SBLC

How to Generate Trust in Commodities Transactions: Alternatives to Past Performance Reports

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Confidentiality Challenges in Commodities Trading Commodities trading is an intricate business that requires trust between buyers and sellers. To establish trust, buyers often request past performance reports from sellers. However, due to confidentiality concerns, it may be challenging for sellers to provide these reports without breaching confidentiality. The International Chamber of Commerce (ICC) rules on … Read more

The Sale Process in Commodities Trading: A Step-by-Step Guide

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Commodities trading is a complex process that involves various steps to ensure a successful transaction between the buyer and the seller. In this article, we will provide a step-by-step guide to the sale process in commodities trading, using a typical procedure as an example. Step 1: Buyer Issues an LOI The first step in the … Read more

Standby Letter of Credit (SBLC): An Overview

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A Standby Letter of Credit (SBLC) is a financial instrument that provides a guarantee to a beneficiary that payment will be made by the issuing bank in the event that the applicant fails to fulfill their contractual obligations. SBLCs are commonly used in international trade transactions and can help to mitigate the risks associated with … Read more