资源简介

(共49张PPT)
Chapter 7
Quality, quantity and packing of commodity
In this chapter, you will learn the following key points:
Name (description) of commodity in the contract
Quality of commodity in transactions
Quantity of commodity in trade
Packing of commodity in trade
In the practice of international trade, commodity is the subject matter of international sales contract. An international trade sales contract is dealing with the transfer of ownership of the subject matter. According to United Nations Convention on Contracts of International Sale of Goods (CISG) Article 35 (1), the seller must deliver goods which are of the quantity, quality and description required by the contract and which are contained or packaged in the manner required by the contract.
7.1 Name of Commodity
When signing an international sales contract, the name (description) of commodity is the first term to be stipulated concerning the quality of commodity.
Being precise and specific
e.g. Chinese Northeast High-starchy Corn 2016
Being realistic
e.g. “pure” wool scarfs
Adopting international common terms as practical as possible
e.g. Harmonization Code System (HS-Code)
7.2 Quality of Goods
Generally, ways to indicate quality of goods are as follows:
Methods of Quality Stipulation
Methods Types
Sale by Sample Sale by Seller’s Sample
Sale by Buyer’s Sample
Sale by Counter Sample
Sale by Description Sale by Specification
Sale by Grade
Sale by Standard
Sale by Description or Illustration
Sale by Brand Name or Trade Mark
Sale by Origin
Sale by Inspection
Sale by sample: Commodities are often sold by samples
Arts and crafts
Garments
Light industrial products
Agricultural products
Sale by samples: vocabulary
Seller’s sample
Buyer’s sample
Counter sample or confirming sample or return sample
Duplicate sample or keep sample
Sale by Specification, Grade and Standards
Specification:
Specifications are some major descriptions of the quality of the goods, such as composition, content, purity, size, length, thickness, etc.
Chinese Northeast Soybean:
Moisture 15% (Max.)
Admixture 1% (Max.)
Imperfect Granules 7% (Max.)
Oil content 17% (Min.)
Sale by Specification, Grade and Standards
Grade:
Quality of the goods can be known by simply stating its grade. It can not be acceptable to take the place of the superior by the inferior, and vice versa. The seller and the buyer should reach a consensus on the “grades”
Grade A fruit
Peanut oil, Grade B
Sale by Specification, Grade and Standards
Standards
When a certain edition of commodity standard is quoted, care must be taken to indicate the publishing time.
Chinese Methyal Salicylate: “In conformity with B.P. 2008”
RICE cooker: UL certification
Sale by Specification, Grade and Standards
Standards:
GOB=Good Ordinary Brand
FAQ=Fair Average Quality
GMQ=Good Merchantable Quality
Sale by trade mark or brand
In international trade, the brand name or trade mark is often used t o indicate the quality of goods.
Nike or Adidas
Baleno or Bossini
Sale by place of origin
Sometimes, the place of origin of the product in that area possesses superior quality and has been enjoying a good reputation for a long time.
Jingdezhen Porcelain
Shaoxing dark-red enameled pottery
Made in China
Made in Germany
Made in Japan
Made in America
Sale by description and illustration
Some sophisticated products , such as machines, apparatuses, instruments, electronics appliances, whose installation, application and maintenance have to go by some specified rules, can not be described by merely indicating specifications, brand name or trade mark.
Technical manuals
Booklets of directions
Drawings or diagrams
Quality tolerance and latitude: page 105
Questions:
In what kinds of products are the quality tolerance and latitude usually included
How to compensate the quality tolerance and quality latitude
Quantity of goods
Article 52 (2) of CISG:
The buyer is entitled to reject the goods if their quantity delivered is less than that agreed upon.
He also has the right to reject the whole lot or that portion of the goods excessive in quantity if their quantity delivered is more than that agreed upon.
It the buyers take delivery of all or part of the excess quantity, he must pay for it at the contract rate.
Measurement units
To calculate by weight
To calculate by number
To calculate by length
To calculate by area
To calculate by volume
To calculate by cubage
Calculating systems
Metric system, British system, U.S system, International system of units
For example:
Metric ton/French ton( about 2204lbs)
Long ton/ English ton(about 2240lbs)
Short ton/ American ton(about 2000lbs)
Calculation of weight
By gross weight
Goss weight is the sum of total weight of the commodity itself and the tare (the package weight)
By net weight
Net weight is the actual weight of commodity without the addition of the tare.
Calculation of weight
Conditioned weight
Conditioned weight is applied to commodities that have a high unit value and tend to absorb moisture from the air such as raw silk. Wool, cotton, etc.
Theoretical weight
Commodities with regular specifications and regular sizes, such as galvanized iron and steel plate, are suitable to be weighted by theoretical weight, which is computed by the total number of sheets.
Calculation of weight
Legal weight
Legal weight is the weight of the consignment including the immediate, inner, or direct packing of the goods. According to the customs laws and regulations in some countries, legal weight is usually used as the basis for tariff calculation.
Calculation of weight
Note : Gross for net
As to some commodities of relatively low value, such as agricultural byproducts, the weight of its packaging can be negligible, taking gross weight for net weight.
In international trade, it is customary to calculate by net weight if a contract does not stipulate definitely by gross weight or by net weight.
More or Less Clause
Examples:
10000 metric tons, 5% more or less at seller’s option;
3000 metric tons, the sellers are allowed to load 5% more or less, the price should be calculated according to the unit price in the contract.
1000 metric tons, 5% more or less at buyer’s option with more or less potion priced at the market price at the time of shipment.
The reason why more or less is essential.
Quantity is difficult to measure accurately
Quantity may be influenced by natural conditions
Quantity may be influenced by packing patterns or loading and unloading methods
In order to facilitate the processing of the contract
Note 1
According to UCP600 Article 30, when the number or items of some commodities (such as automobiles, color televisions and other manufactured goods) can be accurately calculated, it is not suitable to adopt more or less clause.
The range of quantity difference
Generally, the range of quantity difference could be 3% to 10% more or less.
For some commodities with lower value such as sandstone or coal, it is allowed to stipulate a wider range, usually 10% more or less.
For some products like metals and minerals, quantity difference should be set within a smaller margin.
Note 2
To reduce disputes, UCP Article 30 (a) and (b) stipulates that the words "about" or "approximately" used in connection with the amount of the credit or the quantity or the unit price are to be constructed as allowing a tolerance not to exceed 10% more or less. In absence of any more or less clause specifying the quantity, a tolerance not to exceed 5% more or less is allowed, provided the quantity is not stipulated by the number (of packing units or individual items) and the total amount of the goods does not exceed the amount of the credit.
Packing of Commodity
The types & functions of packing
Shipping marks
1) The types and functions of packing
Types
Transport packing/outer packing such as cartons, boxes
I
nner packing
Neutral packing
Functions
Added-value
Protection
Appealing
Entrepot trade
Avoidance from tariff and NTBs
Competitiveness
Shipping Mark
Shipping marks are marks of simple designs, some letters, numbers and simple words on packages, often stenciled, that serve as an identification of the consignment to which they belong. It is one of the most important elements which are agreed on by the exporter and the importer in a sales contract.
Consists of:
Name and code of destination
Code of consignee and consignor
Piece number, serial number, contract number or license number
Shipping Marks
CTN No.1/6 UP
COPENHAGEN
A.B.C — Initials or abbreviations of the consignee’s name
SC 397 — Reference number ( e.g. sales contract number)
CTN 1/6 UP—Number of packages ( cartons; the first one of total 6 packages)
COPENHAGEN— Destination
A.B.C
SC 397
Examples of packing clauses in the contract
Packing: in new iron drums of 175kg each, net weight.
Packing: each piece in a polybag, half dozen in a box and 10 dozen in a carton.
Packing: limit the weight of any one of the wooden cases to 50kg and metal strap all cases in stacks of three and mark all the cases with an A in the square.
Shipping Marks: at seller’s option
Shipping Marks: at buyer’s option, the relevant shipping marks should reach the seller 30 days before the time of shipment.

Case 1
A trading company exported car accessories to Malaysia. the model is YZ-8303R/L, but the company provided YZ-8301R/L, two types of products are very similar in the external shape, but used in different models of cars. So the Malaysia customer could not accept it and required the seller change the product or reduce the price. The seller considered that it was rather cumbersome to take back the goods and changed them. So the seller had to reduce the price by 15% and settled the case.
Analysis: The quality of goods is one of the indispensable conditions in the contract of international sales. It is a very important clause. The seller breaches the contract seriously. So compensation for the losses is inevitable.
案例1
我生产企业向马来西亚客户出口汽车配件，品名为YZ-8303R/L，但生产企业提供了YZ-8301R/L，两种型号的产品在外型上非常相似，但却用在不同的车型上，因此客户不能接受，要求我方要调换产品或降低价格。我方考虑到退货相当麻烦，费用很高，因此只好降低价格15%，了结此案子。
分析：商品的质量是国际货物买卖合同中不可缺少的主要条件之一，是十分重要的条款。卖方属于重大违约，因此赔偿对方损失是不可避免的。
Case 2
A Chinese company exported a batch of soybeans to Germany. It was specified in the contract that: moisture, 15% max; admixtures, 3% max. But the company had sent the sample to the buyer before the transaction was concluded and also informed the buyer that the delivered goods were similar to the sample after contracting. After the goods arriving in Germany, the buyer provided an inspection certificate stating that the quality of the goods was lower than that of the sample by 7%, and according to this, they also claimed for 600 pounds as the compensation against the losses.
What is your opinion about this case
Analysis of case 2
After the contract, we also informed the buyer by telex that the goods is similar to the sample. This act as a customary supplement of the contract and is equally effective together with the other terms of the contract.
When a sale is based on sale by sample, the quality of delivery from the seller must be in strict conformity with the sample. The buyer has reasonable opportunity to make comparison with the sample and the delivery. There should not be any flaws leading to sale and failure of the delivery, otherwise, the buyer is entitled to reject the goods or claim for compensation.
Any transaction concluded on the basis of the sample and specifications shall be identical with the sample and conform to the specifications. Otherwise, the buyer has the right to refuse the goods and claim for compensation.
One method is better than more to stipulate the quality of goods.
In order to avoid subsequent disputes, a reference sample should carry the mark clearly showing “For Reference Only”. It is not considered as the basis of delivery.

案例 2
我国内某单位向英国出口大豆一批，合同规定水分最高为14%，杂质不超过2.5%，交货品质以中国出入境检验检疫局品质检验证书为最后依据。在成交前我方曾向买方寄过样品，订约后我方又电传告知买方成交货物与样品相似。货物装运前由中国出入境检验检疫局检验签发品质合格证书。当货物到达英国后，买方提出：虽有品质合格证书，但货物与样品不符，并出示相应的检验证书证明货物的质量比样品低7%，并以此要求我方赔偿15000英镑的损失。我方能否以该项交易并非凭样品买卖为由而不予理赔？
分析：订约后我方又电传告知买方成交货物与样品相似，此行为按惯例即可视为对合同条款的补充，与合同条款同等效力。
凡是既凭样品又凭规格达成的交易，卖方所交货物必须既与样品一致，又符合规格的要求。否则，买方有权拒收货物并提出索赔要求。
凡能用一种方法表示品质的，一般就不宜用两种或两种以上的方法来表示。
为了进行商品宣传也可寄送样品，但应明确表示该样品仅供参考（for reference），即参考样品。
Case 3
Do you think whether it is appropriate for the exporter to replace the inferior by the superior and keep the price fixed as before
A Chinese export company exported apples abroad. Both the contract and the letter of credit stipulated that the apple should be third-grade . But only when the seller made the shipment, they found the stock of third-grade apples run out, so the seller sent the second-grade apples instead and noted on the invoice that “Apples of second-grade sold at price of grade three”.
Analysis: According to United Nations Convention on Contracts of International Sale of Goods (CISG) Article 35 (1), the seller must deliver goods which are of the quantity, quality and description required by the contract and which are contained or packaged in the manner required by the contract. So that it is our fault.
Case 4
A Chinese company exported 1000 fans to America. Partial shipments were not allowed according to the credit. However, when the seller made the shipment, he found 40 fans with broken package, some of the fan covers deformed and some switches were off. There was no sufficient time to replace them. To ensure the quality of the whole batch of the goods, the shipper regarded that, according to “UCP600”, even if partial shipments were not allowed, 5% more or less of the quantity can be allowed. He thought 40 fans were within the range of 5% of the total quantity, so he shipped 960 fans actually. When the seller went to Bank of China for negotiation (a process to get payment from the bank on behalf of the importer under letter of credit) with the documents on which the actual quantity shipped indicated, the bank refused to negotiate.
Q:Why did Bank of China refuse to negotiate
Analysis: According to UCP600 Article 30, when the numbers or items of some commodities (such as automobiles, color televisions and other manufactured goods) can be accurately calculated, it is not suitable to adopt more or less clause.
Case 5
A Chinese company signed a CIF contract for 500 metric tons of peanuts with an English trader. It was stipulated in the contract that “packed with gunny bags, 50kg each bag”. The Chinese company received the payment after they delivered the goods to England. Soon after, the Chinese company received an e-mail from the trader in which he declared that the goods were less than 500 tons if the tare excluded and asked for returning money for that shortage. Was the English trader reasonable
Analysis: As to some commodities of relatively low value such as agricultural byproducts, the weight of its packaging can be negligible, taking gross weight for net weight. In international trade, it is customary to calculate the weight by net weight if a contract does not stipulate definitely by gross weight or by net weight.
案例５
我某出口公司以CIF条件与意大利客商签订了一份出口500吨大豆的合同，合同规定：双线新麻袋包装，每袋50千克，价格为每吨200美元CIF热那亚。我方交单收款后，买方来电称：我公司所交货物扣除皮重后，不足500吨，要求我方退回因短量而多收的货款。问：对方的要求是否合理
分析：对方的要求是合理的。按照国际惯例，合同中未规定商品重量的计算方法时，应按净重计算。因此，对于用重量计量的低值商品，可在合同数量条款中规定“以毛作净”。
Case 6
A company exported frozen fish of 20 metric tons, $400 per metric ton FOB Shanghai. It is specified in the contract that the quantity of the goods can be increased or decreased by 10%. The L/C stipulated that: "the total amount of $8000, the quantity of the goods is about 20 metric tons" . The seller shipped 22 tons to the buyer and then was rejected to pay by the negotiating bank when the seller asked for negotiation for $8800.
Try to analyze the reason why the negotiating bank dishonored
Analysis: The seller loaded 22 metric tons of cargo and the quantity of the goods was within more or less scope but the total amount exceeded the maximum amount of the letter of credit.
案例６
我出口冰冻黄花鱼一批20公吨，每公吨400美元 FOB上海。合同规定数量可以有10%的增减，国外来证规定：“总金额8000美元，数量约20公吨，”我方装运22公吨，到银行议付8800美元时却遭到议付行的拒付，试分析议付行拒付的原因。
分析：我方装运22公吨货物没有问题,但总金额超出了信用证的最高金额,不能做到单证相符,所以遭到议付行的拒付。
Case 7
A Philippines customer intended to import 10000 pieces of Shanghai “Forever” bicycles. But they required the seller to change brand to “Sword”. And also no “Made in China” is marked on outer packing.
Why did the buyer make such a request
Analysis: This is a case where the buyer asked for brand designated neutral packaging. Bicycles made in China are commodities that are implemented by the United States, the European Union and other countries to impose anti-dumping duties. There are strict requirements for origin, so as to prevent entrepot trade.
案例７
菲律宾客户与上海某自行车厂洽谈进口“永久牌”自行车10000辆，但要求我方改用“剑”牌商标，并在包装上不得注明“Made In China”字样。买方为何提出这种要求？
分析：这是一件对方要求中性定牌包装的一起案例。自行车是美国、欧盟等对我国实施反倾销的商品，对原产地有严格的要求以防转口贸易。
Case 8
An export company entered into a CIF contract with a foreigner. The contract stipulated: “200 cases of canned tomato sauce , 24 cans per box, 100 grams per can”. However, the seller shipped 200 cartons, 24 cans and 200 grams per can. The foreign buyer found that the weight of the goods was twice the weight of the contract and refused to accept the goods, and demanded the cancellation of the contract.
Did the buyer have the right to do this
Analysis of case 8
(1) The goods delivered by the seller are obviously inconsistent with the packaging specifications stipulated in the contract, which constitute a breach of contract.
(2) The seller's action may bring unexpected troubles and losses to the buyer.
(3) It may affect the sale of goods, which will make the buyer's original commercial purpose fail.
(4) In an import country with strict trade rules and regulations, the quantity declared by the importer in the import license does not correspond to the actual quantity and package of the goods. It will be questioned by the customs authorities, even suspected of escaping from the control of imports, and being held accountable for less reporting and leakage of customs duties. Therefore, the buyer has the right to reject the goods and cancel the contract.
案例８
　A出口公司与国外买方订立一份CIF合同，合同规定：“番茄酱罐头200箱，每箱24罐×100克”，即每箱装24罐，每罐100克。但卖方在出货时却装运了200箱，每箱24罐×200克。国外买方见货物重量比合同多了一倍，拒绝收货，并要求撤销合同请问，买方有权这么做吗？
　分析：
（1）卖方所交货物与合同规定的包装规格明显不符，已构成违约
（2）卖方的做法可能给买方带来意想不到的麻烦与损失。
（3）可能影响商品的销售，使买方的原有商业目的落空。
（4）在贸易管制严格的进口国，进口商在进口许可证中申报的数量与实际到货不符，会遭到海关当局的质询，甚至被怀疑逃避进口管制、以多报少、偷漏关税等行为而被追究责任。
　　所以，买方有权要求退货并撤销合同。
Thank you !

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