SAQA All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.
SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD THAT HAS PASSED THE END DATE: 

Interpret and apply information contained in INCOTERMS 
SAQA US ID UNIT STANDARD TITLE
11394  Interpret and apply information contained in INCOTERMS 
ORIGINATOR
SGB Procurement, Logistics and Supply Chain Mngt 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
-  
FIELD SUBFIELD
Field 03 - Business, Commerce and Management Studies Procurement 
ABET BAND UNIT STANDARD TYPE PRE-2009 NQF LEVEL NQF LEVEL CREDITS
Undefined  Regular  Level 3  NQF Level 03 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Passed the End Date -
Status was "Reregistered" 
2005-09-13  2007-11-28  SAQA 0160/05 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2008-11-28   2011-11-28  

In all of the tables in this document, both the pre-2009 NQF Level and the NQF Level is shown. In the text (purpose statements, qualification rules, etc), any references to NQF Levels are to the pre-2009 levels unless specifically stated otherwise.  

This unit standard is replaced by: 
US ID Unit Standard Title Pre-2009 NQF Level NQF Level Credits Replacement Status
252437  Interpret and apply International commercial terms  Level 3  NQF Level 03  Complete 

PURPOSE OF THE UNIT STANDARD 
This Unit Standard is intended for people who are, or who wish to be employed in, any aspect of international trade.
Individuals who are credited with this Unit Standard will be able to determine the respective responsibilities, as defined by the INCOTERMS, of buyer and seller for carriage, costs and risks in all international contracts of purchase and sale and recommend to an international trader the INCOTERM most appropriate to any transaction. 

LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
It is assumed that learners accessing this unit standard are competent in:
  • Communication skills at NQF Level 3.
    Before commencing with this Unit Standard learners should first complete the following Unit Standards:
  • "Display an Understanding of the International Trading Environment"
  • "Demonstrate a Knowledge and Understanding of Elementary Freight Forwarding Procedures, Processes and Systems"
  • "Demonstrate a Knowledge and Understanding of Advanced Freight Forwarding Procedures, Processes and Systems" 

  • UNIT STANDARD RANGE 
    Learners are expected to perform the specific outcomes, as expressed in this Unit Standard, within a highly regulated and structured work environment. Learners are able to select and implement the most effective solution/s to familiar problems, guided by clearly defined industry practices.

    The specific outcomes as reflected in this unit standard are performed in a structured work context with supervision that allows for learners to engage in self-directed activities. Learners are expected to have access to the relevant industry guidelines. Due to the prescriptive nature of the industry, learners chose responses and solutions to problems from a range of familiar options.

    The meeting of time deadlines is critical in the demonstration of outcomes in accordance with assessment criteria, and all assessment criteria must be performed at the required standard, within the time parameter specified. 

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Identify buyers' and sellers' respective responsibilities for carriage, costs and risks 
    OUTCOME NOTES 
    Identify buyers' and sellers' respective responsibilities for carriage, costs and risks, as defined in the INCOTERMS 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The following Assessment Criteria should be applied in an integrated way to assess the Specific Outcomes listed above:
    1. A summary of the definitions contained in the current version of INCOTERMS is made in writing with examples given for each definition
    2. The respective responsibilities of buyer and seller for the carriage, costs and risks associated with international trade are accurately identified for five transactions from the definitions contained in the current version of INCOTERMS published by the International Chamber of Commerce
    3. The respective responsibilities of buyer and seller for the carriage, costs and risks associated with international trade for five transactions are accurately interpreted from the definitions contained in the current version of INCOTERMS published by the International Chamber of Commerce and communicated orally and in writing to the parties concerned
    4. The most appropriate INCOTERM for five transactions is determined and recommended to international traders with the reason for the choice explained orally and/or in writing

    The assessment of learners against this standard should meet the requirements of established assessment principles.

    Assessment methods and assessment tools must be selected and developed appropriately for the purpose and context of the assessment. For example, the written method could be used to assess essential embedded knowledge, using an in-basket exercise as the assessment tool. Observation (method) of an on-job demonstration (tool) could be used to measure practical competence. These methods and tools should include an appropriate combination of assessment methods i.e.,

    1. Written tests/case studies/assignments/projects
    2. Computer simulations
    3. Oral assessment methods (e.g. presentations)
    4. In-situ (on the job) observations or simulation
    5. Portfolios of Evidence

    Assessment should be in the form formative and summative assessments. The evidence generated from the integrated assessments must provide the assessor with sufficient, reliable and valid proof of competence.

    The assessment should ensure that all the specific outcomes and essential embedded knowledge components are assessed, with evidence of the specified critical cross-field outcomes being found both in the demonstration of competence and in the essential embedded knowledge.

    The specific outcomes and essential embedded knowledge components must be assessed in relation to each other. If a learner is able to explain the essential embedded knowledge but is unable to perform the specific outcomes, he/she should not be assessed as competent.

    Similarly, if a learner is able to perform the specific outcomes but is unable to explain or justify the performance in terms of the essential embedded knowledge, he/she should also not be assessed as competent. 

    SPECIFIC OUTCOME 2 
    Recommend to international traders the INCOTERM most appropriate to any transaction. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The following Assessment Criteria should be applied in an integrated way to assess the Specific Outcomes listed above:
    1. A summary of the definitions contained in the current version of INCOTERMS is made in writing with examples given for each definition
    2. The respective responsibilities of buyer and seller for the carriage, costs and risks associated with international trade are accurately identified for five transactions from the definitions contained in the current version of INCOTERMS published by the International Chamber of Commerce
    3. The respective responsibilities of buyer and seller for the carriage, costs and risks associated with international trade for five transactions are accurately interpreted from the definitions contained in the current version of INCOTERMS published by the International Chamber of Commerce and communicated orally and in writing to the parties concerned
    4. The most appropriate INCOTERM for five transactions is determined and recommended to international traders with the reason for the choice explained orally and/or in writing

    The assessment of learners against this standard should meet the requirements of established assessment principles.

    Assessment methods and assessment tools must be selected and developed appropriately for the purpose and context of the assessment. For example, the written method could be used to assess essential embedded knowledge, using an in-basket exercise as the assessment tool. Observation (method) of an on-job demonstration (tool) could be used to measure practical competence. These methods and tools should include an appropriate combination of assessment methods i.e.,

    1. Written tests/case studies/assignments/projects
    2. Computer simulations
    3. Oral assessment methods (e.g. presentations)
    4. In-situ (on the job) observations or simulation
    5. Portfolios of Evidence

    Assessment should be in the form formative and summative assessments. The evidence generated from the integrated assessments must provide the assessor with sufficient, reliable and valid proof of competence.

    The assessment should ensure that all the specific outcomes and essential embedded knowledge components are assessed, with evidence of the specified critical cross-field outcomes being found both in the demonstration of competence and in the essential embedded knowledge.

    The specific outcomes and essential embedded knowledge components must be assessed in relation to each other. If a learner is able to explain the essential embedded knowledge but is unable to perform the specific outcomes, he/she should not be assessed as competent.

    Similarly, if a learner is able to perform the specific outcomes but is unable to explain or justify the performance in terms of the essential embedded knowledge, he/she should also not be assessed as competent. 

    SPECIFIC OUTCOME 3 
    Ensure that buyers' and sellers' responsibilities for costs and risks have been identified 
    OUTCOME NOTES 
    Ensure that buyers' and sellers' respective responsibilities for costs and risks, as defined in the INCOTERMS have been correctly identified and interpreted. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The following Assessment Criteria should be applied in an integrated way to assess the Specific Outcomes listed above:
    1. A summary of the definitions contained in the current version of INCOTERMS is made in writing with examples given for each definition
    2. The respective responsibilities of buyer and seller for the carriage, costs and risks associated with international trade are accurately identified for five transactions from the definitions contained in the current version of INCOTERMS published by the International Chamber of Commerce
    3. The respective responsibilities of buyer and seller for the carriage, costs and risks associated with international trade for five transactions are accurately interpreted from the definitions contained in the current version of INCOTERMS published by the International Chamber of Commerce and communicated orally and in writing to the parties concerned
    4. The most appropriate INCOTERM for five transactions is determined and recommended to international traders with the reason for the choice explained orally and/or in writing

    The assessment of learners against this standard should meet the requirements of established assessment principles.

    Assessment methods and assessment tools must be selected and developed appropriately for the purpose and context of the assessment. For example, the written method could be used to assess essential embedded knowledge, using an in-basket exercise as the assessment tool. Observation (method) of an on-job demonstration (tool) could be used to measure practical competence. These methods and tools should include an appropriate combination of assessment methods i.e.,

    1. Written tests/case studies/assignments/projects
    2. Computer simulations
    3. Oral assessment methods (e.g. presentations)
    4. In-situ (on the job) observations or simulation
    5. Portfolios of Evidence

    Assessment should be in the form formative and summative assessments. The evidence generated from the integrated assessments must provide the assessor with sufficient, reliable and valid proof of competence.

    The assessment should ensure that all the specific outcomes and essential embedded knowledge components are assessed, with evidence of the specified critical cross-field outcomes being found both in the demonstration of competence and in the essential embedded knowledge.

    The specific outcomes and essential embedded knowledge components must be assessed in relation to each other. If a learner is able to explain the essential embedded knowledge but is unable to perform the specific outcomes, he/she should not be assessed as competent.

    Similarly, if a learner is able to perform the specific outcomes but is unable to explain or justify the performance in terms of the essential embedded knowledge, he/she should also not be assessed as competent. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
    1. Anyone assessing a learner against this unit standard must be registered as an assessor with the relevant ETQA.
    2. Any institution offering learning that will enable achievement of this unit standard must be accredited by the relevant ETQA.
    3. Moderation of assessment will be done by the relevant ETQA at its discretion. 

    UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
    The learners can understand, explain and apply:

    1. Importer/ exporter source documentation:
    ! Contract of Sale
    ! Importer`s indent/ purchase order
    ! Importer`s Clearing Instructions
    ! Transport documents
    ! Commercial invoices
    ! Packing lists
    ! Certificates of origin and Inspection certificates
    2. Definitions by group and by suitable mode of transport
    3. Responsibilities of Buyer and seller
    4. Transfer of risks
    5. Division of costs
    6. Inspection of goods
    7. Insurance aspects
    8. Other obligations 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO IDENTIFYING 
    Identify and solve problems in which responses display that responsible decisions, using critical thinking, have been made.

    ! Identify and apply the principles contained in INCOTERMS in arriving at workable solutions within an international trading operation. 

    UNIT STANDARD CCFO WORKING 
    Work effectively with others as a member of a team, group, organisation or community,
    Appreciate that:
    * since the Forwarding Industry is practised in an international environment at the micro, meso and macro levels it operates in systems which are reliant on others and which address the processing of data,
    * the processing systems approach as well as the productivity orientation of Forwarding companies demands high levels of teamwork and the understanding, reaction and maintenance of team coherence and co- operation,
    * the level of competency is largely dependent on the individual`s ability and capacity to operate effectively with peers, supervisors, and internal and external customers. 

    UNIT STANDARD CCFO ORGANISING 
    Organise and manage oneself and one`s activities responsibly and effectively,
    ! Prioritise and blend daily activities in such a way as to enable the working process to run effectively and efficiently. 

    UNIT STANDARD CCFO COLLECTING 
    Collect, analyse, organise and critically evaluate information,
    ! Effectively apply the principles contained in INCOTERMS to the processes and procedures that are necessary to facilitate the efficient international purchase and sale of goods.
    ! Collect, organise and analyse information contained in documentation to determine the respective responsibilities, as defined by the INCOTERMS, of buyer and seller for costs and risks in all international contracts of purchase and sale. 

    UNIT STANDARD CCFO COMMUNICATING 
    Communicate effectively using visual, mathematical, and/or language skills in the modes of written and/or oral presentation,
    ! Identify from written material and verbal interaction the specific requirements and needs of the existing and potential clients, communicate the resulting outcome of each selection decision to the affected parties by written and oral persuasion. 

    UNIT STANDARD NOTES 
    This unit standard has been replaced by unit standard 252437, which is "Interpret and apply International commercial terms", Level 3, 3 credits.

    Specified requirements include legal, industry and workplace specific requirements and are contained in the documents cited in the Essential Embedded Knowledge section above. These can be located as follows:

    INDUSTRY
    ! All documentation and applicable local and international regulations cited above in the Essential Embedded Knowledge section is available in organisations and/or from the Forwarding and Clearing Chamber
    ! A glossary of terms about the terminology issued by the Forwarding and Clearing Chamber
    SITE SPECIFIC
    ! The employer`s policies, procedures and systems 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Core  22440   National Certificate: Customs Clearing  Level 3  NQF Level 03  Passed the End Date -
    Status was "Reregistered" 
    2008-09-13  Was TETA until Last Date for Achievement 
    Core  22442   National Certificate: Freight Forwarding  Level 3  NQF Level 03  Passed the End Date -
    Status was "Reregistered" 
    2008-09-13  TETA 
    Elective  96401   National Certificate: Export Administration  Level 5  Level TBA: Pre-2009 was L5  Reregistered  2023-06-30  As per Learning Programmes recorded against this Qual 


    PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS UNIT STANDARD: 
    This information shows the current accreditations (i.e. those not past their accreditation end dates), and is the most complete record available to SAQA as of today. Some Primary or Delegated Quality Assurance Functionaries have a lag in their recording systems for provider accreditation, in turn leading to a lag in notifying SAQA of all the providers that they have accredited to offer qualifications and unit standards, as well as any extensions to accreditation end dates. The relevant Primary or Delegated Quality Assurance Functionary should be notified if a record appears to be missing from here.
     
    1. Aldabri 106 Institute for Quality Pty Ltd 
    2. Intercape Mainliner 
    3. Makwedeng Training 
    4. School of Shipping 
    5. Y2K College 



    All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.