Customs clearance is a completing of all activities provided for under the rules of customs procedures, related to the acquisition of goods, persons, baggage through the customs border of the country, which are subject to customs control.
Place of customs clearance is meant the area designated by the agencies in consultation with the Director of the Customs Office. The place of customs clearance are also railway conveyances transporting travelers in international traffic when driving on properly marked stretch of railway. Customs controls it checks the goods by the customs authorities in order to secure compliance of foreign trade with the laws and international treaties. Control may be imposed on full supply of goods or just a random part of it. It takes place in the presence of the importer, the consignee, the shipper or without the participation of the person concerned. It goal is to determine the rate of customs duty calculation, which will be taken up by the customs office. The duty is imposed according to the goods on the customs declaration and the rates applicable on that day.
Customs clearance process
The process of customs clearance typically involves the following steps:
- Declaration: The importer or exporter must submit a customs declaration, which includes information about the goods being imported or exported, such as the type, quantity, value, and origin of the goods.
- Inspection: Customs authorities may inspect the goods to ensure compliance with laws and regulations, and to verify the information provided in the declaration.
- Payment of duties and taxes: If the goods are subject to customs duties or taxes, the importer or exporter must pay these fees before the goods can be cleared.
- Release: Once the declaration, inspection, and payment of duties and taxes are completed, the goods are released and can be moved through the border.
- Document retention: Customs authorities may retain copies of the declaration and other documentation related to the clearance process for their records.
- Electronic Data Interchange : Most of the countries now a days uses EDI (Electronic Data Interchange) system for clearance of goods. In this system the importer or exporter submit the electronic data of the goods being imported or exported.
Note that the process of customs clearance may vary depending on the country and the type of goods being imported or exported, and additional requirements such as licenses or certifications may also be necessary.
|Customs clearance — recommended articles
|Export declaration — Customs house — Ultimate consignee — Customs clearance agent — Consular Invoice — Shipping bill — Cargo manifest — Import declaration — Shipping note
- Dixit, A., & Norman, V. (1980). Theory of international trade: A dual, general equilibrium approach. Cambridge University Press.
- Hsu, C. I., Shih, H. H., & Wang, W. C. (2009). Applying RFID to reduce delay in import cargo customs clearance process. Computers & Industrial Engineering, 57(2), 506-519.