Cross-border pharmaceutical trade

Merchant Trade Transactions (MTT) for Pharmaceutical Supply

KOIT coordinates cross-border pharmaceutical transactions that connect manufacturers, buyers, distributors and commercial partners across different jurisdictions — with a particular focus on Latin America and Southeast Asia.

MTT explained

What are Merchant Trade Transactions?

A Merchant Trade Transaction is a commercial structure in which goods move from one overseas jurisdiction to another while a merchant or coordinating commercial party may be located in a third jurisdiction. The contractual, invoicing and physical supply flows are therefore connected, but they are not necessarily identical.

For pharmaceuticals, that structure requires more than a commercial introduction. Product specifications, quality documentation, destination-market requirements, contracting, payment terms and shipping documents must be aligned across the parties involved.

KOIT acts as the international pharmaceutical business-development and trade-coordination partner. We connect suitable manufacturers, buyers, distributors and commercial partners and help them structure the working flow. KOIT is not a bank, regulator, customs authority, manufacturer, or legal or tax adviser.

Commercial rationale

Why MTT can make sense for pharmaceutical supply

MTT can support a viable pharmaceutical opportunity when the best manufacturing source, commercial partner and destination-market buyer are located in different jurisdictions.

Cross-border market access

Connect a suitable manufacturing origin with an established buyer or distributor in another jurisdiction through one coordinated commercial structure.

Aligned counterparties

Bring manufacturers, buyers, distributors and commercial partners into a defined transaction with clear roles and agreed responsibilities.

Coordinated documentation

Align commercial, product, quality and shipping documents across the parties before goods move between the origin and destination markets.

Flexible supply routes

Structure supply where the commercial transaction and the physical route involve different jurisdictions, subject to applicable requirements.

How it works

How a KOIT MTT transaction is coordinated

Each transaction is assessed individually because the products, parties, jurisdictions and responsibilities differ from one requirement to another.

  1. 1

    Define the product, volume, destination market and required supply timeline

  2. 2

    Identify and qualify the proposed manufacturer, buyer and commercial counterparties

  3. 3

    Review the intended movement of goods, commercial flow and documentary requirements

  4. 4

    Align specifications, pricing, payment terms, Incoterms and responsibilities

  5. 5

    Coordinate quality, regulatory, customs and shipping documentation with the relevant parties

  6. 6

    Track production, dispatch, document exchange and delivery milestones

Regional focus

MTT for Latin America

KOIT develops pharmaceutical trade opportunities across Mexico, Peru and broader Latin America by aligning destination-market demand with suitable international manufacturing and commercial partners.

Mexico

MTT can support supply structures involving established Mexican pharmaceutical companies, importers, distributors and institutional suppliers where the selected manufacturing origin and commercial counterparties sit in different jurisdictions.

Pharmaceutical solutions for Mexico

Peru and broader LATAM

For Peru and other Latin American markets, KOIT can coordinate manufacturer selection, commercial terms and documentary flows around the buyer's product, registration, import and procurement requirements.

Pharmaceutical solutions for Peru

Regional focus

MTT for Southeast Asia

The Philippines, Vietnam and other Southeast Asian markets can involve international manufacturers, local distributors and commercial partners with distinct roles in the supply chain.

KOIT can coordinate MTT opportunities around the buyer's product and commercial requirement, connecting the selected manufacturing origin with qualified market counterparties. India may be one important source, but the structure is not limited to Indian supply.

Product registration, import authorization and local distribution responsibilities remain subject to the destination market's requirements and the role of the responsible local entity.

Market-led coordination

  • Philippines and Vietnam opportunity assessment
  • Other suitable Southeast Asian destination markets
  • Manufacturer and distributor alignment
  • Commercial and documentary flow mapping

Value across the transaction

Benefits for manufacturers and market partners

For pharmaceutical manufacturers

  • A coordinated route to qualified opportunities in markets beyond the manufacturer's direct commercial footprint
  • A single business-development channel for buyer requirements, documentation and commercial discussions
  • Clearer alignment on destination-market specifications, volumes, packaging and timelines
  • Support coordinating product, quality and export documentation with overseas counterparties

For buyers, distributors and commercial partners

  • Access to suitable pharmaceutical manufacturers across more than one sourcing jurisdiction
  • Commercial coordination across the manufacturer, buyer, distributor and other transaction partners
  • Structured follow-up on specifications, documentation, production and shipment milestones
  • Flexibility to evaluate India and other relevant origins according to the product and market requirement

Supply-side coordination

Pharmaceutical sourcing and manufacturer coordination

KOIT evaluates the requirement against suitable manufacturing capabilities, quality standards, dosage forms, capacity and destination-market needs. India is one significant sourcing origin within this work, alongside other appropriate manufacturing jurisdictions. The objective is to identify a practical match rather than force every requirement into one origin.

Execution

Transaction, documentation and logistics coordination

A workable MTT depends on consistent information across the commercial transaction and the physical movement of pharmaceutical goods.

Product and quality

  • Product specifications and pack configuration
  • Quality certificates and batch documentation
  • Manufacturer information required by the buyer

Commercial transaction

  • Counterparty roles and contracting sequence
  • Pricing, currency and payment milestones
  • Incoterms and allocation of responsibilities

Documentation and logistics

  • Commercial and shipping-document flow
  • Freight and dispatch coordination
  • Document consistency across jurisdictions

Responsible transaction design

Regulatory and compliance considerations

The commercial structure does not replace product registration, import authorization, quality release, customs, foreign-exchange, tax, sanctions-screening or other requirements that may apply in the countries involved. These must be assessed by the responsible parties and qualified advisers for each transaction.

KOIT coordinates the exchange of information and documentation among the manufacturer, buyer and commercial partners. We do not grant regulatory approvals, perform customs-authority functions, provide banking services, or give legal or tax advice.

Choosing a structure

MTT vs conventional direct export

Both structures can support international pharmaceutical supply. The appropriate route depends on the parties, markets and commercial requirement.

Conventional direct export

The manufacturer generally contracts, invoices and ships directly to the overseas buyer. This can be appropriate where the manufacturer already supports the market, product and commercial relationship directly.

Merchant Trade Transaction

A separate commercial party can coordinate the transaction while goods move between the manufacturing and destination jurisdictions. This can suit opportunities requiring additional market development, sourcing or counterparty coordination.

Explore KOIT's international solutions

FAQ

Common questions about Merchant Trade Transactions

What is a Merchant Trade Transaction in pharmaceutical supply?+

A Merchant Trade Transaction is a cross-border commercial structure in which goods move between two jurisdictions while the merchant or coordinating commercial party may be based in another. In pharmaceutical supply, the structure must align the manufacturer, buyer, documentation, logistics and applicable regulatory responsibilities.

Does an MTT require the manufacturer and buyer to be in the same country?+

No. The manufacturer and buyer are typically located in different countries, and other commercial partners may be based in additional jurisdictions. The physical movement of goods and the commercial transaction are mapped according to the specific arrangement.

Which markets does KOIT focus on for MTT opportunities?+

KOIT focuses particularly on pharmaceutical requirements involving Latin America, including Mexico and Peru, and Southeast Asia, including the Philippines and Vietnam, while supporting suitable international transactions in other markets.

Must pharmaceutical products in an MTT be sourced from India?+

No. India is an important pharmaceutical sourcing and manufacturing origin within KOIT's network, but an MTT is not inherently India-centric. Manufacturer selection depends on the product, quality, commercial and destination-market requirements.

Does KOIT handle regulatory approval, customs clearance or legal advice?+

No. KOIT coordinates information and counterparties as an international pharmaceutical business-development and trade partner. Product approvals, import authorization, customs clearance, tax treatment and legal advice remain with the qualified local professionals and responsible parties in each jurisdiction.

What information is needed to evaluate an MTT requirement?+

A useful initial brief includes the product and dosage form, quantity, manufacturing origin if known, destination market, buyer profile, registration or import status, preferred delivery terms and required timeline.

How is MTT different from a conventional direct export?+

In a conventional direct export, the manufacturer generally sells and ships directly to the overseas buyer. An MTT can introduce a separate commercial party and a different contracting or invoicing flow while the goods move directly between the manufacturing and destination jurisdictions.

MTT enquiry

Discuss your transaction requirement

Share the product, origin, destination market and intended commercial flow. The KOIT team will review your requirement and respond directly.

Discuss an MTT requirement

Structure the right cross-border pharmaceutical transaction.

Share the product, manufacturing origin, destination market, volume and intended commercial flow. KOIT will assess the requirement and coordinate the appropriate counterparties.