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PROFESSIONAL COMMODITY TRADER 2020 (PCT): SECURING THE SUPPLIER 

The  first task that the PCT must apply once the study is completed, is to take a look at the ITB aspect offered in the doctrine , and prepare their very  first document  on a similar basis. The PCT is not  concerned about receiving a reply as such an event will take time to achieve. In any case applicants who are not supported by SMICE may as a USCT member simply surrender the early supply secured, to a FTNX Primary Agent (P.A) as found on  www.ftnx.net to take a look at the reply and service advice accordingly. Assuming the  PCT has produced excellent ITB’s, such documents are sent to suppliers as secured online by email as a PDF with inline text clearly stating what the PDF is about.  The added advice below on this one crucial  matter must be clearly understood and the advice served in  the current doctrine must not  be circumvented in  any way.


  • A fully disclosed supplier in possession of  a export ready product must be be personally secured first by a PCT.
  • This above aspect now clearly defines that ‘intermediaries’ cannot offer a supplier for a PCT to consider,  unless they ‘step back’ disclose the supplier upfront.
  • No commission pay orders , no other conditions may  apply. If the supplier  is not  disclosed to the PCT , intermediaries may not  be involved  in a protected export string deal. 
  • Whether is takes 10 weeks, months or years to do so, the only focus is to secure one supplier in possession of goods being sourced.
  • An end buyer must NEVER be  secured first, in where the sourcing  of a supplier first serves the lawful way to trade in commodities.
  • A end buyer may be secured as the first aspect , ONLY when the end buyer and not  another intermediary is asking the PCT to source goods; which is an adverse trading aspect.
  • To seek an end buyer first  is ‘solicitation.’ A PCT asking to buy from  supplier  export ready goods is not solicitation, because the PCT is legally acting as the ‘buyer.’
  • No end buyer will ask PCT to source goods for them,  until their name has become apparent when sourcing suppliers anyway.
  • Therefore  the first premise  that a supplier  must be personally  secured first is the only correct  way to start a deal.
  • Later when some experience is gained, string deals with other intermediaries can be formed , but as first, the PCT must test securing suppliers for as long as it takes. 
  • The PCT spends a great deal of time sourcing a supplier  ( manufacturer / producer)  locally or internationally.  
  • Once supply in  100% assured and is ‘in hand’ the PCT can test as many end buyers  possible directly or with assistance of string members without breaching any laws or rules. 
  • The PCT is now acting a a ‘Buyer to the supplier and Seller to all end buyers’ being tested in  legally defined manner. 
  • No disclosures of the supplier  is part of the legally defined process.The PCT is  the lawful seller, so long as a real offer from a real supplier  is on hand.
  • This is why securing a supplier first  is the most important aspect;  it ensures that the PCT cannot be charged  for making a false offer (fraud) for offering goods it has  not secure prior. 

      

In Summary

To secure a supplier which takes i.e: 9 months to do so means that the PCT has obtained  good trading experience and has learned important matters of trade over time. In all cases for the first 12 months this experience is applied  only  the ICC FOB (Non Break Cargo: NBC) or FCL FCA(Full Container Loads) delivery rules. Once some experience is apparent at the said delivery modes, other delivery modes can be practised  and tried because the FOB aspect alone  is the stepping stone  to all other NBC delivery modes. Work the ITB,  be creative and make the supplier pay attention at what you are offering to ‘consider’  buying until one day a supplier  does serve reply. The current doctrine will advise what to do if  you need to vacate a deal because of lack of experience, thus ‘one step at a time’ is a very important attribute  of the overall educational aspect.In this business ‘multi tasking’ serve an adverse  trading aspect.The focus at all times must not deviate from the step you are int any given time. Many PCT’s in then past have failed to observe this simple but critical instruction dismissing the advice as being a trivial matter. 


Remaining  focus is a critical aspect.

“O.K FTNX, can we have a contract.” FTNX Replies: 

“Sorry  you need to confirm the price first, with a signed quote to which an offer will be advised. Once the offer is signed the contract will be issued.” 





 


 
 
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