As per the recent statistics revealed by FGE (Facts Global Energy), the demand for Jet Fuel is increasing around 5.8 million barrels per day this year. And this is almost 30% higher than in 2020. As the intercontinental routes are being reopened in 2021 after COVID-19, fuel consumption plays a critical role. Like all countries, the UK is also facing a huge demand for Jet Fuel A1. So to make use of this opportunity, a buyer from the UK decided to import Jet Fuel from Russia and supply it to the local vendors. To support this transaction, Bronze Wing Trading L.L.C. provided Bank Confirmation Letter to show the financial ability of the UK buyer.
Buyer’s Demand for Bank Confirmation Letter
When the buyer decided to import Jet Fuel oil, they searched for the sellers and find the one from Russia via word of mouth referral. The buyer explained their requirement to the seller & the seller agreed to supply the Jet Fuel as required by the buyer. But since both the buyer and seller were in different countries, there were some trust issues. So, before proceeding with the contract, the buyer asked the seller to provide Proof of Product. To show the POP, the seller asked the buyer to provide an MT799. Since the buyer didn’t want to block their working capital in their bank to get the MT799; they decided to look for other options.
How We Provided the Bank Comfort Letter?
While searching for the providers of MT799, the buyer found us & contacted us with their Comfort Letter request. We analyzed and approved their request. Since the buyer was aware of our procedure, the UK buyer signed the Service Agreement with us & paid the Admin Charges. Then, we structured the Letter of Comfort with our bank on behalf of the buyer company & provided the Bank BCL draft for their review. The buyer reviewed the draft and conveyed their approval to us along with the BCL issuance fee charges. Finally, we instructed our bank to issue the required Comfort Letter to the seller’s bank account. Further, this states that the buyer has enough funds available to purchase the required Jet Fuel Oil.
The Seller Provided the POP
After verifying the financial ability of the buyer, the seller sent the POP (proof of product) to the buyer’s bank. And this has shown that the seller has the product readily available for shipment. Since the buyer was assured of the stock of products and the seller verified the fiscal ability of the buyer; they proceeded with the next step of the trade deal.
How to Get BCL MT799?
If your supplier is asking for Comfort Letter or you require a Letter of Comfort to get POP from your seller, then you can contact us with your MT799 request. We can assist you by providing BCL Bank from our own Banks Account in 2 banking days.
Get MT799 to Show your Financial Strength