Linda Mitchell

A routed export transaction usually occurs when the foreign buyer of the goods contracts with a freight forwarder or other agent to export the merchandise from the potential country. This is in interrelation to a standard export transaction in which the seller of the goods arranges the transport of the merchandise out of the country. Being an exporter, you have to understand that this procedure is extremely important as it impacts who is required to file the electronic export information (EEI) through the Automated Export System (AES) when required by the U.S. Foreign Trade Regulations (FTR).

As a specialist in this area, I can say the topic is not as difficult as it seems. Visible trade involves trading goods that can be touched and weighed. Examples include goods such as oil, machinery, food, clothes, etc. You have to know that Visible Trade consists of: • Visible exports: Selling of tangible goods which can be touched and weighed to other countries. • Visible imports: Buying of tangible goods which can be touched and weighed from other countries. As for invisible trade, it involves the import and export of services rather than goods. Example include services such as insurance, banking, tourism, and education. To better understand this, you also need to know the definition of the term “Balance of Trade”. The balance of visible trade is the difference between the value of visible exports and the value of visible imports of a country. If the value of visible exports is more than visible imports the country will have a Surplus balance of trade. If the value of visible imports is more than visible exports the country will have an unfavourable balance of trade. Balance of invisible trade is the difference between the value of invisible exports and the value of invisible imports of a country.