14.1 Terms are set per transaction

Payment terms are agreed in the sales agreement or proforma invoice for each order, based on the buyer's trading history with us, order value, destination market, credit assessment and prevailing risk conditions. We do not publish standard credit terms.

14.2 Accepted mechanisms

Depending on the transaction, we accept advance payment by telegraphic transfer, part advance with balance against documents, irrevocable letter of credit at sight from an acceptable bank, documents against payment, and — for established buyers with an agreed credit limit — approved open account terms. Cash against documents and open account are offered at our discretion and may be withdrawn at any time on notice.

14.3 Default position

Where no terms are agreed in writing, the default is one hundred per cent advance payment in cleared funds before despatch.

14.4 Advances

An advance payment confirms the order and triggers procurement, production and booking. Advances are non-refundable and are treated as cancellation charges in the circumstances described in the Order Cancellation Policy. Production and lead time do not commence until the advance is received in cleared funds.

14.5 Charges and currency

The buyer bears all bank charges, remittance fees, intermediary bank charges and currency conversion costs on its side, and remits the full invoice value net of such charges. Where an amount received falls short of the invoice value because of deducted charges, the shortfall remains payable. Invoices are raised in the currency stated in the proforma invoice, and the buyer bears exchange rate risk on that currency.

14.6 Late payment

Time of payment is of the essence. On overdue amounts we may charge interest at eighteen per cent per annum, or the maximum permitted by law if lower, accruing daily. We may suspend production and despatch on all orders, withhold shipping documents, require advance payment or a letter of credit for all future orders, withdraw any credit facility, and recover all collection and legal costs.

14.7 No set-off

The buyer may not withhold, deduct or set off any amount against an invoice on account of a pending claim, a dispute, an alleged shortfall or a counterclaim. Claims are pursued separately under the Returns, Replacement and Quality Claims Policy. Payment obligations continue in full while a claim is under assessment.

14.8 Application of payments

We may apply any payment received against any outstanding invoice at our discretion, regardless of any allocation the buyer purports to make. Payments are applied first to interest and costs, then to the oldest outstanding invoice.