Table Of Contents

Table of Contents

Chapter 1: U.S. Grains - Commodity Description

  • Corn - 1
  • Sorghum - 4
  • Barley - 6

Chapter 2: Industrial Uses for Grains

  • Current Industrial Uses - 8
  • The Wet Milling Process - 9
  • The Wonder of Starch - 11
  • New Avenues of Research for Industrial Uses - 11
  • New Product Examples - 12
  • Licensing - 14

Chapter 3: How to Procure U.S. Grains

  • Finding a U.S. Grains (or Co-products) Supplier - 24
  • Purchasing U.S. Grains (or Co-products) - 26
  • Standard Contract Terms - 31
  • NAEGA 2 - 32
  • GAFTA 27 and 30 - 35
  • Basic Documents Employed by the Grains Trade - 37

Chapter 4: Grain Quality and U.S. Standards

  • U.S. Grain Standards Act - 43
  • Official Weighing Procedures - 45
  • Official Inspection Procedures - 47
  • Inspection Equipment - 49
  • Official U.S. Standards: Barley - 51
  • Official U.S. Standards: Corn - 53
  • Official U.S. Standards: Sorghum - 55
  • Fumigation and Grain Protectants - 58
  • Phytosanitary Certificate - 58
  • Complaints - 59

Chapter 5: U.S. Export Facilities and Ocean Transportation

  • Mississippi River/Center Gulf - 62
  • Texas or West Gulf - 63
  • U.S. Atlantic Coast - 64
  • Pacific Northwest - 64
  • Great Lakes - 65
  • Freight Options for the Overseas Buyer - 66
  • Chartering a Vessel - 68
  • Standard Charter Parties - 69
  • Role of the Agent - 74
  • Ship Types - 76

Chapter 6: Risk Management in U.S. Grains Markets

  • Exchange Traded Futures - 80
  • Exchange Traded Options - 81
  • Over the Counter Swaps - 83
  • Derivatives - 85
  • Trade Options - 85
  • Trade Partners - 86
  • Hedging and Basis Trading - 87
  • Summary of Hedging and Basis Trading - 97
  • Market Analysis - 100
  • User's Guide to Exchanges in the United States - 103

Chapter 7: Financing U.S. Grains Imports

  • Letter of Credit - 112
  • Payment Against Documents - 114
  • Countertrade - 115
  • Other Payment Methods - 117
  • Finance Options and Methods - 118
  • GSM Financing - 119
  • Letter of Credit Financing - 123

Appendix

A. NAEGA FOB Contract No. 2
B. NAEGA Loading Rate Guaranty Addendum No. 1
C. GIPSA U.S. Standards for Barley
D. GIPSA U.S. Standards for Corn
E. GIPSA U.S. Standards for Sorghum

Glossary

This manual was revised August 2004.