>>SET RELATION TO pcode1 INTO pcode1
>
>Cyclic relationship I think.
>

Actually, "Variable not found" It's a typo and should have been

SET RELATION TO pcode INTO pcode1

>>>below command not update all the records in "inward1.dbf"
>>>

>>>sele 0
>>>use pcode1
>>>sele 0
>>>use inward1
>>>update inward1 set inward1.vattype=pcode1.vattype where inward1.pcode = pcode1.pcode
>>>
>>>

>>>
>>>
>>>warm regards,
>>>mk.
>>
>>Try setting a relation between the two tables

>>
>>SELECT pcode1
>>SET ORDER TO pcode
>>SELECT inward1
>>SET RELATION TO pcode1 INTO pcode1
>>UPDATE inward1 SET inward1.vattype=pcode1.vattype WHERE inward1.pcode = pcode1.pcode
>>