1. We start the BPA map through getting order as the first contact between exporter and importer. The steps of getting order are as follows: 2. The Importer in India shows interest in import of cashew from Cambodia. In the case of a new buyer, the exporter first sends the quotations to the Indian importer, after which cashew samples are usually sent by overnight courier. However, in the case of a regular client, the exporter quotes prices and terms of trade to the buyer via e-mail. 3. The Indian importer verifies the quotation and, assuming the payment terms are acceptable to both parties, confirms the intent to purchase. Then a Purchase Order (PO) is sent by the importer/buyer to the exporter/seller by email or by fax. The exporter/seller raises a Proforma Invoice (PI) or a Purchase Contract against the PO and send it by email or by fax back to the importer/buyer who is required to countersign and stamp as a token of acceptance. (See Annex 1: Purchase Contract). 4. Both parties sign contract which determined the shipping date and commercial terms and conditions. 5. The Cambodian exporter prepares the shipment for export.

1. The Sanitary and Phytosanitary Certificates (“SPS Certificate”) are required when exporting cashew to most countries and depending on the risk factor. All EU shipments must be accompanied by a certificate from a recognized laboratory showing the goods to be within EU tolerance levels for Aflatoxin. The test must be conducted according to the European Union’s methodology. Certain countries require a Phytosanitary Certificate e.g. Australia, Russia, Greece, Turkey, India and Spain. 2. The MAFF/Department of Agronomy and Agricultural Land Improvement (“DAALI”) is responsible for issuing the SPS certificates, which certifies that the product is free from quarantined pests and significantly free from injurious pests which could damage crops. The SPS application process involves the following steps: The exporter submits a letter requesting SPS certification, along with the packing list and invoice, and for DAALI officers to inspect the cashew shipment. His request specifically mentions the buyer’s requirement as per the Purchase Contract. 3. DAALI makes a risk assessment based on the risk for pests, the source of origin of the cashew, the testing and inspection requirements of the importing country, and determines the export requirements and guidelines in Cambodia. Normally DAALI will arrange for fumigation, if needed, at least 15 working days before exporting. The full process for fumigation can take up to 96 hrs. The exporter usually does the follow up directly with the MAFF authorized fumigation company. A Fumigation Certificate is then issued. The certificate states the product, date, and dosage used for the treatment. The product is now SPS certified and ready for export.

1. Transport is viewed in the BPA as cost incurred by the exporter or importer. Yet transport is clearly more than just a cost layout on the part of the trader. It is a source of intervention – from its location, the interchanges among the modes of transport, the toll imposition, traffic conditions, congestion and other transport issues. 2. Planning for the shipment of goods from the exporter to the importer's country involves the decision on mode of transportation. Four major factors are relevant in this context: the-urgency of delivery; the size and weight of items to be moved; the location and accessibility of the point of delivery; and transit time. 3. Mode of transport: Product characteristics affect the relative cost of transportation by different modes of transport. Sea freight is the most widely used form of transportation for rice trade. There are three options for rice shipments abroad: 1) Sihanoukville; 2) Via Saigon/Cai Mep (Vietnam); 3) Via Laem Chabang or Bangkok (Thailand). The Sihanoukville Autonomous Port (PAS) is the only deep sea port in Cambodia and accounts for approximately 70% of Cambodia's international cargo. The port is served by feeder vessels connecting to intercontinental mother vessels and other regional vessels at the major transit ports in Singapore and Hong Kong and other secondary South East Asian seaports. The lack of handing equipment in Sihanoukville Port is a constraint for the export of large quantity of milled rice. Only vessels with depth less than 8 to 8.5 meters can dock at the Sihanoukville Port, as the waterway is shallow and rocky. The maximum allowable load of vessels docking in the port is 10 thousand tons suitable only for shipment of milled rice to Southeast Asia or Africa. 4. Presently, exports via Sihanoukville remain more costly compared to exports via Vietnam’s new deep sea port in Cai Mep. Even the Ho Chi Minh Port allows vessels with load capacity up to 30 thousand tons in docking station and 60 thousand tons in transfer zone. Nonetheless, a railway connection is currently under reconstruction by an Australian concessionaire. The railways, when completed in the next years, will help promote bulk transport from the northwest to the southern seaport with reduced cost of transportation “Contract terms: from Sihanoukville during end July / August 2010, in 2 equal lots, in mutual agreement. 5. Freight Forwarders are service companies that handle all aspects of export shipping for a fee. They act as the exporter's agent and can improve delivery time and customer service. Freight forwarders often don't own their own trucks but hire transport and contract with local brokers as needed. There are approximately 110 customs broker and freight forwarding companies in Cambodia, excluding the large number of individuals independently performing these services. As there is little regulation or public authority oversight of the sector and quality of service. Professionalism can vary considerably. In general, these companies provide quality services at competitive prices. The rice exporter requests the freight forwarder to provide quotes on insurance and freight, advises on rates and routing, and documentation and Customs clearance services. The rice exporter usually does not need assistance with packaging as the service is already done by the rice miller. 6. Shipping instructions: The exporter must give clear instructions to the forwarder to avoid moving goods in advance of documentation, which could be inviting problems and expense. Countless export operations have gone astray because the exporter failed to give sufficiently precise instructions. The resulting loss of time and money are often large. For surface freight, documents should be mailed to the forwarder and only exceptionally handed to his uniformed driver. 7. Forwarder's Consignment Note: This is a simple form of instruction, which is designed to be the simplest and clearest way to give instructions. Instructions should always be given in writing, sometimes by fax and in many cases on forms provided by the forwarder or designed by the exporting firm. Where exporters make their own arrangements for delivery directly to docks or terminals, they should ensure that shipping instructions are received at the port by the day prior to delivery. 8. Obtain Cargo Insurance: Although the insurance industry is young in Cambodia, factories and the transport of merchandise within Cambodia are fully insured by a few insurance companies. Whether a Marine Insurance Policy is obtained by the exporter or importer depends on the buyers requirements. Most, if not all, of the rice shipment is F.O.B. Sihanoukville. The exporter subcontracts to the freight forwarder the task of procuring the inland part of the insurance policy and the cost of the insurance premium is billed from the freight forwarder to the exporter together with the freight forwarding costs. “Contract terms: INSURANC : Buyers to cover the marine insurance. Sellers’ shipping advice to be done within 3 working days after date of shipment, with all necessary shipping details, to allow buyers to insure the cargo in due time.” 9. Booking Cargo space: The exporter instructs to his freight forwarder to undertake the following: (1) make the initial reservation of cargo space verbally over the telephone, followed by a formal booking request, (2) register details on customs entries' forms and send to customs and (3) register cargo on a shipping note and send shipping note to shipping company. The shipping line then issues a Shipping Note and a Release Order (RO).81 The exporter sends the shipping note along with the RO to the inland transport agent to collect the container from the yard. The RO is usually faxed.

1 The truck driver presents a form called Equipment Interchange Receipt to the port gate showing the container number. The exporter then proceeds to pay port fees (loading and unloading (LoLo)), stevedoring charges to the PAS Billing Department. A receipt is in turn issued (in the form of a PAS Invoice) and information is entered into the PAS Single Window Computer System in order to inform the Stevedoring Department to proceed with loading and unloading. The PAS Invoice is also sent to the Shipping Line, which works closely with the Stevedoring Department at the Port to prepare a “load list” for the cargo. The rice shipment is then be moved from the container yard to the ship for export.

1. After the Permission Letter has been issued, a Customs Declaration Form will need to be completed at the DGCE. The exporter or freight forwarder takes both the Permission Letter and the completed Customs Declaration form to the Customs and Excise Office Chief for approval and requests inspection, goes to the Accounting Office and pays declaration charges and export duty, if any, and receive a receipt for payment. The Deputy Customs Chief will assign an inspector. Lastly, bring the Customs and Excise Office Chief signs and stamps the Inspection Report and the Customs Declaration form at the Customs and Excise Administration Office. (See Chart Ship 2.8) 2. Cargo Inspection: All exports must be examined by GDCE as a spot check, primary or in detail. The Customs and Excise Department is the lead agency in the inspection process. Goods are released when documents are approved, the export tax if any is paid for, and examination is completed. 3. An Export Office at GDCE headquarters takes charge of the rice exports, which examines and seals cargo with a container bolt seal (either at Dry Port premises or at Green Trade Co where the rice is milled and packaged) that conforms to international standards. Customs at Sihanoukville port do not reopen the containers. They generally check the related documents and verify the seals on the containers. Once all the documents and container seals are checked by GDCE, containers are loaded on the vessels for export. 4. The container may also require scanning, depending on the type of goods and the risk management assessment. As a matter of practice, cargo is always inspected using a TX Scan located in the port. The exporter needs to pay a scanning fee to AZ company which is located at the port. The scanning charge depends on the size of the container. For 20-foot containers, the charge is $40. For 40-foot containers, it is $60. Once the inspection is completed, an Inspection Report will be completed and signed.