If you are just starting out your import/export business, one of the most complicated things will be dealing with customs. Every country has its own specific laws and regulations regarding the flow of goods. And regulations from the specific country that you have learned doesn’t have to apply for the other country. You will have different restrictions and requirements that you will have to overcome. But, there is also immense paperwork that you will have to prepare. However, even though there are many things businesses need to know about customs clearance and freight forwarding, there are ways to ease this process. Especially, if you have a good and reliable freight forwarding agent to guide you through these complex procedures.
Customs clearance process is complicated
As mentioned above, this very complex process requires you to comply with many different requests and procedures. Of course, it all depends on the countries you are dealing with, the type of goods that you are trying to move, and freight forwarding companies in Saudi Arabia that you are cooperating with. In any case, the freight forwarder is there to ease this process. And the better and more experienced agent you find, the easier the procedures will be.
One of the things businesses need to know about customs clearance is that it will require extensive paperwork
If you are just starting out with this business, you will probably be shocked by the amount of paperwork that is sometimes required for a single shipment. And if the number of papers is not enough, you should know that customs officers have zero tolerance for errors in these types of documents. For a single shipment, you will need, Invoices, packing lists, certificates of origin, and information about cargo transport services that you hired. Also, health certificates, Bill of Lading, sanitary documents, veterinary certificates, insurance, and the list goes on.
Businesses need to know about customs clearance is that some items require special permissions
Certain items require special permission to enter specific countries. This usually applies to drugs, weapons, nuclear materials, livestock, food products, and more. Those items are controlled by heavier regulations and you will have to get proper licenses if you want to start trading them.
It takes time
You never know how long it will take your shipment to go through customs clearance. Of course, your experienced freight forwarding agent could speed up this process through his personal connections. However, it mostly depends on the type of shipment. If you are shipping something that requires special attention, this process will take longer. But it also depends on the customs officer that is checking your shipment and the time and date when your shipment arrived. If you are that lucky to have your shipment arrive at customs during holidays or weekends, the process will take longer.
If you learn about the business you can earn more
The best and easiest way to start your worldwide trading business is to find an experienced freight forwarder. He should have good personal connections. And that will be of much help in this process. However, as you will probably notice after a while that this costs lots of money. That is why, if you want to maximize your profit, you will have to learn about the business. So you could start doing it without paying for professional help.