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Discuss consignment as a method of international sourcing

      

Discuss consignment as a method of international sourcing

  

Answers


Faith
Although not technically a method of payment, its use in international trade merits
mention. The consignment method requires that the seller ship the goods to the
buyer, broker or distributor but not receive payment until the goods are sold or
transferred to another buyer. Sometimes even the price is not pre-fixed and while the
seller can verify market prices for the sale date or hire an inspector to verify the
standard and condition of the product, he ultimately has very little recourse. Although
this is the riskiest sort of transaction it is nonetheless common in the trade of fresh
produce.
Titany answered the question on November 25, 2021 at 11:25


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