What You Can Expect from an Exporter of Record?
To be successful in international trade, compliance with the rules and regulations is a requirement. The International trade compliance regulations ensure conformity to trade rules description and value of trade goods, and payment of taxes and duties where applicable, and conforming to restrictions based on the country of import or export. Such processes may be challenging for many export businesses. That is why they seek the services of an exporter of record. An Exporter of Record may be an individual or an entity responsible for obtaining and ensuring export clearance documents.
Responsibilities of an exporter of record
- Adherence to custom process for the export of goods
- Cases of breach of compliance rules and regulations, the exporter of record faces criminal liability or financial penalties.
- Financial consequences in case of failure of the delivery of goods lie with the exporter of record.
- Provides information regarding shipment when required by the forwarding agents
What one can expect from an exporter of record
Though there are rarely any taxes or duties for exports, some export businesses underestimate the need for an EOR. But one needs the export processes thorough knowledge and confidence to do transactions. Below are some of the reasons why one may require an Exporter of Record.
Business and forwarding agent liaison
The process of export involves constant communication between the business and the importer of the goods. The EOR handles such communication by providing shipment details regarding the addresses and legal names, the port of origin, description, and quantity of goods and their value. That will make it easy to make an export declaration as per the international trade rules. An EOR also ensures that one gets the fair value of the goods.
Return goods policy
Some goods may arrive at the destination in bad condition due to transport and handling at the warehouse. Such export goods may require replacement or a return to the manufacturer or supplier for repairs. That process is challenging, but an exporter of records can help.
Evaluation of goods for swapping
Apart from returning goods due to damage, return policy also applies to goods due for export at the end of a contract, aged goods, or new version goods export. One should get a proper evaluation of such goods, and an EOR provides that service too.
Offer guidance in the export business field
One of the most challenging issues in the export business is the violation of customs laws. Business entity negligence can result in high penalties, but an EOR preempts an exporter on such concerns and guides them to deal with them.
An EOR plays a role in international trade and makes it easier for all the stakeholders. They also keep the records for up to five years in case of audit purpose requirements. A service provider with expertise, experience, and proven track record will ensure timely delivery, legal compliance of shipment regulations adherence across the globe for the benefit of both the seller and the buyer.