Sunday 23 February 2014

How to get your products through customs without delays or paying extra?


Recently I had shared some on-site experiences regarding the import of goods to India, and the customs related problems that you might face while shipping your products from Europe to India. Having overcome many difficulties related to Indian imports, I would like to share a few good practices with you.
More details, the better:
When it comes to complying with the Indian Rules and Regulations for labeling, there is one statement that is
very true – “No shipment will be declined for import for having too many details on the products”
The new agreement states: “new FSSAI guidelines allow for the rectification of certain labeling deficiencies in customs bonded warehouses in order to permit compliance with mandatory labeling requirements specific to the Indian market (for instance to include a vegetarian/non-vegetarian logo, and indicate the name and address of the importer on the label).”
Unfortunately, the official rules and regulations are very often not the same as the rules followed by the customs officers. Every officer will have his own specifications. The key is to let no room for finding any fault in the shipment. In this case, preventing is a lot better, faster and cheaper, than trying to convince an officer of what is written in an agreement.
Therefore, I strongly advise to label and print the products with all the requirements before shipping them out. Make sure to have all 13 points as stated in the first article, displayed on the packing or the sticker. Have the MFD, BBE and Batch-Number printed on the pack itself. To prevent later fines in the market from the Weight & Measurement department, repeat them on the stickers. The sticker should include all points, which are not already shown on the pack itself. Even though certain details might already be mentioned on the pack, minimum requirements for the sticker are:
  • Name, & description of the product
  • Net weight
  • Date of Manufacture
  • Date of Expiry
  • Address of the importer
  • Maximum retail price (incl. of all taxes)
  • Batch, lot, or code number
  • Month and year the product was imported
  • Vegetarian or non-vegetarian symbol
Proper Documents
Proper documents are a must for smooth importing processes. For any shipment, always have the following original documents ready before the products reach the customs department.
  • Import Commercial Invoice
  • Packing List
  • Certificate of Origin
  • Health Certificate (for food items)
  • Order Copy / Proforma Invoice Copy
  • Insurance Covering Note / Policy, if any
  • Product Write-up / Brochures / Catalogue
  • GATT & DGFT Declarations
The right local partner
When sending shipments toIndia, make sure that you have an experienced local partner to clear the products at the customs. The local partner needs to have all the licenses required for importing the products that you are sending. He needs to have the right network within the customs department (personal relations with officers), and he needs to be prepared to produce any document and payment in a short time span. Any delay can result in high demurrage and storage charges.
Samples against Zero Commercial Value:
Don’t do it! You might get lucky once or twice, but it will probably result in much higher charges than what you anticipate. Send an invoice with the products in which the normal commercial value is declared. This way, you know what kind of import duty you can expect. Do not leave it up to the officials to estimate the value of your products.
Above are a few golden tips to prepare your import shipments to India. Even though there are many requirements that you need to consider regarding Indian imports, it is definitely not an impossible task. You just have to be well prepared!
As an Indian Importer & Distributor, I can leave you with a last comment from my side.
“The Indian market potential is definitely worth the bit of extra time that you spend to carefully prepare your import shipments!”

For more queries and discussions visit us at www.nexusnovus.com.

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