Is putting Certificate of Origin as one of LC negotiation documents mandatory?
Can issuing bank push applicant to put COO in LC negotiation documents if applicant is not interested in putting it in LC documents?
Certificate of Origin
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Hamid763
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Certificate of Origin
Last edited by Hamid763 on Tue Aug 11, 2009 2:35 am, edited 1 time in total.
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picant
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locally regulated
Hi Pals,
Evary document in a l/c is optional, it depends on the transaction and on the export/import regulations of export/import Country. Banks have to follow some international rules, so could compelled an applicant to insert some documents in a l/c. It depends on the Countries involved, Iran is in some lists, isn't?
Other comments appreciated
Ciao
Evary document in a l/c is optional, it depends on the transaction and on the export/import regulations of export/import Country. Banks have to follow some international rules, so could compelled an applicant to insert some documents in a l/c. It depends on the Countries involved, Iran is in some lists, isn't?
Other comments appreciated
Ciao
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ajoy
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- First Name: Ajoy
- Last Name: Ghildiyal
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COO
Hi
As summarized by Picant an Issuing Bank can ask for addition of required documents ( in this case a COO) under the LC to meet:
1) Local country regulations
( For example : in some countries all LCs must ask for Inspection certificates from acceptable party. Goods cannot be imported into these countries without the inspection certificate.)
Or 2) Even to meet internal policies of the bank :
In the first case IB is not able to issue an LC without the additional document requirement as per local law.
In the second case applicant can discuss with the IB and find an alternative.
Suggestion : Please ask IB why they want you to add the COO. If it is to meet local regualtions then I am afraid they cannot issue the LC without the requirement for COO. If it is some other reaason you can discuss with them.
( Request you to post how the situtaion is resolved so that we all learn alongwith you)
Cheers
As summarized by Picant an Issuing Bank can ask for addition of required documents ( in this case a COO) under the LC to meet:
1) Local country regulations
( For example : in some countries all LCs must ask for Inspection certificates from acceptable party. Goods cannot be imported into these countries without the inspection certificate.)
Or 2) Even to meet internal policies of the bank :
In the first case IB is not able to issue an LC without the additional document requirement as per local law.
In the second case applicant can discuss with the IB and find an alternative.
Suggestion : Please ask IB why they want you to add the COO. If it is to meet local regualtions then I am afraid they cannot issue the LC without the requirement for COO. If it is some other reaason you can discuss with them.
( Request you to post how the situtaion is resolved so that we all learn alongwith you)
Cheers