Article 30 - Tolerance in Credit Amount, Quantity and Unit Prices

dinesh2476 · Post by **dinesh2476** » Sat Jan 19, 2019 9:57 pm

Dear Experts,

E,g LC prohibits partial shipment and shipped good is sugar 1000 kgs for value $1000

can the exporter ship the goods with tolerance 5% increase i.e 1050 kgs of sugar? or the below UCP article applies only for partial shipment allowed cases?

LC is silent about tolerance, unit price and amount given in the invoice is $1000

Article 30

b. A tolerance not to exceed 5% more or 5% less than the quantity of the goods is allowed, provided the credit does not state the quantity in terms of a stipulated number of packing units or individual items and the total amount of the drawings does not exceed the amount of the credit.

picant · Post by **picant** » Sun Jan 20, 2019 4:28 am

Hi Pal,

your thought seems ok.
Ciao

dinesh2476 · Post by **dinesh2476** » Sun Jan 20, 2019 10:50 pm

Picant,

Partial shipment prohibited.
1000 kgs sugar =$1000

as per article,it is ok if goods are being shipped anywhere between 1050 kgs-950 kgs. However, Please confirm can the amount be reduced according to the quantity shipped even though LC prohibits shipment?

b. A tolerance not to exceed 5% more or 5% less than the quantity of the goods is allowed, provided the credit does not state the quantity in terms of a stipulated number of packing units or individual items and the total amount of the drawings does not exceed the amount of the credit.

Navi · Post by **Navi** » Mon Jan 21, 2019 5:15 pm

Hi Dinesh,

For 30b to be applied, partial shipment must be prohibited. When shipment effected within 5% less than a quantity stated in the L/C, it will not be deemed to be a partial shipment. Refer to R367. (I don't know whether such opinion
revised so far).

Other comments appreciated.

dinesh2476 · Post by **dinesh2476** » Tue Jan 22, 2019 11:12 pm

Navi,

Thanks.

am bit confused article 30(b) did not say that it applicable for partial shipment prohibited cases only.

can article 30(b) and 30(c) be applied together?

E.g 1000 kgs $1000

For the above example, say Partial shipment prohibited? Please confirm if the below scenarios apply.

950 kgs-$ 950 assuming 950 kgs applicable under article 30b and $950 applicable 30(c)

Regards
Dinesh Kumar