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SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD THAT HAS PASSED THE END DATE: 

Source and select finance for International Trade 
SAQA US ID UNIT STANDARD TITLE
243214  Source and select finance for International Trade 
ORIGINATOR
SGB Transport and Logistics Operations 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
-  
FIELD SUBFIELD
Field 11 - Services Transport, Operations and Logistics 
ABET BAND UNIT STANDARD TYPE PRE-2009 NQF LEVEL NQF LEVEL CREDITS
Undefined  Regular  Level 6  Level TBA: Pre-2009 was L6  6 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Passed the End Date -
Status was "Reregistered" 		 2018-07-01  2023-06-30  SAQA 06120/18 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2026-06-30   2029-06-30  

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 does not replace any other unit standard and is not replaced by any other unit standard. 

PURPOSE OF THE UNIT STANDARD 
This unit standard is for persons working in the International Trade environment especially within exports. The learner is able to source and select finance for international trade.

This unit standard is intended for learners who will obtain a solid knowledge base relating to exports, have a sound understanding of the key terms, rules, concepts, principles and theories. The learner will be able to select and apply central procedures and will have the ability to solve well defined, but unfamiliar problems.

A person credited with this unit standard is able to:
  • Use the foreign exchange market, spot, forward, futures and options to structure export transactions.
  • Negotiate optimal trade finance facilities and follow the necessary application procedures.
  • Establish processes and systems to manage the tax and duty implications of various consignments and export situations. 
    		•

    LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
    It is assumed that learners are competent in:
  • Communication Literacy at NQF Level 4.
  • Mathematical Literacy at NQF Level 4.
  • Computer Literacy at NQF Level 4. 
    		•

    UNIT STANDARD RANGE 
    N/A 

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Structure export transactions using the foreign exchange market. 
    OUTCOME RANGE 
    Spot rate, forward rate, futures and options. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The foreign currency exchange and interest rate risks for given specific export transaction are evaluated. 

    ASSESSMENT CRITERION 2 
    Export transactions are structured in light of the identified foreign currency exchange and interest rate risk according to organisational policies and procedures. 

    ASSESSMENT CRITERION 3 
    Policies for the management of exposure to foreign currency exchange, interest rate and translation risks are developed according to organisational policies and procedures. 

    SPECIFIC OUTCOME 2 
    Negotiate trade finance facilities. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    Policies, which define levels of responsibilities in the negotiation of finance facilities are developed according to different export transactions, the company's exposure management policies and identified finance facilities. 

    ASSESSMENT CRITERION 2 
    Institutions providing the finance facilities are identified according to different export transactions, the company's exposure management policies and identified finance facilities. 

    ASSESSMENT CRITERION 3 
    The finance facilities are been negotiated with one or more institution in accordance with company policy. 

    ASSESSMENT CRITERION 4 
    The financial rights, obligations and liabilities of the respective parties, as specifically listed in, or implied in, or applying to, each type of contract forming part of a finance facility are determined according to different export transactions, the company's exposure management policies and identified finance facilities. 

    SPECIFIC OUTCOME 3 
    Establish processes and systems to manage the tax and duty implications of various consignments and export situations. 
    OUTCOME RANGE 
    Duties, excise duties, company tax, indirect taxes, e.g. VAT, GST. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The duty and tax implications of each transaction in the exporting and importing country are researched and quantified as they relate to different export transactions. 

    ASSESSMENT CRITERION 2 
    Policies and procedures are developed to comply with the duty and tax legislation of the exporting and importing country. 

    ASSESSMENT CRITERION 3 
    Systems to integrate the duty and tax data, which has been researched into the company's pricing strategy, are developed as they relate to different export transactions. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
  • Anyone assessing a learner must be registered as an assessor with the relevant ETQA or an ETQA where a Memorandum of Understanding (MOU) exists with the relevant ETQA.
  • Any Institution offering learning that will enable achievement of this Unit Standard must be accredited as a provider through the relevant ETQA or ETQA where a MOU exists with the relevant ETQA.
  • Moderation of assessment will be overseen by the relevant ETQA according to the Moderation Guidelines and the agreed ETQA procedures. 
    		•

    UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
    Circumstances which give rise to the need for trade finance.

    Institutions offering trade finance.
  • Multilateral organisations.
    > World bank.
    > International Monetary Fund.
    > Africa Development Bank.
    > African Export/Import Bank.
  • Donor agencies.
    > United Nations.
    > European Union.
  • National government donor agencies (e.g. Danida, Sida, Finida).
  • National governments (DTI).
  • Commercial organisations.
    > Banks.
    > Non-banks.

    Types of trade finance
  • Short/medium/long.
  • Pre/post-shipment.
  • Rand versus foreign currency.
  • Bank versus non-bank.
  • Import versus export financing.
  • Trade credit.
  • Local bank finance.
  • Customer foreign currency accounts.
  • Euro currency finance.
  • Factoring.
  • Forfeiting.
  • Discounting (bills of exchange, invoices, documentary credits).
  • Confirming house products and services.
  • IDC multi-shift scheme.
  • Short-term Export Finanăd Guarantee Scheme (for small and medium size businesses).
  • Export Finanăd & Credit Insuranăd Scheme (for capital goods and services).

    Trade Finance from the Exporter's viewpoint.
  • Options.
  • Advantages and disadvantages.
  • Costs.
  • Negotiating process with importer.

    Trade Finance from the Importer's Viewpoint.
  • Options.
  • Advantages and disadvantages.
  • Costs.
  • Nĺfotiating process with exporter.

    Accessing Trade Finance.
  • Mĺdting finanăher requirĺlents.
  • Negotiation taăuiăr.
  • Projecting the right image.
  • Application procedures.

    Legal aspects of payments.
  • Bills of exchange and promissory notes.
    > Definition/function.
    > Contracting parties.
    > Rights, obligations and liabilities of the parties.
    > Discharge of the instruments.
    > International conventions.
    > Variations in the bill of exchange.
  • Bank collections.
    > Legal definition.
    > Parties to the contract.
    > Bank instruction.
    > Uniform Rules for Collection (URC).
    > Delivery of documents contrary to instruments.
    > Rights, obligations and liabilities of the parties.
    > Discharge of the instruments.
  • Documentary credits.
    > Legal definition.
    > Parties to the contract.
    > Bank instruction.
    > Disclaimers.
    > Uniform Customs and Practice for Documentary Credits (UCP).
    > Fundamental principles underlying documentary credits.
  • Autonomy of the credit.
  • Doctrine of strict compliance.
    > Legal relationships involving the exporter, importer and the banks.
    > Expiry date of the credit.
    > Law applicable to the credit.
    > Damages for failure to pay a credit.
    > Rights, obligations and liabilities of the parties.
    > Discharge of the instruments.

    Credit insurance contract.
  • Parties to the contract.
  • Rights, obligations and liabilities of the parties.
  • Discharge of the contract.
  • Berne Union.

    Foreign exchange contracts (forward cover).
  • Parties to the contract.
  • Rights, obligations and liabilities of the parties.
  • Discharge of the contract.

    Demand guarantees.
  • Kinds of guarantees.
    > Bank guarantees procured by the buyer.
    > Bank guarantees procured by the seller.
  • ICC rules for demand guarantees.
  • Parties to the contract.
  • Rights, obligations and liabilities of the parties.
  • Discharge of the contract.

    Financing contracts
  • Types of financing contract.
    > Factoring.
    > Forfeiting.
    > Financial leasing.
    > Other forms of merchant finance.
  • Parties to the contract.
  • Rights, obligations and liabilities of the parties.
  • Discharge of the contract.

    International conventions influencing the contracts. 
    		•

    UNIT STANDARD DEVELOPMENTAL OUTCOME 
    N/A 

    UNIT STANDARD LINKAGES 
    N/A 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO IDENTIFYING 
    Identify and solve problems related when sourcing and selecting finance for international trade. 

    UNIT STANDARD CCFO ORGANISING 
    Organise oneself and one's activities so that all requirements are met in achieving competence when sourcing and selecting finance for international trade. 

    UNIT STANDARD CCFO COLLECTING 
    Collect, evaluate, organise and critically evaluate information when sourcing and selecting finance for international trade. 

    UNIT STANDARD CCFO COMMUNICATING 
    Communicate effectively when sourcing and selecting finance for international trade. 

    UNIT STANDARD ASSESSOR CRITERIA 
    N/A 

    REREGISTRATION HISTORY 
    As per the SAQA Board decision/s at that time, this unit standard was Reregistered in 2012; 2015. 

    UNIT STANDARD NOTES 
    N/A 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Core  96401   National Certificate: Export Administration  Level 5  Level TBA: Pre-2009 was L5  Passed the End Date -
    Status was "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.
     
    NONE 


    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.