International Freight Documentation (3): Sales

The inclusion of a comprehensive export sales contract reduces time and cost. Such a document will clearly describe the nature of the commodity, the price paid, the terms of payment, the transportation mode, the nature of the insurance and the identity of the insurer, the carrier, and any other details of special arrangements required. Sales documentation typically consists of invoices.

• The seller uses the commercial invoice to identify the goods value less freight and other charges. The commercial invoice also acts as the invoice for the goods’ sale. An invoice is a requirement of the letter of credit. Companies and agents use invoices to determine the value of goods for insurance and import duty purposes.