Agricultural

Guidry Liason Group Inc, supplies export Agi products from processing facilities that are Certified Level 2 Safe Quality Foods (SQF L2) and equipped with modern equipment and technology to provide high quality cleaned and uniform food product ready for consumption that are industry leaders  in pulse processing, seed processing and grain marketing.

Each supplier has state-of-the-art processing lines and high-quality certified legume and cereal seed. Therefore, we are a superior source of cleaned and processed chickpeas, dry peas, lentils and grains to both domestic and international markets.

 
 
  • Export Terminal at Mobile, AL
  • JV Export Terminal with ADM and Gavilon at Kalama, WA and Portland, OR.
  • JV Shuttle Train Loaders with Cargill, in IN(AC Grain) and in SD(Dakota Plains)
  • 3 Shuttle Train Loaders in NE(Enola, Superior and Laurel)
  • 1 affiliated Shuttle Train Loader in ND(Tronson Grain)
  • River Terminals in Bettendorf,IA
  • Hay Processing Facility in WA

Bag/Bulk Products

  • Austrian Winter Peas
  • Garbanzo Beans
  • Rapeseed
  • Whole Green Peas
  • Whole Yellow Peas
  • Lentils – Brewers, Crimson, Laird, Richlea, Small Brown

Bulk Products

  • Northern Spring Wheat
  • Dark Northern Spring Wheat
  • Hard Red Winter Wheat
  • Soft White Wheat
  • Club Wheat
  • Western White Wheat
  • Hard White Wheat
  • Durum Wheat
  • Corn
  • Soybeans
  • Feed Barley
  • Flax
  • Malting Barley
  • Wheat
  • Flour

Wheat Classification

There are six (6) classes of wheat grown in the United States are designated by color, hardness and their growing season.
With a range of quality characteristics within these classes, customers can produce and use flours made from U.S. wheat:
 
  • Hard Red Winter
  • Hard Red Spring
  • Soft Red Winter
  • Soft White
  • Hard White
  • Durum

Buying Terms

C&F (Cost and Freight).
Seller provides the cargo, covers the loading costs and charters the ocean vessel for a specific destination. The buyer must pay for insurance and for discharge of the grain from the vessel. Buyer specifies shipment period.

CIF (Cost, Insurance, Freight).
Seller provides the cargo, covers the loading costs and charters the ocean vessel, plus insures the cargo until it reaches its destination. Seller determines the final loaded quantity within the contract quantity tolerance; the buyer pays for discharge. Buyer specifies shipment period.

FOB (Free on Board).
Seller is responsible for placing grain at the end of the loading spout. Buyer is responsible for providing the ocean vessel, and for all other costs after the grain is delivered on board, including stowing and trimming the cargo in the holds. Buyer determines the final loaded quantity within the contract quantity tolerance. Buyers specify delivery period.

How is U.S. Wheat Quality ASSURED?

Buyers know U.S. wheat will meet their specifications because the supply chain follows uniform grain segregation and inspection procedures.

The Federal Grain Inspection Service (FGIS) independently inspects wheat at vessel loading to certify that the quality loaded matches the quality stated in the customer’s contract.

Since the passage of the Grain Standards Act in 1916, the United States has been the pioneer in providing quality assurance to grain buyers.

FGIS oversees impartial inspectors who sample, weigh, inspect and certify nearly every single wheat shipment exported from the United States.

Grain Standards:

https://www.ecfr.gov/cgi-bin/text-idx?c=ecfr&SID=89728873dd6db7cbd4920c182863a5a1&tpl=/ecfrbrowse/Title07/7cfr810_main_02.tpl

https://www.ecfr.gov/cgi-bin/text-idx?SID=16600879a468606883b17ec4682eb5de&mc=true&node=sg7.7.810_1104.sg2&rgn=div7
 

How are Contracts Written?

Once a buyer reaches an agreement on issues like price, grain quality, payment, credit, transportation and delivery, our agreements are written by our suppliers in a sales agreement or contract of sale form that varies with the type of transaction.

We use the North American Export Grain Association (NAEGA) for FOB purchases of bulk grain and oilseeds called the NAEGA standard contract No. 2. It has 26 separate clauses delineating the various aspects of grain purchase.

Other forms use includes the Grain and Feed Trade Association of London (GAFTA) contract for C&F and CIF grain transactions, and the FOSFA standardized contract for CIF and C & F sales of soybeans.
 
Elements of a good contract:
 
  • Parties (buyer and seller)
  • Commodity
  • Quality and grade
  • Price and method of payment
  • Time, place and method of delivery
  • Shipping documents required for payment (L/C)
  • Default factors
  • Remedies for injured parties
  • Forum for disputes
Several federal laws protect the sanctity of all export contracts. The only exception is a declared national emergency. Export tariffs on U.S. products are forbidden by Article I, Section 9, Clause 5 of the U.S. Constitution.

 

How do Buyers Finance & Pay for Wheat?

Traditionally, payment is made in U.S. dollars and a Letter of Credit (LC) is the most common form of payment. Under a Letter of Credit, the buyer’s bank first establishes a letter of credit in favor of the seller.

When the grain is shipped, and documentation is presented, the seller’s bank makes payment to the seller, then the buyer’s bank makes payment to the seller’s bank. A letter of credit greatly reduces commercial risk for the seller but involves higher bank service charges.

Variations on the letter of credit include specifying a time for payment or deferred payment. Buyers and sellers with a long-standing relationship can save transaction costs by trading on an open account where the buyer pays the seller directly upon delivery of the grain.

In addition to price risk, a buyer that is purchasing on commercial extended credit may wish to consider covering the foreign exchange risk that can occur with an international transaction.
If buyers are unable to obtain commercial credit for their importing needs, they may be able to obtain financing assistance from various U.S. government programs.

In many countries, USDA Export Credit Guarantee Programs can help make commercial financing available for imports of U.S. food and agricultural products on deferred payment terms.

The GSM-102 program guarantees payment from approved foreign banks, normally to U.S. financial institutions that extend credit to them to finance imports of U.S. agricultural commodities
USDA provides answers to commonly asked questions about how to participate in the GSM-102 Export Credit Guarantee Program.
 

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