Home >> Foreign Trade And Shipping >> Cooperation For Foreign Trade to The National Aspect Of >> The Conditions of Sale_P1

The Conditions of Sale 1

trade, pounds, american, quoted, dozen, bales and countries

Page: 1 2 3 4 5 6 7

THE CONDITIONS OF SALE 1. Trade most difficult problems in foreign trade are those connected with the local cus toms and usages of the different markets. A care ful study of these is the very condition of success, tho the American exporter is reputed to be much inclined to ignore them. Their effects are doubtless most ap parent in the vast world trade in staples, but custom also rules the trade in manufactured goods in ways that here can only be suggested.

2. Quantity of foreign as in the do mestic trade, goods arc quoted in quantities deter mined by the trade. Goods of large value, such as locomotives, automobiles and pianos, are sold by the piece. Smaller goods, like shelf hardware, is quoted by the dozen or the gross, while larger hardware is frequently quoted by fractions of the dozen, such as half dozen or quarter dozen. Hats, umbrellas and walking canes are usually quoted per hundred, and some of the smaller items of hardware follow the same rule.

A confusing thing is that these conventional num bers do not always mean what they say. In the Eng lish lumber trade "standard hundred" means 120 pieces. On the other hand the German merchant who sells a thousand needles never expects to deliver more than 950.

A certain amount of elasticity is usually allowed in the quantity required to fill a contract. In the case of raw products five per cent "tolerance" above and below the quantity called for is frequently allowed for shrinkage or for moisture, while in the case of manu factured products the capacity of the railroad cars or of the packing cases within certain limits is al lowed to determine the exact amount shipped.

The relation between the trading unit and trans portation facilities is illustrated by the cotton trade. Here one hundred bales is the usual trading unit. Since an average freight car holds but 75 to 90 bales it is necessary to load the remaining 10 to 25 bales in another car of mixed freight. This second car, because of its mixed contents, is subject to much de lay, which is often vexatious to both shipper and buyer. A change to a trading unit of 75 bales would do away with much of the trouble and steps are now being taken to bring about this change.

3. Foreign weights and ineasurcs.—Goods may be quoted in quantities familiar to the exporting country or to the buying country. As a rule, it is best to smooth the way for the buyer by quoting him in his own way. The metric system is widely known and used, but even in those countries where the Metric system is legal it will often be necessary to use other measurements.

The multiplicity of weights and measures is con fusing. Frequently the same name is given in dif ferent countries to units of different values. The Libra of Argentina is equal to 1.0142 American avoir dupois pounds, of Mexico to 1.0146 pounds and of Venezuela to 1.0161 pounds. In most Latin-Ameri can countries 25 Libras make one arroba, while in Brazil it takes 32.

The differences between English and American weights and measures of the same name should also be remembered. The United States, Canada, and British Wrest India use the old Queen Anne gallon while the rest of the English-speaking world uses the imperial gallon. In commercial practice six Ameri can gallons are accepted as equivalent to five imperial gallons, tho this relation is not quite accurate. In the same way 33 American bushels are understood to be equivalent to 32 imperial bushels. When quoting or when interpreting quotations. it is, therefore. essen tial to have it clearly understood whether American or English measureilients are to he used. Care in the use of abbreviations must also be urged. "Cwt." sometimes carelessly used for 100 pounds in this country, is read in England as "hundredweight" or the equivalent of 112 pounds.

4. The quality of the goods.—It is essential that some definite understanding exist between buyer and seller in regard to the quality of the goods which are to change hands. Sonic goods can be bought on de scription possibly from a picture in a catalog, while other goods must be inspected. In the case of tex tiles, ceramics, leather goods and many raw products. samples are necessary.

Page: 1 2 3 4 5 6 7