After making a market research and identifying potential firms and contacting those firms, one of the critical steps is the price-making part. Target price, skimming the market, pricing by value; some of these methods. Each is a separate topic in itself. In this module, the most commonly used cost-based pricing will be mentioned.
The price that affects the price is of course cost.
Local transport and freigt shipment costs
the freight belongs to you, some belongs to the importer.
Profit (Plus value dated costs)
Exchange is important in the cost calculation, but it should also be decided which currency to take into consideration.
This cost should also be taken into account if an additional document is required for customs clearance. And also depends on shipment terms.
Documents (check 8.1.2.)
This module will share information on frequently used export documents. Presentation shows them.
Pro Forma Invoice : A pro forma invoice is a preliminary bill of sale sent to buyers in advance of a shipment or delivery of goods.
Commercial Invoice:It is generally preferred to have written in English or importer’s language. It can be thought that the Pro form covers the same information as the invoice.
Packing List:That document shows goods ‘sequences and its orders.
Weight List:It shows products’ weight and volume.
Certificate of Origin :It shows the origin of the goods in order to assign the country in which products are being manufactured.
Certificates: May be need due to customer’s or seller’s and their state’s requirement.
Bond :It is one of the payment instruments and prepared by the buyer.
Bill of Exchange: It is also one of the payment instrument. Prepared by exporter. There are several types of bonds are existed depending on maturity.
Bill of Lading :That is valuable document. Depending on some payment terms,
International Consignment Note (CMR) and similars : That document is prepared if goods are being carried by land.
It might be need to prepare some other documents during exporting which are depending on payment and delivery terms. They might be movement certificates (A.TR, EUR1, FORM A, etc.) , Letter of Credit documents, etc.