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Trade Process Analysis Database (TPAD)
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Procedures
Negotiate concession on price
Case Study
Title:
Import of Wheat from India to Bangladesh, 2014
Corridors and Routes:
Through Port of Chittagong
Trade Product:
Wheat
Trade Type:
Import
Process Analysis:
Import to Bangladesh
Exporting Country:
India
Importing Country:
Bangladesh
Category:
Contract between seller and buyer
Country and Procedure Description:
Negotiate concession on price (Import to BDG from IND/Wheat)
Related Rules, Laws and Regulations:
Actors and Participants:
- Importer
- Exporter
- C&F agent
Actors and Participants:
- Importer
- Exporter
- C&F agent
Input Criteria to Enter or Begin the Business Process:
The importer gets information about anchoring of the cargo at the external jetty
Activities and Associated Documentary Requirements:
1. The C&F agent contacts the SGS to inspect and ensure the quality of the product. 2. The importer receives information about the quality of the product. 3. The importer takes decision on whether or not to pay according to contract depending on the quality of product after arrival. 4. If satisfied with the quality, the importer makes arrangement for the payment according to the contract. 5. If not satisfied with the quality, the importer starts negotiation with the exporter regarding concession on price. 6. If the newly offered concessional price is not acceptable to the exporter then the process ends there and they may decide what to do with the consignment. If the concessional price is acceptable to the exporter then he informs the importer and importer arranges the payment. 7. If the importer is not satisfied with the quality, he may decide to make formal test of the quality of product before taking any decision. The importer sends samples of the product to BCSIR for laboratory test. 8. Importer gets information of the quality of the product after the laboratory test. 9. With the formal test results of the quality of the product, the importer may decide to negotiate further with the exporter for concession on the price of the product. 10. The exporter decides whether or not to cater to the concession request of the importer. If the offered concessional price is not acceptable to the exporter then the process ends there. If the concessional price is acceptable to the exporter then he informs the importer and importer arranges the payment.
Output Criteria to Exit the Business Process:
A decision is reached about the final payments to be made
Activity Diagrams:
Number of Required Documents:
Minimum Required Time:
Maximum Required Time:
Average Required Time:
3
Minimum Cost:
Maximum Cost:
Average Cost: