Are you concerned about the procedures for certifying your goods before importing or exporting goods? If so, then you definitely should take advantage of this article.
We will help you understand why using customs declaration services is necessary and how it can facilitate the smooth delivery of your goods to consumers. If you have ever asked yourself this question, then this article is for you.
To facilitate the export of goods to foreign countries or the import of raw materials to Vietnam for manufacturing textiles and garments, your business needs to be aware of certain things and identify obstacles that might hinder the transportation process due to customs declaration.
Suppose you need help accurately declaring customs, minimizing errors, and staying up to date with constantly updated laws for import and export procedures in commercial transactions as a professional customs declaration service agent from VICO Logistics. In that case, we share the following tips with you.
>> What is a Certificate of Origin (C/O)?
You must apply for a Certificate of Origin for each exported item's goods (C/O). The customs authorities assess this certificate.
In cases where there are doubts about the origin of the goods, according to Article 37 (customs clearance of goods), the customs authorities require the customs declarant (customs declaration service agent) to provide relevant documents regarding the goods to verify their origin for customs clearance.
Certificate demonstrating the corresponding model for each exporting country, specifically as follows:
Standard dossier determining the origin of goods includes:
- C/O Form Textile (abbreviated as Form T): Primarily used for the garment industry in Vietnam exporting to EU countries.
- C/O Form D: Used for trade with countries of the ASEAN Association, including Vietnam, Cambodia, and Laos.
- C/O Form E: Used for trade when exporting goods to China and ASEAN member countries.
- C/O Form S: Used for exporting goods to Laos.
There are a few less common forms, such as Form A, AK, and GSTP.
Request for C/O form issuance according to industry and country.
Production process chart.
Business profile (signature sample, production facility inventory).
Each sector has specific policies in the garment industry and other industries in general. Let's follow a real-world scenario to understand how these policies are applied.
Question: How can we prove that the fabric originates from Vietnam or that the cutting and assembling processes occur in Vietnam?
How can we apply a 0% import tax policy from Vietnam to Europe?
Answer:
First, to answer these questions, after the Free Trade Agreement - European Union (EVFTA), garments exported from Vietnam can apply a 0% import tax. Second, according to Circular 05/2018/TT-BCT dated April 3, 2018, by the Ministry of Industry and Trade, the origin of goods is defined as follows:
"Chapter 61. Clothing and accessory items, knit or crocheted.
It is made by sewing or joining together two or more pieces of knit or crocheted fabric that have been cut into shape or made directly into shape; knit and sew (including cutting).
Drawing yarn of different types from natural and/or synthetic staple fibers or drawing from artificial filament fibers, each accompanied by a knitting process (knitting for shaping the product), or dyeing fibers drawn from natural fibers, accompanied by a knitting process (knitting for shaping the product)."
Through this scenario, you should understand the textile and garment sector's 0% import tax policy.
A customs declaration service agent will represent your business in preparing documentation. We will provide advice tailored to specific cases based on the industry and the purpose of import and export according to the regulations of Vietnam and the exporting country. With over 33 years of experience dealing with numerous complex situations and a wide range of products (typical examples being the garment industry, machinery technology, chemicals, etc.), you can trust us.
Here's the basic process you should consider in customs declaration services:
Step 1. Prepare customs declaration documents.
Step 2: Transfer the declaration to the software.
Step 3: Prepare documents to open the customs declaration. The documents will be categorized as green, yellow, or red, depending on your goods and products.
Step 4: After receiving all documents, we act as the business's representative for customs declaration services.
We always prioritize safety, speed, and risk reduction in transporting your goods. Let's understand how VICO Logistics' customs declaration services can support your business:
1. Timely and accurate delivery: Your manufactured goods are delivered to the specified location on time. Additionally, VICO Logistics ensures the prompt delivery of your goods, maintaining their integrity throughout the transportation process.
2. Inventory management: We store and manage goods in warehouses (for domestic transport) or bonded warehouses (for international transport), including inspections, storage, and handling of related procedures for stored goods.
3. Customs procedures: This is a significant and time-consuming process involving customs agencies' processing and examination to ensure that goods comply with export and import conditions in a specific country. VICO Logistics'Logistics' customs procedures handling service helps you complete the necessary paperwork quickly to meet delivery deadlines.
4. Shipment tracking: Our team continuously monitors and updates you on your orders. Furthermore, we propose solutions to assist your business in unavoidable conditions such as force majeure (storms, floods) that may cause delays.
5. Resolving arising issues: Unforeseen problems can occur during transportation, including customs procedure regulations changes. With VICO's professional services and equipped team, we promptly provide you with information and limit administrative losses to the maximum extent.
By now, you should better understand the requirements for import and export customs procedures and some tax policies applicable to the textile and garment industry. To avoid mistakes and unnecessary expenses due to needing to understand the process, let VICO Logistics support you with customs declaration services, ensuring your goods reach your customers with minimal risk. We are here to advise you through challenging situations.
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