FBA ID: THE ULTIMATE FAQ GUIDE

This guide gives you answers to all your burning questions about FBA ID.

So, if you want to learn more about FBA ID, read this guide.

What Is FBA ID?

FBA stands for ‘fulfilment by Amazon’ and it is a service from amazon that helps sellers to store, package and ship their products.

The FBA ID is an identification number that is assigned to shipments that fall under FBA shipments.

If the seller decides to split a shipment into different portions, each portion will carry its own FBA ID. Every shipment that has an FBA ID goes to an FBA warehouse for storage and packaging.

Why Does Amazon Need Shipment ID?

In cases where a seller’s shipment is divided into portions, each portion gets a different shipment ID. The ID is unique to the particular shipment and helps amazon determine what warehouse your package goes to.

The shipment ID allows amazon to identify what you are shipping, in order to send it to the right warehouse location.

Is There Difference Between Amazon Shipment ID And Amazon Reference ID?

The amazon shipment ID and reference ID mean the same thing.

They are a string of identification numbers that amazon assigns to FBA shipments to help identify the shipments at the warehouse.

How Do I Find My Amazon Reference ID?

Once you set up your shipment on the amazon seller central website, you can find your reference ID on the website in 3 easy to follow steps.

The first step is to click on ‘replenish inventory’ on the website.

At the bottom of the page that opens up, click on ‘work on shipment’. This is step 2

The ‘work on shipment’ page is where you will find your amazon reference ID and FBA ID.

For every ‘work on shipment’ you will find a reference ID and an FBA ID as well.

When Will I Need To Use An FBA ID?

Your FBA ID needs to be on needs to be on your amazon shipping label, for easy identification purposes.

How Do I Manage My FBA Shipment?

In order to create and manage your FBA shipment, you need to first create a shipping plan.

The shipping plan notes what products you’re shipping to amazon and their quantities.

The shipping plan also identifies the method of shipping and what carrier you decide to use.

To manage your shipment, you go the ‘manage inventory’ page and then the ‘send/replenish inventory’ to choose the items you want to ship.

After creating the shipping plan, the next thing is to verify your shipping address, then how you want to package your goods.

You can then manage your shipment and input whatever information you want on the amazon seller central website.

Can I Deliver To Amazon FBA By Myself?

No!

A seller cannot deliver to amazon FBA by themselves. The seller cannot choose which warehouse their goods go to as well.

You can only use trucking firms, FEDEX, UPS and the likes, but only when you book an appointment.

You can learn more about Shipping to Amazon FBA.

How Do I Create an Amazon Shipment Plan?

Before shipping your goods through amazon FBA, you need to first create a shipment plan.

You can do this by following the steps below:

STEP 1

The first step is to go to the ‘manage inventory’ page and select the products you want to ship.

In selecting your products, you do not need to divide them according to their SKUs.

If you split your shipment by SKU, amazon might spread them across more fulfilment centers than needed.

STEP 2

The next step is to go the ‘send/replenish inventory’ page from the menu and then select ‘create new shipping plan’

STEP 3

After creating a new shipping plan, the next step is to choose the address from which you will ship your goods.

This address should be that of the warehouse from where amazon will move your goods to the fulfilment center.

Sometimes, amazon assigns your goods to a fulfilment center depending on what ‘ship from’ address you choose.

STEP 4

The next step is to go to the ‘continue to shipping plan’ page. After this, you set the quantity of goods you want to ship to amazon.

STEP 5

You then proceed to prepare the goods for FBA shipping, and label the products accordingly.

STEP 6

The next step is to go to the ‘review/view shipments’ page to see what fulfilment center amazon assigns to you.

STEP 7

After getting your amazon fulfilment center, the next step is to review all your shipment details before approving the shipment plan.

STEP 8

The next step is then for you to approve the shipment plan. After creating your shipment plan, the next step is to go to the ‘prepare shipment’ page.

The final thing to do is to select your final delivery method.

Can I Have Multiple FBA Locations In One Shipment?

Yes! You can have multiple FBA locations in one shipment.

For every FBA location, you get a different FBA ID, so one shipment can have multiple FBA IDs as well.

How Can I Send My Shipment To One Amazon Fulfilment Center?

You can send your shipment to one center by signing up for the amazon’s “inventory placement service”.

Although this does not guarantee that amazon still won’t split your shipment to different centers.

This service allows amazon to assign different units of the same product to one fulfilment center.

Can I Choose Which Fulfilment Center My Shipment Gets Sent To?

No, you cannot choose the fulfilment center. Amazon alone determines which fulfilment center to send your products.

What Is The Difference Between FBA ID And the Amazon Ship-to-Warehouse Code?

The FBA ID is the string of numbers that amazon assigns to your products to show that they are FBA products.

Besides, the ship-to-warehouse code on the other hand consists of a combination of letters and a number.

The letters in the code represent the location of the warehouse designated for your products.

Does Changing My Inventory Placement Option Affect Any In-Progress Shipments To Amazon FBA?

Changing your inventory placement option does not affect shipments that are already in progress.

The only shipments that an inventory placement option change affects, are shipments that come after you make the change.

You can add the changes to your ‘in-progress’ shipments by deleting your shipping plan and recreating it after changing your settings.

To recreate your shipping plan, you need to follow the steps below:

  • Go to ‘shipping queue’
  • Click on ‘deleted’ then choose the shipping plan you want
  • Go to the ‘send/replenish inventory’ page, and click on ‘duplicate’

Taking the above steps helps you to include your current shipments in your new inventory placement option.

What Is The Amazon FBA Shipment Preparation Process?

Different products require different process to prepare them for amazon FBA shipping.

You can either opt for amazon to prep your products for shipment or prep them by yourself.

Here is a list of common products and their preparation process:

Loose Products

  • You have to package all parts of the product as one unit. For example, books with multiple volumes have to be in one single package.
  • You cannot ship products that have multiple parts for amazon to assemble as one unit
  • If the product is footwear, you have to package it in polybag or a shoebox to prevent any part of the shoe showing.

Sold As Set

  • For items that come in a set, you have to label them accordingly to ensure that they sell them as a unit. Labels such as ‘sold as set do not separate’.

https://youtu.be/0jHlK5vXCXs

Boxed Units

  • The box must have six sides
  • You must seal the lid or opening of the box tightly, either with duct tape or other adhesives.
  • The box must be strong enough to withstand slight pressure on any of its sides
  • Boxes with perforated sides or openings undergo a drop test. If the product fails the drop test, you put it in a polybag with a warning label on it.

Polybagged Products

  • Polybags that have large openings must come with a warning label against suffocation to avoid amazon re-bagging them.
  • The warning label must be prominent on the bag and in legible font size
  • The polybag has to be 1.5 millimeter thick
  • All polybags must be transparent and have a barcode that you can scan through the bag.
  • You must seal the polybags totally
  • The polybag must not be more than 3 inches bigger than the measurements of the product
  • You have to package adult products with dark colored or opaque polybags
  • If the product is highly scented, you have to seal the bag tightly to prevent the scent from entering other products

Bubble Wrap

  • You have to wrap the package tightly to keep the product from falling out.
  • There has to be a barcode that you can scan on the outside of the bubble wrap
  • Packages in bubble wrap must pass through a drop test from a 3-foot distance.

Overboxing

Certain products need extra packaging apart from the package they have already. That is, some products need to be put in boxes even if they come in boxes from the manufacturer.

These products include:

  • Items with sharp edges that can tear through their wrapping material
  • Fragile items that did not pass the 3-foot drop test with bubble wrap or that require extra carefulness to handle
  • Vinyl records
  • Liquids with dangerous chemical contents that come in glass containers more than 4.2 ounce

Removal Of Hanger

You have to remove the hangers of most clothing items before shipping them. Items like accessories, shorts, socks, swimwear, underwear, hosiery and hats.

There are some exceptions to this rule though. Those items that have to remain on their hangers for shipping include:

  • Expensive dresses that cost more than $299.99 or contain embellishments or fragile material that cannot be stored flat.
  • Suit jackets, suits or blazers
  • Other expensive clothing item like sleepwear, pants or shirts that cost more than $299.99 each.
  • Clothing with expensive material like leather and fur.

Taping

Some products require extra tape around them asides the regular tape from the manufacturer.

Items that require extra taping include:

  • Products that are loosely packed inside their boxes and may fall out without the extra tape
  • Liquid products that require extra taping on their lids to prevent leakage

Mattresses

  • You have to package the mattresses inside corrugated boxes
  • Classify the mattresses appropriately when setting up new ASINs. Under home & kitchen, go to furniture, then bedroom furniture, mattresses & box springs, and finally, mattresses.

Products In Cases

  • All products in one box must come in uniform packaging and condition
  • Boxes containing the same product must always have same quantities of the products in individual boxes.
  • You cannot have more than 150 units of products per case
  • The fulfillment center does not need to scan all of the boxes since they all have uniform contents.
  • If the manufacturer has cause too package more than one case pack in a bigger box, they need to separate the box from the rest.
  • The cases must not have any bar codes on them. Only the contents should have bar codes.

Expiration Dates

  • The format for printing expiration dates is MM-DD-YYYY or just MM-YYYY.
  • You have to print the expiration dates on both the outer box and the individual units as well
  • Any extra wrap or boxes must have the expiry dates for easy access at check-in

Other shipment preparation process that you should note are:

  • You cannot send publicity materials such as tags, pamphlets or pre-priced label, as amazon will not accept them.
  • For safety purposes and to prevent accidents, use only safety knives during product prep and packaging.

What Are The Labelling Requirements For Amazon FBA Shipments?

Amazon FBA shipments come with different labels, depending on your final delivery method. They can have FNSKU labels, FedEx carton labels, FBA carton labels or pallet labels.

  • FNSKU labels: every product on amazon must have an FNSKU label to mark it as unique to its seller. This label type is put on individual product units and not on the packaging as a whole.
  • FBA carton labels: you generate this label on the amazon seller central website. Shipments that have multiple FBA IDs will also have multiple FBA labels. It is your responsibility to get this label to your supplier so that they can label your shipment(s) appropriately at origin.
  • Pallet labels are applicable for shipments that you choose to palletize or that need to be palletized for shipping. If you decide to use pallets to transport your goods, you need to label them accordingly.

Different products have different labels depending on who your supplier is, and who delivers the products to amazon for you.

What Is A ‘Ship From Address’ In Amazon FBA Shipping?

A ‘ship from address’ is the address of the warehouse from which you ship your goods to amazon fulfilment centers. The FBA center that amazon assigns to you is sometimes determined by your ‘ship from address’.

What Documentations Do I Need To Provide My Forwarder When Shipping To Amazon FBA?

The documents you need to give to your freight forwarder to ship to amazon FBA include:

  • Commercial invoice: a commercial invoice is an important document for customs clearance. It usually contains every detail about the sender and the receiver. The commercial invoice also has the full description of every item in the shipment.
  • Bill of lading: this document is also called air waybill when you use air freight to deliver. Amazon will give you this bill of lading to acknowledge receipt of your shipment, then you can forward to your freight forwarder.
    The bill of lading also contains description of your goods, the weight, number of boxes, etc.
  • Certificate of origin: you need to state what country manufactured the products. That is what a certificate of origin contains. It could also contain other information like the destination of the products and countries of export.
  • Packing list: this document provides packaging details for your freight forwarder. The dimensions of the package and its weight are also information that the packing list contains.
  • Shipper’s letter of instruction: the SLI is like an instruction manual from you, the sender, to your freight forwarder. You can include any extra handling instructions and information about your shipment destination in this document.
  • Booking confirmation: this document is to confirm that the freight forwarder is processing your shipment order. The booking confirmation document is mostly for transparency and clarity purposes.
  • Material safety data sheet (for hazardous goods): the MSDS is only necessary if you are shipping harmful chemicals. The document contains all details about the properties of the chemicals, how harmful they are and their reactions with the environment.
  • Letter of credit: this document is issued by a bank on behalf of the buyer. It is like a guarantor’s note from the bank stating that the bank will take responsibility if the buyer defaults.

What Is The Transit Time For Shipment From Destination To Amazon FBA?

The transit times for different shipments can best be explained by the images below:

How Can I Track My Shipments To Amazon FBA?

To track your shipments, go to the amazon seller central portal, then click on inventory. When the drop down menu shows, select ‘manage FBA shipment’.

You can also track individual SKUs through the ‘manage FBA shipment’ tab as well.

Is Amazon Reference ID Same As Tracking ID?

The amazon reference ID is the identification number that allows amazon to identify shipments that are FBA.

Each FBA shipment has a unique tracking ID that you use to monitor the movement of your shipment.

What Happens If I Don’t Ship Products As Stated In My Approved FBA Shipping Plans?

You have to ship your products according to your approved FBA shipping plans. If you change any part of your shipping plan after shipping, amazon will notify you.

Amazon reserves the right to suspend you from sending your shipments to them if you default multiple times.

That is, if you keep shipping products without complying with the approved plan.

At Tj chinafreight, we can help you when shipping from China to Amazon FBA.

For any questions or inquiry, contact Tj chinafreight now.

Material Safety Data Sheet: The Ultimate FAQ Guide

All information you’re looking for about material safety data sheet is in this guide.

So, if you have any question about material safety data sheet (MSDS), you will find the answer right here.

Keep reading to learn more.

What Is An MSDS (Material Safety Data Sheet)?

This is a safety document that contains extensive details and comprehensive information regarding a particular product.

The material safety data sheet contains information relating to;

  • Emergency control measures.
  • Instructions for safe handling, storage, and use of these products.
  • Chemical properties
  • Physical properties.
  • Health effects as a result of exposure to these products.

You can write, print, or write the material safety data sheet and it must meet WHIMS legislation regulations.

This means it should meet content requirements, availability, and design.

What Is The Purpose Of An MSDS Sheet?

The main aim/purpose of the material safety data sheet is to provide all necessary information about a product that is under transportation.

This means transporting the product to only an authorized person and also safe handling.

Normally the content you find in these material safety data sheets varies depending on the nature of the product that manufacturers provide.

There is no limitation to the information you can include on the material safety data sheet.

The material safety data sheet also contains the following information;

  • The safe handling procedures.
  • The reactivity of the product. Storage of the product and proper disposal.
    This especially happens for hazardous products.
  • Physical properties of this product such as the boiling point.
  • The first aid procedures
  • The toxicity of the product.
  • Preventative measures.

Which Product Need Material Safety Data Sheets?

It is important to have a material safety data sheet for all the potentially hazardous chemicals. This is a recommendation by the OSHA hazard communication standard.

Additionally, the safety data sheet ensures that all employees working in environments with chemical hazards have all information.

This allows them to safely use, handle and store these chemicals appropriately.

Under the model work health and safety, there is no need of preparing the material safety data sheet.

Some of the documents you do not need to prepare include;

  • Hazardous chemicals in portable fire-fighting or medical equipment for use in workplaces.
  • Portable liquids that are consumer products at premises of work.
  • Therapeutic products at the point of international intake by or administration to humans.
  • Fuel in fuel containers of a domestic or portable fuel-burning appliance where the quantity of fuel does not exceed 25 liters.
  • Chemicals in batteries while you incorporate them in a plant.
  • Products made out of tobacco products.
  • Veterinary chemicals at the point of administration to animals.

When Were MSDS Introduced?

During the nineteenth century, facts have determined the manufacturers were supplying some sort of datasheet to clients.

The issuing of this datasheet would either be by demand or tagging along with the client’s products.

This means the first parameters of MSDS have been dealt with.

A good example of the earliest MSDS has been written by the valentine and company of 1906.

During this period, it was hard to reconstruct the MSDS due to the following factors;

  • Existence of information on manicures files on early datasheet which they seem too reluctant to part with it.
  • The constant habits of chemists to dispose of old datasheets while new ones appear.

What Are The Sections Of MSDS?

The original version of the material safety data sheet contains so many formats as the manufacturers would find.

This as result confuses and lost time in the event the employees in them the most.

To cab, these regulatory authorities prescribe the use of a 16-section format.

These regulatory authorities include OSHA and Globally harmonized system structure of safety data sheets.

Below is a breakdown of sections of the material safety data sheet;

Section 1 to 8 of the safety data sheet contains more critical information on;

  • Emergency times
  • Manufacturer and the response emergency contact.
  • Hazard details.
  • Chemical composition.
  • Safe handling practices as well as emergency control measures.

Example fire-fighting.

Section 9,11 and 16 normally contains technical information which is inclusive of;

  • Chemicals and physical properties.
  • Reactivity and stability information.
  • Exposure control information.

Section 12 to 15 contains information on;

  • Environmental impacts.
  • Product disposal considerations.
  • Transport and regulatory information.

The numbering and heading of these sections should remain with high consistency that the globally harmonized system structure of SDS format.

How Do I Get An MSDS Sheet?

You can request or acquire the material safety data sheet for the supplier, manufacturer, or the importers of hazard chemicals.

Most cases, manufacturers and suppliers produce the material safety data sheet electronically where you can access them on their websites.

Supply of material safety data sheets to workplaces can be done under the following conditions;

  • When you first supply hazardous chemicals to a workplace.
  • First-time supply of hazardous chemicals after the amendment of the material safety data sheet.

The supply of hazardous chemicals to workplaces occurs for the first time every five years.

When Is The Manufacturer Supposed To Supply An MSDS?

Manufacturers should include information on hazardous chemicals on the material safety data sheet.

The manufacturer will supply these MSDS to customers if it is their first time purchasing the product.

This allows the user to be aware of possible accidents and preventative measures to take.

Is There A Difference Between An MSDS And SDS?

There are the various distinctive differences you find between the material safety data sheet and safety data sheet.

These differences include;

MSDS is a safety document that contains comprehensive information regarding a certain product.

SDS is a document that works in alignment with a globally harmonized system.

It requires manufacture, distributors, and imports to downstream users.

Material safety data sheet comes in a different format making it hard to impose regulations. Hears, using the safety data sheet makes it easier for employees to find the information they need regarding the chemicals.

There is no review of the MSDS making it hard for the employees to interpret.

The SDS is simpler and more effective as a result of OSHA standardization allowing it to work with globally harmonized system.

This allows the employees to quickly find the information they need about the chemical.

The safety data sheet is user-friendly and contains standards such as the use of a 16-section format.

Unlike the MSDS which have only 9 sections which have a great variance in structure and information.

The safety data sheet uses signal words such as warning, danger to provide instructions to the employees.

On the other handmade does not use any signal words.

Where Can I Find MSDS And SDS On The Internet?

There are several internet sites that you can find material safety data sheets and safety data sheets.

They include;

  • SDS pro
  • ChemExper
  • University of Akron
  • Conform-Action Data System.
  • Chemical safety software
  • MSDS online by VelocityESH.

The above is just the general internet sites.

You can look further on internet websites such as

  • Government and non-profit sites.
  • Chemical manufacturers and supplier’s sites.
  • Pesticides (insecticide, nematicides, fungicides) including fertilizers sites.

Can I Re-Use An MSDS In Shipping HAZMAT?

HAZMAT is also known as a hazardous material.

These are solids, liquids, or even gas that can cause harm to humans, organisms, property if they are not kept well.

Such materials include batteries, perfume, and paint among others.

You can use the same material safety data sheet recurrently if the shipment of the hazardous materials is still the same.

For instance, you can re-use the MSDS for lithium batteries in various ways as long as you use the same lithium batteries.

You will need to provide the material safety data sheet for every single shipment to prove there are no changes in the hazardous material.

You should ensure proper packaging, labeling and provide all the documentation.

These documentations guarantee the shipping of these hazardous materials.

How Do I Manage Material Safety Data Sheet?

The hazard communication standard requires that you provide all employees with information about chemicals they interact with.

To manage material safety data sheet ensure you;

  • Maintain hazard communication program that entails the plans in place of handling these chemicals.
  • Maintain a written chemical record of the hazardous chemicals available in the facility.
  • Ensure proper labeling and proper warning signs that associate with the chemicals you regard to be hazardous.
  • Provide training to employees on the chemical hazards and the available necessary precaution measures.

Are MSDS And SDS Interchangeable?

Yes, the Material safety datasheet and safety data sheet are interchangeable.

MSDS comes in different formats and styles amongst them being the 8 section OSHA material safety data sheet.

A globally harmonized system mandates the use of a single GHS format for safety data sheets contain 16 sections in an ordering format.

The sole purpose of both the MSDS and SDS is unchangeable.

They provide information on occupational health and the safety of using certain products or substances.

If you looking for information on products and what to do in case of exposure as a result of spillage, check on MSDS and SDS.

The globally harmonized system safety data sheet format is almost identical to that of the ANSI, even though there is a little modification.

Standard 16 section MSDS

Who Establishes the Requirements for MSDS And SDS?

The requirements for material safety data sheet and safety data sheet varies with regions.

For instance, the MSDS requirements vary from source to source in a country depending on national requirements.

But with the safety data sheet, the format requirement is standard internationally.

For instance, in Canada, the Workplace Hazardous Materials Information System is responsible for establishing the SDSs

Are There Exemptions To MSDS And SDS Rules And Regulations?

Material safety data sheet and safety data sheet rules and regulations govern only products that meet the definition of being hazardous.

Additionally, these hazards are present in the workplaces and the employees are at greater risk due to these products’ exposure.

Anything else that does not pose an occupational health threat is exempt from MSDS and SDS rules and regulations.

The following are some of the items that exempted from the MSDS and SDS;

Articles

This means items that have already been manufactured.

These articles contain features such as;

  • The article is made of specific shapes and designs during manufacturing.
  • It has end-user functionality depending on part or whole shape or design during the end usage.
  • Article douse not release or result to exposure to hazardous chemicals on normal conditions

If any products that meet the definition of the article are exempt from these rules and regulations.

A good example is a copper electrical wire you find in most hardware they fit the definition of the article therefore, no need for SDS.

Unlike the copper wire ingots that are under shipment to the manufacturer do not meet the definition of the article and require SDS.

Food, Food Additives (Colors And Flavors), And Alcoholic Beverages.

Food and alcoholic beverages are exempt from the MSDS and SDS rules and regulations.

The most common ones are the ones we sell, use or prepare in retail establishments such as drinking places or grocery stores.

Additionally, food meant for employee consumption while in the workplace is also exempt from these rules and regulations.

Note, if on normal conditions the product results in hazardous exposure for employees handling the product, then there is a need for MSDS and SDS.

For instance, flour dust has a high possibility of explosion hazard therefore there is a need for MSDS and SDS.

Cosmetics

Packaging of cosmetic products for consumer personal use or use in a retail establishment is exempt from MSDS and SDS rules.

This means is have a retail supermarket selling prepackaged cosmetics you do not need MSDS and SDS rules.

However, if you are selling in local salon shops you will need MSDS and SDS rules and regulations.

Drugs And Pharmaceuticals

There is an exemption of drugs under food and drug administration.

This means all solid drugs such as pills or tablets that you can directly administer to patients’ is an exemption by the FDA is the drug is;

  • In the solid form which you can administer directly to patients.
  • Packaging of drugs by chemical manufactures for sale to the consumer with retail establishments.
  • Drugs that are meant for consumption by the employees while still in the workplace such as first aid supplies.

If you are a pill manufacturing company you will need MSDS and SDS rules and regulations.

Tobacco And Tobacco Plant

Normally, the HazCom standards do not have any regulations on tobacco and tobacco plants.

Therefore, the material safety data sheet and safety data sheet rules are not applicable.

Hazardous Waste And Remediation

The Hazcom standards do not apply for;

Hazardous waste is a definition found in the solid waste disposal act.

Hazardous Substance.

Ensure proper labeling of these products to help your account for the waste materials.

For instance, a pant bottle with labeling unused thinner paint needs MSDS and SDS.

But if the labeling reads hazardous material it means its already a waste product

Wood And Lumber

HazCom standards do not apply to wood or wood products such as lumber.

This is because the manufacture cannot process it there are reasons of hazard such as combustion.

Wood preservatives pose a possible hazard therefore there is a need for MSDS and SDS rules and regulations.

What Is The Minimum Amount Of Material That Requires An MSDS?

The Hazcom standards do not have any specifications of the minimum amount of material that requires MSDS.

Normally, chemicals contain high concentration that is more dangerous even for an expose of a milligram.

You will find other chemicals with no these hazard effects.

It’s hard to sit down and determine the potential risk/toxicity of chemicals of over 114,000 chemicals compounds and their mixture.

With the exemption of only chemicals that release small quantities.

This means only a small trace is detectable from the hazardous chemicals when in use under normal conditions.

More so, the immediate emergency is a result of employees being exposed to these hazardous chemicals.

When determining the amount, it can also be relatively very low but cause great harm to the employee.

For instance, the release of gas content from the cylinder poses a high danger this is per the OSHA standards.

It states the release of ammonia gas as little as 2 ounces requires MSDS regulations.

In conclusion, you will require a material safety data sheet in all cases unless there is no like hood of any harm.

Who Can Write An MSDS?

Ideally, anyone is capable of writing the material safety data sheet.

To achieve this, you need to fill out all the OSHA requirements elements under Hazard Communication Standard.

Another determinant is whether you have enough skills to write a complete and accurate material safety data sheet.

With the implementation of the hazard communication standard 2012, there are tremendous changes such introduction of;

  • pictograms
  • Precautional statements
  • Signal words among others.

You can also hire professionals if you want MSDS that is a more complex one and also to reduce the hassle of writing without any knowledge.

Additionally, you can outsource the material safety data sheet if you are cannot capable of producing one that meets OSHA requirements.

What Should An MSDS Look Like?

MSDS hold contains all the relevant information despite the differences in structure organization.

It should contain hazardous information, recommendable exposure limits, physical properties, control methods and comply with regulations.

MSDS should be simple and easy to understand.

To achieve this avoid using jargon words that will confuse you.

Additionally, MSDS should contain accurately complete and up-to-date information.

What Language Does An MSDS Need To Be In?

Most of the countries have regulations regarding which language the material safety data sheet should be in.

The language should be the native language that the countries use.

For instance, in the U.S they use English; therefore, the MSDS should be in English.

The distributor or manufacturer of the product is responsible for writing the MSDS in the native language of that country.

This allows easy interpretation of the information by the employees working in workplaces with a high risk of exposure to these chemicals.

Are MSDSS Copyrighted?

It’s very hard to determine if the material safety data sheet is copyrightable.

Mostly, manufacturers or distributors must issue the MSDSs to employees at no cost.

This criterion reduces the need for copyrighting material safety data sheets.

With the OSH standards in place, a standard format and language are a necessity on the MSDS. This makes it impossible to have copyright enforcement.

It’s possible to argue that MSDS contain facts that do not guarantee enforceable copyright.

Provision of the MSDS for free by the manufactures makes it hard for them to prove if they experience a major blow.

This means someone else can use the idea without getting authorization from the manufacturer.

Inclusion of any original ideas or artwork on the MSDS requires you to copyright to prevent theft

Do I Need To Keep Copies Of MSDS S And SDSs?

You should keep all copies of the material safety data sheet and safety data sheet for the chemicals you have in the facility.

These copies of documents should be accessible to the employees who use, handle and store these chemicals.

Also, the emergency service employees or any other employee should have access to these copies easily.

There is a restriction on when to provide access to the material safety data sheet and safety data sheet copies.

This is under the Model WHS Regulations.

You should not give access to MSDS and SDS when;

  • Hazardous chemicals are under shipping.
  • If you have retail business and the hazardous chemical is a consumer product for supply. This means you shouldn’t open this chemical product.
  • Hazardous chemicals are consumer products with information on quantity usage, especially on household usage.

Do I Have To Use A Hardcopy Or Are Computer-Based MSDS S Acceptable?

Both of these options are acceptable by the hazard communication standard.

This permission comes with a condition of no hindrance should occur whether the employee is trying to access the copies.

The paperless compliance method is recommendable under the OSHA standards.

Because it’s performance-based just as the Hicom standards.

The OSHA standards require;

  • MSDS should be readily accessible to the employee with no hindrances.
  • Provide training to the employees on the use of these devices including available software.
  • Availability of adequate backup systems and written plans for use in case of emergency such as online access delays.
  • The system of electronic access which is a requirement in hazard communication program.
  • The immediate accessibility of hardcopy information by workers or response team if need be.

What Are The Penalties For Non-Compliance To MSDS Requirements?

Normally, full compliance to set standards involves employees dealing with the hazardous chemical have ease of access to MSDS information.

Failure to these results in serious violations such as;

  • Failure to provide the necessary material safety data sheet.
  • Failure to provide MSDS DURING THE TIME OF SHIPPING.
  • Failure to provide MSDS upon request.
  • Failure to make the MSDS readily available to the employees.
  • Failure to provide system back up especially when using the electronic access method to MSDS.

The maximum penalty by OSHA regulations for serious violations ranges from $7,00 to $12,471.

For willful violation, the penalty set by OSHA is $70,000 to $124,709.

How Can I Confirm The Accuracy Of An MSDS?

To check and confirm the accuracy of the material safety data sheet follow the following procedure;

  • Contact the manufacture and request for more accurate MSDS.
  • Ask the employer to obtain a more accurate MSDS.

The employer has the obligation of providing accurate MSDS to the employees.

They can request accurate MSDS from the manufacturer or the supplier.

  • Look out for the substance on the internet to get accurate information.
  • Contact your union for assistance in confirming the accuracy of the material safety data sheet.
  • Check on the hazardous chemical information system.

How Often Should MSDSs Be Reviewed?

Review of the MSDS normally takes place after every three years.

Availability of new information before elapsing of the 3 years requires the supplier to update MSDS and product label.

Unavailability of new information at the end of three years requires the supplier to;

  • Review the material safety data sheet.
  • Review the label for accuracy.
  • Revision of the MSDS where necessary.
  • Revise the preparation dates of the material safety data sheet.

Do Material Safety Data Sheet for Dangerous Goods and HAZMAT Need Official Approval?

Yes, official approval is mandatory for MSDS for dangerous goods and HAZMAT.

For instance, you will find food and food products are not exempt under hazard communication standards.s

This means if under normal condition use, these products result in hazard exposure to employees using it there is the involvement of MSDS rules.

Do Material Safety Data Sheet Expire?

OSHA requirements for the manufacturer or suppliers are to write or outsource material safety data sheets.

This is inclusive of all hazardous chemicals they import or produce.

The MSDS you be in the first shipment of these products.

If there is any update on the MSDS it should be sent within 3 months of the new information regarding the hazardous chemicals.

From the above information, it’s clear MSDS do expire.

This expiration is dependent on new information regarding hazardous chemicals.

How Often Does MSDS Need to Be Updated/Replaced?

Update of the material safety data sheet depends on whether you are a manufacturer or an end-user.

If you are a manufacturer the following are the OSHA requirements you should adhere to regarding updates of MSDS;

When writing the MSDS ensures all the information is the same as the scientific evidence behind the classification of the chemicals.

If there is new information you should include it on the MSDS.

This may include new preventative measures or new chemical hazards.

This update takes place after every three months.

If you are an end-user, you have the responsibility of always having the latest version.

This information should be readily available to all the employees in workplaces.

If you do not have the latest version, request your supplier to issue one to you.

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National Export System: The Ultimate FAQ Guide

This guide will answer all your questions on the National Export Systems (NES).

So if you have any questions about NES, read this guide.

What Is The National Export System?

This is a computer-generated system that allows for the electronic export declaration of your goods.

You need to have this system if you are planning to export from the UK.

Its operation is within the guidelines of a national electronic CHIEF (customs handling of import and export freight) system.

What Are The Functions Of NES In UK Export?

There are different functions that NES performs when it comes to UK export. For instance, it is useful in the submission of all the information regarding your export.

This helps in the customs declaration and subsequent clearance by the customs authorities. It is also one of the documents you need when exporting restricted goods from the UK.

You have to indicate the license number for these goods on the NES before exporting them. NES also helps in understanding the trade volume between the UK and other countries.

This is because you have to indicate the country you are exporting your goods to on the NES. This is critical in helping the trade department analyze its trading volume with the partners.

Another function of NES is to calculate the value of your export. This is by submitting this value on the NES form.

This is vital for the customs clearance of your goods by the customs authorities.

Do I Need To Register For NES Export?

It is mandatory to register for NES export if you export your goods to countries outside the EU.

This is through applying to the customs and HM revenue. You get a CHIEF location and role after application.

You have to give your company’s economic operator registration number that is valid if you want to access the NES fully.

What Do I Need To Gain Access To The National Export System?

You have to submit the following information before accessing the National Export System:

An EORI Number

An EORI number identifies you as an operator and is valid when exporting goods within Europe.

You need to quote this number to identify you as an operator when filing your customs declaration. It is also vital when filing your summary declaration.

The central customs authority is responsible for issuing this number.

A CHIEF Badge Role

The use of a CHIEF role is vital if you are using your freight forwarder. A CHIEF badge role is available in two different types.

That is a direct trader input (DTI) badge. You need this if you are exporting controlled goods.

The DTI is available either as a simplified frontier declaration and supplementary declaration. The other type is an email badge.

This is necessary if you are submitting a supplementary declaration. You have to submit the following to activate your DTI badge:

  • An EORI with a number starting with GB
  • The name of your business and address
  • A community system provider is responsible for issuing your badge
  • the number of your DTI badge.

The following are vital in activating your email badge:

  • An EORI number starting with GB
  • Business name and address
  • an email address for use on the email badge

How Do I Obtain An EORI Number For NES Export Registration?

You can obtain the EORI number by checking with the customs authorities and registering your company’s name. You also have to submit a valid proof of address of your company and contact information.

You get the number once you pay the necessary fees.

How Do I Gain Access To CHIEF?

Two distinctive ways allow you to access CHIEF, either directly or indirectly. If you are accessing it indirectly, you have to do so through a software provider or a community systems provider.

You may access it by using an HMR web portal. The direct procedure allows you to submit your declaration using the web, email, or an XML.

Before using the direct route, you must have an Economic Operator Registration and Identification number (EORI). It would help if you also had a CHIEF badge. However, you need not apply if you are using a freight forwarder.

Each of these procedures has its requirement. You, therefore, need to check before you engage one for your use.

For instance, if you opt for a direct application, you need a Government Gateway User ID and a password. If it is your first time or you don’t have this ID, you must register before proceeding.

An email application also requires you to have a CHIEF-compatible software package and an SMTP email connection. Likewise, an XML declaration requires you to have a CHIEF-compatible software package and an HTTPS internet connection.

This is because an HTTPS connection is secure compared to an HTTP connection.

If you choose the indirect channel of filing your declaration, you need an email address, a telephone number, and a business name.

How Do I Declare Exports Under NES?

Export declaration under NES entails selecting one of the following channels:

Standard Full Pre-entry Method

When using this method, you or your forwarding agent must fill a full pre-shipment declaration form. You can achieve this by selecting one of the two ways available.

You fill it electronically through CHIEF or by manually completing the Single Administrative Document (SAD) form. However, you need to note that the manual filing process takes longer compared to an electronic process.

Simplified Declaration Method

You need to be an authorized agent or dealer if you opt to use the simplified declaration method. There are two critical things you need to have for this process to be a success.

There is the abbreviate version of your reshipment advice before export (PSA advice). You also need to have a list of all the supplementary declarations.

You have to submit the latter within 14 days shipment period.

Local Clearance Method

The use of this method is only possible if you are an authorized agent or trader. This method allows for your export declaration from an authorized inland premise.

The first step in this method is to notify your customs authority of your shipment. This is by accessing the CHIEF.

When the customs permit you, you have to remove your gods from your LCP premises. The goods arrive at your port of origin in the UK from where shipping takes place.

You have to submit a full supplementary declaration within 14 days of shipping your goods when using this method.

What Information Should I Include In My NES Export Declaration?

You have to include different information on your NES export declaration before submission. The information you include should be true and explain the details of your cargo.

Such information includes your details as an exporter. As an exporter, you need to indicate your name, address, and telephone number if they want to reach you.

Another information is the consignee details. That is their name, address, and country of origin. You also have to include their telephone contact in case they want to reach them.

The details of the goods are also a vital submission. These details include the type of cargo you are exporting, the quantity, and their final destination point.

You also have to include the packaging material and nature of the goods. Don’t forget to include the value of these goods when submitting these details.

Indicating the origin of the goods for export is also a critical aspect of submission. Origin involves indicating the address and name of the manufacturer.

A commodity code and your license as an exporter are also necessary during submission.

How Can I Submit Export Declarations If CHIEF Is Unavailable?

If CHIEF is unavailable, there are fallback procedures that you can use to submit your export declaration. The submission processes of these fallback plans are usually manual.

The fallback plans are in two categories, that is:

Short Term

This plan is suitable when the system is unavailable for 24 hours. The advantage of this process is it allows for clearance of your goods.

However, you have to key this information later in the system to allow for synchronization.

Long-term

This procedure is of use if the system is unavailable for more than 24 hours. In addition, this procedure allows for the clearance of your goods.

You don’t have to key the information later in the system.

An HMRC usually invokes fallback plans if the system is unavailable for more than 12 working hours.

What Is The Difference Between CDS And CHIEF?

The major difference between CDS and CHIEF is that CHIEF replaces the CDS as exporting goods from the UK.  This allows for exporters to access the services they previously accessed in CDS and facilitate faster goods declaration.

Does NES Export Apply To Exports Within The EU?

No. NES export does not apply to goods that you are exporting within the EU.

This is because these goods do not require any declaration since they enjoy free goods’ movement. You, therefore, do not need to apply for an EORI number and subsequent logging on to the CHIEF for ES declaration.

However, you have to go through the normal customs clearance process.

You also have to avoid exporting prohibited or restricted goods in such an arrangement to avoid getting into trouble with the customs.

Which Documents Do I Need To Export Goods From The UK?

The essence of having all the documents before exporting your goods from the UK is to facilitate the customs clearance process. There are different documents you need depending on the type of goods you are exporting.

The mandatory documents you need include:

Bill Of Lading/ Airway Bill

This document indicates the means you are using to export your goods from the UK. It consists of information like the type and quantity of the goods.

It is one of the documents that the customs use to calculate the customs duties.

Export License

An export license is a permission for you to export your goods from the UK.

If you don’t have an export license, you have to engage the services of a licensed freight forwarder.

You can obtain this license from the customs authorities.

Certificate Of Origin

A certificate of origin is a document that indicates that the goods you are exporting originates from the UK. You must submit this document since it helps the customs authorities analyze UK trade volumes.

Packing List

This is a document that indicates the goods you are exporting from the UK and their quantity. It also shows the cost of each of the goods.

The customs authorities use this document to calculate the duties to pay before you export.

Commercial Invoice

A commercial invoice is an alternative to the packing list since it serves the same function. It declares the type, nature, and value of the goods you are exporting.

Insurance Policy

The function of an insurance policy is to protect your goods against damages or loss during the shipping period. Therefore, you need to have one since it helps in reducing the loss in case of risks happening.

Different risks can occur during the shipping process. You, therefore, have different insurance policies depending on the type of goods you are exporting.

What Are Geo-Nomenclature Codes And How Are They Used In UK Export?

These refer to an arrangement of codes representing countries. They are useful in helping the UK customs authorities to analyze their trading with other countries.

The system also helps in analyzing trade discounts with other countries.

What Is A Duty Deferment Account?

This type of account allows you to pay once per month using direct debit rather than paying for each cargo. This is an account that you should have if you are an exporter or a freight forwarder.

The advantage of this account is it allows you to have a substantive cash flow and saves you on operating costs. This reduces some of the costs associated with customs clearance, such as taxes and customs duties.

You must have a guarantee before applying for a duty deferment account. The guarantee should be sufficient enough to cover the two-month liability of your business.

The best guarantee that you can have and which works in most of these cases is your commercial bank. However, this depends on the regulations of such a bank.

Do I Need A Deferment Account?

You need a deferment account if you are an exporter of goods from the UK. It helps defer payment of your exercise duty and other charges for a given period, usually a month.

Before application this account, you need to submit several aspects of your business. These aspects include the EORI number of your business, a registered company number, and an address valid on your EORI number.

If applicable, you also have to submit the VAT number, company official and director’s details, and the debt estimation.

What Is A Deferment Fee?

A deferment fee is that payment you pay later as per the agreement you have with your customs authorities. This allows you to export your goods without having to worry about these payments.

Deferment fees can be in the form of exercise duties and taxes due to the customs authorities. However, to have a deferment fee, you need a guarantee which, in most cases, your commercial bank.

What Does It Mean To Be An Authorized Economic Operator In The UK?

An authorized economic operator allows you to trade easily with other countries outside the EU. This is because you can easily declare your goods in the CHIEF system.

Are There Restrictions On The Movement Of Some Goods Out Of The UK?

Yes. There are restrictions on the movement of certain goods from the UK. This means for you to export these goods, you need a special license.

Such goods include certain medicines, machinery, drugs, asbestos animal fur, explosives, and animal-related products.

What Kind Of Goods Receive Priority When Being Exported From The UK?

Perishable goods are the only ones that receive priority when exporting from the UK. All other goods have the same treatment on a first-come, first-serve basis.

What Is The Purpose Of ECS In UK Export Control?

ECS helps harmonize procedures and offer protection to the goods you are exporting from the UK. You need to use your ECS with the CHIEF during the NES declaration.

The ECS helps the customs authorities to identify and label the goods you ate importing from the US.

Can I Exports Goods From Locations Not Linked In The UK Export System?

Yes. You can export your goods from locations that are not in the UK export system. However, there are certain factors to consider with the use of this method.

For instance, you have to declare these gods in three forms. That is, form C1601 which indicates the arrival of the goods for export.

You also have form C130EX, which permits you to progress with your exportation process. This includes customs clearance and paying for the customs duties. The final form is C888 which helps with the manual declaration of your cargo.

A manual declaration is only useful if the electronic system is not available. However, the HMR is responsible for keying the manual declaration back into the system when it becomes available.

After customs clearance, the authorities issue you with a stamped form C13EX to give to your loader. You have to return this document to customs when the loading is complete.

Does The Use Of NES Apply When Exporting Goods Under Special Procedures (SP)?

Yes. NES applies when you are exporting goods under special procedures. This is because NES helps in tracking these goods during the shipping process.

Special procedure goods are those which allow for favorable exporting prices. For instance, you can suspend the payment of TAX and duties under this procedure.

You can either use the full or simplified declaration to declare special procedure goods.

Can I Use NES To Make CAP Refund Claims?

Yes. You can use NES to make CAP refund claims.

For this to happen, the goods you are exporting should leave the UK within 560 days after declaration on the NES. The customs may also require you to have a valid CAP license.

Depending on the initial agreement, you can make the claims yourself or ask your agent to do so. You must provide the right information when making a refund claim to avoid suspicions.

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Negotiated Rate Arrangement: The Ultimate FAQ Guide

If you’re wondering what negotiated rate arrangement is, you will find the answer right here.

So, keep reading to learn more.

What Is A Negotiated Rate Arrangement?

A Negotiated Rate Arrangement is a written and binding arrangement between a licensed Non-Vessel-Operating Common Carrier (NVOCCs) and a shipper. The arrangement offers shipping services for stated cargo quantity from its origin to destination.

The NRA covers the cargo within a specific duration and on and after a stated date.

What Is FMC, And Why Is It Important In Negotiated Rate Arrangements?

FMC stands for the Federal Maritime Commission.

It is a regulatory body that ensures a reliable and competitive international ocean transportation supply system supporting the U.S economy.

The FMC also protects the public from deceptive and unfair practices from shipping services.

For all shipments made to the U.S., the FMC’s only bill of lading approves are allowed in the country. A bill of lading list has all the ship’s cargo in receipt form.

Concerning freight rates, the federal maritime commission regulates negotiated rate arrangements in shipping. The body ensures that NVOCCs use acceptable freight rates and, where necessary, documents them before cargo is loaded onto the shipping vessel.

What Does A Negotiated Rate Arrangement Document Entail?

The Negotiated Rate Document Arrangement has the following basics for your shipment:

  • Where: Origin of the shipment, POL, POD, and Destination
  • Dates:  Negotiated rate Arrangement offer date, Effective Date and Expiration Date
  • Who: Client information and NVOCC
  • Rate:  The service type, cargo quantity. Rate amount and rate basis

What Is Negotiated Rate Arrangement Authorization Letter?

A Negotiated Rate Arrangement Authorization letter is offered when you frequently use shipping services. It aims to reduce the workload of accepting different NRAs every time.

The Negotiated Rate Arrangement authorization letter helps relieve you of the repetitive work of approving NRAs. It also helps the workers at the shipping service expedite shipment on your behalf.

It is essential, especially when the shipment is ready at the origin, but the NRA has not been approved.

An NRA authorization letter helps save time that can easily be lost when dealing with the red tape surrounding shipping your cargo. It allows the shipping service to move your cargo while waiting for the NRA to get approved.

The shipping service will only book a shipment upon authorization by the client. In most cases, it is done through a phone call or an email.

What Is A Negotiated Rate Arrangement Shipper?

A negotiated Rate Arrangement Shipper is the person who owns the cargo. It is the person who has opened an account with the ocean transportation services.

The NRA shipper is the person the delivery is being made to. They accept all the payment charges applicable under the NRA.

Why Do NVOCCs Issue Multiple Negotiated Rate Arrangements For The Same Shipment?

Ocean transportation companies may change the NRA from time to time if any changes are made to your shipment.

You will be issued with a new NRA amended from the first NRA in case of any change. The amended NRA will also be sent to you (Shipper) for approval.

The NVOCCs put this rule to help protect the public from unfair service providers but not create more paperwork.

Here are some of the most common scenarios in which a shipping company will be required to cancel the initial NRA and issue a new one:

  • Suppose your vendor wants to ship from another port that is not on the initial NRA. This is most common when the vendor factory is located in a different area than their main offices.
  • Change in the rates from the time of quote to the actual movement of cargo. There are cases where there are the market has volatile freight charges.
  • If your shipment arrives after the NRA expiration date. The NRA date has to be valid when your shipment is arriving at its destination.

If this happens, you will be issued with a new NRA.

However, if you have signed an NRA authorization letter, your NVOCC will make the desired changes as fast as possible. It will help avoid clearance and shipping delays.

What Is The Advantage Of NVOCCs Using A Negotiated Rate Arrangement Instead Of The Public Tariff Database?

The Negotiated Rate Arrangements are private between the NRA shipper and the company offering shipping services.

Without the Negotiated Rate Arrangement, NVOCCs will be required to file their client’s rates on the Public Tariff Database. Here, their competitors may gain insight into their business practices.

How Do NVOCCs Issue Negotiated Rate Arrangements?

Many NVOCCs issue auto-generated NRAs when you book a shipment via their website or app. You will be required to confirm your booking once on the app or website.

Once you are done with the booking, you will receive and sign the NRA electronically. You can download the NRA as a PDF.

A PDF copy of the NRA is always sent to you electronically every time you book a shipment.

Most NVOCCs will always have the NRA available on the app or website, so you will not need to keep printing it.

What Conditions Must NVOCCs Meet To Use Negotiated Rate Arrangements?

Here are the five steps to follow to ensure that the NRAs comply with the FMC rules:

  • The Negotiated Rate Arrangements only applies to NVOCCs only
  • When an NVOCC wants to use Negotiate Rate Arrangement, they must post a prominent notice on its tariff.
  • If an NVOCC wishes to use NRAs, it must provide the public with free electronic access to its tariff. These tariffs should feature the rules governing shipments.
    All commission rules for tariffs, including historical data, current tariff location, and access date capability, must apply unless specifically exempted.
  • Agree to an NRA before receiving the shipment. The NVOCC and their shipper have to agree on an NRA and have it in writing before the NVOCC.
    The arrangement should also include the agent that receives the cargo.
    This arrangement is acceptable in either email or any other electronic form of communication. It is acceptable if it shows assent between the shipper and the NVOCC.
  • Keep the NRA documentation for five years. An NVOCC has to keep the NRA documentation files for five years and present the documentation to the commission upon request.
    If an NVOCC fails to keep time producing NRAs and some associated records, they might violate the Shipping Act.

How Are Negotiated Rates Determined?

Negotiated Rate arrangements are stated in terms of the local currency of U.S dollars. They apply per 1 Cubic Meter written as (M) and 1000 kilos, indicated as (W).

The word “Weight” or “W” appears next to a commodity or article’s applicable weight rates.

Weight applies without regard to the measurements of the cargo.

The word “Measurement” or “M” appears next to a commodity or article where applicable measurement rates.

Measurements apply without regard to the weight of the cargo.

Negotiated Rate Arrangements are only applicable from Inland points that are within post terminal areas.

Negotiated Rate Arrangements are inclusive of all charges on transportation of the cargo. They do not include forwarding charges and customs clearance assessments except when provided.

Do Negotiated Rate Arrangements Include Marine Insurance And Consular Fees?

No.

Negotiated Rate Arrangements include all the transportation charges of the shipper’s cargo. They do not cover consular fees or marine cargo insurance unless stated otherwise on the terms and conditions.

Do Negotiated Rate Arrangements Apply To Analogous Articles?

No.

Negotiated Rate Arrangements only apply to the specific commodity that has been named and do not apply to analogous articles.

NRA only applies when items are of lower values or on an ad valorem basis. The articles are subject to the lading limit of value.

What Is A ‘Force Majeure Clause’ Regarding Negotiated Rate Arrangements?

The Force Majeure Clause states the carrier services have the right to cancel any outstanding contract or booking. Cancellation is made in conformity with FMC’s regulation and the event of hostilities such as:

  • Wars
  • natural disasters
  • blockades
  • warlike operations
  • strikes
  • port congestions,
  • labor disturbances,
  • governmental authority interferences

What Are The Requirements For NVOCC Negotiated Rate Arrangements?

For an NVOCC to qualify for the general rate publication rate, the Negotiated Rate Arrangement must meet these rules:

  • The NRA has to be in writing
  • The NRA has to have the names of both parties and the names of their representatives.
  • Both the shipper and NVOCC have to agree to the NRA terms before the NVOCC can receive cargo for shipping.

The shipper is said to have agreed to the terms of the NRA when:

  • When the shipper has provided the NVOCC with a signed NRA
  • When the shipper sends the NVOCC a written communication either in email or any other form of electronic messaging. It should indicate that they have agreed to the shipper’s terms.
  • When the shipper books a shipment after receiving the NRA terms from the NVOCC.
  • The NRA has to have clear rates and terms, the shipment, and which specific rates apply.

It should have clear terms regarding the GRIs, Surcharges, and Assessorial charges as stated below:

  • If the stated rate is not an “all-in rate,” the NRA must state the additional assessorial charges and surcharges. It should also include the ocean common carrier GRIs (General Rate Increases) will apply.
  • The NRA must list any additional assessorial charges, including pass-through charges or specific surcharges in the NVOCCs tariff rules.
  • If a pass-through charge is not included in the NRA, the NVOCC can invoice the shipper but with no markup.
  • The NRA can be amended when the NVOCC receives the initial shipment. However, the changes only apply to shipments that the NVOCC is yet to receive.

What Is The Difference Between (NVOCC) Service Arrangements (NSA) And NVOCC Negotiated Rate Arrangements (NRA)?

NVOCC Service Arrangement (NSA) is a written contract between one NSA shipper and NVOCC or more affiliated NVOCCs.

The NSA shipper commits to provide a certain portion or quantity of its cargo or freight revenue over a specific amount of time. In this, the NVOCC commits to a particular rate schedule with a defined service level.

It is important to note that the NSA is different from a receipt and a bill of lading.

On the other hand, an NRA is a written and binding arrangement between the eligible NVOCC and the NRA shipper. It is an arrangement to provide transportation service for a specific amount of cargo from the origin to the destination.

There is no volume commitment by the shipper on the NRA. However, it (NRA) can include a potential rate decrease when the shipment volume increases.

When Does A Negotiated Rate Arrangement Become Binding?

A negotiated rate arrangement becomes binding in any of the following scenarios:

  • When the shipper provides the NVOCC with a duly signed NRA document
  • Immediately the shipper sends the NVOCC a written communication accepting the NRA terms
  • Once a shipper books shipment after receiving prominent notice in the NRA as to its acceptance

Are There Requirements For Filing/Publishing Negotiated Rate Arrangements?

Yes, and they include:

  • The NVOCC is required to continue publishing its standard tariffs with the terms and conditions that govern the shipments. These include surcharges and assessorial charges.
  • Make the NVOCC tariff rules available to shippers free of charge
  • The NRA rates should be mutually agreed upon and written by the date that NVOCC receives the cargo
  • NVOCCs that use NRAs must retain their documents for five years and present them to the commission upon request.

Can Negotiated Rate Arrangements Be Modified?

Yes, they can.

The FMC permits the NVOCC to amend NRAs at any given time. It also allows amendments to include non-rate economic terms.

How Long Are Negotiated Rate Arrangements Valid For?

The NRA is valid till the shipper receives their cargo

Do Negotiated Rate Arrangements Apply to All Shipments?

NRAs apply to all sea freight – from dry cargo to reefer and ro-ro.

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Notify Party: The Ultimate FAQ Guide

If you’re wondering what notify party is all about, I will explain it right here.

So keep reading to learn more.

What Is A Notify Party?

Notify party is contact person or a party that carriers notify immediately with information regarding a shipment upon arrival at the destination.

A notify party can be a freight forwarder, customs broker, or intermediary.

The notify party also has an obligation of arranging all the customs clearance processes at the destination port.

What Is The Role Of Notify Party In An International Shipment?

A notify party is responsible for receiving notification on the arrival of a shipment from the carriers.

The notify party prepares all the formalities that will help fasten the clearance process of the cargo upon arrival at the port.

The carriers inform the notify party of the estimated time of arrival, location of shipment, and any other relevant details present.

If the cargo is under a letter of credit cover, the notify party will follow up with the bank to get the receipt of the documents in case the cargo delays.

Notify party also has a responsibility to follow up on the whereabouts of the cargo and not to rely on/wait for the carriers to inform them.

Note, the carrier always denies liability of any damages on the cargo even when the notify is or is not informed.

Is There A Relationship Between Consignee And A Notify Party In A Bill Of Lading?

A consignee is a person with the right to receive a cargo that is covered under the bill of lading.

While a notify party is someone who receives notification from the carrier upon arrival of the cargo at the destination port.

There may be some instances of the relationship between the consignee and the notify party whether is contractual or non-contractual.

Depending on how the bill of lading is consigned and combination, the following are some of the instances of known relationships.

Types of consignee relationship to the notify party include;

  • To order or to order of shipper
  • To order of XYZ bank
  • ABC company
  • Name of individual

Types of notify relationship to the consignee include;

  • DEF forwarder
  • ABC company
  • Same as consignee
  • Name of the individual

DEF forwarder: The notify party can act as a freight forwarder at the destination port which is under the authorization to receive, clear, and deliver to the recipient.

This is only after you receive the endorsed bill of lading.

ABC Company: A notify party can be the final receiver who receives the notification of impending arrival of shipment.

But normally pays the consignees bank the payments according to the contract once the notification is received.

This facilitates issuing of the endorsed bill of lading that allows the release of cargo.

Same as consignee: applies only when there is no specific notify and it’s only applicable on the consignee field.

Name of individual: a notify party can be the actual receiver but in case of cargo carries personal effects it will be the shipper.

Can Shipper And Notify Party Be The Same?

No, the shipper and notify party cannot be the same.

These are two separate entity/person with different responsibilities.

A shipper is an entity or party responsible for shipping goods.

The shipper is responsible for packaging and preparing goods for shipment as well as preparing all the paperwork and documents required.

A notify party is a person who receives notification from the carrier of the arrival of the cargo at the destination port.

The notify party is responsible for arranging all formalities that speed up the customs clearance of the cargo.

It’s the responsibility of the carrier or shipper to inform the notify party of the estimated time of arrival of the shipment and location.

What Happens When A Carrier Fails To Notify Party Of Shipment Arrival?

Accurate, clear, and steady information is a vital element while shipping any shipments.

Failure to provide/notify the notify party of the arrival of a shipment to have repercussions such as delays among others.

Below are some of the consequences/repercussions as a result of failure to notify a notify party;

Delay In The Arrangement Of Inland Haulage

The clearing agents or the notify party to have an obligation of preparing for the inland transport.

Failure to notify the notify party of the arrival and release of cargo results in poor planning.

Which results in to delay in transporting the shipment from the port to the client’s address location.

Delay In Clearance

Sometimes the notify party will be different from the consignee.

If this occurs and these parties fail to inform the notify party of the carrier’s estimated time of arrival, there are dire consequences.

The means the notify party will not be able to complete the custom clearance processes in time.

This results in delays in clearance.

Delays in clearance mean damages on the shipment and additional storage charges.

To curb this problem, you may engage pro-active clearing agents.

They follow up and make all necessary arrangements to fasten the clearance process.

Breakage In Supply Chain

It’s easier to calculate the storage and proper planning of the warehouse especially if the storage space is at a premium.

This factor is also dependent on how fast the cargo moves out of the warehouse.

Any delays in clearance of the shipment upon arrival greatly affect planning and calculations which adversely affects the supply chain.

Most immediate deliveries and lean supply chains are a result of delays in deliveries.

Overstock Situation

Failure to notify the notify party will result to slow clearance and delivery of cargo to the clients.

This results in the accumulation of goods in the warehouse hence overstocking.

Out Of Stock And Failure To Deliver On Time To Consumers

Failure to notify the notify party and clearance delays results out of stock situations.

This not only affects the clients but also sellers and distributors.

This delay immensely affects business if there is no robust solution to turn to.

Damage To The Cargo

There is a big difference when it comes to the shelf life of cargo.

Some have a shorter shelf-life while others have longer.

Failure to inform a notify party will result in delays which reduces the shelf-life of the cargo and sometimes leading to expiry.

It is therefore important for the notify party to be aware of the arrival time of such cargo with a shorter shelf-life.

This allows them to make necessary arrangements for storage and to fasten the clearance process.

Nowadays, there is the use of trackers on the cargo that allows the consignee to constantly check on the status of the cargo.

Are Carriers Liable For Failure To Inform The Shipper Of Goods On An Order-Notify Bill Of Lading?

Who is responsible for the failure of notifying the notify party is always a big question especially from the importer’s side?

The carrier is not responsible/liable for failure to inform the shipper of good on order notify.

This is because the carriers render the notification as a service.

Carriers have no obligation whatsoever to always informing the shipper.

The consignee has an obligation too of making a follow-up or tracking their shipment.

In most cases, the carriers will not accept the liability unless there are dire consequences if they fail to accept liability.

What Details Should Be Shown On The Field Of Notify Party On The Bill Of Lading?

Normally, the intention of having a notify party is to be informed of the arrival of a shipment at the port destination.

The field of the notify party on the bill of lading should contain;

  • Name
  • Address
  • Contact phone number of the notify party.
  • Email or fax information of the notify party.

What Is A Notifying Address In A BOL?

A notifying address is an address which you will find in a bill of lading where the carrier should give a notice of due dates of arrival of cargo.

Mostly this notify address is in form of a clause that you can insert in a bill of lading.

Agents of the company send notification at/of the arrival of the shipment.

However, neither the company nor agents have a responsibility to notify therefore, they are not reliable for information failure.

Normally, a bill of lading form contains an empty box slot named ‘’notify address’ ’

Failure of the shipper to include the name of the consignee, requires the shipper to transact, indorse, and deliver the bill of lading before delivery of the shipment.

In other cases, the shipper may not know who to deliver or notify on the arrival of the shipment. This occurs especially if there is no transfer of the bill of lading before the start of sailing or if the goods have not been sold.

Who Can Be Shown As A Notify Party In A Bill Of Lading?

There are several instances of who can be shown/one who you can consider as a notify party in a bill of lading.

They include;

Agent Of The Consignee

Cargo receipt can either nominate a clearing agent or freight forwarder.

Their main purpose is to arrange for clearance and delivery of the cargo to the recipient.

The Actual Receiver Of The Cargo

Where the billing of lading is consigned to order, an actual receiver of the cargo will be shown as a notify party.

This makes them aware of when to expect the arrival of the shipment at the port.

Trader Or Indenting Agent

This is normally the broker of the shipment who has the intention of keeping track of the progress status of the shipment.

  • Any other entity that may want to know the arrival and departure of the shipment.

Again, they will show directly indirect interest in the system.

Can Notify Party Make Payments?

Yes, notify party can make payments.

The notify party can make this payment in advance or during delivery of goods.

Furthermore, if there is an agreement between the buyer and shipper the payment can be made in installments.

While making these payments there is the involvement of financial institutions such as banks. Normally, there is the involvement of two banks, one acts as a guarantee for payment of the buyer to the other upon meeting certain conditions.

This is what we term as letters of credit.

There are other payment methods under the Incoterm that allows the notify party to be able to make payments.

Once all the formalities are successful, the buyer will receive the goods as agreed and ensure they are in the right condition.

What Are The Considerations When Filling Out Notify Party Field In A Shipping Document?

Below are some points of consideration when you are filling out a notify party field.

They include;

  • The payment method you select may affect notify party field completion.
  • The notify party has no connection whatsoever with the title of goods.
  • You must complete notify party field under the letters of credit payment methods according to the letters of credit terms and conditions.
  • The shipper can freely fill notify party field without any restrictions.

This only happens under an open account, cash in advance, or cash against documents payments methods.

Is Notify Party The Same As Booking Party In Shipping?

No, a notify party and booking party in shipping are not the same.

As indicated earlier, a notify party is responsible for arranging the formalities which help in clearing and delivery of goods to the receiver.

A notify party receives notification from the carrier on the arrival of a shipment at the port, location, and the estimated time of arrival.

A booking party is an entity responsible for all handling and operations that the third party carries out under a booking number provided.

Can Notify Party Be Able To Order?

A notify party is an entity that receives notification from the carrier upon arrival of the shipment at the destination port.

A notified party can be a customs broker, freight forwarder, or the actual buyer of the goods. Therefore, the notify party can be able to order goods and still act as a notify party.

Can There Be Multiple Notify Party In A Bill Of Lading?

There is no exclusion on who a notify party should be.

A notify party can be forwarding or clearing agents, receivers, or senders of this cargo.

It’s a must notify party to be aware of the arrival of this cargo.

Normally, an entity that provides all shipping instructions to a shipping line also provides the details of the notify party.

So, yes there can be multiple notify party in a bill of lading unlike in consignee.

This means the bill of lading has no restrictions on the number of notify party that can be in a bill of lading.

To include the multiple, notify party in a bill of lading document, you will find these entry fields where you will be able to enter the notify parties.

If there is less space on the bill of lading field, you can choose a different point on the same document and enter the notify parties.

What Is The Liability Of The Notify Party In The Bill Of Lading?

A notify party should not only wait for the shipping line or carriers to notify them.

They should take further steps in arranging for the clearance process and follow up on cargos that are under the letters of credit with banks.

This allows the notify party to obtain receipt documents of the cargo in case of any delays.

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De Nederlandse Voedsel- En Warenautoriteit: The Ultimate FAQ Guide

Quality Control is an important aspect when importing from China or any other country.

Today’s guide will focus on everything you need to know about NVWA | De Nederlandse Voedsel- En Warenautoriteit.

So, keep reading to learn more.

What Is NVWA – De Nederlandse Voedsel- En Warenautoriteit?

In English, the Nederlandse Voedsel- en Warenautoriteiten (NVWA) is also known as the Dutch Food and Consumer Product Safety Authority. It is a government organization in the Netherlands that deals in several public-centric issues.

The NVWA is among the many departments in the Ministry of Agriculture, Nature, and Food Quality in the Netherlands.

It is also an agency utilized by the Ministry of Health, Welfare, and Sport to run some of its programs.

These issues include:

  • Protecting and advancing animal health.
  • Protection and advancing issues related to plants.
  • NVWA also deals with issues concerning the security of food products.
  • They also ensure consumer protection through regulations on consumer products.
  • Overall, NVWA also enforces Dutch nature laws.

It is important to note that the NVWA is a recent organization born out of merging different organizations.

This was necessitated to run the various activities of the NVWA under one roof. The different organizations that were merged to form NVWA include:

  • General inspection body (algemene inspectiedienst, aid)
  • The plant protection service (plantenziektenkundigedienst, pd)
  • Inspection and qualification service for goods (keuringdienst van waren, kvw)

What Are The Main Functions Of NVWA?

The NVWA undertakes a myriad of tasks and functions. The three basic types of tasks that  NVWA does  include:

Supervision

Supervision entails ensuring and regulation some aspects in the health and agricultural sector. The four main areas of NVWA regulation include animal health, plant health, product safety, and food safety.

Risk Assessment

Risk assessment includes finding out how certain products affect the health of the consumer.

This is achieved by regulating and monitoring substandard products from entering the market, among other responsibilities.

Risk Communication

The risk communication function of the NVWA involves communicating the risk assessment results to the various players and regulatory bodies.

For instance, it has the responsibility of communicating animal health assessments to the Ministry of Agriculture.

Other specific functions of the NVWA include:

  • Incidence and crisis management
  • Policy advice for the minister of Agriculture.
  • Nature and food quality management.
  • Liaising with other departments in the various ministries.
  • Maintaining European and international contacts.
  • Compliance with the various regulations is also a function of the NVWA.

Overall, NVWA carries out communication, inspection, and investigations to ensure that all players in its jurisdiction are compliant.

Who Heads The NVWA?

The Nederlandse Voedsel- en Warenautoriteiten (NVWA) also known as Netherlands Food and Consumer Product Authority.

It is a state agency under the Ministry of Agriculture, Nature, and Food Quality.

The NVWA is headed by the Head of Agency, deputed by four directorates who head various departments. The departments that are headed by directorates include:

  • Strategy
  • Enforcement
  • Inspection
  • Internal Organization

Other divisions below the directorate include the veterinary and import, design and services, and legal affairs divisions.

The organizational structure of NVWA is hierarchical, with departments and sub-departments at the bottom of the hierarchy.

It is made so that information and enforcement flow from the top to the bottom and vice versa. It is ensuring compliance and efficiency in carrying the NVWA mandates.

What Products Does The Netherlands Food And Consumer Product Safety Authority Regulate?

VVWA is mandated by law to regulate and ensure compliance with countless products.

These products include different types of food and consumer products.

These products can either be hazardous or non-hazardous substances. The main aim is to ensure that all hazardous substances do not enter the market for human consumption.

Some of the products that the NVWA handles  include but are not limited to:

  • Plants
  • Fisheries
  • Agricultural products
  • Livestock
  • Consumer products
  • Non-food consumer products
  • Animal products such as beef
  • Pesticides
  • Personal care products
  • Indoor and outdoor games products
  • Consumer products in and around the house
  • Tobacco products

The number of products that the NVWA regulates is in the thousands and in-exhaustible.

To get into the details of products regulated by the NVWA, you will visit their website or contact them.

Does NVWA Have Jurisdiction Over All Consumer Products?

Yes, the NVWA has jurisdiction over all consumer products in the Netherlands.

Not only in the Netherlands, but it also has jurisdiction over every product entering the Netherlands from other counties.

Due to the large amounts of consumer products entering the Netherlands, NVWA has jurisdiction over a wider consumer market that spans the European market.

How Does The Netherlands Food And Consumer Product Safety Authority Regulate Products?

The Netherlands Food and Consumer Product Safety Authority Regulate Products through:

Certification

NVWA requires that manufacturers and importers of regulated products certify that their products comply with mandatory rules.

After testing at third-party laboratories whose accreditation is accepted by the NVWA.

Compliance

NVWA also requires manufacturers and importers of some regulated products to certify that they comply with mandatory rules after testing. They establish a reasonable testing program.

Regulations

The NVWA outlines the prohibited actions that apply to anyone who sells, manufactures for sale, is distributed in commerce, or imports.

Any consumer product regulated by the NVWA. Failure to comply with these prohibited acts could subject you to civil and criminal penalties.

Does NVWA Test Or Certify Products For Safety Before They Can Be Sold To Consumers?

No, the NVWA does not test or certify products for safety before being sold to consumers.

The primary function of the MVWA is to supervise, assess the risks, and communicate.

Besides, the same risks to the relevant bodies mandated to regulate consumer products.

The function of certification and testing of products before they can be sold is left to the responsible companies to test their products.

NVWA only serves to ensure compliance. NVWA also sets standards that should be met by the various companies in their manufacturing and production processes of consumer goods.

What Are The Major Food And Consumer Product Hazards In The Netherlands?

There are various food and consumer product hazards in the Netherlands. Some of these food and consumer products include:

  • Improper storage and preparation of food.
  • Pathogens cause Food-borne infections.
  • Food fraud
  • Foods with a high level of salt, fat, or sugar
  • Food with chemical hazards such as antibiotics, hormones, mold toxins, pesticides residues, dioxins, and allergens
  • Consumer products with microbiological hazards. These hazards occur due to the presence of troublesome molds, parasites, bacteria, and viruses.
  • Other consumer and food product hazards include harmful forms of wood, glass, metal, and plastic.

How Does The NVWA Compare To The FDA?

The main difference between the NVWA and the FDA is that the FDA has a broad regulatory authority compared to NVWA.

Also, the FDA is an American regulatory body, while the NVWA is a Dutch food and consumer products regulatory body.

The U.S Food and Drug Administration, also known as the FDA, is an American agency that deals and are responsible for protecting public health.

It ensures the safety of different consumer product categories by assessing their risks, testing, and approving their efficacy.

The four basic functions of the FDA include:

  • Protecting the public from electronic product radiation
  • Assuring cosmetics and dietary supplements are safe and properly labeled
  • Regulating tobacco products
  • Advancing public health by helping to speed product innovations

FDA regulates a wide scope of consumer products.

This can sometimes result in consumers not understanding where to lodge complaints.

Some of the product categories that the FDA manage include but are not limited to:

  • Products that include food additives, dietary supplement, bottles water, infant formulas, and other food products.
  • Different types of drugs include non-prescription and prescription drugs.
  • Such as Biologists including tissue products, blood and blood products, allergenic, and all human vaccines.
  • Other items regulated also include all types of medical devices. These include but are not limited to heart pacemakers, prosthetics, surgical implants, tongue depressors, and dental devices, among others.
  • Electronic products that give off radiation are also among the products that the FDA highly regulates. These products include but are not limited to mercury vapor lamps, laser products, microwave ovens, and such products.
  • The FDA also regulates dermatological products that affect the human skin. These include nail polish and perfume, make-up and personal care products, cleansers, and skin moisturizers.
  • The FDA regulates veterinary products such as livestock feeds, pet foods, and veterinary devices and drugs.
  • Lastly, all types of tobacco products are also regulated by the FDA.

What Parties Should Conform To NVWA Regulations?

The NVWA regulations cover the whole of the Netherlands and any food or consumer products entering the Netherlands.

Because the Netherlands is a member of the European Union, some of the regulations of the NVWA also reach beyond Netherlands.

To put it in context, the specific parties required to comply with the NVWA regulations include:

  • All manufacturers
  • Retailers.
  • Importers
  • Distributors of food and consumer products
  • All exporters.

Does The Nvwa Conduct Inspections?

Yes, the NVWA is responsible for inspecting all the consumer products and food products. They should ensure that it meets the required standards as set by the NVWA.

Although the individual companies or manufacturers carry out the responsibility of testing, the NVWA conducts food controls and ensures that the manufacturers comply.

The NVWA also designates the different laboratories that should carry food and consumer products tests and analyses.

What Is The Correlation Between NVWA And FLEGT?

Forest Law Enforcement, Governance and Trade (FLEGT) is a European Union agency.

It is also known as the FLEGT action plan that aims at cubbing illegal logging among member states.

It achieves this through the number of actions that all member states must adhere to.

These include:

  • Reducing illegal logging through sustainable forest management.
  • Establishing legal forest management.
  • Improving governance on forest management.
  • Promoting trade in legally produced timber to reduce illegal logging.

One of the NVWA’s core functions is product safety and plant health. These are functions related to the core functions of the FLEGT.

All look into sustainability when it comes to environmental matters that include illegal logging and hazardous wastes that impact the environment negatively.

Are There Established NVWA Guidelines And Plans For The Netherlands Food Industry To Use?

Yes, there are established NVWA guidelines and plans for the Netherlands food industry to use. The guidelines are broad and cover different sectors that the NVWA oversees.

One of these guidelines is the first food safety statement. These guidelines are specific to the food industry, which the NVWA oversees.

NVWA guidelines and plans for the Netherlands food industry are under the regulation (EC) No 852/2004 of the European Parliament and of the Council of 29 April 2004 on the hygiene of foodstuffs.

The guidelines borrow from the seven basic principles of the HACCP system.

The HACCP system requires the food industry to, among other things, observe the following;

  • Analyze the hazards of raw materials
  • The preparation process of products
  • Taking adequate measures to prevent hazards
  • Enabling a safe production process.

Should Food And Consumer Products To The Netherlands Have A CE Marking?

Yes, selected food and consumer products to the Netherlands should have a CE marking. It is important to consider the product.

This is because you can only add the CE marking to an effect if it is required for the product group.

Some of the products that must have CE marking include:

  • Explosives for civil use
  • Pyrotechnic articles
  • Construction products
  • Toys
  • Personal protective equipment
  • Electrical, electronic, and energy-related products
  • Medical devices
  • Measuring and weighing equipment
  • Machinery and related products
  • Means of Transport

How Long Does NVWA Registration And Accreditation Take?

It is important to seek the accreditation of NVWA if you deal with the following;

  • Animal feeds
  • Raw foods of animal origin.
  • Live animals
  • Sprouting seeds
  • Animal by-products

Some of the basic things that NVWA looks for before giving your company accreditation includes:

  • The structural integrity of the factory
  • Technical capabilities
  • Hygiene requirements

The accreditation process for NVWA is pretty simple. It is not a complicated endeavor. You will need to follow these simple steps which include;

  • Log into the NVWA portal
  • Open the subjugate portal on the home page.
  • Click on the approvals, registration, and permits.
  • In the subsequent window, you will see an overview of forms for recognition, registrations, and permits.
  • Choose the service you want and proceed with filling the online form.
  • You will be guided on the process of how you get your registration certificate.

Does My Business Need To Tell NVWA About Potentially Unsafe Food And Animal Feed?

Yes, you should report to the NVWA about any potential or existing unsafe food or animal feed.

All the hazardous food and animal feed should be reported to the Netherlands Food and Consumer Product Safety Authority.

Consequences of not reporting unsafe food or feed include fines, written warning, or official report.

What Is Unsafe Animal Feed According To NVWA?

Unsafe animal feed, according to NVWA, include;

  • The animal feed contains harmful substances.
  • The animal feed contains extraneous matter.
  • The hazardous animal feed may affect animal health and people’s health.
  • Environmental degrading animal feed.

How Do You Notify NVWA About Unsafe Products?

You can report and notify the NVWA about unsafe products through their official website.

Just log into their “report the animal feed to the NVWA” portal, and you will be able to lodge your complaint.

Some of the businesses or people that can report to the NVWA include but are not limited to:

  • Laboratories
  • Feed businesses
  • Veterinarians
  • Transshipment companies
  • Livestock farmers
  • Storage operators
  • Feed transport companies

What Happens After You Report Unsafe Food And Animal Feed To NVWA?

After you report unsafe food and animal feed to the NVWA, they will take specific steps.

These steps include:

  • Assessing the risk level.
  • It measures the risks and the steps that have been taken to mitigate those risks.
  • After assessing the risks and measuring them, the ANVWA will guide on the correct course of action.
  • The course of action may include retrieving the unsafe food or recalling it from the market.

What Are The Consequences Of Failure To Notify The NVWA Of Unsafe Food Or Feed?

The consequences of failure to notify the NVWA of unsafe food or feed may include;

  • Fines
  • Written warnings.
  • Official reporting to the relevant authorities

How Do I Register My Business With The Netherlands Food And Consumer Product Safety Authority?

Process of registering business with the Netherlands Food and Consumer Product Safety Authority depends with type of product you are dealing with.

For instance, if you are dealing with food safety, product safety, animal health, you will have to seek accreditation from NVWA directly.

If you operate a veterinary laboratory, you will have to apply for your accreditation from the Dutch Accreditation Council.

You will also be necessitated to attend continuous monitoring by Wageningen Bio veterinary Research.

Because the veterinary laboratory is a sensitive business, you are also required to report the tests and reports from your laboratory.

These tests and reports are reported to the Netherlands Enterprise Agency.

Another registration method is a digital application with a message box.

This involves registering digitally with NVWA and also digitally application for your accreditation.

How Does The NVWA Evaluate Non-Conformities Related To Food And Consumer Products?

The NVWA evaluates non-conformity to food and consumer products through continuous assessment of the market’s various food and consumer products.

Another method of ensuring that there is no non-conformance is through inspection auditing and customer complaints.

How Often Do The NVWA Inspect Businesses In The Food And Consumer Product Industry?

How often the NVWA inspects your business in the food and consumer products industry depends on the compliance of your business.

If you comply with the NVWA regulations, you will be inspected less frequently.

Businesses that keep contravening NVWA rules and regulations tend to be inspected more frequently.

Is NVWA Certification Acceptable Under EU Food And Consumer Product Safety Legislation?

Although NVWA certification is widely recognizable, you must apply for a Hazard Analysis Critical Control Point (HACCP) EU certification.

This is if you want your food products to be sold to the rest of the European market outside the Netherlands.

Does NVWA Recommend Specific Brands Or Models Of Products That Are Safest For Consumers To Buy?

No, NVWA’s main task is to regulate the standards of consumer products in the market.

It ensures compliance to the safety standards and that harmful products do not enter the market.

NVWA does not recommend, endorse, or market any particular products. NVWA is unbiased and treats all the different consumer manufacturing companies equally.

It is worth noting that NVWA may recommend certain features or aspects that consumers must look for in a particular product category.

NVWA strives to describe a particular product using universal descriptions not to be seen to target a particular brand or product line.

Does The NVWA Have Food And Consumer Product Safety Materials In Other Languages Other Than Dutch?

Yes, the NVWA has food and consumer product safety materials in languages other than Dutch.

You will find material in Spanish, English, French, German, Chinese, among many other languages.

The NVWA has entered into a bilateral agreement with many other countries concerning food and consumer products safety.

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Origin Charge: The Ultimate FAQ Guide

In this guide, you will find all information you’re looking for about origin charge.

So, keep reading to learn more about this freight term.

What Is An Origin Charge In Shipping?

It refers to fees charged on the services and facilities provided at the port before a shipment leaves its port of origin.

In as much as origin charges are imposed on every shipment.

The incoterm being used will determine the person responsible for paying an origin charge.

Is Origin Charge The Same As Origin Receiving Charge?

Origin charge and Origin Receiving Charge are two different types of charges in shipping.

Origin receiving charge (ORC) is the fee that caters to container handling of your shipment at the port of origin.

This happens from the moment your container is received at the container freight station to when loading is carried out.

On the other hand, origin charge refers to fees charged on services provided before your shipment leaves the port of origin.

What Constitutes Of Origin Charges In Shipping?

Origin charges include all the fees on services and facilities that will be applied to your shipment before shipping.

Let’s have a look at them below;

  • AMS fee – Automated Manifest System is an electronic system used in the transmission of data.
    Its main purpose is to ensure the safety of the cargo of air and sea shipments.
    To facilitate this, you will be required to pay an AMS fee which is mostly imposed per BOL/AWB.
    The supplier or the client will be held responsible for paying the fee.
  • CFS fee – Container freight station fee caters to the operations surrounding the deconsolidation of the shipment.
  • Loading and Unloading fee -Once your shipment is received at the port, the truck transporting it has to be unloaded.
  • After completion of all the required processes, your shipment will be loaded to the ship.
  • Handling fee– There has to be labor involved when handling your shipment, and thus the origin charge is also meant to cover these services.
  • Customs inspection – All commercial shipments must pass through customs when being exported.
    While this is mostly the most challenging part of any shipping process, working with a freight forwarder should reduce your hassle.
    During this procedure, your shipments will be inspected and cleared by export custom clearance officials, and some fees will be charged.
    Not much needs to be said. This fee falls under origin charges.
  • Origin document fee – the origin document fee caters to the fees you will pay when obtaining and sending bills of lading.
  • Storage services – Shipping of goods doesn’t happen in one day.
    It might take up to a week or more for your goods to be cleared for shipping.
    Within this period, you will need storage space for your shipment, adding up to the origin charges.

Other services include; additional transportation charges (ATC), stairs, elevators, and excessive distance carriers, to mention some.

Who Pays The Origin Charge?

The main determinant of who will be responsible for paying the origin charges is the type of incoterm used on the shipment.

Different incoterms will have divergent rules in regards to the person responsible for making the payments.

For instance, when using EXW incoterms, the importer will be responsible for settling the costs involved.

It’s important to select your incoterm to avoid some shipping frustrations wisely.

How Do Origin Charges Affect International Shipping?

Origin charges can result in delays of the shipment, which happens due to late payment of fees.

Aside from that, delays can also be caused by;

  • Wrong documentation
  • Misplacement or loss of documents
  • Custom clearance
  • Lack of proper communication
  • Late receipt of documents

Delay of shipments affects other sectors along the supply chain, posing a great challenge to importers.

The longer the shipment stays at the port, the higher the costs accrued.

Thus adding up to the total origin charges and in turn making international shipping expensive.

Remember, the storage space needs to be paid for, not forgetting the deadline for container submission.

These are just some among a couple of other costs that will shoot up.

In case a delay is experienced at the port, thus affecting international shipping.

Do Origin Charges Apply To All Forms Of Shipping?

Origin charges apply to all forms of shipping.

When shipping goods, the shipment must go through some processes at the port of origin before loading them into the ship.

For this to be fast and successful, you need to pay for the services and facilities offered at the port.

Different incoterms will determine who is responsible for paying the origin charges.

Do Origin Charges Change?

Yes, they do.

Sometimes, there might be a General Rate Increase (GRI) which causes an increase in the costs.

Lack of awareness of your carrier’s GRI will have you incurring extra costs during the surcharge period.

You must enquire about this before shipping your cargo.

It’s also important to understand that the origin charges will be different for different types, dimensions, and sizes of the shipment.

Fluctuations of currency in international trade can also cause the origin charges to change.

How Do Shipping Companies Calculate Origin Charges?

Origin charges vary depending on various factors, which are not limited to;

  • Shipment dimensions – The dimensional weight of a shipment uses the size of the shipment to find out its shipping costs.
    The DIM weight, the length, width, and height of the shipment are multiplied then divided by the DIM divisor.
    Between the DIM weight and actual shipment weight, the higher value is what shall be charged.
  • The Volume of shipment – Large shipments will incur more charges as opposed to smaller ones.
  • Weight of shipment – The heavier the shipment, the higher the charges.
  • Value of shipment – It is always advisable to have your high-value goods insured. This offers protection when loss, theft, or damage happens.
    Note that the costs will go up as a result of the extra insurance fees required.

In most cases, major shipping companies use the dimensional weight to calculate the origin price using a price calculator.

If you are using sea freight, the origin charge will be presented in a freight quotation.

Are Origin Charges Included In The Shipping Quote?

Yes, a shipping quotation will include a breakdown of all costs, inclusive of the origin charges.

Besides the origin charge, other components you should expect to find in a quotation include;

Terms and conditions of payment, total costs, shipment details, point of pickup and delivery, and transportation methods, to mention some.

When Do You Have To Pay For Origin Charges?

Origin charges are paid before your shipment leaves the port of origin, whether a seaport or an airport.

Which Is Better Between FOB And CIF With Regards To Origin Charges In Shipping?

In regards to origin charges in shipping, FOB is better as compared to CIF.

Not only does the importer have fewer responsibilities during shipping, but also it is cheaper.

With CIF, the costs are higher as a result of the seller using their freight forwarder.

Who often charges more to gain more profits.

Additionally, extra fees such as docking and custom clearance fees might be charged at the port when using CIF.

With FOB, the buyer is free to negotiate prices with a freight forwarder of their choice.

What Factors Influence Origin Charges?

Some of the factors that affect origin charges are not limited to;

  • The type and Volume of shipment – High-value shipments will have a higher origin charge due to their extra care when handling.
  • Currency and Exchange rate – Currency fluctuations in international trade might raise or lower the origin charges.
    US dollar is the main currency recognized in international trade.
  • Port congestion -Port conditions such as bad weather, strike, and typhoon, among other factors, affect normal port operations.
    This, in turn, forces shipping companies to charge extra costs on the services and facilities offered.
  • The shipment’s size and weight – The bigger the shipment, the more costs you will incur and vice versa.
    The same applies to the weight.
    Heavy shipment tends to attract more costs as they also require additional labor or facilities.

Do ‘Free Time’ And ‘Free Days’ In Container Shipping Affect Origin Charges?

Yes, they do. Free time refers to when the container is allowed to be stored at the port for free.

You need to keep in mind that once the free time lapses.

Additional costs referred to as demurrage begin to accrue until you return the container.

These extra charges are normally updated every day, and, in some instances, they can exceed $100 per day.

Such costs affect the overall origin charges as they increase the charges.

Are Origin Charges In Ocean Shipping FMC (Federal Maritime Commission) Regulated?

Yes, they are.

The Federal Maritime Commission regulates the origin charges by keeping track of the charges.

To ensure that they are fair but also reasonable.

In addition to that, FMC ensures that the charges are automatically published using automated tariff systems and are accessible to the public.

Do Origin Charges Include Goods Liability Costs?

Yes, goods liability costs are included in the origin charges, and this includes insurance fees. Remember, it’s always advisable to secure insurance for your shipment, and such are some of the services offered at the port.

Since most if not all incoterms exempt insurance costs, the seller always becomes the one to get the insurance for the importer.

The insurance costs are part of the origin charges imposed on your shipment before it leaves the port of origin.

How Do Origin Charges Influence The Overall Cost Of Shipping Goods?

Origin charges might lower or increase the cost of shipping goods in international trade.

For instance, if the cost of any services or facilities offered at the port is raised.

The effect is felt all along the supply chain to the final buyer.

As much as the importer had budgeted to spend X amount of money for shipping, they will have to pay extra when shipping goods.

Can You Avoid An Origin Charge In International Shipping?

You cannot avoid origin charges in international shipping, but you can avoid extra costs and reduce the origin charges.

Are Origin Charges Negotiable?

Yes, origin charges are negotiable.

You can negotiate fees with your carrier or freight forwarder when shipping.

What Are The Benefits Of Hiring A Capable Freight Forwarder In Relation To Origin Charges?

If you are looking to have a smooth shipping process, hiring a capable freight forwarder is essential.

Working with a freight forwarder allows you to concentrate on other areas of your business as you await your shipment to arrive.

Here are some of the reasons why most importers prefer using freight forwarders;

  • Cost-effectiveness -Cost-effectiveness is one of the top benefits of working with freight forwarders.
    Capable freight forwarders are experienced in their line of duty and can effectively negotiate prices with the different networks they have established.
    This way, your overall origin charges are greatly reduced as compared to handling this solely.
  • Security -No matter how valuable your shipment is; you are assured of the security of your shipment without having to pay additional charges for such services.
    This lets you be at peace knowing that your shipment is being handled carefully by people you can rely on.
    Such all-inclusive services reduce the origin charges that could otherwise be higher if taken with different people.
  • Warehousing – Once you hire a freight forwarder, several services come all-inclusive of the price and storage, part of origin charges.
  • That way, you won’t need to hire additional people to handle storage services, which will save more on your shipping.
  • Efficient inventory management – Owing to their vast networks, freight forwarders provide an all-inclusive package, thus saving you from hiring different people for different services.
    Having different people take care of different services of your shipping process costs more and thus increases the origin charges.

For all your freight forwarding services, you can contact Tj chinafreight right now.

Origin Engineering: The Ultimate FAQ Guide

If you have any question about origin engineering, you will find the answer right here.

This is because this guide explores all information you’re looking about origin engineering.

So keep reading to learn more.

What Is Origin Engineering?

Origin engineering is the exercise of transferring some of the manufacturing procedure to a different country.

This is done in order to evade high tax rates or unfavorable requirements and restrictions.

How Does Origin Engineering Work?

After you are complete with your part of the manufacturing work, it is time to relocate the half-finished product.

This is done to the origin engineering company usually a different country.

Once the product arrives at the origin engineering company, the transfer is said to be successful and production works can now commence.

The owner of the product and the origin engineer work closely together.

This to ensure that the product is manufactured according to the owner’s preferences and standards.

Once the product is done, a quality assurance is conducted, samples tested, etc.

When everyone is satisfied about the job well done, the product can now be released to the market.

The company is at liberty to take and supply orders.

What Are The Benefits Of Origin Engineering?

  • Saves cost- this is the major advantage of origin engineering.
    You can choose to do your origin engineering in a country that has relatively low labor cost and lower duty rates.
  • Quality improvement- with origin engineering you are exposed to a variety of experts.
    This definitely means that your end product will meet the required quality standard.
  • Access to better infrastructure and technology- origin engineering companies have the latest technology, infrastructure and resources.
    This is to ensure that the manufacturing for your product is topnotch.
  • Time saving- hiring an origin engineer saves you time that you would have otherwise spent on producing the other components of your product.
  • Risk reduction- by hiring an origin engineering company, you reduce for yourself a significant number of risks.
  • Increased efficiency- origin engineering companies guarantee maximum productivity in a relatively shorter period of time and at reduced costs.
  • Origin engineering encourages growth of companies.
  • Enhances flexibility -origin engineering ensures that your product and company adopts to the dynamic production and trade conditions.
  • You can relax and have peace of mind since your product is being worked on by experts with efficient skills.

Is Origin Engineering For You?

The main aim of origin engineering is to save costs, avoid high tax rates and conditions that do not favor the manufacturing of our product in that particular country.

You should consider origin engineering under the following circumstances:

  • If cost saving is your goal
  • If you do not have the infrastructure or technology to meet the products requirements
  • If there are unfavorable restrictions on the products manufacturing.
  • If other countries offer lower duty rates
  • In case you do not have a team of experts to suit your product’s manufacturing needs.
  • If you cannot afford to train the people locally
  • Whether the origin engineering company understand your expectation and goals
  • Whether or not origin engineering is suitable for your company goals
  • Whether the origin engineering company guarantees you a quality end product as per your requirements.

What Types Of Products Do Origin Engineering Companies Typically Support?

Some of the products that origin engineering supports include:

  • Mobile phones
  • Computer devices
  • Motor vehicles
  • Kitchen appliances for instance; fridges, ovens
  • Electronics like televisions
  • Machinery
  • Planes
  • Ships and other water transport vessels.

Is Origin Engineering The Same As Outsourcing?

Basically, outsourcing refers to the act of allocating another firm projects and tasks that would have otherwise been done internally.

On the other hand, origin engineering refers to the process of transferring part of your manufacturing to a different country.

Outsourcing is mainly done for services unlike in origin engineering where tangible products are involved.

How Does Origin Engineering And Contract Manufacturing Compare?

Contract manufacturing is a type of outsourcing where a manufacturer gets into a contract with a company for products or parts.

On the other hand, origin engineering is relocating part of your production work to a different country.

What Are The Risks of Origin Engineering?

  • Hidden/ unexpected costs- with origin engineering you might incur extra costs that you did not anticipate
  • Language barrier- since you are moving your production to a different country, it is likely to encounter language barrier.
    This can lead to problems caused by miscommunication as vital information can be lost in translation.
  • Time and culture difference- time difference may interfere with the production work therefore delaying orders.
    Culture difference for instance holidays and working days might slow down the production.
  • Lack of confidentiality- there is a risk of the origin engineering company sharing confidential information to third parties or your competitors.
    To curb this risk, it is better to sign a Non-Disclosure Agreement.
  • Lack of oversight- due to the geographical distance between you and the origin engineering company.
    It may be difficult to oversee or inspect the production process.
  • Reduced quality control in some instances- there is a chance that the quality of your product might not be exactly what you hoped for.
  • Lack of control of the production process- your hands are tied in the manufacturing process and you just have to hope for the best.
  • Security risks- your product may encounter various risks that is why it is advisable to insure it against all possible risks.
  • Backlash from people- you may face backlash from people who feel like you are denying them work opportunities.
    This can be a result of relocating your manufacturing process to another country.

How Can You Maintain Control Over The New Product In Origin Engineering Contractual Agreements?

Agree beforehand- hold these discussions with your origin engineering company or sign a legal contract. It should state clearly that you want to maintain full control of the new product.

Ensure that the product is registered under you and is considered our property.

You can get a lawyer to draft such contracts to avoid legal problems once the product is finished.

Can Origin Engineering Help You Accelerate Your Product Launch?

Origin engineering can indeed help accelerate your product launch.

It can help reach out to more partners and the target consumers. Of course, this happens with your go ahead.

What Is The Customs Clearance Process for Origin Engineered Products?

After determining the country of origin for the product, the customs clearance procedure for origin engineered products is the same as others.

The customs clearance process for origin engineered products is as follows:

  • Check in with the relevant customs office and get registered.
    They might provide you with either an import or export number depending on which one you are doing.
  • They inspect your product and make sure it is not restricted both for import and export.
  • Find out the product’s HS code.
  • If it is a requirement, lodge in the export declaration.
  • Get the necessary licenses and permits.
  • Obtain the all the required documents and certification for your product.
    This includes packing lists, invoices, certificate of origin, bill of lading etc.
  • Identify which shipping mode suits you and your products specification.
  • Ahead of shipping, ensure that you submit the export declaration and any other documents that the customs might require.
  • Go ahead with the shipping of the product as per your agreement with the importer.
  • Issue the importer or their agent with the certificate of origin.

What Are Rules Of Origin In Relation To Origin Engineering?

Rules of origin are laws and regulations put in place to help in determining the nationality of a product.

Rules of origin in relation to origin engineering are:

The country of origin for origin engineered goods is decided as the last where there was a considerable amount of manufacturing to give the product.

It’s key components or character.

This means that if a product is origin engineered in a several countries, its country of origin will be listed as the one where the most substantial work took place.

For instance, a car manufacturing company makes the engine and the other parts are made by an origin engineer in another country.

The first country will be recognized as the country of origin since it makes the vital component of the product.

Of course, there are situations where more than one country gives the product ‘substantial character’. In this case the last country where the manufacturing took place will be considered to be the country of origin.

Do Country Of Origin Labelling Requirements Differ For Origin Engineered Products?

Country of origin labelling requirements have no tangible difference for origin engineered products.

Some of these general requirements are:

  • The labeling should be done in the specified language. For example, goods entering the US from other countries should be labeled in English.
  • The label should be clearly written on the product
  • The marking should be visible.
  • The label should be permanent
  • The country of origin label should be written in plain, legible characters.

How Do You Choose The Right Origin Engineering Company For Your Critical Production Needs?

You need to consider the following factors while selecting the right origin engineering for your critical production needs:

  • Cost efficiency- the aim of origin engineering is to save you cost so it is advisable to go with an origin engineering company that aligns with your goals.
  • The infrastructure, resources and technology- when selecting an origin engineering partner
    It is best to go for one with the one with the latest technology and most advanced infrastructure.
  • Dedication and ability to observe the standard lead time- conduct research on the prospect companies.
    Find out their dedication to production works and their ability to meet deadlines.
  • Quality assurance- you obviously want to go with the company that ensures you get the best quality product.
  • Culture and time difference- when looking for an origin engineer, ensure that the time difference won’t interfere with the production process.
    The same goes for language and cultural differences.
  • Duty and tax rates- ensure that the country where the origin engineering company is located has favorable tax rates to suit your budget.

How Do You Ensure Quality Control In Origin Engineering?

Some of the tips to ensure quality control in origin engineering include:

  • Carefully select the origin engineering firm to work with.
    This is the most crucial point in ensuring you get the best quality of your product.
    Do your due diligence and settle for a company with a good reputation.
  • Discuss your expectations with your origin engineering company beforehand.
    It is advisable to let the company you are working with know exactly what your expectations about the product.
    This includes the quality and deadlines.
  • Develop a good relationship with your origin engineering team- you should aim to work amicably with your team for better results.
  • Invest in your origin engineering team in terms of resources.
    For quality to be ensured there is need for sufficient funds, resources and infrastructure.

How Do You Address A Product That Has Failed Quality Assurance Testing In Origin Engineering?

Depending on the kind of agreement you have with your partner, the product can be redone at the company’s cost or your own.

If the damage is beyond repair the product should be discarded. Under no circumstance, should it be availed in the market.

You should be keen what went wrong so that they can be avoided in the future.

What Costs Should You Expect When Relocating Part Of Your Product’s Manufacturing From One Country to Another?

Some of the costs that you should expect when relocating part of your product’s manufacturing from one country to another are:

  • Logistics and freight costs- you will obviously encounter transportation costs.
    From shipping from your home country to transporting your product when they land in the other country.
  • Costs related with tax- you will need to settle customs cost taking your product out of the country.
    Also, while bringing into the other country.
  • Legal costs- you will need to pay for the drafting of legal contracts such as the Non-Disclosure Agreement
  • Insurance cost- you might want to take an insurance cover for your product.
    This is to insure it of any risks that might it may face before it reaches the other country.
  • Cost of unexpected risks- you might come across unforeseen circumstances that might incur you some extra cost.

What Is The Role Of A Non-Disclosure Agreement In Origin Engineering And What Does It Cover?

A Non-Disclosure Agreement (NDA), is contract between two or more parties where they agree not leak any private information.

The Role Of A Non-Disclosure Agreement;

The most crucial role of the Non-Disclosure Agreement (NDA) is confidentiality and privacy. Your origin engineering company should sign an NDA.

This is to avoid leaking or sharing private information with your competitors or just third-parties in general.

A Non-Disclosure Agreement ensures that confidential information about your company and product is kept 100% private by the origin engineering company.

You may want to get an NDA under the following circumstances:

  • When presenting to your origin engineer the product design.
  • Sharing financial related information.
  • When familiarizing the origin engineering company with your marketing strategies and customer information.

By no means should the origin engineering company violate the terms of the NDA.

What Is The Standard Lead Time For Origin Engineering?

To run a successful origin engineering operation lead time dedication is very crucial.

There is a set lead time that your manufacture should be able to adhere to and should also track orders.

In event an order is delayed, the manufacturer and team should follow up on the reasons why so as to avoid them in the future.

You should aim for at least 90% punctual delivery rates for orders in origin engineering works.

What Are Some Of The Pitfalls Of Origin Engineering And How Do You Avoid Them?

  • Miscommunication- it is common for some parties to stop or reduce communication once they sign the contract.
    This should not be the case.
    Both parties should stay in constant communication in order to align expectations, follow up on the progress and for transparency purposes.
  • Lack of oversight- You should follow up regularly on how the manufacturing process is going. Also give and ask for feedback on a regular basis.
  • Failure to discuss important expectations, e.g., deadlines and quality expectations- you should avoid this at all costs.
    You should communicate clearly to your origin engineering partner the standards you expect them to meet to avoid future mistakes.
  • Settling too quickly- you should understand what your needs are and you should prioritize them when selecting an origin engineering company.
  • Hidden/ unexpected costs- the main reason for seeking origin engineering services is always to reduce costs.
    Make sure to cover all discussions concerning costs; expected and unexpected with your origin engineering company.
  • Overlooking risks- ensure that you are aware and well informed on risks you are likely to encounter and how to solve them.

What Is The Future of Origin Engineering?

As a strategy to reduce costs and increase efficiency, there is no doubt that companies are going the origin engineering way.

Top manufacturing companies know that origin engineering puts them at an advantage over their competition.

This is because they have access to the best infrastructure, latest technology and skilled labor that might not be available locally.

Origin engineering provides the manufacturer with increased productivity, flexibility and cost efficiency.

In case you’re looking for any manufacturer from China, Tj chinafreight has a database that will link you with the right factory.

For any questions or inquiry, contact us now.

Import Entry Acceptance Advice: The Ultimate FAQ Guide

Let’s look at yet another important form in export-import business.

If you have any questions about import entry acceptance advice, you will find the answer right here.

What Is An Import Entry Acceptance Advice?

An import entry acceptance advice otherwise known as E2 Form refers to a form that indicates each time there is a successful import entry.

What Information Does An Import Entry Acceptance Advice Contain?

Some of the details you should expect to find in an import entry acceptance advice are not limited to;

  • Time and date for clearance
  • Customs entry number
  • Details of each item
  • Consignee
  • Summary of freight
  • Value of customs
  • Freight summary
  • Country of origin
  • Price of items
  • Insurance and VAT charges

Who Issues An Import Entry Advice?

An import entry advice is issued by customs officials of the country you are importing from.

How Do You Get An Import Entry Acceptance Advice?

When importing goods from a country, you can either choose to use a broker or do it by yourself.

When using a broker, he or she will acquire the import entry acceptance advice for you and fill the requirements.

You can get import entry advice from customs officials when passing your goods through customs clearance.

What Are The Requirements For Import Entry Acceptance?

For goods to legally enter any country, they must adhere to all the requirements.

To have a successful import entry, you will need to ensure that you have proper documentation.

In addition to that, be sure to consider if the type of goods you are importing are restricted or prohibited.

This way, you will know the appropriate actions to take early enough.

What Is The Significance Of An EORI Number To Import Entry Acceptance Advice?

An EORI (Economic Operators Registration and Identification Number) is a number that helps in identification.

This is when passing goods through customs and communicating with customs officials.

An EORI number ensures efficiency in security as well as aiding in statistical matters regarding customs.

What Is The Difference Between An Import Entry Advice And A Supplementary Declaration Acceptance Advice?

An import entry acceptance advice confirms a successfully committed import entry.

On the other hand, supplementary declaration acceptance advice applies to exports that don’t pass through the EU.

Supplementary declarations provide traders with detailed information about the customs.

This is done to facilitate a smooth customs procedure on goods that are to be shipped outside the European Union.

What Is The Difference Between C88 And E2 (Import Entry Acceptance Advice)?

The C88 otherwise known as a Single Administrative Document (SAD) refers to a form that is used to prove permission.

This is  to import or export for the destination country.

On the other hand, an E2 (Import Entry Acceptance Advice) displays every successful submission of an import entry.

The duties and VAT calculations are also included in the E2 which is normally issued once the C88 is electronically sent to Customs.

Is An E2 (import Entry Acceptance Advice) Proof Of Import?

Yes, an E2 can serve as proof of import as it indicates each time there is a successful import entry.

What Does VAT Value Adjustment Mean On An Import Entry Acceptance Advice?

When goods are shipped through Europe, there is an amount that VAT is calculated on.

This amount is obtained from the value of goods together with any other extra costs and is referred to as VAT Value Adjustment.

Some of the circumstances under which VAT value may be adjusted include;

  • When there is a similar commercial level but varying quantity
  • When there is different commercial level but similar quantity
  • When the commercial level and quantity are different.

What Happens After HMRC Issues An Import Entry Acceptance Advice?

Once an import entry acceptance advice is issued, the National Clearance Hub will process the entrance of your goods into the UK.

To do this, there are a couple of documents required by NCH including;

  • Proof of the value of goods
  • E2
  • License or certification
  • Packing list
  • A copy of the C88 form

Your goods will pass through NHC routes and procedures and later be cleared through customs.

What Is Direct Trader Input (DTI) In Relation To HRMCs Entry Acceptance Advice (E2)?

Direct Trader Input (DTI) refers to a system in which importers or traders use to electronically make declarations.

To the Automated Entry processing System (AEP).

To communicate with the AEP system, users of DTI make use of Revenue Online Service (ROS).

How Does Simplified Declarations Help With Import Entry Acceptance Advice?

With a simplified declaration, an importer doesn’t have to fully declare goods to the customs procedure at the place of release.

In addition to that, a simplified declaration abolishes the need for a supplementary declaration when entering cargo to OSR or low-value imports.

How Do You Submit Import Declarations For Entry Acceptance Advice?

Any goods that are being shipped from a country that is outside the EU must submit an import declaration.

A freight forwarder will be responsible for submitting the import declaration to the HMRC and should send a copy of the import entry to the importer.

These import entries include C88/SAD and the E2 (entry acceptance).

Take into account that your declaration needs to be done within 90days from the time your goods are presented to customs.

Nevertheless, you also have up to 30 days to make a declaration of your goods before they arrive.

They then will be officially accepted once the goods physically arrive.

Your declaration submission should include;

  • Commodity code
  • Customs procedure code
  • Reference number

Other additional information that you will need to provide are not limited to;

  • Consignor and consignee
  • Licenses and certificates
  • Goods details e.g., type, packaging, and amount.
  • Costs and method of transport
  • Methods of valuation and currencies
  • Destination and point of departure
  • Declaration Unique Consignment Reference (DUCR)

Once your declaration is approved, you will pay for duty after which your goods will be released.

If a deferment account is being used for payment, the payment will be deducted from your account on the 15th day of the next month.

Does An Import Entry Acceptance Advice Exclude Shipments For Customs Clearance?

No, it doesn’t. All shipments including shipments for customs clearance must first be cleared at the point of entry before they are approved for entry.

Does An Import Entry Acceptance Advice Exclude Shipments For Customs Holds And Examinations?

An import acceptance advice doesn’t exclude shipment for customs holds and examinations. All goods being held at customs will have to undergo some examination after which they will or not be approved for entry into the country.

The import entry acceptance advice will indicate each time there is a successful import entry.

Can A Freight Broker Take Care Of The Import Entry Acceptance Advice?

Yes, a freight broker can take care of all your import procedures including the import Entry Acceptance Advice.

Once you send the required documents before your goods arrive (packing list and commercial invoice among others);

Your freight broker will not only take care of your E2 but also C88.

A freight broker will be responsible for ensuring that your goods are in line with the set laws and regulations.

Additionally, they will as also handle the taxes, documentation, fees, and other requirements on your behalf.

If you are still an amateur in this field;

It’s always recommended to work with freight brokers to understand the procedures as well as prevent first-time frustrations.

At Tj chinafreight, we will help you in all your shipping from China to any global destination – contact us now.

Power Of Attorney: The Ultimate FAQ Guide

If you have any question about power of attorney, you will find the answer right here.

So, keep reading to learn more.

What Is Power Of Attorney (POA) In Freight Forwarding?

Power of Attorney is a legal document which assigns/transfers legal power from one person to another.

In Freight forwarding, Power of attorney is a grant of authority, where the importer/exporter appoints an agent called freight forwarder.

POA enables the freight forwarder to handle various or all aspects of shipment on behalf of the importer or exporter.

When Do You Need A Power Of Attorney?

When you are assigning responsibility to another entity, then a validated POA is obligatory.

With the aid of this document, the forwarder or customs broker has the capacity to perform customs clearance for your shipment.

Your appointed organization will need a signed POA to clear your cargo with the respective customs authority. The involved entities must finish all the power of attorney formalities before the cargo is shipped.

Is It Mandatory To Get Power Of Attorney?

No.  You only require Power of Attorney if you are delegating power to another party to act on your behalf during a shipment process.

How Does The Power Of Attorney Work?

At times referred to as “letter of empowerment”, POA grants the custom broker or forwarding agent management of the shipment so they can:

  • Draw up, sign and file applicable shipping documents on your behalf
  • Serve as a middleman between you and the supplier of the goods.
  • Handle the cargo
  • Obtain customs clearance for the cargo

You will need to draft POA if you intend to grant authority to freight forwarder to process customs clearance documentations on your behalf.

The document must specify the powers you are granting and must accompany the freight for customs inspections at the destination port.

The power of attorney must be prepared prior to shipment of the cargo.

The documentation makes sure that all communications relating to the freight are done through the appointed agent rather than yourself.

This is especially crucial if working with a forwarding agent to ensure no details missed during the customs filing process.

Similar to all shipping documentations, you should word the POA content precisely so that the terms of power transfer are clear.

Of course, the agent you are giving the power of attorney should be trustworthy.

What Is Information Should A Power Of Attorney Include?

There are certain important information which you must provide fully when you are completing the power of attorney:

  • Type of business you operate
  • Sole Proprietorship
  • Partnership
  • Limited Liability Company.
  • Corporation
  • Full legal name of business
  • Where the business is registered
  • Place of business of the entity
  • Designation of the forwarder or broker who will be managing the customs process on your behalf
  • Date Signature, designation of the signor

In case of a foreign importer, person signing the POA must give supporting documents authorizing them to transact on behalf of the business.

The provided documentation needs to be wholly accepted by the regulations of the country where the business is registered.

However, remember that power of attorney doesn’t serve as an agreement between an importer, exporter or freight forwarding agent.

Basically, it is an allocation of legal capacity from one organization to another.

Who Is Allowed To Sign The Power Of Attorney?

The owner of the business/company doing the shipment must sign the Power of attorney. It is also possible for someone from the company sign the POA.

Authority to sign sometimes depends on the structure of the company/business (individual, corporation, etc.). Moreover, some authorities require a secondary witness signature from another officer of the company/business making the shipment is very important.

How Do You Acquire A Power Of Attorney?

Your freight forwarding agent or customs broker will take you through the process of obtaining the power of attorney.

Furthermore, they will assist you in procuring the necessary documentation.

Nonetheless, when shipping without the aid of forwarder or broker, you can download POA templates from the internet.

What Is The Cost Of Getting Power Of Attorney?

This is subject to your freight forwarder or customs broker, but in most cases the fee is not more than $200.

How Many Types Of Power Of Attorney Are There?

There are four types of Power of Attorney namely:-

Export Power Of Attorney

This POA is signed by the exporter. The exporter authorizes the freight forwarder to manage the shipment and deal with customs clearance documentation.

Import Power Of Attorney

The buyer or seller of a consignment will appoint an agent and permit them to handle their consignment. The permitted agent/freight forwarder will handle customs and other entry requirements on behalf of his client.

Customs laws in some countries require that an import POA be signed by the freight forwarder or customs broker.

General Power Of Attorney

This is an authorization from a merchant giving their forwarder or agent authority to handle all issues relating to the shipment on their behalf.

Durable Power Of Attorney

This is an authorization from a shipper giving their forwarder or agent authority to handle specific issues relating to the shipment on their behalf.

The Power of attorney document must clearly and explicitly state the issues concerned.

When Does The Power Of Attorney Expire?

The Power of attorney document is valid until the specified date at which the POA ends. In most cases, this is when the shipment is completed.

Often the Power of attorney is labeled ‘UNTIL REVOKED’. This means that the business/company and their appointed agent/forwarder can revoke the power of the Power of Attorney at any time.

How Does The Power Of Attorney Benefit You When Shipping From China?

Power of attorney helps businesses/companies/individuals shipping from China to avoid unnecessary delays that may affect shipment.

The power of attorney also ensures that customs, rule and regulations are adhered to.

The Power of Attorney document legalizes the transfer of responsibilities for consignment handling from the importer/exporter to their freight forwarder.

This enables authorized forwarder to manage customs clearance complexities at the port of China and other issues that may arise.

For all your import from China needs, contact Tj chinafreight now.