18 STEPS FROM store to Ship

a practical GUIDE FOR ETHIOPIAN COOPERATIVES

INTO
the logistics around exports
 Table of Contents

18 Steps Page
Step-1: Calculate Costs and Determine Target Price .............................................. 1
Step-2: Make a Full Term Offer or Provide Pro-forma Invoice ................................... 3
Step-3: Sign Export Contract .............................................................................. 5
Step-4: Follow –Up L/C Opening by Buyer ............................................................... 7
Step-5: Order Bags .......................................................................................... 9
Step-6: Clean and Pack Goods ........................................................................... 11
Step-7:ObtainBankPermit.................................................................................. 13

Step-8: Obtain Phytosanitary Certificate & Export Authorization Letter

from MoA ..................................................................................................... 15
Step-9: Fumigation (Optional) ........................................................................... 17
Step-10: Sign Contract with Transport & Transit Forwarding Agent .......................... 19
Step-11: Ministry of Trade (MoT) & Third Party Inspection .................................... 21
Step-12: Obtain Certificate of Origin ................................................................... 23
Step-13: Obtain Customs Declaration & Inland Transportation Certificate .................. 25
Step-14: Provide Shipping Instructions ................................................................ 27
Step-15: Obtain Bill of Lading ............................................................................. 29
Step-16: Ensure Compliance with Tariff Scheme .................................................... 31
Step-17: Beneficiary’s Declaration/Advice and/ or Beneficiary’s Declaration of fax/email/
telex Dispatch ................................................................................................ 33
Step-18: Submit Documents to Bank .................................................................. 35
Step-1: Calculate Costs and Determine Target Price

• Calculate all costs incl. storage costs, interest costs, spillage, waste
and weight loss etc. to determine break-even point. The next sheet
will help to calculate your cost build up and could also provide insight
in where to cut costs and increase cost efficiency while not compro-
mising on quality.

• Be updated about market price trends by contacting brokers, com-

paring ECX prices, obtaining price data from commercial bank and
customs, EPOSPEA website and market portals (e.g. Alibaba, trade-
key, aglook, import export platform). The best way is to build own ro-
bust market intelligence system with the support of reputable export
professionals (outside the scope of this logistical guide)

• Based on cost structure and prevailing market prices determine your

target price that leads to be competitive.

1
‘’ as an example sesame is shipped in 19Mt/190Qt containers, as this differs per commodity, 4
change figures accordingly’’

2
Step-2: Make a Full-Term Offer or Provide Pro-forma Invoice
• Receive request for quotation from the buyer or

• Make a full term offer or provide a pro-forma to the buyer

• The full term offer or pro forma invoice should at least have all im-
portant information like detailed goods description, quantity, unit
price, total price, port, payment terms, account details, due date,
expiry date of offer, contact information, including names, address-
es, email address and telephone numbers

• Confirm acceptance and receive the export order by e-mail

3
4
5
 Seller Letterhead and address Buyer Letterhead and address
(Sales Contract) (Purchase Contract)
Date: - Seller coop union
Contract No: Name & Address
The seller hereby confirms having sold to the buyer and the buyer having bought from the
seller the commodity described here under as per the following agreed terms and conditions. Contract No:
Seller: RasGayint Multipurpose Farmers Cooperatives Union, Nefasmewcha, Ethiopia Date: -
Buyer: Tionale PTE LTD 77 high Street, #11-02 High Street Plaza, Singapore 179433 We are pleased to confirm the following purchase from you
Commodity: ETHIOPIAN ORIGIN WHITE PEA BEANS HPS QUALITY 2013/2014 CROP, MAX 10% on the condition of F.O.S.F.A 13 ( Federation of Oils, Seeds
MOISTURE and Fats Association 13) where not contradictory to the
Quantity: 46MT (forty six metric ton) +/- 5% at sellers option in 2 x 20ft DV full container terms below:
loads
Price: 1278 USD per metric tons C& F Tuticorin Commodity:
Total value: 58,788 USD Quality:
Packing: In new export worthy P.P. Bags of 50 KG Quantity: both figures and words
Marking: As per buyers instructions to be advised on signing of contract Price: the unit price and total value(FOB/CNF)
Load Port: Djibouti Port Destination/port of loading:
Dis-Port Tuticorin Port Packing/weight: type and capacity
th
Latest date of Shipment: not later than 26 of April 2014. Shipment: latest date/partial/transhipment.
Freight: As per buyer’s preference. Special remarks
Payment Term: by 100% Irrevocable Letter of Credit. All bank charges outside Payment Term:
Ethiopia are for buyer's account. . Special remarks
Documents Required: Brokerage
Seller Advising Bank : Commercial Bank of Ethiopia, SWIFT CODE: CBETETBDXXX Others (e.g .terms &conditions of F.O.S.F.A 13)
Additional Remarks:
1. L/C will be opened within three days after the date of this contract and will be
emailed to seller
2. Copy ofL/C once opened within 24hrs of opening to be emailed to seller
Yours faithfully Accepted seller
3. Disputes: Any dispute arising under this contract will be settled by amicable.
Negotiation failing which disputes will be settled by arbitration at Addis Abba
________________ _______________
Chamber of Commerce
Buyer Signature & Stamp Seller Signature & Stamp
4. This contract will be valid until 10 DAYS after contract date

Note: p/s sign and seal and return this contract as an acceptance of the above terms and conditions
_______________ _______________

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Seller Signature & Stamp Buyer Signature & Stamp

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Step 4: Follow –Up L/C Opening by Buyer

• Provide proper L/C opening instructions to buyer

• Request for draft L/C from buyer
• Critically review and provide feedback on the draft L/C (a future
amendment of L/C if agreed by both parties, will result in addi-
tional bank charges as well as reputational damage; prevent this
from happening by rigorously going through at the draft L/C be-
fore signing/approved by applicant bank)
• Make sure you are clear with all terms and conditions of the L/C.
make also sure that you can manage it .
• Receive L/C from buyer’s bank through advising bank.

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Irrevocable Letter of Credit Sample in Swift Format
26 June, 2014
16:36:46
------------------ Instance Type and Transmission ----------------------
Original received from SWIFT
Priority/Delivery    :    Normal
Message Output Reference         :    *******************************
Correspondent Input Reference    :    ******************************
----------------------- Message Header ---------------------------------
Swift Oinput : FIN 700 Issue of a Documentary Credit
Sender     :  ************
                   ******* BANK 
                    (******* BRANCH) 
                    **************
Receiver    : CBETETKXXX
                    COMMERCIAL BANK OF ETHIOPIA
                    ADDIS ABEBA, ETHIOPIA
----------------------- Message Text ----------------------------------
27:   Sequence of Total :        1/1
40A:  Form of Documentary Credit :        IRREVOCABLE
20:    Documentary Credit Number :        471-01-0048165
31C:  Date of Issue :         1410626
40E:  Applicable Rules :        UC PURR LATEST VERSION
31D:  Date and Place of Expiry :        140815-ETHIOPIA
50:   Applicant : BUYER NAME AND ADRESS
59:   Beneficiary – SELLER Name & Address
32B:  Currency Code, Amount
         Currency    :    USD (US DOLLAR)
         Amount    :    #***,***.**#
39B:  Maximum Credit Amount/Percentage Credit Amt Tolerance:         05/05
41A:  Available With...By... – FI BIC
CBETETAA
COMMERCIAL BANK OF ETHIOPIA
ADDISABEBA ET
         BY PAYMENT
43P:  Partial Shipments:          NOT ALLOWED/ ALLOWED
43T:  Transhipment:         NOT ALLOWED/ ALLOWED
44E:  Port of Loading/Airport of Departure:         DJIBOUTI PORT
44F:  Port of Discharge/Airport of Destination:         HAIFA PORT
44C:  Latest Date of Shipment: up to 40days after the date of this L/C
45A:  Description of Goods &/or Services
46A:  Documents Required
47A:  Additional Conditions
71B:  Charges  
48:  Period for Presentation: PLS SEE FIELD 47A ITEM NO.--
49:  Confirmation Instructions: WITHOUT/WITH
53A: Reimbursing Bank - BIC 
78:   Instruction to Paying/Accepting/Negotiating Bank
57D:  `Advise Through` Bank -Name&Addr

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Step 5: Order Bags

• Order pp bags immediately after L/C opening according to agreed bag

mark. When choosing high-quality hermetical storage technology in-
stead of PP bags contact your local PICs or Grainpro bags distributor.
• Provide cert number and marking instruction to the printing com-
pany with letter and pay in advance. Some of PP bags suppliers
are :

• Becho Wolliso Multipurpose FCU (+251113420140) ;

• Damot International (+251111564646);

• Kegna ( +25111 284 11 31);

• Burayu (+25111 466 98 58);

• Bekrobe (+25111 646 38 80); and

• Adefris Kifle (+25122 111 82 74) etc.

• Cert. number will be obtained from certified seed cleaning house
(e.g. Gondor:Taye Belay, Ambasel & Guna; Metema-Kalab; Dessie-
Fereji and his family etc).
• It is also possible to give own cert number once the union fulfill
the formality of Conformity and Assessment Organization Agency
(previously known as Ethiopian Standard Authority).
• Encourage buyer to provide clear and timely instructions as to
avoid delays.

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 Marking

Figure 1: Tsehay FCU sesame export marking

Figure 2: Ras Gayint FCU White pea bean export marking

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Step 6: Clean and Pack Goods

• Clean and pack the products as ordered in the L/C or contract.

• Pack the products in standard PP bags in 50kg or 30kg or 25kg depend
on buyers requirements (as stated in L/C and/or shipping instructions).
• Stitching bag properly tight and make sure enough reserve needles
and treads are available.
• Keep waste separate from cleaned commodity at all times!
• Have a trained quality inspector on site check all bags and have a qual-
ity based payment to cleaners in place.
• Tip for Hand Picked selecting (HPS): to allow mothers to benefit from
employment opportunity establish a separated child care facility next
to cleaning site.

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 Figure 4:Hand Pick Selection by Women
Figure 3: Quality Training

Figure 5: Crèche for Children

Figure 6:HPS Seeds Measured for payment

Figure 8: Buyers shipment inspection at

Coop store

Figure 7: HPS seeds weighted and bagged Figure 9:bags stitching at Coop store

Figure10: Machine Cleaned seeds at Cleaning House Figure 11:: Goods transported to port

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Step 7: Obtain Bank Permit
• Make sure that your name does not appear in the delinquent ex-
porters list of NBE for the period.
• Fill the form in line with L/C requirement &the form itself
• Submit the signed and sealed form to the bank with:
o Two copies of export contract( registered by CBE),
o Two original commercial invoice,
o Two copies of commercial invoice ,
o Two copies of an authorized message of the original L/C,
o Union legal certificate, and
o TIN certificate
• Obtain bank permit from advising bank.
• Check properly, the bank permit given by Commercial Bank has
permit number, date, sign & seal on it.
• The bank permit authorizes the exporter to export goods/prod-
ucts out of Ethiopia and serves as NBE foreign currency control-
ling instrument.

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14
Step 8: Obtain Phytosanitary Certificate & Export Authorization
Letter from MoA

• Contact the regional/branch MoA quality inspector to test the product at

Union warehouse.
• Branch inspector assesses and provides pesticide certificate addressed
to MoA.
• Given the inspector report, exporter applies to MoA for phytosanitory
and export authorization.
• Exporter prepares the export authorization according to the format of
MoA( can be obtained from MoA or prepared in exporters office)
• Submit letter of application to MoA .
• MoA will give phyto-sanitary certificate and also export authorization let-
ter to branch custom and revenue authority. The certificate is about the
freeness of the product from harmful  pests and plant diseases
• Make sure that some buyers demanding to include issues like import
number or L/C no, to be included in the additional declaration field.

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Step 9: Fumigation (Optional)

• Fumigation is a method of killing pests, termites or any other harmful liv-

ing organisms. Make sure to seek professional advice on which fumigant
to use.
• Not mandatory unless stated on the L/C
• Fumigation is dangerous and should only be performed by an authorized
company
• Fumigation certificate is issued by the fumigator after inspection of the
store and fumigation on site.
• Please have the copy of recent trade license of the fumigator from licens-
ing authority, which is commonly requested by all banks.

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 NAME OF FUMIGATION SERVICE PROVIDER COMPANY
P.O.Box __________, E-mail:_________________
Tel. ________________ Fax.__________________
Mob._________________________________________
International Certificate of Fumigation
THIS IS TO CERTIFY that we have fumigated WITHPhostoxin tablets at the required dosage and
exposure time.

COMMODITY: WHITE PEA BEANS, HPS QUALITY, CROP 2013/2014, MAX 10% MOISTURE
QUANTITY: 920 PP BAGS GROSS WT. 46,092 KGS NET WT 46,000 KGS
SHIPPER: RAS GAYINT MULTI PURPOSE FARMERS COOPERATIVES UNION, NEFAS
MEWICHA, ETHIOPIA ON BEHALF OF TIONALE PTE, LTD SINGAPORE 179433
CONSIGNEE:TO THE ORDER OF COMMERCIAL BANK OF ETHIOPIA, ENDORESED BY
THEM TO THE ORDER OF STANDARD CHARTERED BANK, SINGAPORE
NOTIFY PARTY: SRI KRISHNA STORE, NO. 53. LEIGH BAZZAR, THIRD CROSS SALEM, INDIA
VESSEL & VOYAGE: MSC FIRENZE VOYAGE 1405 B/L.NO : 951578164
PORT OF LOADING: DJIBOUTI PORT PORT OF DESTINATION: TUTICORIN PORT, INDIA
PLACE OF FUMIGATION: GAYINT, ETHIOPIA
DATE OF FUMIGATION: 20/04/2014
SHIPPED ON BOARD: 03/05/2014
DATE OF ISSUE: 14/05/2014
MARKS : WHITE PEA BEANS, PACKED FEB/2014, NET WT: 50KG, ETHIOPIAN ORGIN,
NEW CROP:2013/2014, CERT NO.: 0410
FOR ______________________PLC
SIGN &SEAL
Note:

a) This certificate is not to be taken as proof of the accuracy of the description or

quantity of the goods which details are as supplied to us by the client.
b) Extra copies of this certificate are supplied on request and are marked ”COPY’’
c) The company cannot accept responsibility for infestation caused by the proximity of
contact with fumigated or infested produce in storage or during shipment after
fumigation.

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Step 10: Sign Contract with Transport &
Transit Forwarding Agent

Tip! :Carefully selecting your forwarding agent is

crucial as to prevent any delays in port. Verify
the track record of the companywith other
exporters as to do business with the best ones.

• Identify the transport and transit forwarding agent early and. Imme-
diately confirm the contract as getting a good forwarding agent will
affect the efficiency of delivery.
• Make sure that the forwarding agent obtained an E-number from
the Customs & Revenue Authority on the name of the exporter be-
fore shipment.

• Sign contract with your forwarding agent clearly indicating respon-

sibilities and obligations of both parties.
• Submit required docs such as: shipping instruction, commercial in-
voice, packing list, phytosanitary cert., bank permit, contract, tin no.
and legal certificate to your forwarding agent.
• Forwarding agent will provide operation number and conduct all
custom (and transportation) activities till port of loading.

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 4.8 The agent must confirm delivery of clean original B/L in Addis Ababa, Ethiopia after the cargo
Format of Contract Agreement for Transportation& is loaded on the main vessel in Port Sudan without any fee.
Freight Forwarding of Export Cargo 4.9 The Agent must issue original B/L as per shipping instruction.
4.10 The agent shall deliver the freight loaded on his trucks in the same condition he/she has
TRANSPORTATION & FREIGHT FORWARDING OF EXPORT CARGOES FROM HUMERA TO PORT received the freight. However, the agent shall not be responsible to hand-over
SUDAN deliver the cargo by weighing it unless it received it weighed at the origin
Date, Year Article Five
Shipping Instruction No: 475A AND 475B 5. Tariff and terms of payment
Article One 5.1 In consideration of the services rendered by the agent, the shipper agrees to pay the Agent as shown
Contracting parties below.
1.1 XXX Transit and Transport Plc: Address, City AA, K/KetemaArada, Kebele X, House No. X, Tel: 5.2 The shipper agrees to pay Birr X/MT (amount in words) per MT including all for local clearing,
+251 XX, P.O.Box.XX , Fax +251 XX E-mail______ Herein after called the ‘’Agent’’ escorting fee, inland transport, unloading-loading charges, bank transfer charges and related charges
1.2 XXX Import And Export, Address, City: A.A, ,Kebele - House No xx, Tel - +251 FAX - +251 XXP.O.BOX- in Port Sudan.
XX Email- _____ Herein after called the “Shipper 5.3 The Shipper agrees to pay Birr XXX (Birr X Million X Hundred X Thousand Only)in total.
Article two 5.4 The shipper agrees to pay 30% in advance which is Birr XX (Birr amount in words)
2. Aim of the agreement 5.5 The remaining 50% balance, which is Birr XXX (Birr amount in words) shall be settled at a time of
The agent on the business of clearing and forwarding operates by contracting reliable fleet of dry cargo delivery of Original Bill of Loading.
trucks from Humera to Port Sudan. The shipper engaged in the export business intends to export xxx MT Article Six
SESAME SEEDS ( Humera type) 50kg net each in PP bags from Humera to Port Sudan on FOB Port Sudan 6.1 There shall be no claim against each other between the contracting parties for disruption of
basis . Now, for and in consideration of the mutual covenant and agreement set forth herein, the parties operation due to force-majeure as stipulated under civil code of Ethiopia.
consider the above preamble as an integral part of this agreement and agree as follows: 6.2 In case where the two contracting parties violate the contract agreement, both parties shall try to
Article three settle the matter amicably. If amicable settlement cannot be reached, then the matter shall be
brought to a conciliatory body consisting of two persons from each party for its settlement. After this
3. Obligation of the Shipper
procedure is exhausted and disputes are not resolved, the matter shall be brought to the concerned
3.1 The shipper should provide documents, for clearance some of which are, sales contract, commercial
Ethiopian court for final and binding decision.
invoice, shipping instruction, bank permit, Certificate of Origin and phytosanitary certificate.
3.2 The shipper shall give his/her operational orders or instructions, or amendments in writing and also Article Seven
ascertain its direct arrival to the agent within reasonable time. This agreement shall be effective from the date on which both parties have signed this contract
3.3 While the agent has no direct power in making the cargo ready for loading, the shipper is responsible subject to the timely preparation of the consignment by the shipper. The two contracting parties
to do so. However, the shipper shall cover any loss sustained by the agent due to failure to make have signed this contract on DATE, YEARin Addis Ababa.
ready the agreed cargo size. ___________________________ ________________________
3.4 The shipper load trucks at its own expense and supervision. Estimated time for the cargo to be ready For the Shipper For the Agent
for loading is 14 days before the arrival of the vessel at port. Witnesses 1. _________________
3.5 The shipper shall register the date, hours and minutes of arrival of every truck and loading ends. 2 . _________________
3.6 The shipper shall be responsible to any damage on cargo due to improper handling during loading.
Article Four Some of the transit and transport service providers
4. Obligation of the Agent, 1) Trans Ethiopia P.L.C 2) Lugdi Transit& Transport 3) Belima International Business Plc
4.1 The agent agrees to transport XXX MTSESAME SEEDS packed in 50kg net PP bags from Addis Ababa Office Tel: 0118 697112 Tel: +251 111 567414
Humera to Port Sudan and agrees to render (within the territory of Ethiopia and Sudan)
Tel: 0115 516580 Fax: 0111 551950 Fax: +251 111 566988
custom clearing and forwarding services.
4.2 The agent is wholly responsible for all procedures and cost of customs clearances, transport & Fax: 0115 510186 E-mail: Mob: +251 918 772712
labor cost within Port Sudan and except quarantine and standardization costs in Ethiopia. E-mail: tesco.aa@thionet.et lugeditnt@yahoo.com Email: bib@ethionet.et
4.3 The agent shall avail sufficient trucks capable to load the cargo after receiving pertinent
instructions from the shipper. 4) Ethiopian Shipping & 5) Maccfa Freight Logistics 6) Akakas Logistics PLC
4.4 For the purpose of plumbing each truck by pertinent authorities and secure loaded cargo from Logistics Enterprise Tel : 0116637811/12 Debrezeit Rd, (in front of Hawi Hotel),
external severe climatic condition (rain, direct sunlight, dust etc) the agent shall cover the Tel : +251-011-5523203/ Phone: +251 (11) 669581/82/83
cargo with water/dust proof canvas and tarpaulins.
4.5 Any charges, fees, dues and/or taxes on service charges, and customs escorting fees within the 251-011-5518280 | Fax: +251 (11) 669584
territory of Ethiopia are for account of the agent. Fax: 251-011-5519525 Email:Email contact form
4.6 The agent to arrange empty containers for stuffing for all cargo and shipping agent to stuff in 7) BelessaLogistic 8)Universal Logistic PLC 9) Green International Logistic
each container.
4.7 The agent must inform by fax detail arrival or trucks plate no, quantity with shortage and
Tel : 0911242505 Tel. 251-11-554 61 44 Services PLC
overage. Tel. 251-11-662 36 82

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Step 11: Ministry of Trade (MoT) & Third Party Inspection

• Once the cargo is fully cleaned, packed and ready for export, apply
for inspection to :

o A. MoT-Import &Export Goods quality control branch office [Ba-

hirdar/Dessie/Gondor/A.A/] by filling the form prepared for the
purpose; and

o B. Contact an independent inspector [e.g Afrostar(011-515

4152/011-551 9088), Global Inspection Survey(011-155
0662/011-155 5888), QITS (0911689944)] that provide quality
& weight certification by email/phone/letter to inspect prod-
ucts at union warehouse

o Exporter has to pay inspection charges for both (A&B).

• MoT requires:
o Application form , copy of commercial invoice, copy of custom
copy bank permit, phyto-sanitory, copy of sales contract, TIN and
cleaning certificate issued by the cleaning service provider
• MoT provides export authorization immediately.
• The third party inspector will make warehouse inspection and pro-
vide quality & weight certification after the release of bill of lading
based on the sample taken before delivery.
o Quantity refers: average weight of bags, total no of bags, total
volume in MT, and total no of containers; and
o  Quality refers: products in-terms of moisture, oil content, ad-
mixture, foreign matter, etc.

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Logo NAME & ADDRESS OF THIRD PARTY Tel:
Fax:
INSPECTOR E-mail:

CERTIFICATE NO: QITS/ET/QW0176/14

DATE OF ISSUE: 07 APRIL 2014
IO NO: 0176/14
WEIGHT AND QUALITY CERTIFICATE
CONSIGNMENT DESIGNATED AS :

SHIPPER:
CONSIGNEE:
NOTIFY PARTY:
DESCRIPTION OF GOODS:
QUANTITY: ------- PP BAGS = GROSS WT: -----KGS NET WT:------KGS
METHOD OF LOADINGS: STUFFED IN X*20’FCL
MARKS & NUMBERS:
VESSEL & VOYAGE:
B/L.NO :
PORT OF LOADING:
PORT OF DESCHARGE:
PLACE OF SURVEY: AT THE SHIPPER’S WAREHOUSE IN -----
DATE OF FUMIGATION:
DATE OF SURVEY:
AT HE REQUEST OF AND FOR THE ACCOUNT OF RAS GAYINT MULTIPURPOSE FARMERS COOPERATIVE UNION, NEFAS MEWECHA-ETHIOPIA, WE
QITS INSPECTION PVT LTD CO, HAVE CONDUCTED A QUALITY AND WEIGHT INSPECTION ON THE ABOVE MENTIONED GOODS WHILST IT WAS
BEING STACKED AND READIED FOR LOADING ONTO THE TRUCKS TO TRANSPORT IT TO THE LOADING PORT.
WE REPORT AS FOLLOWS:
1. QUALITY ANALYSIS
REPRESENTATIVE SAMPLES WERE DRAWN FROM THE BAGGED GOODS AND THE QUALITY ANALYSIS WERE CARRIED OUT ON THE SAMPLES. THE
RESULTS ARE AS FOLLOWS:
ETHIOPIAN WHITE PEA BEANS SC2
NO TEST DESCRIPTIONS TEST RESULTS
1 FOREIGN MATTER
2 BROKEN &DAMAGE
3 SPLIT
4 DISCOLORED/STAINED
5 TOTAL DEFECTS/SUM1-4/
6 UNDER SIZE
7 BEAN’S COUNT/SIZE
8 MOISTURE
9 NOTE THAT THE GOODS WERE FOUND ETHIOPIAN WHITE PEA BEAN’S SC2 HPS FREE FROM ALIVE OR DEAD WEEVELS
OR INSECTS

2. WEIGHT
THE SQUARE ROOT OF THE TOTAL NUMBER OF BAGGED WERE RANDOMLY SELECTED AND WEIGHED
THE AVERAGE BAG WEIGHT IS 50.10KILOS S
THE AVERAGE WEIGHT OF THE BAGGED GOODS OBTAINED 50.10KILOS GROSS
THE TOTAL QUANTITY THEREFORE CALCULATED AS FOLLOWS:
910 BAGS*50.10 KILOS GROSS=46,092 KILOS GROSS
920 BAGS*0.10 KILOS =92 KILOS
920 BAGS*50.00 KILOS NET =46,000.00 KILOS NET
***NUMBER OF BAGS TAKEN ACCORDING TO SHIPPER’S TALLY ***

3. PACKING
THE GOODS WERE PACKED IN 50 KG PP BAGS

THIS CERTIFICATE REFLECTS OUR FINDINGS AT TIME AND PLACE OF OUR INTERVENTION ONLY AND DOES NOT RELIEVE THE PARTIES FROM THEIR CONTRACTUAL RESPONSIBILITIES

SIGNITURE STAMP
FOR AND ON BEHALF OF ------INSPECTION

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Step 12: Obtain Certificate of Origin
• Purchase form from Ethiopian Chamber of Commerce and Secretariat
Association (ECCSA) and typed by the exporter.
• Put sign and seal to the typed form and bring them to ECCSA for their
seal. The form should by typed in four copies. It is prepared in four
copies; one copy for ECCSA and three copies (one original and two
copies) to exporter.
• Can be prepared before or after having the B/L.
• The certificate ensure the cargo being exported is Ethiopian origin

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24
Step 13: Obtain Customs Declaration & Inland Transportation Cer-
tificate

• Submit all the required original documents to the customs clearing

agent (your forwarding agent) before transporting the cargo to the
custom branch office.

• Required documents are: MoA phytosanitarty & its export authoriza-

tion letter to custom, bank permit custom copy, commercial invoice,
packing list, MoT export authorization letter, E-number.

• The agent will prepare the customs declaration form (online) and
brings the documents to the custom branch office.

• Send the loaded trucks to be inspected by custom office.

• MoT branch office again locks the cargo after custom inspector
checked the loaded truck.

• Finally the goods will be released to port after, re-locked by custom

and obtained custom clearance letter.

• Original custom declaration should not be given for third party.

• Some buyers request inland transport certificate which shows that is

responsible to transport the goods from shipper warehouse to port
by road.

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 Figure 12: Custom Export Declaration Figure 13: Inland transportation Certificate

Inland
Date: August 09, 2014
Ref No.: SU/03/2014
INLAND TRANSPORTATION CERTIFICATE
Exporter: SELAM MULTIPURPOSE FCU
Notifying Party: XXXXXXX LTD
Loading Port: PORT DJIBOUTI
Port of Discharge: PORT HAIFA, ISRAEL
Commodity: 190 MT OF ETHIOPIAN WHITISH HUMERA
GONDER TYPE SESAME SEED 2013/2014 NEW CROP HS CODE:
120740
BILL OF LADING: MSCUJI014489
Packing: IN NEW PP BAGS OF 50KGS NET EACH
Vessel: MSC NAMIBIA
Quantity: 190MT
Gross Weight: 190,380kg
Net Weight: 190,000kg

We hereby certify that our company XXXXXXX Transit

and Transport P.L.C have made inland transportation
services for the above mentioned exporter and we are
pleased to inform you that the cargo has been
transported from Gonder to Port Djibouti.

We hereby confirm that this certificate is true and

correct.
With Kind Regards,

T t ti
28

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Step 14: Provide Shipping Instructions

• Prepare shipping instruction according to the L/C and send to the ship-
ping agent and forwarding agent before the cargo dispatched to the
port.
• Exporter should have information about the date of the vessel arrival
on port of loading.
• Make sure that the name of the shipper, consignee, notify party and
freight is written as it was instructed on the L/C.
• Make sure that the containerization process is carried out 48 hours be-
fore the vessel arrives at the port (but preferably a week in advance).
• The forwarding agent will stuff the containers and submit to the port.
• The shipping company approves the stuffing report such as container
number, seal numbers and stuffing date
• The exporter has to inform the buyer immediately about stuffing de-
tails.

27
 RAS GAYINT MULTIPURPOSE FARMERS COOPERATIVES UNION
REF.RGU/EX/002/14
DATE: 15/04/2014
SHIPPING INSTRUCTION
Please Ship the following (46 MT) White Pea Beans (2x20ft containers) Destination TUTICORIN, INDIA as per the
Instruction below by:MAERSK LINE.
No. of Marking Description of Goods Gross Net
Packages Weight Weight
920 Bags WHITE PEA BEANS PACKED:APRIL/2014 2X20 FT FCLS CONTAINERS 46092 46000
NET WT: 50KG ETHIOPIAN ORGIN CONTAINING: WHITE PEA BEANS KG KG
NEW CROP:2013/2014 HPS QUALITY 2013/2014 CROP
CERT: 0410 MOISTURE:10PCT MAX
SHIPPER: RAS GAYINT MULTI PURPOSE FARMERS COOPERATIVES UNION, NEFAS MEWICHA, ETHIOPIA ON BEHALF
OF TIONALE PTE LTD
CONSIGNEE: TO THE ORDER OF COMMERCIAL BANK OF ETHIOPIA, ENDORSED BY THEM TO THE ORDER OF
STANDARD CHARTERED BANK, SINGAPORE.
NOTIFY PARTY: SRI KRISHNA STORE, NO. 53. LEIGH BAZZAR, THIRD CROSS, SALEM, INDIA
FREIGHT P: FREIGHT PREPAID
POL: DJIBOUTI PORT
POD: TUTICORIN PORT
LATEST DATE OF SHIPMENT: APRIL 26/2014
B/L: TO BE MADE 3 ORIGINALS AND 3 NON-NEGOTIABLE COPIES
SPECIAL CLAUSE/REMARKS ON B/L
1) CARGO TO BE STUFFED IN 2x20FT FCLS 23MT EACH
2) B/L TO BE MARKED “FREIGHT PREPAID’’
3) B/L SHOWING DESCRIPTION OF GOODS AS’’WHITE PEA BEANS ‘
4) B/L TO MENTION 14 DAYS FREE DETENTION AT DESTINATION
5) PARTIAL SHIPMENT ALLOWED
6) CERTIFICATE: SHIPMENT, TRANSHIPMENT OR TRANSIT TO, FROM OR THROGH IRAN, CUBA, NORTH KOREA, SUDAN, AND
SYRIA IS PROHIBITED, AND IN ANY OF THHOSE COUNTRIES (WHICH INCLUDES ANY VESSEL FL IN, OR OWNED OR OPERATED
BY A PARITY IN, SUCH COUNTRY) INVOLVED IN THE TRANSACTION IN ANY MANNER.
NO PARTY WHICH IS SANCTIONED BY THE UNITED NATIONS, UNITED STATES OR THE EUROPEAN UNION, OR UNITED
KINGDOM, IS TO INVOLVED IN THE TRANSACTION IN ANY MANNER. WE MAY NOT TRANSACTION WHICH INVOLVES SUCH A
PARTY, OR ANY PARTY ABOVE COUNTRIES.
WITH REGARDS

SHIPPING LINES AND THEIR AGENTS

Maersk Line and Safmarine MSC and APL

Agent: Freighters International Plc Agent: Champion Shipping plc
Address: Jomo Kenyatta Street, TshayeMessaye Address: New bldg where is Abyssinia Bank, Bambis
Bldg. Branch, Kazanchis in front of Yordanos Hotel, 3rd
Tel: 011 551 48 82 / 551 14 17/553 95 84 / Floor
FAX : 011 551 50 93 Tel: 011 515 3737
Email : pabomi@ethionet.et Fax: 011 515 3743
Email: shipagency@ethionet.et
PIL
Agent: Taleme private limited company
Address: Mekwor Plaza, 4th Flr, DebreZeit Road,
Tel: 0114-661148/49/50/661117
Fax: 0114-661120
Email: taleme@ethionet.et

30

28
Step 15: Obtain Bill of Lading

• Once the forwarding agent finalized the stuffing process and submit to
the port
• The shipping agent will send a draft bill of lading to the exporter for
verification of the original one
• It is critically important to check and respond to the draft B/L immedi-
ately. Make sure the Bill of Loading is done in line with the L/C.
• Within two days of vessel dispatch, the shipping agent will issue the
original bill of lading

29
30
Step 16: Ensure Compliance with Tariff Scheme

• Understand unilateral preferential trade arrangements given by

different countries:
o Special Preferential Tariff treatment (SPTT) by China ,
o Generalized System of Preferences (GSP) by US, EU, Swit-
zerland, Norway, Belarus, Canada, U.S.A, Japan, Australia,
New Zeeland, Turkey and Russian Federation.
o African Growth and Opportunity Act (AGOA) by U.S.A
o Duty Free Preference (DFTP) by India, South Korea
• Unilateral preferential trade arrangements are the unilateral con-
cessions granted by developed countries, normally to developing
countries. The developing country accepts the arrangements as it
is and is not required to give any concession for goods originating
in the developed country entering into the beneficiary countries
territory.
• Each unilateral preferential trade arrangements are non-recipro-
cal in nature and have its own rules of origin. Goods exported to
any of the developed countries that offer GSP must be accompa-
nied by a Certificate of Origin (GSP Form A) at the time of export
in order to allow these goods to access the intended market at a
lower or preferential rate of duty
• Buy the form, fill and submit it to the ERCA office along with com-
mercial invoice to get the authorized SPT or GSP form.

31
 Figure 13: Example of SPT form Figure 14:Example of SPT and GSP form

Exporter (full name, address and 2. CERTIFICATE NO.

country) DATE OF ISSUE 1. Goods consigned from (Exporter's Reference No.
VALID UP TO business name, address, country) GENERALIZED SYSTEM OF
3.Consignee (full name, address SPECIAL PREFERENTIAL TARIFF PROGRAM 2. Goods consigned to (Consignee's PREFERENCES
FOR LOC AFRICA name, CERTIFICATE OF ORIGIN
4．Manufactory(full name, address CERTIFICATE OF ORGIN (Combined declaration and certificate)
address, country)
and country) (Combined Declaration and Certificate) FORM A
AFRICA SPT PROGRAMME
5.Departure Date Issued in Issued in ..........................
................................................................. (country)
(country) See the instructions.
See instructions overleaf 3. Means of transport and route (as far as 4. For official use
known)
6.Vessel/Flight/Train 7.Place of 8. For official use only by china customs
/Vehicle No. Loading 5. Item 6. Marks 7. Number 8. Origin 9. Gross 10.
number and and kind of criterion weight Number
9.Port of Discharge numbers of packages: (See or other and
packages description of instructions) quantity date of
10.Ite 11.Marks & 12. Container No.; No. and Kind of 13.Gross 14.Num goods invoices.
m numbers on Packages; Description of goods weight or ber and
numbe packages; (including quantity where appropriate other quantity date of
r and HS Code of China); ( Quantity unit invoice
) and
15.Please select the following origin value(FOB)
criteria where appropriate: 11. Certification 12. Declaration by the exporter
It is hereby certified, on the The undersigned hereby delcares that the above
□Wholly Obtained □CTH □value added basis of control carried out, details and statements are correct: that all the goods
that the declaration by the were produced in
16. Declaration by the exporter 17. Certification 18. Customs verification exporter is correct. ....................................................
The undersigned hereby It is hereby certified, on the This is to certify that the (country)
declares that the above details basis of control carried out, goods declared for and that they comply with the original requirements
and statements are correct, that the declaration by the exportation correspond to specified for those goods in the Generalized System of
Preferences for goods exported to
that all the goods were exporter is correct. what is stated under this
...................................................
produced in certificate
(importing country)
……………………………… .............................. ...................................................
(country) ………………………………… Place and date, signature and Place and date, signature of authorized signatory
and that they comply with the ………………………… Place, date, signature and stamp of certifying authority.
origin requirements specified Place and date, signature stamp of exporting
for these goods under the SPT and stamp of certifying customs authority.
Program exported to China. authority
………………………
Place and date, signature of
authority signatory

32
Step 17: Beneficiary’s Declaration/Advice and/ or Beneficiary’s
Declaration of fax/email/telex Dispatch

a. Beneficiary’s Declaration

• The union should confirm the buyers about the details of the
shipped cargo containing :

o Name & address of the shipper; Name &address of the buyer;

L/C No and date ; commercial Invoice No; contract number; name
of the vessel, B/L number and date; container and seal numbers
; date of shipment and quantity shipped ; port of loading; port of
discharge; value of shipment ; and details of PP bag marking.

b. Beneficiary’s shipping advice & Beneficiary’s Declaration of fax/

email/telex Dispatch 

• Some buyers put conditions on the L/C for the exporter to give ben-
eficiary’s certificate certifying:

o copy of invoice; copy of packing list; B/L; full shipment details in-
cluding shipment date , ETA, B/L no, container no, seal no, name
of the vessel and quantity shipped have been sent to applicant
via E-mail/fax with in specified date(e.g 5days) after shipment
date. This information is taken as Beneficiary’s shipping advice.

o Fax transmission report or copy of e-mail correspondence should

be attached for negotiation. This is taken as beneficiary’s decla-
ration of fax/email message.

33
 RG MULTI PURPOSE FCU RG MULTI PURPOSE FCUREF.NO.___________
REF.NO.___________ DATE:_______
DATE: ________ BENEFICIARY’S SHIPMENT ADVICE
BENEFICIARY’S DECLARATION TO:BUYER NAME ,LTD,77 HIGH ST HEX 11-02
TO:BUYER NAME ,LTD,77 HIGH ST HEX 11-02 HIGH ST HIGH ST PLAZA,SINGAPORE 179433HE
PLAZA,SINGAPORE 179433HE WE KINDLY CERTIFY THAT THAT, WE HAVE SENT
WE KINDLY ADVISE YOU THAT THE DOCUMENTS FOR THE FOLLOWING THE FOLLOWING DOCUMENTS UNDER OUR
DETAILS UNDER OUR SALES CONTRACT NUMBER RAS/2014/002 DATED SALES CONTRACT NUMBER RAS/2014/001
DATEL, YEAR AND L/C NUMBER :957012070218-L DATED XX MONTH, YEAR AND L/C NUMBER
NAME OF GOOD: WHITE PEA BEANS 957012070218-L
NAME OF THE VESSEL: MSC FIRENZE 1405 COPY OF INVOICE
BILL OF LADING NO AND DATE: 951578164, DATE, YEAR COPY OF PACKING LIST
CONTAINER NUMBER: PONU 2095989 AND PONU0944182 COPY OF B/L
SEAL NUMBER: ML-DJ0103501 AND ML-DJ0103511 FULL SET OF DOCUMENTS
DATE OF SHIPPMENT: XX/XX/XXXX INCLUDING:SHIPMENT DATE ;NAME OF
QUANTITY SHIPPED: XXMTS (XX PP BAGS OF 50 KG NET WT EACH) GOOD;NAME OF THE VESSEL;BILL OF LADING
WEIGHT SHIPPED: XX, XXXKG GROSS WT AND XX,XXX KG NET WT NO; CONTAINER NUMBER: ;SEAL NUMBER;
VALUE OF SHIPMENT: XX,XXXUSD DATE OF SHIPPMENT;QUANTITY SHIPPED;
PORT OF LOADING: DJIBOUTI PORT WEIGHT SHIPPED;GROSS WT AND NET WT;
PORT OF SISCHARGE: TUTUCORIN PORT VALUE OF SHIPMENT;ETA (ESTIMATED TIME OF
ETA (ESTIMATED TIME OF ARRIVAL): XX/XX/XXXX ARRIVAL):
WOULD YOU PLEASE CONFIRM US YOUR
WE CONFIRM THAT EACH BAG IS BACKED MARKED ‘WHITE PEA BEANS; ACCEPTANCE IN THE EARLIEST POSSIBLE TIME
PACKED MONTH/YEAR; ETHIOPIAN ORGIN; NEW CROP: YEAR/YEAR; WITH REGARDS
CERT. NO 0410.
WITH REGARDS

N.B. SIGN & PUT SEAL OF THE COMPANY

BENEFICIARY’S DECLARATION OF EMAIL/FAX/TELEX DISPATCH

34
36
Step 18: Submit Documents to Bank

• Submit all the necessary bank documents with cover letter on time be-
fore expiry of L/C. Most of the export documents submitted to the bank
will be prepared or modified after the final bill of loading is prepared.
These are:
o Commercial invoice
o Packing list
o Certificate of origin
o Certificate of weight and quality
o Phytosanitory
o SPTT certificate
o Certificate of fumigation
o Beneficiary’s Declaration
o Beneficiary’s Declaration fax/email
o Beneficiary’s Shipment Advice
o Beneficiary’s Declaration fax/email
o Indemnity Agreement
o Bank Draft

• In case the L/C expired before submitting, you have to request the buyer
for amendment or extending the validity of L/C and can expect rene-
gotiation and delay and possibly non-payment.In case of acceptance of
delay in delivery within the validity date of L/C, make sure that the buyer
provides letter of acceptance for the late delivery.
• Finally, send letter or email of appreciation to buyer, be open for feed-
back and express interest in doing future business together.
35
36
 Other export documents
MoT Appplication MoT Export Authorization

CBE Indeminity agreement

Bank Draft

39

37
Useful links

Ethiopian Commodities Exchange http://www.ecx.com.et/



Chamber of Commerce Sectoral Association


http://addischamber.com

Business Development Services http://bds-ethiopia.net



The Export Facilitation and Incentives Directorate of the Ministry of


Trade and Industry

http://www.ethiopia.gov.et/English/MOTi/Pages/Home.aspx

The Agricultural Marketing Directorate of the Ministry of Agriculture


and Rural Development

http://www.moard.gov.et/

Centre for Promotion of Import from Developing Countries (CBI)


http://www.cbi.eu/marketintel_platform

The International Trade Centre



http://www.intracen.org/itc/market-info-tools/

International Standards Organisations (ISO) www.iso.org



Export Quality Management: An Answer book for small and medium


exporters http://www.dti.gov.za/tradesecrets/tradesecrets.htm

http://www.dti.gov.za/tradesecrets/tradesecrets2.htm

Food safety standards: FAO/WHO Codex



Alimentarius www.codexalimentarius.net

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