Feed grains buying terms and condition for Iranian customers
One of the biggest market for Russian and Kazakhstan grains like feed barley and feed corn is Iran; mostly of these feed grains are exported from Caspian Sea to Iranian North ports, like Amirabad and Anzali ports.
In this article, we are going to explain some terms of payment, conditions and risks of working with Russian and CIS companies.
Feed grains buying terms of payment
Sailing of the vessel from Russian loading port to discharge port in North ports of Iran takes about 5days, which this duration of time for L/C at sight CIF/CFR basis is a trouble because it takes more days than this for exchanging documents between banks and for this reason the vessel will be under risk of demurrage about detention; therefor, the buyers should aware to consider ability of suppliers to prevent of such kind of problems before opening letter of credit in favor of unknown Russian companies.
We are proud to inform to our Iranian grains customers that our company accepts L/C without making any problem for our customers.
Our terms of payment:
30% T/T in advance and 70% due upon shipment documents through Iranian authorized exchanged bank offices both in Euro and US Dollar currencies.
100% Letter of Credit (L/C) at sight to “Mir Business Bank” or Our banks accepted by customers banks.
180 Days Usance Letter of Credit for orders more than 30,000MTs
- Is there any bond against this 30% advance payment for Russian grains? You will receive a receipt on the seller letterhead by our agent company in Iran about this per-payment if you want to pay prepayment in Rial currency as a guarantee that your bank pay 100% of value of grain order when the bank received copy of shipping and related documents.
- Which terms of payment is suitable to Iranian customers? Actually, choosing a terms of payment is depends on companies financial strategies and we cannot give our opinion in this matter but what obvious is that terms of payment has effects on price due to margin costs and also time of delivery that should pay attention on first stage of negotiation.
Attention: About 80% of Russian companies who claim can export grains are not qualified or frauds.
For more information call to our sales specialist person directly or via WhatsApp (English, German, Azeri, Persian languages): +49 1520 170 6517