i have find a supplier , he is gold supplier , i want to buy container load 20000 usd valued goods from his company , his payment terms is 30% T.T. and rest 70% L/C at sight , now the question is , for the start i am buying only LCL say about material valuce of 1000 usd as a trial order , what do  you think this 1000 usd should be paid in advance and not as a LETTER OF CREDIT , L/C , i have never deal with this company,  please give me your suggestions , can i pay this amount as L/C .

thanks in advance

typical L/C fees are several hundred dollars and for a 1K order it is excessive

Quoting from [rajaram]:

i have find a supplier , he is gold supplier , i want to buy container load 20000 usd valued goods from his company , his payment terms is 30% T.T. and rest 70% L/C at sight , now the question is , for the start i am buying only LCL say about material valuce of 1000 usd as a trial order , what do  you think this 1000 usd should be paid in advance and not as a LETTER OF CREDIT , L/C , i have never deal with this company,  please give me your suggestions , can i pay this amount as L/C .

thanks in advance

I agree with Duckdown. bank charges for getting an LC for a USD1,000 transaction would turn out to be disproportionately excessive/expensive.