The Role of Freight Forwarders
The role of the freight forwarder is to
facilitate the smooth transit of import or
export goods through sea or air ports
Importer Arrangements
• One agent covering all ports
• Several agents at several ports
• Some importers do their own
clearances
Responsibilities
• Completion and lodgement of CVED
• Preparation of customs documentation
• Lodgement of Original Bill of Lading
with shipping line (proves ownership)
• Scheduling of delivery
Clearance Procedures
• Supplier and importer details (SITPRO)
• Declare fiscal information (VAT number)
• Provide customs commodity code and
any preferential rates
• Declare the Customs Procedure
• Account for any duties payable
CHIEF
• Customs Handling of Import and Export
Freight
• The information required is as follows:
Part 1. Consignor, Consignee & Agent Details
Part 2. Manifest / Container / Ship detail
Part 3. Value Detail
Part 4.a Consignment Detail 1.
Part 4.b. Consignment Detail 2
Note CVED number and weight – without this detail, Customs entry will not be accepted clearance will not be granted.
Part 5. – Levy / Duty Amounts Payable
The final entry is transmitted to customs
and two documents are produced:
-
C88 SAD (Single Administrative
Document)
E2 Accounting document
Example of the Completed C88
Meanwhile….port health are delighted with the
consignment. The following documentation is
faxed to Customs:
C88 SAD
E2 Accounting Document
Suppliers invoice
Copy CVED
Copy Port Health release
Other documents (licence/cert of origin)
Payment of Duties
• Cash/Bankers Draft
• Electronic transfer of funds
• Guarantee/Deferment Account
(deducted 15th day of following month)
Transport
• Freight forwarder has to make
judgement on when container will be
released. Why?
• Ports limit lorries arriving for collection
• Some days busier (Monday and Friday)
• Limited haulage contractors
Demurrage
• Cost of renting a container
• 6-7 days delay can add £500 to
clearance costs
• Intended profit on a container of beef
may be 2 to 3,000 pounds sterling
Thank you
Liz Murphy
Director
International Meat Trade Association
E Mail: [email protected]