1. Procedure for trading via Ex-Trade
1.1 What can be traded on the Ex-Trade?
Via Ex-Trade’s trading page all types of eggs and egg products can be traded.
The traded shell eggs range from Cage eggs, Barn eggs, Freerange eggs to Organic eggs either graded, ungraded or for the breaking industry. Ex-Trade is a member of KAT and GGE and can therefore also trade eggs with these certifications.
Egg products range from liquid eggwhite, wholeegg and eggyolk in bulk tankers or full tanker loads and also frozen and powdered egg products.
1.2 The placing of sales offers or purchase bids on the Ex-Trade
EX-TRADE is set up in such a way that attempts are continuously made to ensure that buyers and sellers need spend as little time as possible on placing their trade bids via EX-TRADE.
When a buyer or seller is interested in trading, the following procedure is used:
- EX-TRADE is contacted either by telephone, fax or e-mail. EX-TRADE´s dealers are always available for a chat about the current market trends.
- When a buyer or seller has settled on a given product, price and other conditions, this information will be keyed in by EX-TRADE´s dealers on the EX-TRADE trading page, and can then be seen immediately by all EX-TRADE´s members.
- A sales offer or purchase bid is binding for a minimum of one hourThereafter, the bid or offer can be changed and/or withdrawn. However, a sales offer for a given consignment can be decreased and a purchase bid can be increased, before the hour is over.
- If an offer matches a bid (or vice versa), the trade is concluded. All sales offers and purchase bids on the trading page are neutral, which means that only the person who placed the sales offer or purchase bid and EX-TRADE know the identity of the supplier and bidder. The identity of the buyer and seller will only be revealed once a transaction has been concluded, and then only to the buyer, the seller and EX-TRADE.
- It is also possible to place sales offers and purchase bids with the purpose of concluding contracts longer than 4 weeks. The sales offer/purchase bid is entered on the EX-TRADE trading page as normal, but with a price of 0 and it is stated that it is a contract which is open for bids. If a member is interested, EX-TRADE is contacted and a price given. That price is passed on to the member looking for a contract who can then accept the price, give a counter bid or wait for a better price.
Concluded trades are shown on the EX-TRADE trading page from the time they are concluded until Sunday 2400 hours (Central European Time) in the same week. When a contract is closed, it will only be shown on the EX-TRADE trading page in the week of closing.
2. Conditions of trade
2.1 Establishing and observing trading rules
Trading rules and procedures have been established to protect the interests of both buyers and sellers.
When trading via EX-TRADE both buyers and sellers undertake to abide the stipulated trading rules and specifications, and the decisions based upon them.
All trading via Ex-Trade will be conducted according to the at any time relevant EU-directives in force. Possible variations from these must allways be agreed upon in writing. If buyers and/or sellers do not respect these EU-directives Ex-Trade will not in any way be responsible for possible claims or penalties arising from such incidents.
A trading rule may be temporarily waived by the management in the event of a regional or national emergency.
Suggested changes, made in writing to EX-TRADE, will be given careful consideration by the Trade Rules and Arbitration Committee.
All members are urged to follow these procedures for shipping and receiving eggs, and to continue to act in good faith if a problem does arise. The EX-TRADE staff will do the utmost to arrive at a satisfactory solution of any problem arisen. Where settlement is unsatisfactory, the member may appeal the decision to the Trade Rules and Arbitration Committee.
All contact and negotiations between buyer and seller must be conducted through EX-TRADE.
Ex-Trade's trading rules can be worked out in several languages but it is the english version that is the legal version.
2.2 Providing full information when placing bids and offers
When placing a bid or offer, it must be clearly stated whether it is a bid to buy or an offer to sell, at a fixed price or at a price to be settled later on at a more specific time and on more specific terms.
Bids to buy should reflect the price the buyer is willing to pay delivered to his/her dock. Offers to sell should reflect the seller´s asking price FOB at his/her shipping point. The name and location of a bid or offer must be given at the time the bid or offer is entered. Any new trading location must be registered by EX-TRADE before a bid or offer can be made.
Bids and offers may be entered at whatever price level the buyer or seller feels reflects existing market conditions. Extremely high offers and extremely low bids have no market value, and will be discouraged.
Seller must specify whether the eggs are washed or packed in anything other than standard cases, or if the consignment is on racks or pallets.
Buyer and seller should provide EX-TRADE´s dealers with full information when placing bids and offers. This will help to ensure the conclusion of satisfactory trades.
2.3 Claims procedure
If upon immediate arrival of a delivery the buyer has a claim on the delivered goods, such claim must, without delay (preferably during unloading), inform Ex-Trade giving full details of the claim. Ex-Trade informs the seller immediately thereafter.
With Ex-Trade as mediator an amicable solution is sought. Should that not be possible Ex-Trade will, as quickly as possible organise an investigation through a 3rd party (surveyor). Unless otherwise agreed the cost for this investigation must be carried by the defaulting party.
Within 2 working days after the justified rejection and or the result of the investigation is presented, the seller has the obligation and/or right to deliver a replacement delivery.
The above mentioned does not exclude the buyer from, within a reasonable time after delivery, to present a claim for hidden errors and omissions. The buyer must supply the documentation for such claims and Ex-Trade may have the right to organise an investigation (surveyor) at the cost of the defaulting party.
As long as a claim is outstanding the buyer must not use the goods and must secure a safe storage of the goods.
It is not allowed for a member to withhold any payments to Ex-Trade even if a claim/dispute exists on a given delivery. All payments must be made on time and in full disregarding a later settlement of a claim/dispute.
2.4 Dissemination of trading results
Whether they have traded or not, members interested in information about current trade can have details from EX-TRADE´s web-site, by fax or telephone. The receipt of current information by fax is dependent on a separate agreement.
As EX-TRADE is a membership organisation, the dissemination of information about current trade to non-members is not permitted. EX-TRADE holds an exclusive copyright for its trading reports, and redistribution of these reports is an infringement of applicable copyright laws.
2.5 Failure to comply with trading rules and procedures
Failure to comply with EX-TRADE trading rules and procedures, or to abide by generally accepted trading practices on the part of either buyer or seller, should be reported to EX-TRADE. Reports will be reviewed and appropriate action taken to discourage continuation. Members assume the responsibility of limiting the number of bids and offers to their ability to meet all trading requirements. Failure to comply may form the basis for suspension of the right of an individual or company to trade through EX-TRADE.
EX-TRADE is responsible for the payment of penalties should a member default. EX-TRADE cannot be responsible for policing special arrangements made between buyer and seller which are in addition to, or which go beyond the scope of EX-TRADE´s trading rules. All trades concluded through trading are expected to be followed by the delivery and acceptance of eggs, unless there is a basis for rejection at the destination. Collusion between a buyer and a seller to circumvent an actual exchange of eggs according to EX-TRADE rules is strictly prohibited.
2.6 Penalty policies
If a buyer or seller does not meet the agreed conditions for a transaction or comply with the trading rules, in accordance with EX-TRADE´s rules and norms, EX-TRADE may impose a fine. A member may bring disputes in connection with the imposition of a fine before the Trade Rules and Arbitration Committee.
Any inspection or re-inspection costs are not considered to be penalties, and shall be payable to the respective controlling authority by the buyer or seller, as appropriate.
EX-TRADE´s invoice to the buyer may include (in addition to the service charge) a penalty for buyer failure to pick up consignments at origin on time, and/or penalties for failure to accept qualifying consignments or to release the seller´s truck on time. Reductions in the buyer´s invoice may include the value of non-performance penalties and adjustments assessed against the seller. EX-TRADE may also charge the buyer for late payment.
Penalties and adjustments which would apply to the buyer against the seller, or to the seller against the buyer, may be waived by the advantaged party. Penalties can be, and frequently are, waived out of mutual consideration for fellow members of the industry who consider the Golden Rule to be more important than the temporary gain from a penalty rule. EX-TRADE must be notified and be a party to the settlement, or where the uniform interpretation or enforcement of rules may be at issue.
2.7 Normal opening hours
Normal opening hours for EX-TRADE are defined as 0900 to 1700 hours on Monday to Thursday, and 0900 to 1500 hours on Friday (Central European Time). Trading on the EX-TRADE may be suspended on certain public holidays. Regular information shall be given on this matter.
2.8 Units of trading
The quantities/units traded within the individual transactions can be seen on EX-TRADE´s trading page.
The designation full consignments normally covers 840 boxes with 360 pcs. each or about 18,900 kg. Weights and quantities may vary when dealing with full consignments. If the exact quantity is not stated, the quantity may vary by +/- 7%.
Additionally, members can trade any quantity of eggs or egg products, provided EX-TRADE is notified of this amount when the bid/offer is placed with EX-TRADE. Variations above or below the standard trading units must be negotiated by EX-TRADE with the seller and the buyer when concluding the trade.
2.9 Weight and quality considerations for shipping and on reception
All trading shall be concluded in accordance with the current EU regulations for trade with shell eggs and egg products. Further, EX-TRADE or the buyer can require special quality demands on the delivery.
In instances involving circumstances not covered by these regulations, the established trading norms shall apply. In case of doubt, rules may be laid down by the EX-TRADE Trade Rules and Arbitration Committee.
In the event of deliveries of ungraded eggs, a weight slip must be enclosed by the seller, stating the gross, net and tare weight of the consignment, and a copy of the weight slip shall be sent to EX-TRADE at the dispatch of the delivery. The recipient may choose to accept this weight, or carry out a control weight inspection.
Through a comparison of the weight slips/weights from seller and buyer Ex-Trade will seek an agreement between the parties on the weight to be used for invoicing. In case of disagreement Ex-Trade will seek to find a solution. If this is not possible the disagreement may be presented to Ex-Trades Trade and Arbitration Committee for final settlement. If a disagreement on the weight represents 100 kg or less and no other solution can be found based on the information from the parties, Ex-Trade may split the difference 50/50 between seller and buyer administratively.
Tare weight shall be in accordance with the current trading norms.
The eggs should be packaged and transported under reasonable conditions, and, according to the season, bearing temperature in mind.
2.10 Washed eggs and eggs from Cold Store
The supply of washed eggs is not allowed, unless otherwise agreed.
If eggs bidded or offered through the Ex-Trade trading system are eggs which have been stored in a Coldstore (EU-directive) for a shorter or longer period, such eggs can only be traded via Ex-Trade if seller/buyer informs Ex-Trade about this when a bid/offer is presented to Ex-Trade.
2.11 Confirmation of trades
Trades will be confirmed to the buyer and seller of the consignment as they are concluded.
Ex-Trade standard terms of sales and delivery:
In english
Auf deutsch
CMR (Contract for the International Carriage of Goods by Road): http://www.jus.uio.no/lm/un.cmr.road.carriage.contract.convention.1956/doc.html
2.12 Commercial reservations
Should Ex-Trade, due to events outside the control of Ex-Trade, be prevented from picking up or delivering a confirmed order, Ex-Trade has no obligations towards seller and/or buyer and these have no claim on Ex-Trade.
Ex-Trade will, however, always do its best to find a solution on such events.
Events outside the control of Ex-Trade could be, but are not limited to, force majeure, natural catastrophes, strikes and restrictions from authorities, e.g. in connection with epidemics or diseases.
2.13 Seller´s responsibility
As soon as the consignment has been accepted by the buyer, the seller can invoice EX-TRADE for the eggs at the trade price less any fees that have been agreed with the buyer through EX-TRADE. A copy of the signed delivery note from EX-TRADE must be included with the invoice to EX-TRADE to ensure prompt payment. EX-TRADE´s records shall be the final basis for settlement.
2.14 Buyer´s rsponsibility
The buyer shall make payment directly to EX-TRADE within twenty-five (25) days of receiving the consignment.
Only those adjustments agreed to by the buyer and seller which have been reported to EX-TRADE by the seller may be deducted from the buyer´s cheque to EX-TRADE. Any other deduction will be invoiced back to the buyer. Payment must be made by the buyer to EX-TRADE, in full and on time, even in the event that a trade dispute has been brought before the Trade Rules and Arbitration Committee.
A pick-up by the buyer constitutes acceptance (providing the consignment meets or exceeds EX-TRADE specifications at the buyer´s destination), and payment shall be payable to EX-TRADE within twenty-five (25) days of the date of pick-up.
2.15 Late payment penalty
The late payment penalty will be strictly enforced. A penalty of 5 percent of the due amount per annum shall be charged to the buyer if payment is not posted to EX-TRADE within twenty-five (25) days of the date of acceptance. If, after due notice, payment is not made within forty (40) days, a penalty of 7 percent per annum may be charged.
The postmark date on the envelope, or the date the transfer is made from the buyer´s bank, shall be used to determine the date of payment. Steps will be taken to collect the outstanding account immediately, and trading privileges will be suspended until the account and all penalties are paid in full. However, the member may sell a consignment of eggs of comparable value, and the payment will be set off against the amount owed to EX-TRADE.
2.16 Guaranteed payment for eggs
EX-TRADE will post or transfer payment to the seller within thirty (30) days of acceptance of the consignment by the buyer. The service charge will be sett of the payment according to the forwarded note to seller from EX-TRADE. In the event that the seller is delinquent in payment to EX-TRADE of membership dues, or of eggs from past due egg purchases, the payment shall be set off against the amount owed to EX-TRADE, and the remainder, if any, will be sent, or the balance due will be invoiced on the 31st day. EX-TRADE will notify the seller of any deductions.
Egg payments to members who are three months or more late in paying their membership dues will not be posted until full payment of the overdue amount is received.
EX-TRADE reserves the right to adopt the payment terms of a chronically overdue member. Postmark dates on the envelope, or the date of transfer, will be used to determine a member´s payment history. EX-TRADE reserves the right to withhold payment due to the seller until correct documentation has been received.
2.17 Packaging material ethics
Responsible sellers will wish to use quality packaging materials for quality eggs. Buyers can realize more value from the reuse or sale of good cases and trays, and may encounter much inconvenience in disposing of poor and worthless materials. Sellers should not use materials they would not want to receive themselves.
2.18 Monthly Membership Dues
EX-TRADE charges each member an assessment of EUR 90.00 per month, plus EUR 20.00 per month for each branch. Assessments may be paid monthly, quarterly, biannually or annually, as stipulated by the member, and will be invoiced accordingly.
The non-payment of dues or assessments for ninety (90) days will result in the suspension of membership privileges, which include trading.
2.19 Service Charges
EX-TRADE will send an invoice for the service charge to buyer and seller. Seller is not to pay the invoice. EX-TRADE will deduct the amount by payment of seller’s invoice. Buyer must pay the invoice for the service charge together with the payment of the invoice for the goods.
- For trading with shell eggs, liquid and frozen egg products both seller and buyer are on each trade charged a service charge of EUR 0.0035 per kg eggs if a trade is concluded by weight, or EUR 0.022 per 100 eggs if a trade is concluded by pieces.
- For trading with dried egg products both seller and buyer are on each trade charged a service charge of 0,5% of the from Ex-Trade invoiced value excl. VAT (minimum EUR 50 - maximum EUR 150).
- An allowance of EUR 15,00 per trade is charged to seller and buyer to cover Ex-Trade´s credit insurance coverage.
- An allowance of EUR 8,00 per trade is charged to seller and buyer to cover Ex-Trade´s transport risk. If Ex-Trade is not handling the transport this allowance does not apply.
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