The following products are considered:

Oil and oil derivatives Crude oil Oil derivative products Petrochemicals	Precious metals Gold Silver Platinum group metals
Ferrous metals Iron ore Steel products (slabs, coil, HRC, CRCs etc)	Softs and agricultural commodities Sugar and ethanol Cocoa Coffee Grains (wheat, barley, rice, corn, maize) Tobacco Soya Oil seeds (sunflower, rape, etc) Minor products
Nonferrous metals Zinc Lead Copper Tin Nickel Aluminium and alloys Cobalt Paladium

We provide below some information on typical characteristics of facility structures, however this is only a general outline. For details on specific products and possible facilities, please contact our team.

Facilities are to finance the purchase and sale of commodities.

Transaction parameters are flexible. In general, finance is given for pre-sold material under export Letters of Credit issued or confirmed by acceptable banks or by SMBC, or on a cash against documents basis through an acceptable bank. These could be “front to back” or “back to back”. Facilities may also be given for unsold transactions on the expectation that buyers are readily available and a sale will have been completed in transit or on arrival at the location of unloading.

Facilities vary, and may permit fully secured as well as transactionally-secured advances. They provide the ability for the commodity trader to request SMBC to issue irrevocable Letters of Credit or advances when the need arises.

Letters of Credit and advances are normally secured through bills of lading to the order of SMBC, or if transactionally secured then generally against holding certificates and warehouse certificates.

Settlement of any advance provided or any import L/C issued by the Bank is typically received from the proceeds of export L/Cs or payments from cash against documents sales to buyers directly or via a bank collection.

In certain cases, release of title can be done against a trust receipt signed by the borrowers to permit the loading and discharging of a vessel, or permit delivery of goods to acceptable buyers.

Loan to value may be up to 100% of purchase price.