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Quality Control Olive Oil quality is of utmost importance to consumers and producers. Discuss quality methods, and best practices.

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Old October 11th, 2002, 01:35 PM
Lambros Karavis
 
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Oil Import and quality procedures

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<pre>Hi Jay,

This is a problem which international importers face all the time.
Building trust with your supplier is a very important part of the
process. It may cost money in the short term but having a
face-to-face relationship is important in many cultures across the
world.

There are some commercial techniques you may wish to consider:
(1) Consider having the product inspected and sealed in containers at
port of shipment. Agencies such as SGS (Societe Generale de
Surveillance) specialise in using their local contacts and
laboratories to test and certify shipments. You would then be buying
ex-factory, on-truck or FOB (Free On Board) not CIF. However,
shipping agents will quote you an all inclusive CIF if needed.
(2) If importing to the US (or similar countries) seriously consider
having a laboratory test by the local/federal government authority
such as the USDA. This will also force you to consider import customs
duties and paperwork required as well as local food regulations on
product purity and packaging. If you intend to blend and package
under your own brand in your own facilities, the local authorities
will also need you to comply with food manufacturing regulations.
(3) Using a post-dated check is a fairly risky proposition for the
seller. You may take possession of the goods, dispose of them and
then dishonour the check. No supplier wants to face that. So general
practice is to have an irrevocable letter of credit arranged by the
bank which offers the supplier a third party guarantee of payment. It
does cost a few percentage points in the currency conversion, so be
fore-warned.

A good idea would be to talk to some of the local food brokers,
wholesalers and importers in the area. They will usually be more than
happy to help with contacts and experiences. It's also a good idea to
contact your local Exporters Institute to discuss training programs.
The US institute even has online training courses at
http://www.exportinstitute.com .

Good luck,
Lambros Karavis
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