Module 4

Unit 1 Methods of Export Payment

Learning Objectives:

  • The various terms of payment available to the exporter;
  • The advantages/disadvantages of each;
  • How they relate to risk/credit control;
  • How they relate to export documentation;
  • The costs/bank charges involved;
  • Alternatives to conventional payments;
  • The selection of the most suitable payment method;
  • How to protect against fluctuating exchange rates.


Unit 2 Finance for Export

Learning Objectives:

  • The differences in financial considerations involving export and domestic trade respectively;
  • The reasons giving rise to a need for export finance;
  • Alternative methods of finance available and the circumstances in which they are appropriate;
  • How letters of credit may assist in the provision of finance;
  • The particular needs of exporters selling on medium-term credit


Unit 3 Bonds and Guarantees

Learning objectives:

  • The application of guarantees and how they work.
  • The different types of guarantee, when and how they are used.
  • The relationship of the parties involved.
  • The application of on-demand and conditional bonds.
  • The implications of extend or pay demands.
  • Appropriate insurance cover.
  • The banks' obligations.
  • The expiry and cancellation of guarantees.
  • The law relating to guarantees and its effectiveness.
  • The costs and charges involved; how to negotiate.
  • The application and procedures relating to standby letters of credit.


Unit 4 Credit Risk Insurance

Learning Objectives:

  • The need for credit risk insurance;
  • The risks covered;
  • Where to obtain cover;
  • How to obtain cover;
  • Calculation of premiums;
  • Claims.


Unit 5 Export Controls and Licenes

Learning Objectives:

Although the vast majority of exports from the home country take place without licensing or export controls, restrictions apply to certain goods which may be shipped only under license from the relevant authority. In addition, exports that may be shipped to one country without a license, such as dual-use goods, may require a license to be shipped to another.  Licenses may also be required for the export of hazardous waste, archaeological objects and works of art. Finally, trade with  certain countries is forbidden or restricted in accordance with UN, EU or OSCE sanctions.

Academic Advisor

Dr. Brendan P. Mac Evoy

Dr. Brendan P. Mac Evoy