Export documents: from pro forma to packing list

An export shipment consists of goods and of paperwork. The paperwork travels with it: the carrier, customs on both sides, the bank and the buyer all use it to decide whether the cargo can move on. A missing document or a figure that does not match can hold up a container, even if the goods themselves are fine.

The documents at a glance

• Pro forma invoice: a preliminary invoice issued in advance, for example for payment before delivery, an import licence or the buyer's customs preparation. It is usually not an invoice for your bookkeeping.
• Commercial invoice: the final invoice for the goods, with what customs needs: parties, description, quantity, price, currency, customs code and often the Incoterm.
• Packing list: what is in which box or on which pallet, with quantities, weights and dimensions. The carrier, customs and the consignee use it.
• Delivery note: the note that travels with the goods so the consignee can check the delivery. In practice the terms delivery note and packing list are sometimes used interchangeably.
• CMR note or bill of lading: the transport document. A CMR consignment note goes with international road transport, a bill of lading with sea transport.
• Certificate of origin: proof of where the goods come from, which customs or a trade agreement may ask for.

Who makes what, and when

For sea transport a sea waybill can be used instead of a bill of lading. It evidences the contract of carriage but is not a document of title. Under some trade agreements a statement by the exporter on the invoice is also enough instead of a certificate from a chamber of commerce. That depends on the country and the agreement.

What else comes into play

Besides these documents there are papers that depend on the product and the country, such as a health certificate for food of animal origin or a phytosanitary certificate for plant products. Customs requires an export declaration. It is often made by a forwarder or customs representative and results in proof of export. For containers, the verified gross mass (VGM) is added before loading onto the vessel. Requirements differ per country, so for a new market ask your forwarder or the buyer which documents apply there.

One source for all the paperwork

These documents largely hold the same data: parties, products, quantities, weights, Incoterm and container number. Retyping each document separately is a common source of mismatches. So generate them from one order record: if the quantities are right on the order, they are right on the invoice, packing list and delivery note. That is where automation helps. BDI Nexus builds automation in which order documents are generated from your own data, and a portal can show customers their documents in one place.

What has to match between documents

• Names and addresses of seller, buyer and consignee.
• Description, quantities and weights, net and gross.
• The customs code per product.
• The Incoterm and the place.
• The container number, the seal number and the booking number.
• The currency and the total on the invoice.

Before the container leaves

Check the documents against each other before the container leaves, not on arrival. Lay the invoice, packing list and transport document side by side and read the numbers back. For a new market, ask beforehand which documents the buyer and customs expect there. A bank that pays against documents often looks strictly at discrepancies. That is why it pays to have the data in one place beforehand.