What customs documents do you need to export?
Hi everyone! Today from Venerable Capital, an exporter and distributor of alcoholic beverages and tobacco, we want to talk to you about the customs documents that you need to be able to export.
We already talked in previous posts about the importance of exporting and the advantages that this brought for the company and the entire world: take advantage of comparative advantages, access the international market, seek profitability in other markets, etc. But there are some steps prior to export, bureaucratic procedures necessary to do everything correctly. Everything must be in order and comply with current regulations regarding international trade.
All exports require certain documents that must be processed along with the merchandise. In addition to commercial documents, insurance policies and others, customs documents must be completed. Here we talk a little about the essentials.
Single Administrative Document (SAD)
The SAD provides information about the merchandise, its origin, etc. It is used as the basis for the tax return. It is issued by the Customs Agent or by an Authorized Customs Economic Operator on behalf of the exporter.
This document is one of the most important in international transport. The Single Administrative Document can be submitted electronically in the computer system that connects with the customs authorities or in person at any customs office. This document consists of 8 copies, depending on the activity that the exporter is carrying out, he must fill them all out or use only those that correspond to him.
The SAD must be accompanied by the commercial invoice, the credit note, the export invoice, the sales contract, etc., which prove the value of the merchandise.
Declaration of value (DV-1)
This document has the function of declaring in customs the value of the merchandise that is going to be imported, including all the costs that these suppose, for example, the authorization, the main transport, the insurance.
Calculating the value of the merchandise is done by first calculating the transaction value, which is the price paid or payable for the merchandise when it is sold for export.
Other documents to export
In addition to the customs documents necessary to export merchandise, there are others that must be completed when selling abroad. Some examples of this necessary documentation are:
- Commercial documents. They are those issued by the exporter and contain all the information related to the purchase and sale transactions that promote exports. These documents are the commercial invoice, the list of contents and the customs invoice among others.
- Transport documents. All the information regarding the form of transport of the merchandise. Some examples are air waybill, ocean waybill, land waybill, etc.
- Insurance policies. Foreign trade activities carry some risks, whether political or commercial, which the exporter can cover if he takes out some insurance policies, such as transport insurance, export credit insurance or foreign exchange insurance.
And here comes our post today about customs documents. At Venerable Capital we are at your entire disposal to answer any questions or queries as experts in export and distribution. Follow our blog closely so you don’t miss any news, see you soon!