Goods transportation, insurance and inspection Titles:                                                        

1. Goods transportation’s laws                       

2. Insurance’s laws

3. Laws of presenting inspection policy for import goods to Iran

Part one: Goods transportation laws:

Priority of import goods transportation to Iran is by IRISL cruiser and depending on the following regulations:

1. In cases that LC is opened for paying handling freight of import goods in foreign currency and another is opened separately for FCA (FOB) value of the same, it is necessary to pay haulage freight for LC in all process which have FCA (FOB) value to open LC.

2. In cases of total goods is carried in any volume from the origin areas by Persian

            Carriage such as ship, air, truck or rail there is no need to present license of

            Transportation organization and ministry road and transportation of terminal.

NOTE 1. Handling license from the mentioned organization for opening LC just for import goods.

1)    more than 500 ton (by sea)

2)    more than 100 ton (by road)

3)    more than 500 kilo (by air)

Which are transported and imported then exported from country by foreign cruiser.

There is no need to get permit of the mentioned organization for goods less than Above mentioned quantity:

NOTE 2. There is no need to get permission of ministry of road and transportation license for goods are transported from origin Persian Gulf ports and carrying by Iranian boat to the Iran port

NOTE 3. Carrying goods from primary origin (direct transportation) into the country

through railway in any tonnage was exempted from getting permission of road and transportation and Terminal Organization and was not included in paying taxes stated in section 3 about execution rule of law regulation for foreign vehicle traffic .(attachment 1)

NOTE 4. Concerning about imported goods which enter the country by implicated carriage (train/truck/ship).

There is no need to get the Transportation and Terminal Organization license for marine goods less than 500 tons if before shipping implicated transportation was happened with more than ordinary weigh for road carrying .(100 tons)

C. Regulation of Paying transport freight of Iranian transportation co.

1) In the case of agreement between Iranian transportation company (marine, airline, land) with LC inquirer based on carrying contract, settlement in Rails , there is no problem to pay handling freight of opened L.C consignment in FOB , FCA terms in Rails.

NOTE. In order to make the necessary facility to quick goods transportation, there is no problem opening fund credit transport freight provided that considering the following matter:

1). Recording order

2).There is credit merely for general, groupage goods, pieces and equipment.

3).Regarding to volume of operation company that bank is allowed to open credit up to $1,000,000.

4). The credible duration is determined to be one year because of preventing currency blockage.

5). Opening New credit or increasing previous one is possible just if the previous invoices are settled or reducing the rest of it during the mentioned process to minimum $20,000.

6).If fund credibility of transport freight was opened in favors of a transportation company provided with consignee’s tendency and agreement of LC beneficiary that also can be used for other forwarder company.

7). There is no necessity for opening credit for transport freight and goods F.O.B in the same bank.

8). Using fund credibility depends on presenting a copy of bills of lading and invoices.

9). Paying money will be discussed on presenting predetermined document and with update selling rate.

D. Marine transportation of goods with IRISL dependent company:

There is no objection to open a credit (L.C) and paying exact currency transport freight in L.C condition frame in case of presenting a copy of bills of lading and invoices of transport charges in favor of internal currency account of mentioned companies.

1-    There is no necessity of commerce chamber confirmation for transport charges invoices issued in company’s head letter.

2-      Dependent companies of IRISL includes: Valfagr e hasht, Iran o mesr, Iran o hend companies.

E: Transporting goods from southern Persian Gulf margin countries with motor boat:

There is in no objection to state he condition of goods transportation with motorboat in L.C merely in the case that consignee accept all responsibility and present all risk insurance by regarding LC. conditions.

F: freight goods by permissible Iranian aero navigation, this would carry goods from overseas as follow:

1) IR aircraft carrying all goods from all over the world:

In notice that carrying goods may be done by permissible Iran aero navigation or steward ship. The following text should be stated in this kind of L.C conditions and with confirmation of doing that in freight bills of lading such as Iran air and other foreign airway lines is admitted and there is no objection to deal carrying document .

CLEAN AWB MUST BE ISSUED, ENDORSED, OR COORDINATED

BY NEAREST IRAN AIR COORDINATION OFFICES.

Note. The meaning of ENDORSED in above sentences is not transferring goods ownership and insist merely in this matter that imported goods should be deliver to the authority of IR airline co.

2). Aseman airline carrying all goods from United Arab Emarat(UAE),Dubai

Alrais co. has the deputy of that company in Dubai with these details:

CO NAME: ALRAIS CARGO L.L.C

CO ADDRESS: AGENTS BUILDING, SUITE NO 2037 DUBAI CARGO

VILLAGE DUBAI UAE.

Other transportation laws:

                Opening LC as (C&F) C F R in Bavarian border and also transshipment in mentioned border is forbidden.

                Handling with round trip cntr (COC):

With reference to letter 558077 dated 78 / 5 / 4 of managing director of transit office and international affairs of ministry of road and transportation, omitting the clause “carriage by round trip cntr” is without any objection.       

                Inland handling freight balance:

Buying currency for inland handling freight balance the same as related LC will be offered with exchanging of truck in border in case that ministry of road and transportation permit inland import of cargo in terms of C F R (C&F) which destined to one of the local cities.    

The bank in which LC is opened should get confirmation of ministry of road and transportation from inquirer based upon determining local handling freight before opening LC and after deducting the same from the ordered amount and getting the confirmation of customer based upon opening LC should arrange it with obeying all the laws or transportation company should  sell the currency of inland freight balance with in at most two mount after finishing the transportation operations according to what the ministry of road and transportation determines via its own agent bank.     

The related bank should issue the notice of selling currency with mentioning the subject in two copies, which one should be sent to politics office and another one should be sent to international office of transportation affairs of ministry of road and transportation.

After transferring and issuing notice of buying currency, the mentioned bank should inform returning the local handling freight balance to the related custom and opening bank in order to ignore guarantee of Transportation Company.

If Transportation Company does not act for transferring LC with in fixed deadline, the relevant bank should inform this to politics offices, currency laws and ministry of road and transportation in order to avoid activity of the said company. In each terms, the relevant transportation co. should fill out the enclosed form no. 2 in its head letter in four copies and after confirmation and mentioning date of custom formalities should send a copy to the company’s agent bank and a copy to the international transport office of ministry of road and transportation. The third copy remains in custom office and the fourth copy will be delivered to the transportation’s agent.

4-           Until the Iranian ships are not able to transport the chemicals items in bulk, there is no problem for handling the said goods by foreign ships after getting permission of ministry of road and transportation and without paying taxes of note 3, band B, part one.

                Import of goods in case of EXW is free based upon agreement of central bank of Islamic Republic of Iran.     

6-           Handling goods with on classified floaters and ones which sail on non disciplined lines are included the laws of part one, band B – 10.  

Part two: insurance laws:

                Having insurance which is issued by Iranian allowed institutes for opening LC for import shipments is necessary.

                Opening LC in case of CIF or CIP according to article 70 of establishing laws of central insurance of Iran is forbidden. Unless in conditions of LC mention that the agreement is made with an Iranian permit insurer.

3-           According to article one of office of insurance companies’ laws, just companies like Iran, Asia, Alborz and Dana are permitted to do insurance operations in private, governmental and cooperative sectors.

4-           Handling insurance policy must be according to public conditions of handling insurance policy and total conditions C, B, A (enclosed no. 3) should be issued.         

5About the issued insurance policies in Rial, insurance premium rate should be equaled with

LC currency rate.

6-           If the LC opener asks, presenting handling currency insurance policy which is issued by Iranian permitted insurance institutes for insuring the import goods which have LC is without encumbrance.

          Insurance policy should be equaled with LC.

                At least cost of insurance covering in LC should be equaled with cost of CIP , CIF ( cargo value, insurance and handling freight) plus 10 percent.

Note 1:   providing currency for insurance policy by using Islamic developing bank (IDP) the same as other currency inquiries is done via bank systems.

9-            In case that insurance company provide loses related with insurance policies in foreign currency, the importer have to present the amount currency received in order to full fit his / her currency undertaking and remove his / her currency undertaking.   

Section 3: presenting inspection policy rules for import goods:

For all the goods if in LC conditions mention necessity of inspection policy as required by buyer, presenting original Sorbonne (inspection of goods) which is issued by one of the international inspection companies inserted in enclosed list no. 4 is necessary. The enclosed text no. 5 in English should be notified to importer.

Remembrance – US in sentence “presented to us by the buyer” which is inserted in above mentioned English, text enclosed no. 5 mean “inspection companies”.

                Good’s buyer should choose Inspection Company in an official request. The inspection policy should be confirmed by chamber of commerce. It is not necessary that issued inspection policy’s confirmation by chamber of commerce be in head letter of inspection companies.

Note: if one of the inspection companies which is confirmed by central bank is suggested in seller’s Performa, in case of buyer’s agreement inserting name of company in LC is without any objection. Other wise name of Inspection Company of buyer’s good should be mentioned in LC.

                Just name of one Inspection Company should be mentioned and buyer should undertake checking and choosing inspection institute before opening LC regarding kind of cargo, seller country, good maker and origin of shipment.   

So after inserting name of Inspection Company in LC condition, changing of Inspection Company is possible just if Inspection Company present its written disregarding which shows it is not able to inspect the cargo.   

Note 1: if the first inspection company informs not presenting to inspect the cargo in written, the operative bank should send confirmation of above request after performing the above band and inform all the details include name of seller country, kind of cargo, custom tariff and Inspection Company to this bank.

Note 2.It is not necessary to written disregarding advertise of the primitive inspection company whereas request of purchaser goods change determined inspection company in credit conditions to be allowed in one of the Iranian inspection company.

3. the inspection company is free to select the manner and place of inspection (quantity, quality & packing) in attention to the kind of goods, but the inspection should finish the control at processing of loading/or delivering goods in charge of transportation (rail/air) and should specify clearly in policy inspection that the inspected goods is same loaded and delivered goods and to be equal to Performa ,credit conditions and subsequent amendment entirely.

Note. It is clear the date issue of inspection

License goods must be coincident with the date of B/L

And it must be specify in credit conditions and confirm purchaser in receiving draft.

4 – in attention to the significance of receiving complete information and details for inspecting goods

With inspection companies it is necessary to inform importer in writing registration of draft order according to the attached form NO.6 after opening credit because he can present the complete information and details for inspecting goods to the agent of Inspection Company in credit conditions in

Iran (attachment NO.7). Also the copy notice must be sent to the agent of Inspection Company for information and investigation.

5.Allof the inspection licenses (quantity, quality & packing) are issued with inspection companies/or their allowed agents are acceptable only with the name and specified paper Of the original company that it’s name is mentioned in documental credit conditions.

6. The charge of inspection is drawn on the purchaser of goods, unless clearly seller undertakes the charge in price of goods that it is mentioned in the primitive Performa and selling contract.

Note1. To include the condition of paying inspection charge by importer in credit condition and transfer this charge after passing the stages of registration order and vis-à-vis of presenting original bill that is issued with inspection organization and the chamber of commerce is confirmed it and is account of inspection organization has no obstacle in cases that purchaser is responsible for the charge of inspection.

Besides this note is included the Iranian inspection companies with observing above contents in parts (2).

Note 2.Whereas the agreement of Iranian inspection companies and the purchaser of cargo are occurred paying of inspection charges to Rials has not any obstacle. In this case the local chamber of commerce does not require confirming the Rials or Currency bills of Iranian inspection companies.

7-If the documentation of transport is received in collected form due to delaying of the B/L date in proportion to it’s issue date of inspection license, the contradiction of inspection license’s text with determining text, presenting the inspection license with the other company except determining inspection company for settling with consignee by agreement of agent should be do as below:

1-The copy of documents for inspecting cargo should be deliver to importer with allowed Iranian inspection company in customs yard.

2-Whereas the seller is responsible for inspection charges, drafts should be reduce from fee credits equality of currency bills that present by allowed Iranian inspection company.

3- It is transferred after receiving license of allowed Iranian inspection company completely based on equality to cargo (quantity, quality, packing) and final conditions inserted in the original text of draft or document credits, endorsing documents and the amount of documents after reduction of inspection charges with observing the other rules.          

Meanwhile inspection charges are payable with present the bill after reducing equality of currency at the current price from price of Rials equality credit to Rials account Iranian inspection company.

8-Also it is necessary credits that are opening for import of drug , medical education, and primitive materials of homo & domesticated drugs (some tariff that require to present the ministry license of health, treatment & medical education /or veterinary organization of Iran) should be present the inspection license of cargo (quality, quantity, packing) that determined with inspection company, but if it is not possible to present this license and this case is confirmed by abovementioned organization/ or ministry there is no objection to replace the quality license with the analysis license of producing factory that the ministry of health and chamber of commerce was confirmed it.

9-If the related ministry may be advised to that bank, it’s acceptance of responsibility for nonattendance of inspection license based on enclosed text No.9 on the head letter of related ministry by minister’s signature and by virtue of vested authority or related assistant director’s signature/ or another allowed signature that introduced by minister (whereas seller is responsible for inspection charges). There is no objection in the conditions of documentation and draft credit. Also the omission facts should be advised to the agent of Inspection Company.

Note: the conditions mentioned in part 9, regarding independent organization mentioned in “enclosed 10” is arranged.

In the case of omitting the condition of presenting the inspection policy, that bank shouldn’t mention the inspector company, except the first inspector company (requested by importer).

Meanwhile in the case of not mentioning the condition of not presenting the inspection policy, according to part9, allowed Inspection Company shouldn’t be used.

H. if the handling of cargo that include LC, is allowed continuously, presentation of separate inspection policy for each transported shipment that is issued just by the mentioned inspector company is necessary and currency braches of that bank should avoid accepting the general inspection policy.

12- For inspection of all purchased cargoes from Syria and also metals and iron the name of allowed inspector companies mentioned in part 14 or enclosed 8 should be mentioned in LC.