PAKISTAN HOSIERY MANUFACTURERS & EXPORTERS ASSOCIATION

37-H, BLOCK-6 P.E.C.H.S., KARACHI-PAKISTAN

TEL: 0092-21-34522769, 34522685, 34544765 FAX: 0092-21-34543774

E-MAIL: info@phmaonline.com   URL www.phmaonline.com

REF. NO. PHMA/CIR-005/2012

DATED: 12^th January, 2012

TO ALL MEMBERS OF THE ASSOCIATION

SUBJECT:         ADVICE TO STOP WORK WITH ALL SUCH FREIGHT FORWARDERS ISSUING HOUSE BILL OF LADING.

WITH REFERENCE TO CIRCULAR

REF. NO. PHMA/CIR-149/2011 DATED: 14^TH DECEMBER, 2011

We have been cautioning our valued members, in their own interests to beware of all such freight forwarders who do not issue to them Carrier Bill of Lading (issued by Shipping Line) and instead issue House Bill of Lading (issued by Freight Forwarder) which is not a title document.

In the past as well as recently several of members with shipments to EU and U.S.A have been duped by the freight forwarders who issued them House Bill of Lading as a result of which the shipped goods were delivered directly to the buyers without honouring payment while the documents remain lying in the bank abroad.

As per SBP Rules, exporters are required to repatriate export proceed to Pakistan but it is a great incongruity that when the payments against shipments abroad are not realized, despite best efforts of the exporters, they are penalized not only by State Bank of Pakistan but to comply with SBP Rules if the exporters repatriate funds through Hawala, the FIA pounces upon them and make a case.

In view of the above, all our valued members be cautioned and insist only for Carrier Bill of Lading / Master Bill of Lading.

Thanks & Best Regards,