Text 4: Prices and terms of delivery
Date: 2015-10-07; view: 961.
When sellers quote prices in their offers they usually state on what terms, at this price, they will deliver the goods. The price will certainly depend on the terms of delivery. The most popular terms of delivery in foreign business transactions are:
■ fob (free on board)
■ cif (cost, insurance and freight)
■ с & f (cost and freight)
■ for (free on rail)
If the goods are offered on fob terms the price will practically include the cost of the goods and transportation expenses to the port of shipment.
If the goods are offered on cif terms the price will cover the cost of the goods, insurance expenses and freight or transportation expenses, to the port of destination.
If the goods are offered on с & f terms the price will cover the cost of the goods and freight to the port of destination.
If the goods are offered on for terms the price will include the cost of the goods and transportation expenses to the railway station only. These terms are similar to fob terms. The only difference is the mode of transportation. In case of fob terms the goods are shipped on board ships or planes. In case of for terms the goods are transported by railway.
Here are a few examples of how terms of delivery can be mentioned in offers:
■ The price is USD 2,000.00 per ton fob New York.
■ The quoted price is GBP 1,200.00 each cif Murmansk.
■ We can offer the goods at the price of GBP 78.00 per metreс & fLiverpool.
■ The goods are offered on a for basis.
Vocabulary
fob (free on board) – фоб
cif (cost, insurance and freight) - сиф
с & f (cost and freight) - каф
for (free on rail) – франко железнодорожная станция
port - порт
port of shipment – порт погрузки
port of destination – порт назначения
similar – аналогичный, подобный
similar to smth – аналогичный чему-либо
mode - способ
mode of transportation – способ перевозки
shipper - грузоотправитель
on board the ship – на борт(у) судна
to transport - перевозить
per (Lat.) - за, в, на
per ton (kilo, metre) - за тонну (килограмм, метр)
per day (week, month) – за день (неделю, месяц)
per head – на человека
Exercises
29 Open the brackets using the Verds in the correct forms:
(1)When the sellers quote prices they usually (to state) on what terms they (to deliver) the goods.
(2)They also state at what prices the goods (to deliver).
(3)If the goods (to offer) on fob terms the price will cover the cost of the goods and transportation expenses to the port of shipment.
(4)If the goods (to offer) on cif terms the price (to include) cost, insurance and freight.
(5)In case of fob terms the goods usually (to ship) on board ships or planes.
(6)Terms of delivery can (to state) in different ways.
30 Complete the sentences, as in the text:
(1) When sellers quote prices in their ... they usually... state on what ... at this ... they will deliver the goods.
(2) The price will certainly depend on...
(3) The most popular terms of delivery in foreign business transactions are: ...
(4) If the goods are offered on fob terms the price...
(5) If the goods are offered on cif terms the price...
(6) If the goods are offered on с & f terms...
(7) If the goods are offered on for terms...
31 Write down what costs and expenses the following prices cover:
the fob price____________________________
the for price____________________________
the cif price____________________________
the с & f price__________________________
32 Translate the examples of how terms of delivery can be mentioned in offers.
33 Translate into English:
(1) Цена составляет 3 тыс. долл. США, фоб Архангельск.
(2) Названная цена указана в английских фунтах стерлингов -1300 за штуку сиф Лондон.
(3) Мы можем предложить товар по 72 евро за метр на условиях каф Стокгольм.
(4) Товар предлагается на условиях франко железнодорожная станция.
34 Write down the questions for these answers:
(1)___________________— The only difference is the mode of transportation.
(2)___________________— In these cases the goods are shipped on board ships or planes.
(3)___________________— In these cases the goods are transported by railway.
Text 5: Terms of payment
Offers usually state the terms on which the goods are to be paid, or terms of payment.
Terms of payment usually mean the currency, time of payment, mode of payment and many details.
In foreign trade transactions various modes of payment are ! practised, among which the most popular are as follows:
■ by a banker's transfer
■ by a letter of credit
■ for collection
■ by drafts
■ on an open account
Sometimes mixed terms are practised. That depends on the value of the goods, volume of the goods, time of delivery and many other factors.
Here is an example of how terms of payment can be stipulated in the offer for some expensive sophisticated equipment:
...We propose the following terms of payment:
1. Ten percent of the total sum should be paid in advance by telegraphic banker's transfer.
2. Fifty percent of the total sum should be paid by telegraphic banker's transfer within 30 days after your bank receives shipping documents.
3. Forty percent of the total sum should be paid by drafts at 90 days' sight.
Vocabulary
to practise – практиковать, применять
practice – практика, применение
to transfer - переводить
transfer - перевод
money transfer – денежный перевод
bank transfer – банковский перевод
to make a transfer – произвести перевод
letter of credit (сокр. 1/c) - аккредитив
syn. credit
to collect – инкассировать, взимать
collection - инкассо
for collection – на инкассо
on a collection basis - на основе инкассо
draft - тратта
to pay by drafts – оплачивать траттами
sight draft – тратта, срочная по предъявлении
30 days' sight draft – тратта, срочная через 30 дней после предъявления
sophisticated – сложный; искаженный
within – в течение (в пределах)
Compare: witin and for – в течение (всего срока)
You are to ship goods within 30 days. - вы должны отгрузить товар в течение 30 дней
You are to ship goods for 30 days. - вы должны отгружать товар в течение 30 дней
shipping documents – отгрузочные документы
Exercises
35 Write down the Russian equivalents:
by (a) banker's transfer a money transfer
by (a) letter of credit a letter of credit
by drafts a sight draft
for collection a 30 days' sight draft
on a collection basis an open account
on an open account terms of payment
36 Insert the correct prepositions:
(1) Offers usually state the terms ... which the goods are to be paid.
(2) They also state the prices ... which the goods are offered.
(3) Terms ... payment mean the currency, time ... payment/mode payment and many details.
(4) Very often the goods are paid ... a banker's transfer.
(5) Very often sellers prefer payment... a letter of credit.
(6) We often pay ... collection.
37 Complete the sentences with the following words:
account, drafts, goods, terms, sight
(l) They chose to pay by ... at 60 days'...
(2) We never pay on an open ...
(3) The terms often depend on the value of the volume of the goods, time of delivery and other factors.
(4) The lesson gives an example of how ... of payment can be stipulated in the offer for some equipment.
(5) The offer stipulates payment by drafts at 90 days'...
38 Write down answers to the following questions:
(1) Do offers usually state terms of payment?__________________________
(2) What particulars do terms of payment cover?_______________________
(3) What terms of payment are _ practised in foreign trade?_______________
(4) On what does the choice of terms of payment depend?_________________
(5) What example of terms of payment is quoted in the text?________________
39 Translate the quotation into Russian.
40 Write a similar quotation changing the figures.
41 Translate into English:
товарораспределительный документ
выдавать документы
в соответствии с инкассовым поручением
платеж через банк(и)
в согласованные сроки
произвести банковский перевод
отгрузочные документы
банковский трансфер
оплачивать траттами
способ перевозки
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