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Effective 1st January 2003
Gafta No.100
Copyright
THE GRAIN AND FEED TRADE ASSOCIATION
CONTRACT FOR SHIPMENT OF FEEDINGSTUFFS
IN BULK
TALE QUALE - CIF TERMS
*delete/specify as appropriate Date........................................................
SELLERS ...............................................................................................................................................................1
2
INTERVENING AS BROKERS....................................................................................................................................3
4
BUYERS..................................................................................................................................................................5
have this day entered into a contract on the following terms and conditions. Wherever the word "cakes" is used, this is agreed to mean6
goods of the contractual description.7
8
1. GOODS- ..........................................................................................................................................................9
Broken cakes and/or meal in a proportion, having regard to the characteristics of the goods and methods of handling, to be taken and10
paid for as cakes. Goods in bulk but Buyers agree to accept up to 15% in stowage bags, such bags to be taken and paid for as cakes11
and any cutting to be paid for by Buyers. Sellers have the option of shipping the whole or part of the quantity in excess of 15% in12
bags, in which case the excess over 15% shall be delivered in bulk and Sellers shall be responsible for cutting the excess bags which13
remain their property.14
15
2. QUANTITY- .............................................................................................................................. 2% more or less.16
Sellers shall have the option of shipping a further 3% more or less than the contract quantity. The excess above 2% or the deficiency17
below 2% shall be settled on the quantity thereof at shipment at market value on the last day of discharge of the vessel at the port of18
destination; the value to be fixed by arbitration, unless mutually agreed. Should Sellers exercise the option to ship up to 5% more, the19
excess over 2% shall be paid for provisionally at contract price. The difference between the contract price and the market price20
calculated in accordance with the provisions of this clause shall be adjusted in a final invoice. In the event of more than one shipment21
being made, each shipment shall be considered a separate contract, but the margin of the mean quantity sold shall not be affected22
thereby.23
24
3. PRICE AND DESTINATION - At ........................................................................................................................25
* per tonne of 1000 kilograms }26
} gross weight, cost, insurance and freight to .......................................................27
* per ton of 1016 kilograms or 2240 lbs. }28
29
4. BROKERAGE………………………………per tonne, to be paid by Sellers on the mean contract quantity, goods lost or not lost,30
contract fulfilled or not fulfilled unless such non-fulfilment is due to the cancellation of the contract under the terms of the31
Prohibition or Force Majeure Clause. Brokerage shall be due on the day shipping documents are exchanged or, if the goods are32
not appropriated then brokerage shall be due on the 30th consecutive day after the last day for appropriation.33
34
5. QUALITY- 35
* Warranted to contain ............................................................................................... at time and place of discharge.36
37
Not less than ………………..% of oil and protein combined, and not more than 2.50% of sand and/or silica. Should the whole, or38
any portion, not turn out equal to warranty, the goods must be taken at an allowance to be agreed or settled by arbitration as39
provided for below, except that for any deficiency of oil and protein there shall be allowances to Buyers at the following rates,40
viz.: 1% of the contract price for each of the first 3 units of deficiency under the warranted percentage; 2% of the contract price41
for the 4th and 5th units and 3% of the contract price for each unit in excess of 5 and proportionately for any fraction thereof. 42
When the combined content of oil and protein is warranted within a margin (as for example 40%/42%) no allowance shall be made43
if the analysis ascertained as herein provided be not below the minimum, but if the analysis results are below the minimum44
warranted the allowance for deficiency shall be computed from the mean of the warranted content. For any excess of sand and/or45
silica there shall be an allowance of 1% of the contract price for each unit of excess and proportionately for any fraction thereof. 46
Should the goods contain over 5% of sand and/or silica the Buyers shall be entitled to reject the goods, in which case the contract47
shall be null and void for such quantity rejected.48
49
The goods are warranted free from castor seed and/or castor seed husk, but should the analysis show castor seed husk not50
exceeding 0.005%, the Buyers shall not be entitled to reject the goods, but shall accept them with the following allowances: 0.75%51
of contract price if not exceeding 0.001%, 1% of contract price if not exceeding 0.002%, and 1.50% of contract price if not52
exceeding 0.005%. Should the first analysis show the goods free from castor seed and/or castor seed husk such analysis shall be53
final but in the event of the first analysis showing castor seed husk to be present a second sample may be analysed at the request of54
either party and the mean of the two analyses shall be taken as final. Should the parcel contain castor seed husk in excess of55
0.005% Buyers shall be entitled to reject the parcel, in which case the contract shall be null and void for such quantity rejected. 56
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Nevertheless, should Buyers elect to retain the parcel they shall be entitled to a further allowance for any excess over 0.005% of57
castor seed husk, to be settled by agreement or arbitration. For the purpose of sampling and analysis each mark shall stand as a58
separate shipment. The right of rejection provided by this clause shall be limited to the parcel or parcels found to be defective.59
60
* Official ................................... certificate of inspection, at time of loading into the ocean carrying vessel, shall be final as to61
quality.62
63
* Sample, at time and place of shipment about as per sealed sample marked………………………in possession of .........................64
the word “about” when referring to quality shall mean the equivalent of 0.50% on contract price. Analysis as per arrival sample.65
Difference in quality shall not entitle Buyers to reject except under the award of arbitrator(s) or board of appeal, as the case may be,66
referred to in the Arbitration Rules specified in the Arbitration Clause.67
Condition – Shipment shall be made in good condition. 68
69
6. PERIOD OF SHIPMENT- as per bill(s) of lading dated or to be dated .............................................................................70
The bill(s) of lading to be dated when the goods are actually on board. Date of the bill(s) of lading shall be accepted as proof of date of71
shipment in the absence of evidence to the contrary. In any month containing an odd number of days, the middle day shall be accepted72
as being in both halves of the month.73
74
7. SALES BY NAMED VESSELS- For all sales by named vessels, the following shall apply: - 75
(a) Position of vessel is mutually agreed between Buyers and Sellers;76
(b) The word "now" to be inserted before the word "classed" in the Shipment and Classification Clause;77
(c) Appropriation Clause cancelled if sold "shipped".78
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8. SHIPMENT AND CLASSIFICATION - Shipment from ..............................................................................................80
direct or indirect, with or without transhipment by first class mechanically self-propelled vessel(s) suitable for the carriage of the81
contract goods, classed in accordance with the Institute Classification Clause of the International Underwriting Association in force at82
the time of shipment.83
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9. EXTENSION OF SHIPMENT- The contract period for shipment, if such be 31 days or less, shall be extended by an additional85
period of not more than 8 days, provided that Sellers serve notice claiming extension not later than the next business day following the86
last day of the originally stipulated period. The notice need not state the number of additional days claimed.87
Sellers shall make an allowance to Buyers, to be deducted in the invoice from the contract price, based on the number of days by88
which the originally stipulated period is exceeded, in accordance with the following scale: -89
1 to 4 additional days, 0.50%;90
5 or 6 additional days, 1%;91
7 or 8 additional days 1.50% of the gross contract price.92
If, however, after having served notice to Buyers as above, Sellers fail to make shipment within such 8 days, then the contract shall be93
deemed to have called for shipment during the originally stipulated period plus 8 days, at contract price less 1.50%, and any settlement94
for default shall be calculated on that basis. If any allowance becomes due under this clause, the contract price shall be deemed to be95
the original contract price less the allowance and any other contractual differences shall be settled on the basis of such reduced price.96
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10. APPROPRIATION-98
(a) Notice of appropriation shall state the vessel’s name, the approximate weight shipped, and the date or the presumed date of the99
bill of lading.100
(b) The notice of appropriation shall within (i) 10 consecutive days if shipped from the U.S. Gulf and/or U.S. and/or Canadian101
Atlantic/Lake Ports, (ii) 14 consecutive days if shipped from any other port, from the date of the bill(s) of lading be served by or102
on behalf of the Shipper direct on his Buyers or on the Selling Agent or Brokers named in the contract. The Non-Business Days103
Clause shall not apply.104
(c) Notice of appropriation shall, within the period stated in sub-clause (b) be served by or on behalf of subsequent Sellers on105
their Buyers or on the Selling Agent or Brokers named in the contract, but if notice of appropriation is received by subsequent106
Sellers on the last day or after the period stated in sub-clause (b) from the date of the bill of lading, their notice of appropriation107
shall be deemed to be in time if served: -108
109
(1) On the same calendar day, if received not later than 1600 hours on any business day, or110
111
(2) Not later than 1600 hours on the next business day, if received after 1600 hours or on a non-business day.112
113
(d) A notice of appropriation served on a Selling Agent or Brokers named in the contract shall be considered an appropriation114
served on Buyers. A Selling Agent or Brokers receiving a notice of appropriation shall serve like notice of appropriation in115
accordance with the provisions of this clause. Where the Shipper or subsequent Sellers serves the notice of appropriation on the116
Selling Agent, such Selling Agent may serve notice of appropriation either direct to the Buyers or to the Brokers.117
(e) The bill of lading date stated in the notice of appropriation shall be for information only and shall not be binding, but in fixing118
the period laid down by this clause for serving notices of appropriation the actual date of the bill of lading shall prevail.119
(f) Every notice of appropriation shall be open to correction of any errors occurring in transmission, provided that the sender is120
not responsible for such errors, and for any previous error in transmission which has been repeated in good faith.121
(g) Should the vessel arrive before receipt of the appropriation and any extra expenses be incurred thereby, such expenses shall122
be borne by Sellers.123
(h) When a valid notice of appropriation has been received by Buyers, it shall not be withdrawn except with their consent.124
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(i) In the event of less than 95 tonnes being tendered by any one vessel Buyers shall be entitled to refund of any proved extra expenses125
for sampling, analysis and lighterage incurred thereby at port of discharge.126
127
11. PAYMENT-128
(a) Payment ……………………………………………………………..………. % of invoice amount by cash in ...............................129
* In exchange for and on presentation of shipping documents;130
* In exchange for shipping documents on or before arrival of the vessel at destination, at Buyers' option; 131
Sellers, however, have the option of calling upon Buyers to take up and pay for documents on or after...................................132
consecutive days from the date of the bill(s) of lading.133
134
(b) Shipping documents – shall consist of - 1. Invoice. 2. Full set(s) of on board Bill(s) of Lading and/or Ship’s Delivery135
Order(s) and/or other Delivery Order(s) in negotiable and transferable form. Such other Delivery Order(s) if required by Buyers,136
to be countersigned by the Shipowners, their Agents or a recognised bank. 3. Policy (ies) and/or Insurance Certificate(s) and/or137
Letter(s) of Insurance in the currency of the contract. The Letter(s) of Insurance to be certified by a recognised bank if required138
by Buyers. 4. Other documents as called for under the contract. Buyers agree to accept documents containing the Chamber of139
Shipping War Deviation Clause and/or other recognised official War Risk Clause. 140
(c) In the event of shipping documents not being available when called for by Buyers, or on arrival of the vessel at destination,141
Sellers may provide other documents or an indemnity entitling Buyers to obtain delivery of the goods and payment shall be made142
by Buyers in exchange for same, but such payment shall not prejudice Buyers’ rights under the contract when shipping documents143
are eventually available.144
(d) Should Sellers fail to present shipping documents or other documents or an indemnity entitling Buyers to take delivery, Buyers145
may take delivery under an indemnity provided by themselves and shall pay for the other documents when presented. Any146
recoverable extra expenses, including the costs of such indemnity or extra charges incurred by reason of the failure of Sellers to147
provide such documents, shall be borne by Sellers, but such payment shall not prejudice Buyers’ rights under the contract when148
shipping documents are eventually available.149
(e) Should shipping documents be presented with an incomplete set of bill(s) of lading or should other shipping documents be150
missing, payment shall be made provided that delivery of such missing documents is guaranteed, such guarantee to be151
countersigned, if required by Buyers, by a recognised bank.152
(f) Costs of collection shall be for account of Sellers, but if Buyers demand presentation only through a bank of their choice, in153
that event any additional collection costs shall be borne by Buyers.154
(g) No obvious clerical error in the documents shall entitle Buyers to reject them or delay payment, but Sellers shall be responsible155
for all loss or expense caused to Buyers by reason of such error and Sellers shall on request furnish an approved guarantee in156
respect thereto.157
(h) Amounts payable under this contract shall be settled without delay. If not so settled, either party may notify the other that a158
dispute has arisen and serve a notice stating his intention to refer the dispute to arbitration in accordance with the Arbitration159
Rules.160
(i) Interest – If there has been unreasonable delay in any payment, interest appropriate to the currency involved shall be charged. 161
If such charge is not mutually agreed, a dispute shall be deemed to exist which shall be settled by arbitration. Otherwise interest162
shall be payable only where specifically provided in the terms of the contract or by an award of arbitration. The terms of this163
clause do not override the parties’ contractual obligation under sub-clause (a).164
165
12. DUTIES, TAXES, LEVIES, ETC.- All export duties, taxes, levies, etc., present or future, in country of origin, shall be for Sellers'166
account. All import duties, taxes, levies, etc., present or future, in country of destination, shall be for Buyers' account.167
168
13. DISCHARGE- Discharge shall be as fast as the vessel can deliver in accordance with the custom of the port, but in the event of169
shipment being made under liner bill(s) of lading, discharge shall be as fast as the vessel can deliver in accordance with the terms of170
the bill(s) of lading. The cost of discharge from hold to ship's rail shall be for Sellers' account, from ship's rail overboard for Buyers'171
account. If documents are tendered which do not provide for discharging as above or contain contrary stipulations, Sellers shall be172
responsible to Buyers for all extra expenses incurred thereby. Discharge by grab(s) shall be permitted unless specifically excluded at173
time of contract. If shipment is effected by lash barge, then the last day of discharge shall be the day of discharging the last lash barge174
at the port of destination. 175
176
14. WEIGHING-the terms and conditions of GAFTA Weighing Rules No. 123 are deemed to be incorporated into this contract.177
Unless otherwise agreed, final settlement shall be made on the basis of gross delivered weights at time and place of discharge at178
Buyers’ expense. If the place of destination is outside the port limits, Buyers agree to pay the extra expenses incurred by Sellers179
or their agents for weighing. No payment shall be made for increase in weight occasioned by water and/or oil during the voyage.180
If final at time and place of loading, as per GAFTA registered superintendents’ certificate at Sellers’ choice and expense, (in181
which case the Deficiency Clause will not apply).182
183
15. DEFICIENCY- Any deficiency in the bill of lading weight shall be paid for by Sellers and any excess over bill of lading weight 184
shall be paid for by Buyers at contract price, (unless the Pro-rata clause applies).185
186
16. SAMPLING, ANALYSIS AND CERTIFICATES OF ANALYSIS- the terms and conditions of GAFTA Sampling Rules No.124,187
are deemed to be incorporated into this contract. Samples shall be taken at the time of discharge on or before removal from the188
ship or quay, unless the parties agree that quality final at loading applies, in which event samples shall be taken at time and place189
of loading. The parties shall appoint superintendents, for the purposes of supervision and sampling of the goods, from the GAFTA190
Register of Superintendents. Unless otherwise agreed, analysts shall be appointed from the GAFTA Register of Analysts.191
192
17. INSURANCE- Sellers shall provide insurance on terms not less favourable than those set out hereunder, and as set out in detail in193
GAFTA Insurance Terms No.72 viz.:-194
(a) Risks Covered:-195
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Cargo Clauses (WA), with average payable, with 3% franchise or better terms - Section 2 of Form 72196
War Clauses (Cargo) - Section 4 of Form 72197
Strikes, Riots and Civil Commotions Clauses (Cargo) - Section 5 of Form 72198
(b) Insurers - The insurance to be effected with first class underwriters and/or companies who are domiciled or carrying on business in199
the United Kingdom or who, for the purpose of any legal proceedings, accept a British domicile and provide an address for service of200
process in London, but for whose solvency Sellers shall not be responsible.201
(c) Insurable Value - Insured amount to be for not less than 2% over the invoice amount, including freight when freight is payable on202
shipment or due in any event, ship and/or cargo lost or not lost, and includi
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