This glossary is compiled from several sources* in an effort to help international companies seeking information about importing from Australia understand the unique Australian export and trade terminology as well as the acronyms and names of Government departments, organisations and initiatives that are specific to Australia.
The glossary also lists standard international export, trade and financial terms along with Incoterms** and their common meanings and usage.
||Australian Business Number
||A documentary credit which requires the beneficiary to draw a
usance bill for subsequent acceptance by the issuing bank or the
advising bank or any other bank as the credit stipulates - see
||In the context of fraud, a bill drawn without a genuine
underlying commercial transaction.
||Another name for the applicant/opener of a documentary credit
i.e. the importer = the person for whose account the transaction is
||Automotive Competitiveness and Investment Scheme
||Australian Company Number
||Group Automotive Component Producer
||Automotive Component Producer
||Australian Capital Territory Office
||A tariff rate charged as a percentage of the value of goods
being imported or exported
|Advice of Fate
||The Collecting Bank informs the Remitting Bank of non-
payment/non-acceptance or (for D/A bills) of acceptance and the
bill maturity date - see Handling Import Collections.
||Act of conveying the terms and conditions of a DC to the
beneficiary. The advising bank is the issuing bank agent, usually
located in the beneficiary country - see Export - DC Advising.
Advising also involves authentication i.e. advising bank should
take reasonable care to check the apparent authenticity of the
credit (ICC UCC 500 Art 7).
||Contracts to carry goods by ship. A bill
of lading is a contract of affreightment.
||Australian Government Analytical Laboratories
||Authorised representative of a customer or group of
||A contract to carry goods by air. Note
that unlike the Bill of Lading, an Airway Bill is not a fully
||AusIndustry Tax Committee (AusIndustry delegates of IR&D
|All Risks Clause
||Indicates that a marine insurance policy covers a comprehensive
range of risks to the cargo insured.
||Automotive Machine Tool Producer
||Australian National Audit Office
||Duties imposed on goods that are deemed to have been exported
below market value, causing injury to producers of competing
products in the importing country. These duties are equal to the
difference between the goods' export price and their normal
||Australia style='font-family: Arial'> New-Zealand Closer
Economic Relations Trade Agreement
||Australia New Zealand Standard Industry Code
||Asia Pacific Economic Cooperation Forum; a forum for
facilitating economic growth, cooperation, trade and investment in
the Asia-Pacific region.
||A customer that has taken the step of submitting an application
for one or more products but a decision has yet to be taken on the
||A formal request by a customer for access to a product.
Normally undertaken by completing and submitting the approved
||Australian Quarantine Inspection Service (AQIS) provides
quarantine inspection services for the arrival of international
passengers, cargo, mail, animals and plants or their products into
Australia, and inspection and certification for a range of animal
and plant products exported from Australia.
||Association of Southeast Asian Nations. Eight ASEAN members are
members of the WTO - Brunei, Cambodia, Indonesia, Malaysia,
Myanmar, the Philippines, Singapore and Thailand. The other ASEAN
members - Laos and Vietnam - are negotiating WTO membership.
||Automotive Service Provider
||Examination and analysis of the merits of claims, prior to a
decision on whether the applicant or the activities claimed as part
of an application for a competitive or entitlement product are
eligible; a report produced as a result of the examination.
||A person who assesses the value of cargo for the purposes of
settling insurance claims.
||Australian Tourism Development Program
||Australian Taxation Office
||National Australian Technology Showcase
||Australia-United States Free Trade Agreement
||An external examination of processes, documentation and records
involved in the delivery of a single product or service or in the
activities of a specific functional centre. There are four types of
audit relevant to AusIndustry: performance audits conducted by the
ANAO; performance audits conducted by Quality Management; internal
audits conducted by KPMG in its capacity as the Department's
internal auditor; and financial audits conducted by KPMG
||The Australian Government's business unit designed to help the
Australian business and research community become more innovative
and internationally competitive. It delivers Australian Government
programs, particularly those relating to industry, tourism and
||The act by a bank in guaranteeing payment of a bill of exchange
or promissory note by endorsing the reverse with the words good per
aval and signed by the bank, or by the issuance of a separate
||Backing Australia's Ability (Statement of Govt innovation
policy Jan 2001)
||A credit issued against the security back of another credit
(master credit) on the understanding that reimbursement will stem
from documents eventually presented under the first credit (master
credit) issued - see Special DCs. It follows therefore that each
side of a B/B transaction covers the shipment of the same
||Bunker Adjustment Factor - charged by shipping companies to
alleviate fluctuating bunkering costs (ie ship's fuel oil).
||Business Activity Statement
|Bank Draft (B/Dft)
||A cheque drawn by one bank against funds deposited to its
account in another bank.
||A payee or recipient, usually of money. A party in whose favour
a documentary credit is established, usually the exporter.
||Biotechnology Innovation Fund
|Bill for Collection (BC)
||Document(s) or cheque submitted through a bank for collection
of payment from the drawee.
|Bill of Exchange (B/E)
||An unconditional order in writing, addressed by one person to
another, signed by the person giving it, requiring the person to
whom it is addressed to pay on demand or at fixed or determinable
future time a sum certain in money to or to the order of a
specified person, or to bearer.
|Bill of Lading (B/L)
||A receipt for goods for shipment by sea. It is a Document of
Title: see Documents.
|Bill Receivable (BR)
||Bills which are financed by the receiving branch, whether drawn
under a DC or not, are treated as BRs by both the remitting branch
and the receiving branches - see Bills Receivable.
||When a bill of lading is made out to order or shipper order and
the shipper has signed on the back of it, it is said to be blank
endorsed. The bill of lading then becomes a bearer instrument and
the holder can present it to the shipping company to take delivery
of the goods.
|Board (also IR&DB)
||Industry, Research and Development Board as established by the
Industry Research and Development Act 1986
||A store where goods are held under
Customs control pending the payment of duty.
||Business Partnership Agreement
||The Basic Service Rate (BSR) charged for
wharfage and other port charges at both port of loading and port of
||Basic Service Rate Additional - usually an unpacking
||Consultants engaged from the private sector to assist
AusIndustry in the delivery of the COMET program by providing
expert knowledge of industry and commercialising technology.
||Perform independent and certifiable inspections of goods before
they leave to confirm that they conform to the specifications
called for in the contract of sale.
||The "ATA Carnet" is an international customs document that
permits duty-free temporary import of goods (eg commercial samples)
for up to one year. The initials "ATA" are an acronym of the French
and English words "Admission Temporaire/Temporary Admission".
||Person or company undertaking for hire the conveyance of goods
e.g. shipping company
|Cash Against Documents (CAD)
||A transaction where full shipping documents are sent to a bank
or agent at the destination instructing they are only to be handed
over in exchange for full payment by the receiver of the
|Case of Need
||Agent nominated by a principal, to whom the collecting bank may
refer in specified circumstances concerning collections - see the
sections on Collections.
||The Current Domestic Value of exported goods in the country in
which they were produced.
|Certificate of Origin (CO)
||Document proving place of manufacture or origin of goods
||"Cost and Freight" - means that the exporter's price includes
all charges up to the arrival of the goods at the point of
discharge from the vessel. It does not, however, include the cost
of insuring the goods against loss or damage whilst in transit to
that point. Must be followed by the name of the port of discharge,
eg. "CFR Singapore". This term should not be used for transport by
airfreight or containerised seafreight - see "CPT".
||An agreement, between a ship's owner and a charterer, for the
hiring of a vessel for a specific purpose.
||Reminder sent by the collecting (or DC issuing) bank to the
importer, repeating a request for payment - see Handling Import
||Cost, Insurance and Freight. Very widely used, this term
indicates that the exporter's price includes all charges up to the
arrival of the goods at the point of discharge from the vessel
including the cost of insuring them against loss or damage whilst
in transit. Must be followed by the name of the port of discharge,
eg. "CIF Hong Kong". This term should not be used for transport by
airfreight or containerised seafreight - see CIP
||Certain Inputs to Manufacture
||Carriage and Insurance Paid (... to named place of
destination). "CIP" indicates that the exporter is responsible for
the cost of freight up to the point where the goods are delivered
to a specified destination including the cost of insurance against
loss or damage during transit. It is the importer's responsibility
to clear the goods for import.
||A Bill of Lading claused to show that
the goods received by the shipping company were not in good order
|Clean Bill Purchased
||A collection bill purchased with no shipping Purchase documents
- see Financing Export Collections.
|Clean Bill Receivable (CBR)
||BR (Bill Receivable) with no shipping documents. The term is
more often used for non-trade bills such as travellers
||A draft with no documents Collection attached
|Clean Import Loan (CIL)
||A loan granted to an importer for payment of import bills,
without the Bank having any claim to the goods.
||Individuals engaged to provide guidance to customers in the
development of project proposals for EPIC grants. They are
physically located within the offices of the Printing Industries
Association of Australia (PIAA) in Sydney and Melbourne but are
available to help customers throughout class=safetag>Australia
regardless of PIAA membership
||Customs Owner Code
||Bank in the drawee country that is instructed to collect
payment from the drawee - see Collections Introduction.
||Form submitted, with documents, to the Remitting/Negotiating
Bank by an exporter with his instructions - see Collections
|Combined Transport or Multimodal Bill of Lading
||A contract of carriage which covers transport of cargo from one
point to another - even though this may involve road, rail or other
forms of transport as well as shipment by sea.
||Commercialising Emerging Technologies
||A fixed short-term finance facility (usually up to a maximum 6
months) at a fixed interest rate.
||The document that confirms all the details of the contract of
sale that exists between the seller and the buyer.
||A firm which carries any type of goods.
||An agreement between two or more countries removing all trade
barriers between themselves, establishing common tariff and
non-tariff barriers for importers, and also allowing for the free
movement of labour, capital and services between themselves.
||Product where successful applicants or applications are
determined by a competitive, merit based selection process. The
products in this group are R&D Start, CRC, MNRF 2001, TDP,
IAccP, ATS, Comet, IIF, REEF, PDF, EPICS and BIF.
||An internal check, whether by AusIndustry staff or contracted
parties, of whether activities have been undertaken by a customer
and whether the activities undertaken as part of an approved
project or set of activities are eligible under the provisions of
||In export contexts, a "conference" is an agreement between ship
owners, which rationalises sailing schedules and stabilises freight
||Offer an alternative when finance is not available from a bank.
The confirming house pays you for the goods you export and your
buyer in turn pays the confirming house.
||Shipment of goods.
||The person/company/bank to whom the goods are delivered -
usually the importer or the Collecting Bank - see Handling Import
||Also called shipper, is the person/company who sends goods by
ship, by land or air.
A vessel designed to carry ISO
(International Standards Organisation) containers. These are
generally 40ft (12m) or 20ft (6m) long and may be refrigerated,
depending upon the type of cargo to be carried.
||A liability that arises only under specified conditions, e.g.
when a bank opens a DC it incurs an obligation to make a future
payment on condition that the terms are fully met.
||Where the seller of goods receives payment in other than
||Provide rapid, door to door delivery of documents and other
communications around the world, outside of normal mail
||Carriage Paid To (... named place of destination). Use of this
term indicates that the exporter is responsible for the cost of
freight up to the point where the goods are delivered to a
specified destination, but is not responsible for insuring the
goods against the risk of loss or damage while in transit. It is
the importer's responsibility to clear the goods for import.
||Change in Tariff Classification
||Change in Tariff Heading
||Change in Tariff Line
||Cubic Feet. 33.315 cubic feet = 1 cubic metre
|Currency Adjustment Factor
||A compensation factor for currency fluctuations, which might
affect freight rates.
||Australian Customs Service
||Provide advice and services on all matters related to the
movement of goods from you to the buyer such as customs rates and
procedures, quarantine regulations, export documentation, freight
forwarding and costings.
||An agreement between two or more countries removing all trade
barriers between themselves, and establishing common tariff and
non-tariff barriers for importers.
||Delivered At Frontier (... named place). Use of this term
indicates that the exporter's obligation is fulfilled when the
goods are delivered to a specified point at the frontier. There is
no responsibility on the part of the exporter to declare the goods
to the customs in the importing country, but it is the exporter's
responsibility to clear the goods for export.
||Bills drawn under documentary credits.
||Delivered Duty Paid (... named place of destination). "DDP"
means that the exporter's obligation is fulfilled when the goods
have been made available at a specified point in the importer's
country. In this case the exporter is also responsible for payment
of duties, taxes and other customs clearance charges.
||Delivered Duty Unpaid (... named place of destination). "DDU"
means that the exporter's obligation is fulfilled when the goods
have been made available at a specified point in the importer's
country. The exporter bears all costs incurred in delivering them
to that point. The importer is responsible for duties and taxes
etc. payable when goods are cleared through customs.
|Deferred Payment Credit (DPC)
||A DC which allows the nomination of a bank, or the issuing bank
to effect payment against stipulated documents at a maturity date
as specified or determinable from the wording of the credit.
||A charge made by a shipping company or a port authority for
failure to load or remove goods within the time allowed.
||Delivered Ex Quay (duty paid) (... named port of destination).
This term indicates that the exporter is responsible for making the
goods available to the importer on the wharf at the port of
discharge, The exporter must bear all costs and risks involved in
placing the goods at the disposal of the buyer at the port of
destination. This term cannot be used for airfreight
||Delivered Ex Ship (... named port of destination). Use of this
term indicates that the exporter accepts responsibility to make the
goods available to the importer on board the ship at the port of
discharge. Obviously this term cannot be used for airfreight
consignments. It is the exporter's responsibility to clear the
goods for export but not for import at the port of discharge.
||Duty Free Allowance
||A sum of money paid by an agent on behalf of a principal, eg. a
freight forwarder pays freight to a shipping company on behalf of
an exporter. Usually such "disbursements" will be requested from
the exporter prior to payment being made to the shipping
||Resolution of conflict arising between governments over the
interpretation of trade rules or the actions of one of them
relating to trade. This can be through a compromise between
opposing claims, and can involve the use of an intermediary. At
other times, dispute settlement can be adversarial and
||Department of Information Technology Communications and the
|Documentary Credit (DC)
||A conditional undertaking by a bank to make payment, often
abbreviated to credit. More precisely, it is a written undertaking
by a bank (issuing bank) given to the seller (beneficiary) at the
request of the buyer (applicant) to pay a sum of money against
presentation of documents complying with the terms of the credit
within a set time limit.
|Documents Against Acceptance (D/A)
||Instruction for commercial documents to be released to the
drawee on acceptance of the Bill of Exchange - see Collections
|Documents Against Payment (D/P)
||Instruction for documents to be released to the drawee only on
|Documents of Title
||Documents that give their owner the right to the goods, i.e.
Bill of Lading.
||Bill of exchange issued by an exporter and submitted to his
bank for collection, or under a DC - usually submitted with
attached shipping documents - not to be confused with a bankers
draft which is sometimes used as a vehicle for reimbursement.
||The repayment of customs duties paid on merchandise that later
is exported either "as is" or as part of a finished product.
||Party on whom a bill is drawn and the one to whom presentation
is to be made according to the collection order - the importer (NB:
for DC bills, the drawee is usually the DC issuing bank).
||The exporter, who draws the Bill of Exchange/draft which in
itself is a claim for payment.
||When goods are exported at a price less than their normal
value, generally meaning they are exported for less than they are
sold in the domestic market or third-country markets, or at less
than production cost.
||A levy, tax or impost charged by governments within their
entire jurisdiction on production, transactions and ownership of an
||Export Clearance Number - a permit required for all exports
over the value of AU$2000.00 per consignment.
||Export Facilitation Scheme
||A product where customers are entitled to benefits if they meet
defined eligibility criteria. Often assessment against the criteria
is undertaken primarily by the customer before registration. The
products in this group are R&D Tax Concession, Tradex, PICS,
TCF products, PBL, Ships products, ACIS, PPFSS and other
motor vehicle products.
||A place where goods are transhipped.
||Enhanced Project By-law Scheme
||Enhanced Printing Industry Competiveness Scheme (Book
||An agent who arranges
transport of export cargo by integrating road and air transport
services for time-critical delivery
||Usually operating on a
commission basis, export agents undertake sales activity on your
behalf, arrange the export of the goods and look after the
documentation. The actual sales transaction however is still
between you and the client in the destination country.
||Provide market research
services and specialist advice on marketing, export incentives,
management and planning.
|Export document form
||To see an animation about
the movement of export documents click here. See also the definitions for
Airway Bill, Bill of Exchange, Bill of Lading, Letter of
||Purchase goods destined for
export directly from you in your home country and export the goods
to their overseas clients in their own right.
companies that ensure your goods are packed to withstand the
rigours of handling, storage and climatic differences that may
damage the goods in transit.
||Ex Works (... named place). This term signifies that the price
quoted is for supply of goods, packed for export, at the exporter's
premises. The exporter's contractual obligation is discharged when
the goods are made available to the buyer. The exporter is not
responsible for any element of transport or insurance cost or the
cost of compliance with export formalities.
||Free Alongside Ship (... named port of shipment). This term
means that the exporter's obligations are fulfilled when the goods
are placed alongside a ship. It is the exporter's responsibility to
clear the goods for export.
||Free Carrier (... named place). This term means that the
exporter's obligations are fulfilled when goods are delivered to a
carrier nominated by the buyer. It is the exporter's responsibility
to clear the goods for export.
||Full Container Load. One shipment from one exporter which fully
utilises one or more shipping containers.
||Bills sent on collection in which the remitting branch has a
|FIS (Free Into Store)
||In addition to freight and insurance the exporter is
responsible for the cost of all entry costs, including import duty,
unloading, inland freight, broker's fees and custom house's
||Free On Board (... named port of shipment). "FOB" means the
exporter is responsible for all costs up to the point where the
goods actually cross the ship's rail. This term should only be used
for non-containerised sea transport.
||Freedom of Information
|Foreign Bill Purchased (FBP)
||A bill remitted to a correspondent bank in which the remitting
branch is financing the exporter - see Financing Export
|Forty Foot Unit
||Standard ISO (International Organisation for Standardisation)
large shipping container, forty feet long (about 12 metres).
||An event outside the control of the parties to the
|Forward Exchange Contract
||Contract between the Bank and its customer to buy/sell a fixed
amount of foreign currency at a future date at a specified rate.
This could be for a customer to make payment under a DC or to sell
the proceeds received from an export negotiation.
||An agent who looks after all the freight matters on behalf of
|Free Trade Agreement (FTA)
||A contractual agreement between two or more parties under which
they give each other preferential market access. The agreement must
apply to substantially all the trade in goods between the two
parties and must not erect new barriers to other countries. Modern
FTAs typically also cover trade in services, as well as other
non-tariff issues such as the recognition of standards, customs
cooperation, protection of intellectual property rights and
regulation of foreign investment.
|Free Trade Area
||A group of two or more countries that have eliminated tariff
and all or most non-tariff measures affecting trade among
themselves. Members set their own tariffs on imports from
||A casual term used to imply that a country, which does not make
any trade concessions, profits from tariff cuts and concessions
made by other countries in negotiations under the
||Goods OR the cost of transporting goods.
||An agent who arranges transport of export cargo.
||The rate at which the amount charged for transporting cargo is
||Full Container Load (FCL). One shipment from one exporter which
fully utilises one shipping container.
||The WTO's General Agreement on Trade in Services; a
multilateral, legally binding set of rules covering international
trade in services.
||General Agreement on Tariffs and Trade, which has been
superseded as an international organization by the WTO. GATT 1947:
The official legal term for the old (pre-1994) version of the GATT.
GATT 1994: The official legal term for new version of the General
Agreement, incorporated into the WTO, and including GATT 1947.
|Geographical Indications (GI)
||Indications which identify a good as originating in a territory
of a country, or a region or locality in that territory, where a
given quality, reputation or other characteristic of the good is
essentially attributable to its geographical origin. See Article 22
Agreement on Trade-Related Aspects of Intellectual Property Rights
||Purchasing of goods and services by governments.
||The weight of the merchandise in its shipping form, i.e.
including all its packaging.
||Goods and Services Tax
|Harmonised System (HS)
||An international classification system for traded goods
developed by the World Customs Organization, arranged in six-digit
codes. Beyond the six-digit level, countries are free to introduce
national distinctions for tariffs and many other purposes. The
classification is divided up into: Chapter (2 digits), Headings (4
digits), Sub-headings (6 digits) and Split-subheadings (7-11
||House Airway Bill - this is a document issued by the Freight
Forwarder, acting as a carrier, clearly showing the contract of
affreightment between the freight forwarder and the exporter.
||Cargo, which is deemed to be hazardous by the carrier by reason
of its flammable, corrosive, poisonous nature or other inherent
||House Bill of Lading (the Bill of Lading issued by a Freight
Forwarder), acting as a carrier, clearly showing the contract of
affreightment between forwarder and exporter.
||Innovation Access Program - see also IRDTA
||Integrated Bounty Information Systems
||Uniform Rules for Collections
||Standard Forms for Issuing Documentary Credits
||Guide to the Prevention of International Trade Fraud.
||Incoterms 1990. Explains the 13 standard Incoterms.
||Uniform Customs and Practice for Documentary Credits (1993
revision) replaced the previous ICC 400 as from 1 January
||Uniform Customs and Practice for Documentary Credits (1995
revision) replaced the previous ICC 322 as from 1 January
||Innovation Investment Fund
||A permit issued by the importing country's authorities in
respect of goods subject to import licensing restrictions.
||Shipping Terms - see "Introduction to International Trade.
||Also known as Letter of Guarantee (L/G), it is an undertaking
given in respect of discrepancies in documents presented under a
credit. The beneficiary who issues the indemnity is primarily
liable to repay funds received from the negotiating bank in
settlement under the credit, if the negotiating bank cannot obtain
reimbursement from the issuing bank as a result of documents being
rejected by the applicant.
||The propensity of a commodity to self-destruction which gives
rise to a high insurance risk, therefore cover is given only after
payment of an additional premium (e.g. fruit rots, coal-dust
|In quota rate
||The tariff applicable to a product imported within the limits
of a tariff quota.
||Non-tangible property that derives from the intellect or mind.
Includes patents, copyrights, business methods and industrial
|International Chamber of Commerce (ICC)
||The international body which promotes and facilitates world
trade, and which codifies world trade practices in various
||The commitment of capital in the expectation of a return, with
the assumption of risk. Investment can include (amongst others)
enterprise, equity participation in enterprise (shares, stocks),
debt instruments (bonds, debentures), derivatives (futures,
options) and intellectual property rights.
|Investor state dispute settlement (ISDS)
||A dispute settlement process focused on resolving investment
disputes between a party to an FTA (i.e. the government) and an
investor of another party.
||Industry Research and Development
||International Research Alliances
||International Research and Development and Technology Access
(The competitive grants component of IAccP, administered by
||Constitutes a definite undertaking of the issuing bank and the
confirming bank, if any, to honour the credit provided the terms of
the credit are observed. It may be advised to the beneficiary
without engagement by the advising bank, and cannot be amended or
cancelled unless the issuing bank, the confirming bank and the
||The bank that opens a documentary credit at the request of its
customer, the applicant.
||Department of Industry, Tourism and Resources
|Joint Trade Committee/Commission (JTC)
||A mechanism usually included in FTAs comprised of officials at
a senior level to oversee ongoing implementation and enforcement of
|Landed Cost (or Landed Price)
||The total cost comprising goods, insurance, freight, loading,
unloading, inland transport and anything else involved in clearing
the goods at the port of destination.
||Less than Container Load (LCL). Small shipments from several
exporters consolidated into one shipping container.
|Letter of Credit (L/C)
||American term for documentary credit. In the United States, the
terms D/C can often be confused for documentary collection.
|Letter of Hypothecation
||A promise to hold goods as security taken from customers who
are granted loans against goods imported on a collection
|Loan Against Imports (LAI)
||Loans granted to import customers for payment of bills.
||Lift On / Lift Off - these are charges levied by Terminal
||A list of the cargo loaded on a carrying vessel.
||Provide specialist advice and cover for the most suitable form
of insurance against exporting risks such as loss or damage in
||In back-to-back operations, the original export credit against
which the second credit is opened
||Provide export finance, foreign exchange settlements, currency
hedging and trade and credit information services.
||Management Information System
||Motor Vehicle Producer
||North American Free Trade Agreement, comprising Canada, Mexico
and the US.
||Consultants engaged from the private sector to assist
AusIndustry in the delivery of the COMET program by providing
expert knowledge of industry and commercialising technology and
manage the Business Adviser network.
||Usually used with regard to Bills of Lading: a negotiable B/L
is a valid document of title, while a non-negotiable B/L is not -
the beneficiary of a DC (the exporter) may send the importer a
non-negotiable B/L for information.
||Purchase of drafts under a documentary credit which the issuing
bank has undertaken to pay.
||The weight of the merchandise before any packaging.
||Bills not drawn under DC i.e. sent on a collection basis (D/P
or D/A). In common usage we distinguish between Non DC bills which
are financed collections and DCs which are non-financed.
||Bills sent on collection in which the remitting branch has no
||A good which does not satisfy the requirements of an
originating good. See 'Originating Good'.
|Non-Tariff Barriers (NTB)
||Measures other than tariffs that restrict trade flows. These
include import licensing, prohibitions, voluntary restraint
arrangements and variable levies.
|Non-Tariff Measures (NTM)
||Anything, including non-tariff barriers such as technical
barriers to trade (TBT), sanitary and phytosanitary measures (SPS),
and safety standards that have an effect on trade flows. These
effects are not necessarily negative.
||New South Wales State Office
||Goods for which payment will be made to the exporter after they
have been sold by the importer.
||A blanket insurance policy, which covers all consignments,
shipped by the insured within the terms of the open cover.
Individual shipments are declared against the open cover as and
when they are made.
||See Issuing Bank.
||The phrase To Order is sometimes shown on Bills of Lading
against consignee: this means that the Bill of Lading must be
endorsed in blank by the shipper (i.e. not to any particular named
party which makes it bearer document and it becomes transferable by
||A good that is either wholly obtained or produced within a
country, produced in a country wholly from originating materials,
or produced in a country partly from originating materials but
complies with particular Rules of Origin of the FTA.
style='font-family:Arial'>See 'Non-originating good'.
||The tariff rate applied to products imported in excess of a
tariff quota. This is meant to discourage imports above the tariff
||Pharmaceuticals Partnerships Program
||A loan given to the beneficiary by the bank to enable him to
purchase raw materials. The beneficiary is usually requested to
deposit the DC with the bank as security.
||Bill or loan that has not been paid on the maturity date/due
||The bank that makes payment to the beneficiary of a payment DC
after presentation to it of documents stipulated in the DC.
||Policy By Laws Program
||Pooled Development Fund
|Perils of the Seas
||They are accidents or casualties of the sea. The ordinary
actions of the winds and waves are not included. Heavy or
tempestuous weather on a voyage is of sufficient violence to
constitute a peril of the sea.
||Printing Industry Competitiveness Scheme
||Passenger Motor Vehicles
|Power of Attorney
||Authority given to one party to act for another.
||Petroleum Products Freight Subsidy Scheme
|Preferential Rules of Origin
||A system for deciding whether a product exported from one party
to an FTA to another will be considered as having originated from
that party, and therefore qualify for preferential treatment. See
'Rules of Origin'.
||The bank that requests payment of a collection bill - may be
the Collecting Bank or its nominated branch or local correspondent,
which is better placed to contact the importer.
||Undertaking by an exporter to raise the export price of the
product to avoid the possibility of an anti-dumping duty. See
||All of the processes involved in requesting, ordering,
auditing, and paying for goods and services
||The officer responsible for the overall delivery of a product.
Responsibilities include the following maintenance of all product
documentation; operational policy specific to the product
improvement of delivery arrangements; and monitoring, recording and
reporting on performance of the product and delivery
||A specimen invoice, requested by the buyer for the purpose of
applying for such things as an import license, or foreign exchange
allocation prior to the sale.
||A signed statement containing a written promise to pay a stated
sum to specified person at a specified date or on demand.
||Queensland State Office
||Research and Development
|Received Bill of Lading
||A Bill of Lading which clearly shows only that the goods have
been received for shipment, unlike a Shipped on Board Bill, which
clearly shows that the goods are actually on board a named
||The right to claim a refund from another party which has
handled a bill at an earlier stage.
|Red Clause Credit
||A credit with a clause which authorises the advising bank to
make an advance payment to the beneficiary - see special DCs.
||The bank nominated by the DC issuing bank that will pay the
value of the DC to the negotiating/paying bank.
||The exporter's bank in collection transactions, which remits
the bill to the collecting bank. The exporter's bank in DC
transactions, which dispatches the documents to the issuing
||The act of paying or settling an outstanding bill or import
loan; i.e. payment by the importer to the Bank.
||One that may be amended or cancelled without notice to the
||A credit automatically reinstated after each drawing or upon
receipt of authorisation from DC issuing bank, with limits as to
the duration of the facility and as to the (cumulative or
non-cumulative) amount involved for each drawing - see Special
||Renewable Energy Equity Fund
||A Ro-Ro (Roll on/Roll off) vessel is constructed so as to allow
cargo to be driven directly on board from the dockside.
|Rules of origin
||Laws, regulations and administrative procedures which determine
a product's country of origin for specific purpose. A decision by a
customs authority on origin can determine whether a shipment falls
within a quota limitation, qualifies for a tariff preference or is
affected by an anti-dumping duty. These rules can vary from country
||Temporary measures to allow industry to adapt to altered
trading circumstances such as elimination of duties or increased
competition from importers following the implementation of an FTA.
They typically aim to slow imports.
||Singapore-Australia Free Trade Agreement.
||South Australian Northern Territory Office
||Small Business Answers Program
||Small Business Bushfire Relief Program
||Small Business Enterprise Culture Program
||Small Business Incubator Program
||Shipbuilding Delivery Group
||Shipbuilding Expenditure and Administration System
||A transaction is said to be self-liquidating when there is a
known source of funds available for its settlement on due
||The date inserted on the bills of lading evidencing goods
received on board is regarded for documentary credit purposes as
being the date of shipment.
|Shipping Guarantee (SG)
||Guarantees of this nature are required to enable customers to
obtain goods before the arrival of the documents of title, and are
issued to the shipping companies by the Bank against an undertaking
to forward the bills of lading when they are received. The Bank
normally take 100% cash margin against the value of the goods if
the customer does not have T/R facility.
||A bill payable at sight is payable on presentation to the
drawee i.e. on demand.
||Shipbuilding Innovation Scheme
||Parties that have an interest in the performance of
AusIndustry. This interest may be expressed through a formal
agreement. Examples of stakeholders include the Portfolio
Ministers, the Government and Parliament, the Department of
Industry, Tourism & Resources, other Government agencies,
Industry Research & Development Board, Industry organisations,
Research organisations, Staff of AusIndustry.
||This may be established as security for facilities granted at
another branch or bank, usually to a subsidiary of the DC
applicant. - see Special DCs.
||Produced by a bank's TCI department or a credit information
bureau, giving details of the creditworthiness and business
background of traders and manufacturers.
|State or Territory Manager
||An officer than leads one of the 7 State and Territory offices
which provide a range of services to customers in a specific
||Financial or in-kind assistance by governments to producers or
exporters of commodities, manufacturers and services. They are paid
in order to, for example, support inefficient production
structures, raise income in one sector, promote regional
development, or to develop export markets. *
||The act whereby the prime beneficiary substitutes his own
documents i.e. invoices and drafts, in back-to-back and
transferable credit operations prior to negotiation of the master
||Thailand-Australia Free Trade Agreement.
||Commitment not to increase a rate of duty beyond an agreed
level. Once a rate of duty is bound, it may not be raised without
compensating the affected parties.
||The setting of a tariff in such a way that it rises with the
increasing transformation of the product. This practice protects
domestic processing industries and discourages the development of
processing activity in the countries where raw materials
||Relatively high tariffs, usually on "sensitive" products,
amidst otherwise generally low tariff levels. For industrialised
countries, tariffs of 15% and above are generally recognised as
||The application of a reduced tariff rate for a specified
quantity of imported goods. Imports above this specified quantity
face a higher tariff rate.
||A comprehensive list of the goods which may be imported into a
country, and the duties applicable to each product.
||A customs duty levied at the border on goods going from one
customs territory (generally a country) to another. It can be
either levied either on an ad valorem basis (percentage of value)
or on a specific basis (e.g. $7 per 100 kgs.). Tariffs give price
advantage to similar locally-produced goods and raise revenues for
||The suppliers advice to the recipient of goods or services of
the amount of Goods and Services Tax payable on the supply, which
is the input tax credit the recipient is entitled to claim.
||Tax Concession Regional Delivery Program
||Tax Concession Committee (of IR&D Board)
||Textiles Clothing and Footwear
||Textiles Clothing and Footwear (Strategic Investment Program)
||Textiles Clothing and Footwear Expanded Overseas Assembly
||Textiles Clothing and Footwear Import Credit Scheme
||Technology Diffusion Program
|Technical barriers to trade (TBT)
||Barriers to trade relating to standards, technical regulations,
conformity assessment procedures etc. for a specific market.
||Term or Period of credit granted by the drawer. See Usance
||Provide a broad range of services for exporters including
export finance, foreign currency dealings and credit assessments on
||This is not an acronym or abbreviation but the official name of
|Trade and Credit Information (TCI)
||A bank department that prepares and distributes status reports
on its own customers, and maintains records of traders and
manufacturers with whom its customers deal.
||Removing obstacles to the movement of goods across borders
(e.g. simplification of customs procedures).
||A general term for the gradual or complete removal of
impediments to trade in goods and services.
|Trade Negotiations Committee (TNC)
||A committee usually established at the start of a multilateral
or bilateral round of trade negotiations to assist in the
coordination of negotiating rounds.
||Under the WTO rules, members have access to trade remedies such
as anti-dumping, countervailing and safeguard measures to protect
their domestic industries and allow for rapid adjustment to trade
liberalisation. These remedies are not diminished under FTAs.
||Permits the beneficiary to transfer all or some of the rights
and obligations under the credit to a second beneficiary or
beneficiaries - see Special DCs.
||A party (2nd beneficiary) to whom a transferable credit is
transferred in whole or in part.
||A party (1st beneficiary) at whose request a transferable
credit is transferred to a second beneficiary in whole or in
||Degree to which trade policies and practices, and the process
by which they are established, are open and predictable.
||Usually means where goods are transferred from one vessel to
another at a port other than the port of destination.
||Targeted Research Alliances
||Tasmanian State Office
|Twenty Foot Equivalent Unit (TEU)
||Standard ISO (International Organisation for Standardisation)
small shipping container twenty feet long (about 6 metres).
||A Bill of Exchange which allows the drawee a term or period of
credit (this period is also called usance). The term is usually
stated in days (e.g. 30 days) or months and starts either from the
date of the bill (e.g. 30 days date) or from the date of bill of
lading, or from sight by the drawee (e.g. 30 days sight) which in
practice means from the date of acceptance. An essential feature of
acceptance credits and D/A collections.
|Value for Duty
||The value which is declared to the customs at the port of
discharge for the purpose of assessing customs duty
||Venture Capital Limited Partnerships Program
||To relinquish a right: used in collections with BC charges
and/or interest to be collected from the drawee: these can be
waived in certain circumstances as set out in ICC 522.
||Fees for use of wharf in loading and unloading cargo.
||West Australian State Office
|World Trade Organization (WTO)
||The international organisation dealing with the global rules of
trade between nations. It was created, and replaced GATT, following
the conclusion of the Uruguay round of world trade negotiations.
Its main function is to ensure that trade flows as smoothly,
predictably and freely as possible. It was established following
signature of the Agreement Establishing the WTO , in Marrakesh,