This article provides you with information about industrial commodity inspection services that are provided by third party inspection companies.
This article is a supplementary article for the Commodity Inspection article. It is recommend that you first read the commodity inspection article, and then come back here for supplementary information:
Commodity Inspection Process
The process for commodity inspection is described in the Pre-Shipment Inspection article. Here is an outlined list to apply for Commodity Inspection:
This might be a little different based on the trading rules and regulations of each country or when there is no mandatory requirement in terms of the LC for third party inspection.
Commodity Inspection Documents
The following are the list of documents that are used for commodity inspection:
Commodity Inspection for Import and Export
Commodity inspection for import and export is sometimes a mandatory requirement of the governmental authorities and need to be done to fulfill the requirements. For more detail, review the Pre-Shipment Inspection Services article.
Sometimes it is done because of the terms of LC for commodity inspection, which is normally requested by buyers.
In the other cases, the importer might request for commodity inspection optionally to be sure the commodity they are receiving to their site is to the purchase order specification.
Commodity Inspection Services - Commodity Inspection Report
When a third party inspector carries out the inspection, he/she must provide a detailed report, called an inspection visit report. This reports needs to cover all items that are specified in the purchase documents and inspection and test plan. For more information, review the Establishment Inspection Report article.
Commodity Inspection Services - Commodity Inspection Law
These would depend on the rules and regulations of each country, but the World Trading Organization member countries are to follow WTO Pre-Shipment Inspection Agreement. For more information, review the Preshipment Inspection Services article.
Commodity Inspection Services - Commodity Inspection Fee / Contract
The Commodity inspections fee is normally paid by the purchasers, but sometimes the purchasers ask the vendors or sellers to consider the inspection fee in their proforma invoice. In this case, the fee would be paid by the seller.
The fee is different from one country to another and in most cases, it is based of the man-day plus mileage fee.
When the purchase value is great, some purchasers ask inspection companies to quote them based on a percentage of the purchase order value.
Commodity Inspection Services - Certificate of Commodity Inspection
When a third party inspector carries out the inspection and the result is satisfactory, then depending on the purchase order, the inspection certificate for commodity would be issued by the third party inspection agency.
If there is a letter of credit in place and inspection is mandatory by the terms of the LC, the inspection certificate needs to be issued after shipment and when the third party inspection agency receives the shipping documents.
If there is no LC between the buyer and seller, or there is an LC, but without mandatory requirements for inspection, then the inspection certificate might be issued based on the agreement of the buyer and seller. Sometimes, in this case, there is no need for a certificate and an inspection visit report would be enough.
For more information, review the Certificate of Inspection article.
Commodity Inspection in China
Please refer to the Vendor Inspection Services article and review the Vendor Inspection in China article.
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