WT100 Blog

What Could You Be Forgetting When Exporting?

There are various measures to assess when exporting products internationally.

May 21, 2014

There are various measures to assess when exporting products internationally. An exporter must exercise “reasonable care” in checking the safety and purpose of the goods being exported, as well as maintaining compliance across borders. Not only must you comply with domestic customs authorities, but also foreign customs of the countries to which you are shipping. In order to avoid fines, removal of export privileges or jail time, remember to perform the following five export processes to proactively ensure your goods are efficiently moving through your supply chain.

1. Perform denied party screening before money changes hands. Screening the receiving parties of exported goods prior to the transaction is essential. It is crucial to screen the parties at order placement (before money changes hands) and rescreen them at the time the goods are about to ship – ensuring all products will be delivered to safe parties.

2. Obtain an End-Use Certificate. Not only is it important to identify the party receiving your exported goods, but it is also important to know the intended use of those goods. An End-Use Certificate assures authorities of the eventual intended use of shipped products, which provides documented proof of “reasonable care” in exporting those products.

3. Apply for an export license & file export declaration in a timely manner. Export licenses can take up to 3-6 months for review before a final determination is made, which is why one should be applied for well in advance.

4. Utilize Incoterms. Incoterms define, in advance, where the responsibility of a shipment changes hands such as who is responsible for export formalities, delivery, transportation fees and/or import formalities.

5. Know the required documents. Providing the necessary compliance documentation across borders is important in the timely delivery of products, because neglecting to obtain the necessary documents may cause delays in shipment or even refusal of entry.

Companies that effectively manage their exports are able to deliver their goods to the shelves faster, leading to better overall customer satisfaction. The steady movement of goods across borders is imperative in order to remain competitive and to retain momentum for a thriving business. However, managing your exports manually can take a considerable about of time and effort.

A good example of automation assisting in the export process is denied party screening. How much time are you spending to screen each of your exports? Or are you not screening at all and hoping to remain “off the radar” with Customs? If either scenario is true in your company, take a look at the DPS ROI calculator to see just how much time and money you could be saving by automating just one aspect of your export processes.

Access the free DPS ROI calculator.

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