Procure shrimp from local source

Activities and Associated Documentary Requirements: 1. The exporter determines the quantity of shrimp to be procured from the local supplier(s). Having one or more preferred suppliers of shrimp is a common practice in the shrimp exporting business. 2. Generally, the suppliers’ firms are located within the vicinity of the exporter’s factory. 3. Based on the quantity, a price quote is served by the exporter to the supplier. Upon agreement on the terms and conditions, the supplier confirms an intent to supply and signs a contract with the exporter. 4. Once the delivery is made to the exporter’s premises, the exporter requests its bank to make payment to the shrimp supplier. For this, a copy of the sales contract and the supplier’s invoice are submitted to the bank. 5. The bank adjusts this payment at the end of the business cycle when final payment is received from the overseas buyer.