Friday, 4 November 2016

Things FreeZone Companies Needs To Be Aware Of!

Companies needs to make sure their customs broker is knowledgeable about customs procedures for the smooth and safe clearance of their goods. Freezone companies have to be particularly careful on who they choose as their customs broker because the customs keep track of their inventory based on the HS Codes. Hence, the customs broker must ensure that when clearing the goods on behalf of their customer, the HS Codes mentioned in the documents must match with the data that is entered in the Customs department. Any mismatch could put the Freezone company in jeopardy in the long run.

The customs can conduct a random inspection and audit the company’s inventory to check if it tallies with the inventory in the customs record. If there is a mismatch, the customs will conduct an investigation on the Freezone company. And if the inventory as per customs is more than the physical inventory then the Freezone company is left with two options:

1.    Prove that the goods have exited the country and hence no duty applicable.

2.    Clear the record by paying the penalty from customs which will be the duty amount
(5% of invoice CIF value) + Penalty (15% of the invoice value).

So, make sure to consider all the above points before finalizing any organization for custom broking. As, there are various reliable and professional customs broker available in the market but TFI is one of the best logistics and cargo company. TFI is working for the past 25 years and has a clear track record with not a single customer complaint till date. They also maintain a soft copy of the customer’s documents as backup to ensure if any customs inquiry arises, then TFI has all the documents as a proof for their customers and records.

Know More About The Import Cargo Procedures In UAE

UAE customs have very strict rules and regulations when it comes to importing any items into the country. As there are so many companies outside the UAE that fail to understand the documentary requirements for customs clearing commercial cargo in UAE. Below are some of the points that explains the documentary requirement for importing cargo into the UAE:

1.    Original Shipper’s invoice
a.    The term ‘Original’ here means that the invoice must be on the Shipper’s letterhead
b.    It should be affixed with the shipper’s rubber stamp
c.    It should be signed by the shipper
2.    Original Packing List
a.    The term ‘Original’ here means that the invoice must be on the Shipper’s letterhead
b.    It should be affixed with the shipper’s rubber stamp
c.    It should be signed by the shipper
3.    Certificate of Origin
a.    This is not mandatory if the shipment arrives to Dubai by Air Freight Mode

The customs broker can clear the cargo with copies of the above document by keeping a deposit of AED 1000 + AED 60 (transaction fee). Clearing the cargo with document copies are really helpful especially when consignee needs the cargo urgently and the original documents have not arrived yet. The consignee needs to submit the original documents to customs within 30 days. And once the custom receives the original documents the deposited AED 1000 is refunded.

If consignee fails to submit the original documents to customs, it will lead to the deposit being taken by customs as penalty for not having the original documents. So, make sure to keep in mind all the above points before importing cargo in UAE and enjoy a hassle free service with the right customs brokerage company.