Commodity Trade Finance
Commodity Trade Finance
Sberbank (Switzerland) AG is a leading Commodity Trade Finance (CTF) bank specializing in commodity flows in EMEA region. While our forte is our knowledge in Russian and FSU, we are happy to finance our client’s activities around the world.
CTF business focuses on lending activities to commodity traders from SberBank Group’s natural resources-rich core regions - Russia and other CIS states, countries around Black Sea, Mediterranean and Baltic seas, based on the following principles (not limited to):
• Short term
We focus on following commodity types:
• Oil and Energy products: Crude and refined oil products, LPG, LNG, gas and petrochemicals,
• Soft commodities: Grains, edible oil, seeds and fertilizers,
• Metals and Minerals: Ferrous and non-ferrous metals, steel products, coal and other mineral products and their derivatives
CTF is one of the strategic business lines of Sberbank (Switzerland) AG as have we long term commitment to CTF business and stable and sustainable approach to the business.
Our Bank aims to capture trade flows to/from our core region (Europe, Russia & CIS, Black Sea, Baltics and Mediterranean basin countries) by delivering fast, accurate, innovative, tailor-made solutions for the Commodity Traders:
• Prepayment financing: Pre-financing of an advance payment made by a Commodity Trader to a Producer of a commodity or to a service provider
• Inland financing: Financing of commodities, which may be located in either warehouses or in ports or being transported by e.g. rail, pipeline, truck, etc.
• Post-shipment financing: Financing of commodities already shipped, incl. (i) shipment financing against bills of lading and (ii) financing of trade receivables either on open account or against acceptable payment instruments
• Hedge financing: Financing of a commodity trader’s hedging operations in relation to the goods financed by the Bank
• Borrowing Base financing: Financing of a Trader’s portfolio of current assets being (i) account receivables and/or (ii) warehouse certificates and/or warrants pledged in favor of the Bank
• Working capital financing: Short term unsecured financing for commodity trade related purposes
• Cash covered obligations: Issuance of conditional payment undertakings on cash covered basis.
In conjunction with the above, Sberbank (Switzerland) AG provides related Documentary Services:
• Issuance and handling of (stand-by) letters of credit
• Advising, confirming and handling (stand-by) letters of credit issued by other banks
• Issuance of guarantees, incl. bid bond guarantees, performance bond guarantees, advance payment guarantees, counter guarantees
• Documentary Collections
• Avalization of Bills of Exchange
Our CTF specialists (Relationship Managers and Transaction Managers) will gladly discuss your specific needs and propose tailor-made solution.