Foreign trade support: GAFTA/FOSFA, customs, FX control

Taking an agricultural business into international markets takes more than a commercially favourable contract: the whole transaction has to be built correctly in legal terms — from agreeing delivery and payment terms through to customs clearance and closing out currency supervision.

DSA GROUP provides full legal support for the foreign trade operations of agricultural enterprises. Our agribusiness lawyer analyses the structure of the transaction, the foreign trade contracts, the documents for the goods, the delivery and payment terms, and the risks that can arise on export or import.

Foreign trade support for agribusiness

Foreign trade in agriculture involves contractual, customs, currency and regulatory questions all at once. An error in the contract terms, in the product documentation or in the payment deadlines can hold up the goods, cause financial loss, or lead to a dispute with a counterparty or with the authorities.

DSA GROUP supports foreign trade operations at every key stage:

• analysis and drafting of foreign trade contracts;
• agreeing the delivery, payment and liability terms;
• checking the documents for agricultural products;
• legal support for export and import;
• resolving questions connected with customs and currency supervision;
• pre-action work and support in international commercial disputes.

GAFTA and FOSFA contracts

In international trade in grain, oilseeds and other agricultural products, the standard contract forms of GAFTA and FOSFA matter a great deal.

We analyse the terms of such contracts: the provisions on quality and quantity, the time and place of delivery, the documents, payment, force majeure, the parties’ liability and the dispute resolution procedure.

Legal input before the contract is signed makes it possible to identify in advance the risks that can later have substantial financial consequences for the exporter or the importer.

Customs clearance and dealings with customs

Correct customs clearance is one of the key stages of an international delivery. DSA GROUP lawyers analyse the documents needed to move goods across the customs border and act for the client if disputes with the customs authorities arise.

Where necessary a customs lawyer assists with challenging customs decisions, acts or omissions, with adjustments to customs value, with detained goods, with the drawing up of records and with other contentious situations.

A separate strand is export customs clearance of agricultural products and checking that the documents are complete before the goods actually leave.

Currency supervision in international settlements

Currency supervision is an important part of foreign trade, since breaching the settlement requirements can create additional financial and legal risks for the enterprise.

We handle currency supervision on export and on import, analysing the payment terms, the deadlines for performing obligations, the documents for the bank and the circumstances that can affect the closing of currency supervision.

If problems arise with payment, delivery or documentary evidence of the transaction, the lawyer helps to build the legal position and to decide what to do next.

Documents for exporting agricultural products

An international delivery of agricultural products may require particular documents and confirmations. Depending on the goods and the country of destination, a phytosanitary certificate may be one of them.

DSA GROUP helps to check the legal side of the export documentation package and to align it with the terms of the foreign trade contract.

End-to-end support for international transactions

Our approach is to treat an international delivery as a single operation: contract — product documents — logistics — customs — settlements — currency supervision.

That makes it possible to identify legal risks early, allocate responsibility between the parties correctly, and protect the agricultural enterprise’s interests both while the contract is being performed and if a dispute arises.