recent Events

Hanoi, Vietnam

Pavel Andrle was invited to deliver a 2 days seminar on Advanced Trade Finance Operations : Documentary Credits and Guarantees for the Vietnam Bank Association in Hanoi, Vietnam on 11-12 June 2012.

Ho Chi Minh City, Vietnam

As part of the same project Pavel Andrle went on to deliver a 2 days seminar on Advanced Trade Finance Operations : Documentary Credits and Guarantees for the Vietnam Bank Association in Ho Chi Minh City, Vietnam on 18-19 June 2012.

Bishkek, Kyrgyzstan

Vincent Oâ&#x20AC;&#x2122;Brien delivered the EBRDâ&#x20AC;&#x2122;s URDG 758 and Incoterms 2012 Seminars in Bishkek, Kyrgyzstan on 24 & 25 May 2012 to a VERY eager audience as can be seen in the photo!

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Chisinau, Moldova

Continuing Vincent O’Brien’s series of URDG 758 and Incoterms 2010 seminars for EBRD, the next venue for training was Chisinau, Moldova where an enthusiastic group of Moldovan Trade Finance Professionals attended the training on 9 & 10 July 2012.

Belgrade, Serbia

The next stop the EBRD URDG 758 and Incoterms 2010 training tour took Mr O’Brien to Belgrade, Serbia where he delivered training there on 12/13 July 2012.

Skopje, Macedonia

Skopje, Macedonia was the next venue to receive the EBRD URDG 758 and Incoterms 2010 training on 16/17 July 2012.

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eBSI Recent Events

Tirana, Albania

The next location scheduled for the EBRD tour of seminars on the topic of URDG 758 and Incoterms 2010 was Tirana, Albania which was a new country for eBSI’s Vincent O’Brien to visit.

Jakarta, Indonesia

China Systems in conjunction with Refine Consulting invited Vincent O’Brien to lead a training seminar themed a Technology and Business Update for staff of Bank Mandiri, in Indonesia on 14-16 September 2012.

Moscow, Russia

The EBRD supported training on URDG 758 and Incoterms 2012 came to Moscow, Russia on 24/25 September 2012 and was hosted by the EBRD Resident Office there.

EBSI EXPORT ACADEMY

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Upcoming Events

Global Trade Review The world’s leading international trade finance and export finance magazine.

Malaysia Trade & Export Finance Conference November 6, 2012 Kuala Lumpur Malaysia

5th Annual Nordic Region Trade & Export Finance Conference November 21, 2012 Gothenburg, Sweden

2nd Annual China Trade & Export Finance Conference November 27-28, 2012 Shanghai, China

2nd Annual African Capital Markets Conference December 6, 2012 London, United Kingdom

eBSI Upcoming Events:

Congratulations!

Worldwide: Intakes for eBSI eLearning programs 29 October 2012 and 30 November 2012 – with new programs offered with our certifying partners we will have open enrolment throughout the year.

We would like to Congratulate Mr. Aydin Musayev, from Baku, Azerbaijan, who was nominated to get the ‘China Systems Diploma in Export Operations Scholarship’ Compliments of China Systems Corporation.

Country Specific: Dushanbe, Tajikistan, EBRD URDG758 & Incoterms 2010 15 & 16 October 2012 Almaty, Kazakhstan –EBRD URDG758 & Incoterms 2010 18-19 October 2012 Pnomh Penh, Cambodia – Trade Finance Seminar 29 October 2012 Ashgabat, Turkmenistan – EBRD Trade Finance Seminar 5-7 November 2012 Mexico City, Mexico – ICC Banking Commission 12-16 November 2012 Manila, Philippines 19 -23 November – Trade Finance Seminar Baku, Azerbaijan – EBRD Trade Finance 3-6 December 2012 London, UK - Exporta Conference 6 December 2012 If you would like information on any of these events please email events@ebsi.ie and we will send you the relevant details.

emeafinance The complete information source for the finance industry in the EMEA region.

Mr Musayev will now continue his studies and avail of the EUR 2000 scholarship for the Diploma in Export Operations from eBSI courtesy of China Systems! To subscribe to this ezine simply go to www.ebsi.ie and we will add you to our subscriber list and add an entry to the draw for a free scholarship for our International Trade Specialist Accreditation worth EUR 2000!

Certificate in Logistics

Learn all you need to know about Transport and Logistics!      

Online Tutorials Certified by the Chartered Institute of Logistics & Transport Includes Section on Logistics Customer Service Recognised Internationally Interactive self-paced learning 3 Written Assignments and 1 Online Exam

EBSI EXPORT ACADEMY

Fax: +353 94 9381708 Email: info@ebsi.ie