1 offset contracts christian sylvain (ecco chairman) icc commission on commercial law and practice...
TRANSCRIPT
1
Offset Contracts
Christian Sylvain (ECCO Chairman)
ICC Commission on Commercial Law and Practice (CLP) PARIS 13 November 2015
www.ecco-offset.eu
Definition of OFFSET
Offset means any condition or undertaking that encourages local development or improves a
Party’s balance-of-payments accounts, such as the use of domestic content, the licensing of
technology, investment, counter‑trade and similar action or requirement.
GPA 1994-Revised April 2014
Applicable only to non-members
2The information in this document is ECCO property and is intended solely for the addressees.Reproduction and distribution are prohibited. Thank you.
AREVA UNIVERSITY – Christian SYLVAIN – April 17th, 2013
Offsets : Overview
Country A Country BSupplier
CUSTOMER
S.O.E.
» Price
»Technical
» Timescale
» Financing
» General Conditions
MA
IN
CO
NT
RA
CT
Customer’s government
OFFSET CONTRACT OFFSET LEGISLATION
- Expressed as a % of the amount imported under the principal contract- Comes into force on the same date as the principal contract- Penalties and bank guarantees
OF
FS
ET
CO
NT
RA
CT
Creates an economic benefit by
adding value locally
Two processes in parallel
Equipment in exchange for payment
Specificities of the Market
4The information in this document is ECCO property and is intended solely for the addressees.Reproduction and distribution are prohibited. Thank you.
Main Characteristics of an Offset Contract
5The information in this document is ECCO property and is intended solely for the addressees.Reproduction and distribution are prohibited. Thank you.
Known and unknown risks
6The information in this document is ECCO property and is intended solely for the addressees.Reproduction and distribution are prohibited. Thank you.
Business & Legal Risks
7The information in this document is ECCO property and is intended solely for the addressees.Reproduction and distribution are prohibited. Thank you.
Offset requires a Specific Contract
8The information in this document is ECCO property and is intended solely for the addressees.Reproduction and distribution are prohibited. Thank you.
ICC Guide Published in October 1989
9The information in this document is ECCO property and is intended solely for the addressees.Reproduction and distribution are prohibited. Thank you.
The information in this document is ECCO property and is intended solely for the addressees.Reproduction and distribution are prohibited. Thank you.
10
Thank you
European Club for Countertrade & OffsetAssociation under the French law of 1901 - no. W922002916
69 rue Louise Michel92300 Levallois-Perret
Francewww.ecco-offset.eu [email protected]