WORLD FIRST by Green Earth … URO for UREA
Welcome to the world of URO – a new alternative currency performs its first transaction for a commodity purchase. GES India, Regional Director Mr S Singh, confirms the first URO transaction is in process with a Urea supplier for IPL (Indian Potash Limited). On the day of IPL’s announcement for the new tender prices for UREA imports, Green Earth Systems Limited (Hong Kong), confirms to supply Urea based on an “Alternative Payment System” URO.
Why URO? Unlike the traditional banking instruments LC and SBLC commonly used for importers of commodities; URO has very little set up fee. The traditional banking instruments on an average commodity transaction (1 shipment) could cost as much as $150,000 USD in banking fees for the Indian importer. Using URO as an Alternative Payment Method provides substantial savings that might be passed on to the end users of Urea: the farmers of India. In a nutshell, URO provides a platform as an Alternative Payment Method for importers – easy to perform, quick, and hassle free.
MR. HARIKISHAN S. VIRMANI, MANAGING DIRECTOR, RIVAA EXPORTS LTD, INDIA (TIN NO: VAT 24222101285 DT. 01/07/2002, CST 24722101285DT. 14/06/2002) “Today signing the “World First” URO transaction for the importation of UREA into India this month with Green Earth Systems Limited Hong Kong. Mr Virmani, in signing the “World First URO contract” on 4th July 2014 (contract number: GES04072014UREAINRVE), conveyed that while Urea is the essential fertilizer for Indian farming, the hurdles for many Indian importers is huge bank fees for transactions and lack of effective communication between local and international banks to expedite the transaction and acceptance of payment instruments. This could result in deals being lost and orders being cancelled, extending to the loss of IPL bonds. I see URO as a breakthrough for getting over the on-going transaction issues without delays: instead allowing us to focus energy on developing the business. I believe many importers are not far behind in adopting the use of URO in the coming weeks.”
Mr Nair also explained that, although RIVAA Exports was the first to sign the contract on this day, 3 other IPL suppliers also have obtained the URO contracts from Green Earth Systems Limited Hong Kong and now wait for their IPL orders to be confirmed in the next few days, before submission. URO is simple and saves huge amounts of banking fees and time, there is absolutely no reason why any importer would not use URO as an Alternative Payment Method for UREA.