Tuesday, November 29, 2016

CPT-Carriage Paid To

Image by Author 

CPT or Carriage Paid To, is one of the trade terms, which condition seller arrange the carriage. On other word, seller pay the transportation. The transportation should seller pay is from seller's warehouse until port destination. Regarding the insurance, buyer will arrange and pay the cost.

Buyers who place order in Indonesia, basically they always take FOB trade term. If the cargo readiness couldn't meets buyer requested, shipper will ask for extend shipment date, if it's really deadline, buyer will ask shipper to air the goods by prepaid. Means, shipper should pays the freight cost.

Buyers form Europe, such as France, determine the forwarder for collect or prepaid, called nominated forwarder. So that shipper and seller couldn't find out the forwarder the best, for their shipment. This condition is not good for seller because seller couldn't be freely to choose a forwarder who has a low freight rate, of course then, the freight charge or transportation will be high than expectation.

CPT is most commonly used in shipment by air. On the HAWB marked freight Prepaid.

Changing FOB to CPT like a monster for seller. Many companies couldn't survived forward or kept stand exists because of many shipment were changed from collect to prepaid, especially for a company who had a product heavy enough, such as shoes.

So that keep your production rush to meet buyer requirement in product and productivity. Avoid CPT or prepaid.

Sunday, November 27, 2016

CFR Trade Term in Business Practice


Image by : Author

CFR stands for Cost and Freight. This is one of trade terms can seller or buyer use on their international trade. This trade term means seller arranges the carriage, and the risk transfer when the goods were loaded onto the ship. The cost from seller to port destination under seller's responsibility.

So that buyer has to arrange the Insurance. But, it depends on buyer definitely, if they do not worry about the risk of the goods during the shipment, maybe they will not think the insurance.

Both CIF and CFR are well know in business nature, means when a seller or buyer talk about CIF or CFR they usually know the term and condition.

So that don't worry to take CFR term.

If you ask me about "which one is popular between CFR and C&F ?" My answer is C&F is the word most common in business practice. My boss also knows about C&F well, and doesn't for CFR instead.

On billing from a courier company stated C&F instead of CFR. So that I think the C&F is more famous than CFR here. But, in fact both C&F and CFR have the same term and condition.

Which one you will use on your business, CFR or C&F?

Saturday, November 26, 2016

Ex Work Trade Term in Business Nature


Image by: Author
 
When an international trade is using Ex Work trade term, buyer arranges carriage from seller's premises. Both seller and buyer should understand about this condition.

But, in business practice, sometimes there is a little bit different from. One shipment is called Ex Work, but, why forwarder ask a shipper to send the goods to their warehouse? It's really happened.

Ex Work as like as door to door service usually a courier use. All the cost and risk is to be buyer's responsibility. Seller provides the goods in seller's warehouse only, make sure the cargo ready at a certain time promised or agreed.

So that in this term shipper or seller provides only Bill of Lading, Invoice, and Packing List, the Insurance for the goods is not seller's responsibility. If the goods is loss, or is damage in an accident, for instance, all those risk is not seller's responsibility. All the risks are to be buyer's responsibility, instead.

When buyer and shipper are preparing a sales contract, both parties have to understand well the term and condition.

The Ex Work term in Italy is commonly use. When seller are willing to pay the freight cost, it means Ex Work trade term, instead of FOB. I have ever handled a shipment from Italy at the first time. Usually I decide FOB term for by sea shipment mode with a little volume. I didn't know at that time the business nature there. I choose a forwarder, and asked them to check all conditions and all the costs would be. The forwarder reported to me that the trade term was Ex Work. So that you should be careful and understand the business nature, too.    

Friday, November 25, 2016

Choosing FOB Trade Term.

When we have a shipment from around the globe, we have to check first all the costs of shipment comprehensive. Not all shipment with any trade term is cheaper than other. It all depends on the port of loading and the quantity of our shipment, and the shipment mode, too.

Sometimes, FOB term is more expensive than CIF when the shipment is by air.

I want to put here my experience regarding shipment from China by sea with the CIF trade term. When we don't mention the trade term in our order sheet, they will automatically decide the term is CIF. The sound is so great, means shipper will pay the shipment cost until port of discharge, and the Insurance fee is included.

It's several years ago. The time was coming to us to clear the goods here, in Indonesia port. It's not a big volume, was arranged by LCL. We were so shocked watching the invoice unusual and maybe unreasonable. The local charges in Jakarta port were very expensive.

I tried to check to the forwarder and warehouse why did the cost so high. I got the information from them that, they got an offer to handle our shipment with the high price, too. They advised us to check directly to the origin. After I checked to the shipper, they didn't know too, why the cost was  so high.

I asked the forwarder to give us a discount. They then were willing to give us a discount with a requirement, that we had to make a contract with them, would use their service.

This case gave us a warning to use CIF trade term for sea shipment from China especially for LCL shipment.

I don't now until know, to whom should I blame on. Is it forwarder or shipper? 

Monday, November 21, 2016

FOB Term is Common Uses

There are several trade terms could buyer taken for their shipment besides FOB. But, why do they choose only FOB?

FOB is one of the trade terms, which buyer or shipper will covers the cost of shipment from on board at the port of loading until they receive the goods at their warehouse. Shipper or beneficiary only has the obligation to send the goods to the port and pays all the cost until, the clearance cost included.

There are two reasons why does they always choose FOB:

1. Getting the fixed cost.
When the shipment term is FOB, buyers will freely finding the forwarder out and compare one to each other. They make an agreement for a certain period. They also will get the fixed warehouse during clearance process, then, of course, by this condition, they will get lower cost because they promise to place all their goods in a certain warehouse. Usually they are getting a special rate because all the party can get the fixed job.

2. Getting the fixed lead time.
Deadline is the second major factors that shipper has to keep in time. Because buyer has prepared the market, the distribution, and the time of the goods on sale. Buyer wants to control all the things to make all are going smoothly. By taking FOB trade term, buyer will be able to control whether the goods has been on boarded or not.

3. Checking the cargo readiness.
Buyer could also checks the goods via forwarder for schedule agreed. Sometimes buyers in doubt when they received an information about cargo readiness. Buyer usually ask forwarder to check the goods with shipper. Forwarder will ask the shipment booking for a certain on board date. By doing so, buyer could get the the fixed schedule. 

Sunday, November 20, 2016

Trick Buyer to Get Low Air Freight Cost

Today, the quality is not only a major factor company takes a look at, but the price is still number one after. Customer will sees the price, compares with another lower than. I read, in Japanese economic trend said so. Yes, we live today where the price will move forward to become number one for consideration.

Let's talk like the title. I have faced some cases in business, several buyer have been taken decision to ask shipper in Indonesia pay the shipping cost, Air Freight Cost, firstly then, they will refund full after. It's new case for me. They said that the freight rate in Japan is higher than Indonesia. I guess maybe because of their economic level is higher than Indonesia. All the price will be higher than here.

They also asked me to find out the lowest freight rate .

The problem will arises when the L/C has been mentioning the trade term is FOB Indonesia. The condition above mentioned, the trade term will be C&F or CIF instead, of course then, the discrepancy will happens. And the bank will refuses to sends a fund. It doesn't matter if buyer will covers the discrepancy cost and accepts the document that has a discrepancy.

Buyers, in this case, take an economic motion to make their company getting more profit through.
   

They Forgot CIF Term

CIF, or Cost, Insurance, Freight, is one of trade terms, both buyer and seller should understand correctly from the beginning when they issue a sales contract.

Sometimes sellers don't fulfill their obligation if consignee or buyer doesn't reminds them. For example, especially for trade that doesn't cover by L/C, let say the payment is T/T before shipment, they sometimes forget to provide an Insurance Certificate to cover the goods until port destination. Whereas the shipment term is CIF, means shipper or exporter should provide Insurance Certificate.

We have to remind shipper each time they make a booking for shipment to the forwarder. If we, buyers forget to remind them, they only give or send Invoice, Packing list, Bill of Lading. In Indonesia, then consignees have to issue the Insurance Certificate as one of required documents for customs process. Yes, it happened, or maybe a lot cases happened such.

CIF is one of trade terms where all the costs including Insurance and Freight cost from port of loading until port of discharge are for seller or shipper obligation. I don't understand well why they commonly forget the Insurance Certificate.

For you maybe as a seller, I hope you can keep in mind all the trade terms meaning and condition. For especially CIF, if you will not issue an Insurance Certificate, please take the C&F trade term to sales contract instead.    

  


Tuesday, November 1, 2016

16 Swift Code Bank of Tokyo

Swift code is one of important things in bank. The swift code sometimes called swift address. Someone or a company when will wire some money to overseas is asked to provide swift code or swift address by bank. It's to avoid the wrong transfer.

Swift code also will be needed when applying an L/C to issuing bank. It will be shown on the L/C when it's submitted or issued.

Swift code written also in a collection process when a shipper or beneficiary presents the document required to bank or beneficiary bank, especially for Document Against Payment (DAP) term.

Herewith I mention some swift codes of Bank of Tokyo:

  1. BOTKAU2X    : BANK OF TOKYO MITSUBISHI UFJ, LTD., . SYNEY.
  2. BOTKDEDX    : BANK OF TOKYO MITSUBISHI UFJ, LTD., . DUESSELDORF.
  3. BOTKESMX    : BANK OF TOKYO MITSUBISHI UFJ, LTD., . MADRID.
  4. BOTKFRPX     : BANK OF TOKYO MITSUBISHI UFJ, LTD., . PARIS.
  5. BOTKGB2L     : BANK OF TOKYO MITSUBISHI UFJ, LTD., . LONDON.
  6. BOTKHKHH   : BANK OF TOKYO MITSUBISHI UFJ, LTD., . HONGKONG.
  7. BOTKIDJX      : BANK OF TOKYO MITSUBISHI UFJ, LTD., . JAKARTA.
  8. BOTKJPJT       : BANK OF TOKYO MITSUBISHI UFJ, LTD., . TOKYO.
  9. BOTKKRSX    : BANK OF TOKYO MITSUBISHI UFJ, LTD., . SEOUL.
  10. BOTKMYKK : BANK OF TOKYO MITSUBISHI UFJ, LTD., . KUALA LUMPUR.
  11. BOTKPHMM : BANK OF TOKYO MITSUBISHI UFJ, LTD., . MANILA.
  12. BOTKSGSX   : BANK OF TOKYO MITSUBISHI UFJ, LTD., . SINGAPORE.
  13. BOTKTWTX  : BANK OF TOKYO MITSUBISHI UFJ, LTD., . TAIPEI.
  14. BOTKUS33    : BANK OF TOKYO MITSUBISHI UFJ, LTD., . NEW YORK.
  15. BOTKVNVX  : BANK OF TOKYO MITSUBISHI UFJ, LTD., . HO CHI MINH.
  16. BOTKUS6P    : BANK OF TOKYO MITSUBISHI UFJ, LTD., . SEATTLE

Thursday, October 27, 2016

Finding Details HS Code, Customs Tariff, and Rule in INSW

Image source: insw.go.id
 
Thousands HS code will cover all products or goods in the world. One goods has different customs tariff, duty tariff, from another. Sometimes one goods has different rule from another, that is caused taking different treatment in customs process to. Or there is a goods has to be inspected when it will be sent to Indonesia. Some of goods need certain document for clearance process.

Many changes has happened last years here, in Indonesia. In some cases, companies did not know a rule has launched, then when their goods came to Indonesia, they were headache because of it, and of course some extra charges will be arise. All that happened because of they didn't check firstly the rule to their importation.

On be half of government, actually has made a website for public information, it's called INSW, Indonesia Nasional Single Window. Through this website, everyone can check the HS code, duty, and the rule to each HS code or goods. Government also splits the rule for export and import.

So that the first I should do when I will handle an importation to Indonesia, is drive myself to visit www.eservice.insw.go.id, from that site I know what I have to do all.

For you, may be a shipper from broad, you may check easily by visiting that website, checking the rule to the goods based on HS code you have. Or maybe you only want to find the HS code for your goods.

Customs has recommended INSW as reference for all company in Indonesia, so that we all, in Indonesia, have the same knowledge and information regarding customs and clearance process.   
 

Tuesday, October 25, 2016

How to Find Out The FSC Certificate Code of A company


Image source : www.info.fsc.org

FSC is an international certification organization regarding forest. A legal company that wood or product made from wood is their product must have a legal wood certificate. One of an organization could gives the certification is FSC.

Certificate legal wood is one of required document that has to be provided for each importation of wood or product made from wood to Indonesia.  Sometime some shippers or manufacturers say they don't have such any document. But, actually they have it. Whereas the consignee or receiver in Indonesia should get the license for clearance process, and the certificate is a must to be uploaded into the system.

Fortunately, FSC has provided a page for checking or finding a company that has a certificate from them.

I just visit this link www.marketplace.fsc.org, put the company name I want to search the certificate for, then all the companies with the keyword I place in will be shown.

I also can check the validity and expire date of  the certificate from.

To check all details of certificate of a company visit this link www.info.fsc.org. I can find all the details by certificate code I have gotten.  

Saturday, October 22, 2016

177 Currencies and Codes

Herewith I make 177 currencies list in the word with its code:
 
1    AFA    =    Afghani
2    DZD    =    Algerian Dinar
3    ADP    =    Andorran Peseta
4    ARS    =    Argentina Peso
5    AMD    =    Armenian Dram
6    AWG    =    Aruban Guilder
7    AUD    =    Australian Dollar
8    AZM    =    Azerbaijanian Manat
9    BSD    =    Bahamian Dollar
10    BHD    =    Bahraini Dinar
11    THB    =    Baht
12    PAB    =    Balboa/US  Dollar
13    BBD    =    Barbados Dollar
14    BYB    =    Belarussian Ruble
15    BEF    =    Belgian Franc
16    BZD    =    Belize Dollar
17    BMD    =    Bermudian Dollar
18    BOB    =    Boliaiano
19    VEB    =    Bolivar
20    BRL    =    Brazilian Real
21    BND    =    Brunei Dollar
22    BIF    =    Burundi Franc
23    CAD    =    Canadian Dollar
24    CVE    =    Cape Verde Escudo
25    KYD    =    Cayman Islands Dollar
26    GHC    =    Cedi
27    XAF    =    CFA  Franc BAEC
28    XOF    =    CFA Franc BCEAO
29    XPF    =    CFA Franc BEAC
30    CLP    =    Chilean Peso
31    COP    =    Colombian Peso
32    KMF    =    Comoro Franc
33    NIO    =    Cordoba Oro
34    CRC    =    Costa Rican Colon
35    HRD    =    Croatian Dinar
36    CUP    =    Cuban Peso
37    CYP    =    Cyprus Pound
38    CZK    =    Czech Koruna
39    GMD    =    Dalasi
40    DKK    =    Danish Krone
41    DEM    =    Deustche Mark
42    DJF    =    Djibouti Franc
43    STD    =    Dobra
44    DOP    =    Domincan Peso
45    VND    =    Dong
46    GRD    =    Drachma
47    XCD    =    East Caribbean Dollar
48    EGP    =    Egyptian Pound
49    SVC    =    El Salvador Colon
50    ETB    =    Ethiopian Birr
51    EUR    =    Euro
52    FKP    =    Falkland Islands Pound
53    FJD    =    Fiji Dollar
54    ZAL    =    Financial Rand
55    HUF    =    Forint
56    FRF    =    Franch Franc
57    GEK    =    Georgian Coupon
58    GIP    =    Gibraltar Pound
59    HTG    =    Gourde
60    PYG    =    Guarani
61    GNF    =    Guinea Franc
62    GWP    =    Guinea-Bissau Peso
63    GYD    =    Guyana Dollar
64    HKD    =    Hong Kong Dollar
65    ISK    =    Iceland Krona
66    INR    =    Indian Rupee
67    IRR    =    Iranian Rial
68    IQD    =    Iraqi Dinar
69    IEP    =    Irish Pound
70    ITL    =    Italian Lira
71    JMD    =    Jamaican Dollar
72    JOD    =    Jordanian Dinar
73    UAK    =    Karbovanet
74    KES    =    Kenyan Shilling
75    PGK    =    Kina
76    LAK    =    Kip
77    EEK    =    Kroon
78    HRK    =    Kuna
79    KWD    =    Kuwauti Dinar
80    MWK    =    Kwacha
81    ZMK    =    Kwacha
82    MMK    =    Kyat
83    LVL    =    Latvian Lats#
84    LVR    =    Latvian Ruble
85    LBP    =    Lebanese Pound
86    ALL    =    Lek
87    HNL    =    Lempira
88    SLL    =    Leone
89    ROL    =    Leu
90    BGL    =    Lev
91    LRD    =    Liberian Dollar
92    LYD    =    Libyan Dinar
93    SZL    =    Lilangeni
94    LTL    =    Lithuanian Litas
95    LSL    =    Loli
96    LUF    =    Luxembourg Franc
97    MGF    =    Malagasy Franc
98    MYR    =    Malaysian Ringgit
99    MTL    =    Mallese Lira
100    TMM    =    Manat
101    FIM    =    Markka
102    MUR    =    Mauritius Pupee
103    MZM    =    Metical
104    MXN    =    Mexican  Nuevo Peso
105    MDL    =    Moldovan Leu
106    MAD    =    Moroccoan Dirham
107    NGN    =    Naira
108    NAD    =    Namibia Dollar
109    NPR    =    Nepalese Rupee
110    ANG    =    Netherlands Antillian Guilder
111    NLG    =    Netherlands Guilder
112    AON    =    New Kwanza
113    TWD    =    New Taiwan Dollar
114    YUN    =    New Yugosslavian
115    NZD    =    New Zealand Dollar
116    BTN    =    Ngultrum
117    KPW    =    North Korean Won
118    NOK    =    Norwegian Krone
119    PEN    =    Nuevo Sol
120    MRO    =    Ouguiya
121    TOP    =    Pa'anga
122    PKR    =    Pakistan Rupee
123    MOP    =    Pataca
124    UYU    =    Peso Uruguayo
125    PHP    =    Philippines Peso
126    PTE    =    Portuguese Escudo
127    GBP    =    Pound Sterling
128    BWP    =    Pula
129    QAR    =    Qatari Rial
130    GTQ    =    Quetzal
131    ZAR    =    Rand
132    OMR    =    Rial Omani
133    KHR    =    Riel
134    MVR    =    Rufiyaa
135    IDR    =    Rupiah
136    RUR    =    Russian Ruble
137    RWF    =    Rwanda Franc
138    SAR    =    Saudi Riyal
139    ATS    =    Schilling
140    SCR    =    Seychelles Rupee
141    ILS    =    Shekel
142    SGD    =    Singapore Dollar
143    SKK    =    Slovak Koruna
144    SBD    =    Solomon Islands Dollar
145    KGS    =    Som
146    SOS    =    Somalia shilling
147    ESP    =    Spainish peseta
148    LKR    =    Sri Langka Rupee
149    SHP    =    St. Helena Pound
150    ECS    =    Sucre
151    SDD    =    Sudanase Dinar
152    SDP    =    Sudanese Pound
153    SRG    =    Surinam Guilder
154    SEK    =    Swedish Krone
155    CHF    =    Swiss Franc
156    SYP    =    Syrian Pound
157    BDT    =    Taka
158    WST    =    Tala
159    TZS    =    Tanzania Shilling
160    KZT    =    Tenge
161    SIT    =    Tolar
162    TTD    =    Trinidad & Tobago Dollar
163    MNT    =    Tugrik
164    TND    =    Tunisian Dinar
165    TRL    =    Turkish Lira
166    AED    =    UAE  Dirham
167    UZS    =    Ubekistan Sum
168    UGX    =    Uganda Shilling
169    USD    =    US Dollar
170    VUV    =    Vatu
171    KRW    =    Won
172    YER    =    Yemeni Rial
173    JPY    =    Yen
174    CNY    =    Yuan Renminbi
175    ZRN    =    Zaife
176    ZWD    =    Zimbabwe Dollar
177    PLZ    =    Zloty

All above codes usually are used in Indonesian export application. Hope it can be useful for one of you.

Friday, October 21, 2016

If You Bring Clothes to Indonesia During Your Holiday

If you are one of who want to visit to Indonesia, to Bali, for instance, or to another place in Indonesia. May be you want bringing some clothes as a gift. I would like to inform you that there is certain rule for clothes that is brought by passenger. Trade Ministry of Indonesia has launched a regulation related to.

This regulation has been applied since early November 2015 and will be ended on end of 2018. On these rule they mentioned the list product that should takes special treatment when shipper will ship it to Indonesia, bring by visitor. The regulation is under no. 18/M-DAG/10/2015

They called these product list Certain Product.

One of the goods is clothes, such as sweater. Like I have posted Export Clothes to Indonesia Free License?, this is using the same regulation with. I want to inform you regarding the exception for the clothes that you bring during your traveling to Indonesia. I meant, if you want to take some apparels to Indonesia and avoiding the certain treatment, then the maximum value of  all the apparels you bring is $1000.

It doesn't matter to the quantity you want to bring. You have to concern to the total value of the clothes.

Basically, clothes is needed inspection at origin prior to ship to Indonesia.
 
Be aware! Many rules updated in Indonesia, you have to check your shipment or your package before sending or bring to Indonesia.

The next posting, I want to tell about "how to ship or bring an electronic goods to Indonesia".  


Sunday, August 14, 2016

Country Code List

The following country code and name data is taken from export application:


CODE NAME
AD Andorra
AE United Arab Emirates
AF Afghanistan
AG Antigua And Barbuda
AI Anguilla
AL Albania
AM Armenia
AN Netherlands Antilles
AO Angola
AQ Antarctica
AR Argentina
AS American Samoa
AT Austria
AU Australia
AW Aruba
AZ Azerbaijan
BA Bosnia And Herzegovina
BB Barbados
BD Bangladesh
BE Belgium
BF Burkina Faso
BG Bulgaria
BH Bahrain
BI Burundi
BJ Benin
BM Bermuda
BN Brunei Darussalam
BO Bolivia
BR Brazil
BS Bahamas
BT Bhutan
BV Bouvet Island
BW Botswana
BY Belarus
BZ Belize
CA Canada
CC Cocos (keeling) Islands
CD Congo, The Democratic Republic Of The
CF Central African Republic
CG Congo
CH Switzerland
CI Cote D'ivoire
CK Cook Islands
CL Chile
CM Cameroon
CN China
CO Colombia
CR Costa Rica
CU Cuba
CV Cape Verde
CX Christmas Island
CY Cyprus
CZ Czech Republic
DE Germany
DJ Djibouti
DK Denmark
DM Dominica
DO Dominican Republic
DZ Algeria
EC Ecuador
EE Estonia
EG Egypt
EH Western Sahara
ER Eritrea
ES Spain
ET Ethiopia
FI Finland
FJ Fiji
FK Falkland Islands (malvinas)
FM Micronesia, Federated States Of
FO Faroe Islands
FR France
GA Gabon
GB United Kingdom
GD Grenada
GE Georgia
GF French Guiana
GH Ghana
GI Gibraltar
GL Greenland
GM Gambia
GN Guinea
GP Guadeloupe
GQ Equatorial Guinea
GR Greece
GS South Georgia And The South Sandwich Isl
GT Guatemala
GU Guam
GW Guinea-bissau
GY Guyana
HK Hong Kong
HM Heard Island And Mcdonald Islands
HN Honduras
HR Croatia
HT Haiti
HU Hungary
ID Indonesia
IE Ireland
IL Israel
IN India
IO British Indian Ocean Territory
IQ Iraq
IR Iran, Islamic Republic Of
IS Iceland
IT Italy
JM Jamaica
JO Jordan
JP Japan
KE Kenya
KG Kyrgyzstan
KH Cambodia
KI Kiribati
KM Comoros
KN Saint Kitts And Nevis
KP Korea, Democratic People's Republic Of
KR Korea, Republic Of
KW Kuwait
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Export Paper to Indonesia, Provide Those Data Prior to Shipment

Since April, this year, Indonesia has implemented a regulation for forest product. Importer should has the license of any product that is made from wood, such as paper. I have informed on previous porting, Import Permit For Goods That Made From Paper or Wood.

And now, I want to inform you all data need to provide by shipper and manufacturer who want to send or export a product that is made from wood or paper. I publish this posting especially for shipper or manufacturer from the overseas.

Herewith I mention all the data needs:

Shipper
Name :
Address:
City:
Telephone No.:
Fax No.:
Email Address:
Company Registry No., date, and the copy document
Country:
Port of Loading:

Manufacturer.

Name :
Address:
City:
Telephone No.:
Fax No.:
Email Address:
Company Registry no., date, and the copy document.
Country:


Raw Material Details:
1. Species, Name and Scientific Name.White Pine, for instance.
2. Originally Harvest or Country of Origin.
3. Certificate from certificate organization, concerning forest. Chose one of the four. Between FSC, PEF, CSA, or SFI. Those certificates should be in valid condition in both number and date. Please send to importer the copy of the certificate.

All those data are a must to provide to get the import permit license in Indonesia.

Friday, August 12, 2016

Export Clothes to Indonesia Free License?


Image Source : Wikipedia

Clothes is one of a commodities that needs a certain license when it's sent or exported to Indonesia. You have to be careful. Because there is an obligation to inspect the goods prior to shipment by a certain inspector company. The inspection result is one of supporting documents must the importer has.

If the consignee or importer doesn't has the inspection report when the clothes came already in Indonesian port or airport, the two choices way has consignee decide. The first choice is return the clothes to the origin or shipper. The process will takes one month to spends, so that do not hope the goods can be returned as soon as possible. The returning charge will be invoiced to shipper or importer based on agreement.

The second choice is damage the clothes by customs. Of course, the clothes will be missing, as if no shipment of the clothes.

The Quantity To be Allowed Without Inspection.

The maximum quantity will be allowed by customs is only 10 pieces each shipment or each Air Waybill. If we have some clothes which is the quantity more than 10, then we have to split into several times of shipment.

May be this way will fits to sample of the clothes. For bulk production, the best way is inspect the goods before shipment to Indonesia.

This kind of inspection has to be arranged by consignee or importer and the process is fully of system.

So that please communicate with your consignee.    

      

Tuesday, August 9, 2016

Import Permit For Goods That Made From Paper or Wood

Image source: shutterstock.com
This year is a trouble year for some importers in Indonesia. The Forest Ministry has launched a rule for importation of the goods that made from woods, or let say forest product. The bad system and difficulty requirement for getting the license made some importers headache.


For some companies that one or some parts of raw materials for their production should be imported from overseas have to think finding other way to make the goods comes safety and fast.

No compromise, no minimum quantity to be allowed if no license can not be shown to the customs.

Two choices can be taken when the goods has arrived already and no license. Return to the origin or damage the goods. The process for returning the goods to the origin takes one month at least.

I have personally tried to apply the license, but until know, no reply from their system for further process. It's the bad system that I have ever found.

One of the most difficult requirement is a manufacturer forest certificate from certain organization. In fact, not every company has such any.