In the context that the economy is entering the process of integration and development, the role of the export industry becomes even more important. The process of exporting goods again includes many steps and is closely related to each other. So what is the process and procedures for exporting goods? Refer to the following article of MIP to better understand this process!
1. Contract negotiation and signing
The first step in the process of exporting goods is also the most important. This is the decisive step to the company's profitability. You have to negotiate with the customer and finally come to the conclusion of a foreign trade contract for the export of the shipment.
2. Apply for an export license
In case your company does not have an export license. You must apply for an export license as a single-use application.
3. Make a booking and get an empty container
If your company's shipment is sold on CIF terms then you must contact the shipping line or FWD to find the best ship price for shipping the shipment. In case you sell on FOB terms. You will not need to contact the booking ship that consignee is the one to book.
The process of taking empty containers at the port: Go to the port to exchange for booking confirmation at the port deal after issuing CIF and having a booking. This work helps confirm with the shipping line that you have agreed to take the container and seal. When exporting by FOB, you will receive a transport confirmation and exchange it for a booking, then do the same with CIF.
4. Prepare for export and check for export
After the customer agrees on the proforma invoice. You need to plan to produce goods to ensure the quantity and quality as committed in the contract.
The next step in the process of exporting goods after a booking is made is to plan to take the container to pack and check the goods a second time before sealing.
5. Packing, shipping mark (shipping mark)
Packing at warehouse:
During this period, the import-export department needs to coordinate with the technical department and workers at the factory to pack the goods. You must write all information on the shipment at the request of the customer (because it is related to the foreign trade contract). The information includes: item name, country of manufacture, net weight, tare weight, shipping instructions (fragile goods, bulky goods, ...).
Packing at the port:
The process of packing goods at the port is quite similar to packing goods at the warehouse. However, packing goods at the port requires more paperwork and procedures. Normally, when packing goods at the port, they will have to hire workers to pack the goods at the port.
6. Buy shipment insurance
Contact insurance companies to purchase insurance for your shipment. The insurance limit will be completely dependent on the value of your goods. For normal goods, the insurance purchase rate will be 2% of the total value of the goods. In case the shipment is exported under FOB or CNF terms, there is no need to purchase insurance.
7. Customs clearance
This is a very important step in the process of exporting goods. This step includes the following tasks: opening the customs declaration, registering the declaration, paying the fee, taking the declaration, liquidating the declaration, entering the ship's book, and actually exporting the customs declaration.
Open customs declarations:
To be able to open a customs declaration, you need to fully prepare the following documents: introduction letter of forwarder; receipt of dossiers issued by customs (2 copies); customs declaration (2 copies); foreign trade contract (copy); commercial invoice (invoice) and packing list (packing list).
Register declaration:
The registrar will rely on the information on the declaration opening step to enter information and submit it to the customs leader to sign for the export shipment to be cleared. If the shipment does not have any problems, it will be allowed to enter the green channel. Conversely, if the consignment falls into the category of inspection, it may enter the yellow channel or the red channel.
Fee payment:
You must pay the customs clearance fee.
Get the declaration:
The customs department will write the container number and seal number on the back of the declaration (customs section).
Liquidation of declarations:
The customs clearance person will present the completed declaration for the port sales officer to check if the container and seal have been lowered and lowered correctly. After this step is completed, the container will be received into the port's system.
In the train book:
When the container has been unloaded, the next will be in the ship book. The forwarder must sign the handover record and confirm the condition of the container.
Actual export of customs declaration:
After the shipment has been delivered to the customer, the forwarder must make the actual export of the shipment, including the following documents: customs declaration (1 original, 1 copy), commercial invoice (1 original), sea waybill (ship bill).
8. Ship delivery
The next job after completing the clearance for the shipment is that you must provide bill details for the shipping company to make the bill of lading. This step must be performed before the closing time and before the actual export step. Delivery to the ship will be ended when you have received the bill of lading, which can be the original bill (3 copies) or surrendered bill.
9. Payment for goods
The final step in the process of exporting goods by sea is payment for goods. In this step, the person doing import-export procedures must complete a set of payment documents including: commercial invoice; packing list (packing list); sea waybill; Certificate of Origin (C/O) and Fumigation Certificate. In case you pay by L/C, you must submit a set of documents to the guarantor bank
Hopefully with the information that MIP has just shared above. Helped you get a more complete view of the process of exporting goods by sea. Currently, we are one of the best logistics service providers. Thanks to that, it will help you complete the import and export procedures professionally and quickly. Contact us today for the best support!
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