The email or Letter of Intent (LOI) issued from the buyers, needs to include full corporate information, amount, target price, delivery, wood pellet specifications, rejection limits, contact information and any additional information relevant to the buyers request. In certain cases, financial information may be required. There are many pellet price averages as there are pellet qualities (i.e., moisture, NCV), market types (i.e., stow pellets, industrial pellets, and packaging).
- Seller issues Full Corporate Offer (FCO).
- Buyer should sign/seal FCO and send it back.
- Seller issues electronic version of the Contract for the Buyer’s agreement.
- Advising/Confirming Bank selected by Beneficiary/Seller.
- The Seller/Buyer issues the copy of the Contract with their Banks.
- Inspection: Wood pellets inspected and certified prior to loading the barge at the pellet mill. Buyer is responsible for any additional inspections.
- Payment: SLBC MT 760
- Credit and ability to pay must be confirmed. Partial shipments are necessary. Multiple payments required for each shipment.
- The schedule of payments could be modified should the Buyer include the international transportation in the Contract to Purchase. The Seller can arrange complete transportation from the Plant to the international port of entry.
- Copies of all documentation will be provided when available. Partial list of documents:
- Packing List
- Forwarder’s Cargo Receipt
- Insurance Certificate
- Marine Bill of Lading
- Transport Documents
Any dispute that occurs during the fulfillment of any contract will be settled in the state of the contract.