Professional Documents
Culture Documents
Vietnam Maritime University Faculty Economics International Business Division
Vietnam Maritime University Faculty Economics International Business Division
Vietnam Maritime University Faculty Economics International Business Division
HaiPhong 04/2017
Contents
INTRODUCTION ................................................................................................. 2
CHAPTER 1: OVERVIEW ON COMPANY ...................................................... 3
1.1.Overview on company .................................................................................... 3
1.1.1 Name, Address ............................................................................................. 3
1.1.2 : Business Field ............................................................................................ 3
1.1.3. Organiziton Structure .................................................................................. 4
1.2 Present About Product..................................................................................... 5
CHAPTER 2: MAKING THE EXPORT PLAN .................................................. 6
2.1.Studying the market ........................................................................................ 6
2.1.1. Domestic market ......................................................................................... 6
2.1.1.1.Domenic Demand...................................................................................... 6
2.1.1.2. Domestic tuna prices ................................................................................ 7
2.1.2. Export market – Japan market.................................................................... 7
2.1.2.1Demand for consumption ........................................................................... 7
2.1.2.2. Competition in the Japan market ............................................................. 9
2.1.2.3. Tuna import regulations in to Japan market ......................................... 10
2.1.2.4. The social-cultural environment, economic environment, legal and
political environment........................................................................................... 11
2.2. Determine the target ..................................................................................... 12
2.2.1. In short term .............................................................................................. 12
2.2.2.In long term ................................................................................................ 12
2.3. Research, select partners .............................................................................. 13
2.3.1. Introduce partners, distribution system ..................................................... 13
2.3.1.1.Introduce partners.................................................................................... 13
2.3.1.2.Distribution system ................................................................................. 13
2.3.2. Expected content of the foreign trade contract ......................................... 14
2.4. Contents of contract performance. ............................................................... 20
2.4.1. Make a flowchart of implementation process ........................................... 20
2.4.2.Content of steps to performing the contract .............................................. 21
COURSE WORK OF INTERNATIONNAL TRADE TRANSACTION
2.5. Analyzing of financial performance............................................................. 24
2.5.1. Total capital and business capital .............................................................. 24
2.5.2. Expected cost............................................................................................. 24
2.5.3. Expected revenue ...................................................................................... 26
2.5.4. Effective finance indicator ........................................................................ 26
CONCLUDE ....................................................................................................... 27
In the period of the current economy together with the rapid development of
science and technology, international trade activities are increasingly strong
worldwide. This activity is ingrained in the economic development of the world
in general and in all countries in particular. The countries, regardless of their
size, religious, political and cultural differences join the world economic
integration process in order to develop their economies, affirming their position
in the national area.
Along with that integration process, Vietnam has been constantly creating
new strengths, new customers and affirming its position. In recent years,
Vietnam has implemented the regime of opening up the economy, expanding
cooperation with many countries in the world and also achieved remarkable
achievements. Not only economic integration is a process of cooperation, but it
is also a process of competition, an opportunity and challenges, especially for
Vietnamese enterprises.
Recognizing the importance and benefits of import-export activities, Saigon
Fisheries Import-Export Corporation has been trying to find new partners and
expanding market. However, one of the major challenges for our fisheries sector
is to plan seafood exports to overseas markets. One of our largest import
markets and generate substantial revenue at present is the Japan market. This is
considered one of the strategic markets where the company needs to promote its
strength as well as seek more partners to increase market.
For the reasons I have mentioned above, I investigated the topic
"Preparing export plan for frozen tuna to Japan market"
1.1.Overview on company
- Address: 87 Ham Nghi, Nguyen Thai Binh Ward, District 1, Ho Chi Minh
City
1)Sea Saigon Refrigeration Branch: Road No. 12, Song Than II Industrial
Zone, Binh Duong Province.
1.1.2.Business Field
The strengths of company is export and processing of seafood,it also does
business in a number of other areas based on maximizing the available capacity
of the Corporation and its affiliates. The company's operations consist of four
main areas / markets:
Shareholders
Mâanagement
President
Vice President
Fresh tuna are frozen and canned, frozen at the same time to ensure the
quality, freshness of tuna.On holidays, wedding, tuna dishes are selected top, is
a familiar specialty, many people love.
Tendency about Fishing vessels (Last year =1) 1,004 0,909 1,008 0,998 -
Tendency about Productivity (Last year =1) 1,169 1,141 1,449 1,192 -
2.1.1.1.Domenic Demand
The domestic aquaculture market in general and the domestic tuna market in
particular, although potential, but the organization is small, the consumption of
Le Viet Anh - 55260 Page 6
Vu Ngoc Duy Khanh - 55257
COURSE WORK OF INTERNATIONNAL TRADE TRANSACTION
large size tuna is limited. In addition, many local businesses research and
evaluate that the country market is still very difficult. Enterprises have to spend
time, effort, capital to investigate the market, set up distribution system,
enterprises also have to change the design, consumption needs in the country.
Further , poor infrastructure and poor circulation of aquatculture production in
the country is also a factor in the development of the domestic market to change
conditions is a long process. Therefore, the strategy of the immediate business is
still focused on expanding tuna exports to foreign markets.
Price
Products Size
(VND/KG)
21-30 130.000
51-80 145.000
PRODUCT AVERAGE -
VALUE
HS CODE PRICE WEIGHT(TON)
(103USD)
(USD/TON)
2.3.1.2.Distribution system
With over 500 supermarkets throughout country, AEON is the optimal
distribution channel for the export of our frozen tuna to the consumer of their
OUR COMPANY
After receiving orders from foreign partners and based on the results of
financial analysis when implementing export contracts with partners, based on
the selection of export partners with the gross revenue export and gross profits,
high foreign currency, the company cooperate with AEON Japan is a partner in
this export.
OUR COMPANY
PARTNER
From: AEON Group
4th Floor, Tokyo Tatemono Gotanda Building 8F, Higashi Gotanda 1-6-3, Shinagawa ku,
Tokyo 141-0022 Japan
Tel. +81 (3)5789 2536; Fax +81 (3)5789 2537
Represented by Mr.Shigeo Tokuda– Director
Shingawa ku, Tokyo,20th of February, 2017
CONFIRMATION
To: Seaprodex Sai Gon
87 Ham Nghi, Nguyen Thai Binh Ward, District 1, Ho Chi Minh City, Viet Nam.
Tel: (84-8) 39 144 927 - (84-8) 38 222 171
Fax: (84-8) 39.142.236
Represented by Mr. Le Viet Anh – Managing Director
Dear Sir ,
We are very happy to have dealing with you. We send this conformation to ensure that
we’re sure with all the iterms, we gave in our order.
Please send me a sighed contract as soon as possible.
Yours faithfully
Director
CONTRACT
After receiving a confirmation letter from your partner in Japan, the company
sent its representative to negotiate and sign the contract. On the basis of
agreements accepted by both parties in the Order, Acceptance and Confirmation
both sides have quickly reached an agreement and come to sign the export
contract with the following content:
SALES CONTRACT
No: 0146 - 11
Date February 27 th, 2017
Between:
SEAPRODEX SAI GON
87 Ham Nghi, Nguyen Thai Binh Ward, District 1, Ho Chi Minh City, Viet
Nam.
Tel: (84-8) 39 144 927 - (84-8) 38 222 171
Fax: (84-8) 39.142.236
Account No. USD. 003.1.37.001811.6 or VND .003.1.00000196.6 in
VietcomBank Ho Chi Minh Branch
Represented by Mr. Le Viet Anh - Managing Director
Hereinafter called "party A"
And :
AEON Group
Tel. +81 (3)5789 2536;
Fax +81 (3)5789 2537
Represented by Mr. Shigeo Tokuda – Director
Hereinafter called "party B".
We, both parties, agree to sign and implement this contract with the following
conditions and terms:
Article 1: Description
Commodity : Tuna
Country of origin : Viet Nam.
Article 2: Quantity
508 MT (more or less 5%) by the seller
Article 3: Price
Unit price : 14000USD/ MT.
Total amount of the contract: USD 7.112.000
Le Viet Anh - 55260 Page 18
Vu Ngoc Duy Khanh - 55257
COURSE WORK OF INTERNATIONNAL TRADE TRANSACTION
Say: United state dollars seven million one hundred and twelve thousand
These prices are understood FOB Ho Chi Minh port as per Incoterms 2010, and
packing charges included
Article 4: Packing
Frozen Tuna grade 1 must be Packed in PVC bag of 1kg net each, which must
be packed in export customany cartons of 50kgs net each
Article 5: Payment
* Payment by Irrevocable and confirmed L/C at sight.
*Confirming charges will be borne by the “party A”.
* Validity of Irrevocable L/C: witthin 3days after delivery .All charges
regarding L/C amendment shall be borne by the party requires L/C amendment.
* Documents for payment:
Payment shall be made upon presentation to the bank of the following
documents:
- Clean Shipped on board Ocean Bill of lading, original, in triplicate.
- Commercial invoice, original, in triplicate
- Quality/Quantity certificate issued by the Viet Nam Chamber of Comerce
Industry in triplicate.
- Certificate of original in triplicate, issued by the authorized body.
- Packing list in triplicate.
Article 6: Delivery
The goods will be delivered latest at 5th of June, 2017
- Partial shipment : Not allowed
- Transhipment : Allowed
- Port of loading : Ho Chi Minh port, Viet Nam
Article 7: Inspection of goods
In respect of quality to weight for each shipment certificate of inspection
and certificate of weight issued by VINACONTROL at loading port shall be
taken as final.
All claim by the buyer shall be made within 30 days after arrival of the
goods at port of destination.
Article 8: Penalty
In the event that the Buyer fails to open L/C under this contract in due
time, the Seller will have the right to demand from the Buyer the payment of a
penalty in the amount equivalent to 1% per day of the contract amount.The
seller fails to deliver the goods in due time, the Buyer will have the right to
demand from the Seller the payment of a penalty of 1% per day of the value of
goods not delivered.
Applying Preparation
Signing Inspection and The export
for export
Contract L/C inspection procedures
license for good
Liquidation Delivery
Solving of Payment
goods on
complaints procedures
Ship
* Export expenses :
* Summary
Le Viet Anh - 55260 Page 25
Vu Ngoc Duy Khanh - 55257
COURSE WORK OF INTERNATIONNAL TRADE TRANSACTION
No. Costs Amount (VND)
1 Costs for materials 71.138.450.000
2 Production expense 6.239.791.840
3 Export expenses 203.300.200
4 Other costs 10.000.000
5 Reserve fund = 3% x [(1) + (2) + 2.327.746.261
(3) + (4)]
Total 79.919.288.300
6 VAT tax (10% of total profit) 7.991.928.830
7 Bank interest (1.25% / month) 2.500.000.000
Total of costs 90.411.217.130
In order to earn $ 1, the company needs to spend 12,712 VND, which is smaller
than the actual exchange rate of 22,000 VND / USD. This shows that the export
plan is reasonable and profitable for the company.
1) Incoterms 2010
2) Wedsite : www.customs.gov.vn
http://vietnambiz.vn
www.thuvienphapluat.vn