All about the Intricacies of the Customs Clearance Process
The customs clearance process gives rise to a great deal of confusion, and that’s the reason sellers often get scared to ship their products to international destinations. They don’t want to get into the nitty-gritty of the complex procedures. However, customs clearance is not as critical as it is perceived to be. Here is an attempt to explain the process of customs clearance in a simplified way.
A Complete Guide to Customs Clearance after the Arrival of the Shipment in Customs
- A customs officer will examine the documents related to the shipment. An international shipment must bear a commercial invoice. The contact information of both the receiver and the shipper must be mentioned in the paperwork alongside other details like airway bill number, export data, and so on. The value of the item, along with a brief description, should also be there in the invoice.
- Next, the customs officer will verify if there are any duties and taxes that apply to the shipment.
These are the factors that are entirely dependent on the nature of the good, its value, and the prevailing
laws related to imports in the importing country. It is ascertained whether the value of the good is
above the tax threshold. If so then whether the taxes and duties have been paid for. - In case the duties and taxes have not been paid, then the customs officer will raise a request for the respective payments. The two options that come handy in this case are DDU (Delivery Duty Unpaid) and DDP (Delivery Duty Paid). If it is a DDP, then it implies that the taxes and duties are paid. If it is a DDU, then the shipment would be forwarded to an independent customs broker for the collection of the required charges.
- As soon as the outstanding duties and taxes are cleared off, the shipment is released for reaching the
final destination.
That’s the end of the story. If you have a clear understanding of the documentation norms and the processing of taxes and duties, it is effortless to face the intricate custom clearance essentials. In case, your shipment doesn’t get clearance, never panic but contact an efficient customs clearance agent like AP clearing. They will guide you with all the critical clearance related issues and will offer a hassle-free experience.