String Sales
From Supply Chain Management Encyclopedia
In contracts for the sale of "commodities", as opposed to manufactured goods, it is often the case that a cargo is on-sold a number of times during transit (i.e. a string sale). Therefore, goods in subject are frequently sold several times during transit “down a string”. In such situations, sellers in the middle of the string do not ship the goods, as the goods have already been shipped by the seller at the top of the string. As such, the obligation on sellers in the middle of the string is to procure goods that have been shipped. The Incoterms® 2010[1] clarify this by including an obligation to "procure goods shipped" as an alternative to the obligation to ship goods.[2]
References
- ↑ Incoterms® 2010: ICC rules for the use of domestic and international trade terms – ICC Publication No 715E
- ↑ From the introduction of Incoterms® 2010 - http://www.iccwbo.org/Incoterms/index.html?id=40772
