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CHL Unit 3 Task 6 and 7 Response 1

The document discusses choosing appropriate INCOTERMS and HS codes for procuring sugar and salt products. It recommends using CIF/CFR INCOTERMS due to their insurance inclusion elements. It also provides example HS codes for cane sugar and salt to identify the products and access quick information for inspection purposes.

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kenneth chaunoda
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454 views

CHL Unit 3 Task 6 and 7 Response 1

The document discusses choosing appropriate INCOTERMS and HS codes for procuring sugar and salt products. It recommends using CIF/CFR INCOTERMS due to their insurance inclusion elements. It also provides example HS codes for cane sugar and salt to identify the products and access quick information for inspection purposes.

Uploaded by

kenneth chaunoda
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOC, PDF, TXT or read online on Scribd
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Memo SCILaid

From: Francois Damba


Date: 27 February 2021

RE: UNIT 3 – TASK 6 - 7 - SUPPLIER SELECTION

To answer the questions raised on task number 6 and 7 of guidance on which INCOTERMS and HS
(Harmonized System) codes to be used.

AS a guide to the INCOTERMS to be used in the process of procuring our sugar and salt products I must
carefully check among all the INCOTERMS and be able to identify the terms which are favorable to SCILaid,
terms which can manage and transfer risk from the organisation to the supplier which will make sure that the
goods will be delivered and arrive safely and in secure state if anything wrong happens to the goods the
organisation will not run a loss in anyway.
So after looking into those advantages and dis-advantages I will carefully chose the CIF\CRF Incoterms due to
their insurance inclusion elements for the complete procurement process.

On the guidance of HS CODEs I would like my goods to be coded showing the product type the
quantities and category shelf period, the additives in the product and in this case my products are foods stuff
which may fall under the codes of addible products such as for cane sugar 170199 and salt 250100 this will
make it easy for identification of products and access quick information about the product itself during
inspection. And for this a to be achieved, in our contract it must be clearly spelt out which terms of our
preference and this will also include the type of packaging and what will be written on the packaging such as
manufacturers’ name, goods weight and so on.

By Kenneth Chaunoda

© 2017 Logistics Learning Alliance Ltd – ‘Supply Chain Improvement through Learning’

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