Glossary

PAYMENT TERMS

Documents Against Acceptance (D/A) is a payment method in shrimp trade. In this process, the seller ships the shrimp and sends the shipping documents to the buyer’s bank. The buyer is then notified by their bank to accept a bill of exchange, which is a promise to pay the seller at a later date. Once the buyer accepts this bill, the bank releases the shipping documents, allowing the buyer to claim the shrimp. This method helps ensure that the seller gets paid while the buyer gets the goods. It’s commonly used in international trade to reduce risks for both parties.