1. What is WCS?

WCS (World Commodity Services) is a buyer/seller of physical commodities acting on behalf of undisclosed principals. We source products such as sugar, ethanol, Iron ores, fuels, etc... from Suppliers in possession of goods and sell to End Buyers taking title and possession of the product.

2. What are WCS Rules of Trade?

WCS adheres strictly to UCP 600 DLC issuance Rules, Incoterm 2000 Rules of Delivery, URC 522 Collection Rules, URPIB ©, English Language Contract and Foreign Governance of such.

3. What are WCS Trade Procedures?

(1) Offer issuance/Acceptance: Allow 15 days minimum

(2) Contract issuance/Acceptance : Allow 15 days minimum

(3) DLC issuance /Acceptance: Allow 7 days there after

(4) P.G Issuance /Acceptance (If needed): Allow 3 days there after

( 5) Presentation of delivery documents at Sight Allow 50 days minimum there after

(6) Collection per each delivery allowed

(7) Deal closed: Next Shipment delivery applied for at defined revolving delivery.

4. What is URPIB © ?

URPIB© is a set of rules of trade recommended specifically for intermediaries, agents, brokers. These rules were designed by International Trade Negotiator, David Papa, author of the book: International Trade and the Succesful Intermediary.To request a copy of URPIB© send an e-mail to info@worldcommodityservices.com or visit: http://www.itsi.itgo.com/blank.html

5. Which forms of payments are accepted by WCS?.

To protect the interests of every party involved in a deal, WCS uses the best trade applications. Thus, the preferred payment instrument is a UCP 600 Irrevocable, Confirmed Documentary Letter of Credit. The credit must be issued from a Top 100 world class safe bank. We do not make transactions based on wired transfers, advanced payments or any other similar form of payment.

6. What are RFQ and OTS

A RFQ (Request for Quote) and OTS (Offer to Sell) are forms that we ask Buyer and Suppliers respectively to submit to WCS when sourcing for product or offering product for WCS product board. You can also submit the information by going directly to our website at http://worldcommodityservices.com

7. Why doesn't WCS accepts LOI, BCL, RWA, or ICPO?

LOI, BCL, RWA and ICPO are documents used in a two party deal when end buyer is negotiating directly with supplier. WCS is a intermediary buyer/seller. We trade only in the title of the goods (documents). We buy at a certain price from the supplier and sell at a slightly higher price to the end buyer. The difference is our commission for negotiating the deal. Therefore any transaction involving WCS is a three party deal. To protect our commission and avoid circumvention we contract with the supplier and the end buyer separately. One side never crosses the other and the only document that protects the intermediary is the issuance of a DLC.

5. I'm a sourcing intermediary, how will WCS handle my commission payments?

As stated above, WCS deals on behalf of undisclosed principals, as a sourcing intermediary you sign an Intermediaries Payment¡ Guarantee (IPG) with us and disclose the name of your supplier or buyer. When the deal closes, WCS will take a commission from the difference between the buy price and sell price. Part of that commission will go to you. For more information consult URPIB© .

6. Why WCS doesn't use NCNDA and MPA?

Non Circumvent Non Disclosure Agreement and Master Payment Agreement are used by intermediaries when they step back from a deal and allow the End Buyer and Supplier to negotiate directly. We do not believe that a NCNDA and MPA offer enough protection. WCS acts either as a Mandate from a direct supplier or as an Intermediary Buyer/Seller acting on behalf of undisclosed principals. In the first case we don't need a NCNDA because we have an agreement in place with the Supplier and we only sell to End Buyers taking possession and title of goods. In the second case, we avoid circumvention by never letting the supplier side cross to the buyer side. In the case of sourcing intermediaries or brokers, please read Question # 5. For more information about NCNDA, read our blog posting at http://worldcommodityservices.com/tradeblog.php?blogId=19

For more information on WCS please submit your questions at our website:

worldcommodityservices.com or contact us at info@worldcommodityservices.com

SOME WORLD BANK RULES

Until May 2004, the fraud and corruption provisions were contained in paragraphs 1.15(a) and 1.25(a) of the Procurement Guidelines and the Consultant Guidelines, respectively. Revisions to the Guidelines in May 2004 resulted in a new paragraph numbering of 1.14(a) and 1.22(a) respectively. In October 2006, the provisions were again revised, although the relevant paragraph numbering remained as 1.14(a) and 1.22(a) respectively.

The relevant excerpts of the Guidelines for Procurement under IBRD Loans and IDA Credits prior to May 2004 follow:

Fraud and Corruption

It is the Bank’s policy to require that Borrowers (including beneficiaries of Bank loans), as well as bidders/Suppliers/Contractors under Bank-financed contracts, observe the highest standard of ethics during the procurement and execution of such contracts. In pursuance of this policy, the Bank:

(a) defines, for the purposes of this provision, the terms set forth below as follows:

(i) “corrupt practice” means the offering, giving, receiving, or soliciting of any thing of value to influence the action of a public official in the procurement process or in contract execution; and

(ii) “fraudulent practice” means a misrepresentation of facts in order to influence a procurement process or the execution of a contract to the detriment of the Borrower, and includes collusive practices among bidders (prior to or after bid submission) designed to establish bid prices at artificial, non-competitive levels and to deprive the Borrower of the benefits of free and open competition;

Fraud and Corruption

1.25 It is the Bank’s policy to require that Borrowers (including beneficiaries of Bank loans), as well as consultants under Bank-financed contracts, observe the highest standard of ethics during the selection and execution of such contracts. In pursuance of this policy, the Bank:

(a) defines, for the purposes of this provision, the terms set forth below as follows:

(i) “corrupt practice” means the offering, giving, receiving, or soliciting of any thing of value to influence the action of a public official in the selection process or in contract execution; and

(ii) “fraudulent practice” means a misrepresentation of facts in order to influence a selection process or the execution of a contract to the detriment of the Borrower, and includes collusive practices among consultants (prior to or after submission of proposals) designed to establish prices at artificial, noncompetitive levels and to deprive the Borrower of the benefits of free and open competition;

The relevant excerpts of the current Guidelines for Procurement under IBRD Loans and IDA Credits (May 2004, revised October 2006) follow:

Fraud and Corruption

1.14 It is the Bank’s policy to require that Borrowers (including beneficiaries of Bank loans), as well as bidders, suppliers, and contractors and their subcontractors under Bank-financed contracts, observe the highest standard of ethics during the procurement and execution of such contracts. [18] In pursuance of this policy, the Bank:

(a) defines, for the purposes of this provision, the terms set forth below as follows:

(i) “corrupt practice” [19] is the offering, giving, receiving or soliciting, directly or indirectly, of anything of value to influence improperly the actions of another party;

(ii) “fraudulent practice” [20] is any act or omission, including a misrepresentation, that knowingly or recklessly misleads, or attempts to mislead, a party to obtain a financial or other benefit or to avoid an obligation;

(iii) “collusive practice” [21] is an arrangement between two or more parties designed to achieve an improper purpose, including to influence improperly the actions of another party;

(iv) “coercive practice” [22] is impairing or harming, or threatening to impair or harm, directly or indirectly, any party or the property of the party to influence improperly the actions of a party;

(v) "obstructive practice" is

(aa) deliberately destroying, falsifying, altering or concealing of evidence material to the investigation or making false statements to investigators in order to materially impede a Bank investigation into allegations of a corrupt, fraudulent, coercive or collusive practice; and/or threatening, harassing or intimidating any party to prevent it from disclosing its knowledge of matters relevant to the investigation or from pursuing the investigation; or

(bb) acts intended to materially impede the exercise of the Bank’s inspection and audit rights provided for under par. 1.14 (e) below.

[18]In this context, any action taken by a bidder, supplier, contractor, or a sub-contractor to influence the procurement process or contract execution for undue advantage is improper.

[19]For the purpose of these Guidelines, “another party” refers to a public official acting in relation to the procurement process or contract execution]. In this context, “public official” includes World Bank staff and employees of other organizations taking or reviewing procurement decisions.

[20]For the purpose of these Guidelines, “party” refers to a public official; the terms “benefit” and “obligation” relate to the procurement process or contract execution; and the “act or omission” is intended to influence the procurement process or contract execution.

[21]For the purpose of these Guidelines, “parties” refers to participants in the procurement process (including public officials) attempting to establish bid prices at artificial, non competitive levels.

[22]For the purpose of these Guidelines, “party” refers to a participant in the procurement process or contract execution.

The relevant excerpts of the current Guidelines for the Selection and Employment of Consultants by World Bank Borrowers (May 2004, revised October 2006) follow:

Fraud and Corruption

1.22 It is the Bank’s policy to require that Borrowers (including beneficiaries of Bank loans), as well as consultants and their sub-consultants under Bank-financed contracts, observe the highest standard of ethics during the selection and execution of such contracts. [16] In pursuance of this policy, the Bank:

(a) defines, for the purposes of this provision, the terms set forth below as follows:

(i) “corrupt practice” [17]is the offering, giving, receiving or soliciting, directly or indirectly, of anything of value to influence improperly the actions of another party;

(ii) “fraudulent practice”[18]is any act or omission, including misrepresentation, that knowingly or recklessly misleads, or attempts to mislead, a party to obtain financial or other benefit or to avoid an obligation;

(iii) “collusive practices”[19] is an arrangement between two or more parties designed to achieve an improper purpose, including to influence improperly the actions of another party;

(iv) “coercive practices”[20] is impairing or harming, or threatening to impair or harm, directly or indirectly, any party or the property of the party to influence improperly the actions of a party;

(v) “obstructive practice” is

(aa) deliberately destroying, falsifying, altering or concealing of evidence material to the investigation or making false statements to investigators in order to materially impede a Bank investigation into allegations of a corrupt, fraudulent, coercive, or collusive practice; and/or threatening, harassing, or intimidating any party to prevent it from disclosing its knowledge of matters relevant to the investigation or from pursuing the investigation; or

(bb) acts intended to materially impede the exercise of the Bank’s inspection and audit rights provided for under paragraph 1.22(e) below.

[16]In this context, any action taken by a consultant or a sub-consultant to influence the selection process or contract execution for undue advantage is improper.