Detailed explanation of the key points of foreign trade transportation document review and their compliance requirements

In foreign trade business, the review of transport documents is crucial. Ensuring that they comply with the provisions of the letter of credit is the basis for smooth trade. This article will elaborate on the review points and compliance requirements of transport documents.

Basic requirements for transport documents

1. Consistent with letter of credit
   The types of all shipping documents must be consistent with the specific provisions of the letter of credit to ensure the legality and compliance of the transaction.

2. Signature of legal documents
   Transport documents should meet the conditions required by law and must be signed and confirmed by the transport company or its agent (such as shipping companies, airlines, etc.) to ensure the validity of the documents.

3. Full set of bill of lading submission
   Unless otherwise specified in the letter of credit, a full set of bills of lading must be submitted to avoid affecting the progress of the transaction.

4. Consignee and other information
   The name and address of the consignee and the notified person, as well as information such as port of departure, port of destination and date of shipment, should strictly comply with the requirements listed in the letter of credit.

5. Shipper’s identity
   Normally, the consignor should be the beneficiary or the assignee in the letter of credit. If the consignor is another third party, it can also be accepted, but it must comply with the provisions of the letter of credit.

Compliance of bill of lading content

6. Consistency of goods description
   The description of the goods in the bill of lading should be consistent with the goods information stipulated in the letter of credit, including cargo name, shipping mark, quantity, weight, ship name, route, etc., and should be consistent with other relevant documents.

7. Coordination of price terms
   Records of price and freight on the bill of lading must be consistent with the letter of credit and other documents. Specifically, under CIF or CFR conditions, the freight should be displayed as “Freight Prepaid” or “Freight Paid”; under FOB conditions, it should be marked as “Freight Collect” or “Freight Payable at Destination”.

8. Endorsement implementation of bill of lading
   If the bill of lading is payable to “To Order of Shipper”, “To Shipper’s Order” or “To Order”, it must be endorsed to ensure legal transfer.

9. Requirement for receipt of ready-for-shipment bill of lading
   The received B/L must be marked with “On Board” and the actual date of shipment after the goods are actually shipped to confirm that the goods have been loaded.

10. Request to amend bill of lading
    If the bill of lading needs to be modified, a correction stamp must be stamped on the correction place and a small signature must be made by the shipping company, agent or captain to ensure the legality of the modification.

11. Cleaning terms of documents
    Transport documents must not contain any terms that could render them invalid or unclean to ensure their validity and reliability.

By strictly following the above review points, foreign trade companies can effectively reduce transaction risks and ensure smooth transactions. The above content comes from relevant foreign trade business guidance materials.