Business

What are the essential steps for a successful custom clearance?

By Clare Louise / February 21, 2023

Planning to expand business in the USA? It is not a rocket science to clear customs process. Once you understand the basics of custom clearance, you can expect smooth business. Those who are aware of custom rules can start immediately but, there are beginners who have never tried import and export business abroad. If this is your first time to import to USA, then you have landed on the right page.

We hope you are aware of what customs department exactly does. The people working in the customs department collect duties and make shipments possible from one country to another. The customs policies may differ for countries and so it is essential that you are well-researched about the policies of the country you are planning to trade in.

Here are the 5 essential steps for a successful custom clearance:

  1. Document preparation:

Get all the relevant documents prepared for clearing the customs. Ensure that your paperwork is free from errors and mistakes. Even a small error can turn the decision negative for you. Your papers must also be complete with all the details mentioned in the documents.

  1. Document inspection:

Once you have submitted the papers to the customs department, they will begin inspecting the same. A customs office will verify all the papers and ensure they are in the correct order. Once they are satisfied with the documents, they will begin the next step.

  1. Get your tax and duty calculated for you:

Seeking support of a customs broker can relieve you from the confusion of calculation part. A custom broke usually takes up the role of paying taxes and import duties. These are done according to the type of good, declared value, and the country’s custom policies.

  1. Clear payment of duties and taxes:

There are various ways like DDU (Delivered Duty Unpaid) and DDP (Delivered Duty Paid) to clear the calculated duties and taxes. If your broker has paid all the calculated taxes then your shipment will mentioned as DDP, if he/she hasn’t cleared the payment, the shipment will be declared as DDU. Extra charges will be borne due to an independent customs broker hired on your behalf.

  1. Get the shipment released:

Once the outstanding payment is cleared, the shipment will go to the final step of releasing. The customs department will release the shipment to reach the final destination or import to USA.

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