customs clearance service in OmanWhat is custom clearance? | Customs clearance service in Oman
What is Customs Clearance?
Before shipping various goods, a shipper may wonder what customs clearance means and how it’s relevant to their shipping options. Every international ocean freight shipment must meet the quota of customs clearance in each country. Customs clearance is a necessary procedure in permitting goods that are transported to a country through an authorized customs broker. Within this process, there’s also information regarding shipments with imports and exports with parties involved in the process.
What is a Customs Broker?
A customs broker is an agent for importers that assist importers with the transaction of their customs business.
These agents are authorized by tariff laws. A customs broker is either a private individual or firm that are licensed by the U.S. Customs and Border Protection (CBP) to organize custom entries, payment of duties, and how this process may be affected by CBP discharges goods from custody.
What services can customs brokers assist with?
A customs broker can assist with HTS codes, which are based on product classification codes between 8–10 digits. The first six digits are HS codes and countries of import include proceeding digits that are provided for additional classification. All codes are administered by the U.S. International Trade Commission.
In addition, determining the country of origin can be difficult to determine for Customs. Country of origin is important for marking. It is defined by the country that goods were assembled or the most work was put into the product.
Breaking Down the Customs Clearance Process
Paperwork Verification
A customs officer verifies that the paperwork completed for shipments are correct. International shipments must have commercial invoices. Once the paperwork is verified, the document will list a shipper and contact info of the receiver. The shipment will also include the export date and airway bill number.
Customs Officer Checks
A customs officer will see what fees may be applied to a shipment. Depending on the type of goods, their value, and laws that the importing country enforces. If the value of goods surpasses a tax bracket, the officer will check to see if taxes and duties have been paid.
Payments, Taxes, Duties
If there are outstanding taxes and duties, customs will ask that they are paid. There are two options for payment, with one being DDU (Deliver Duty Unpaid) and the other being DDP (Deliver Duty Paid). As a result, if a shipment is marked as DDP, then a payment of taxes and duties were paid for. These services may be offered at a fixed price when you pay for a label. This process can be expensive as brokers are independent with differing fee charges. Brokerage, storage, late payment, and various fees may apply which will affect the total shipment fee.
Release of Shipment
Once taxes and duties are paid, shipments are released. From this point, if paperwork, duties, and taxes are handled properly then the goods should be shipped to their destination.
Advantages of Customs Brokerage
A customs broker will be able to take care of shipping for products. A customs brokerage firm will verify if you’re complying with customs regulations. If custom regulations are not met, it will result in a time delay.
A company will be able to retain more money. A customs broker will guide a company so that it is able to avoid shipment problems that will also follow trade agreement opportunities. There are multiple trade agreements that are dedicated to scaling down duties and taxes such as ASEAN, JPEPA, and the EFTA free trade agreement.
A customs broker will tell you if they’re unable to handle products that you want to ship. If this occurs, they will be able to defer your shipment in the safest way possible.
It’s always great to have an outside source evaluating your goals and reasons for merchandise. As a result, you will form a stronger relationship with your customs broker and they will give you advice regarding your business model.
Providing a customs broker with the proper paperwork. You are still responsible for filing and paying taxes and duties, but a good custom broker can correct errors and tell you if your missing important info.
Is Customs Clearance Right for You?
GGL Global is dedicated to creating an import program that provides logistics services Oman and internationally. Our company offers cargo transportation and value-added services that offer customs clearance and regulatory compliance for your international supply chain. You’re assured expedited cargo with GGL Global Customs clearance service in Oman and brokerage experts.
