Import & Export Trade Compliance: Building an Effective Corporate Program

Import & Export Trade Compliance: Building an Effective Corporate Program

What is Import and Export Compliance?

Adhering to government regulations that apply to the transfer of Goods, Services, and Technology between countries:

• Who can you trade with
• What you can trade
• Where you can trade
• How you can trade
• Protecting and collecting revenue
• Collecting trade statistics

The reasons the Government controls Imports and Exports:

• National Security
• Foreign Policy
• Crime Control
• Anti-Terrorism
• Non-Proliferation
  • Nuclear, chemical, and biological weapons
  • Missiles

A trade compliance program begins with management commitment. Then includes:

• Written Policy
• Training & Awareness
• Risk Assessment
• Compliance Processes – the following should be part of both import & export compliance program:
  • Classification – harmonized system (import / export) – HTS/Schedule B
    • If you import & export – recommend use of HTS
  • COO – Country of Origin processes
    • Marking, Qualifications, and Solicitation
  • Security – C-TPAT, AEO PIP, etc.
    • Consider participating in C-TPAT and understanding these other government supply chain security initiatives
  • NAFTA – Qualification & Validation
    • Process in place to determine – qualifying for & validating & Recordkeeping
  • FTA’s procedure
    • Processes in place to determine qualifying for Free Trade Agreements & validating participation
  • Incoterms guide
    • Understanding Incoterms – click here
  • Documentation
  • Record retention
  • Audit Processes

Stay-tuned – we will provide more detailed information (near future blog posts ) for Trade Compliance Programs – first for Exporting and then for Importing.