Customs Coordination

Customs have always played the role of a policeman on international borders. They aim to intercept smuggling, contraband or illegal activities and arrest their spillage across borders. Moreover, they check the documents and the goods being transported and charge customs duty as per the type of goods.

However, shipments often get stuck in customs for more than the stipulated time, thus delaying their clearance and movement. Every shipper and cargo owner dreads the notice “Shipment on Customs Hold”. The most common reasons for such a halt are:

• Missing or Improper Documents: In such a case, submitting the complete set of correct documents can clear your goods. Here are a few instances of improper documentation.
• Missing Documents like the Commercial Invoice, Packing List, or the bill of lading missing in the documentation.
• Missing or incorrect information like the broker or the notifying party, origin or destination, HTS classification or ECCN Code, number of items, consignment valuation and other details.
• Restricted Goods: Transporting a restricted or banned category of goods can pause the supply chain and result in the goods getting destroyed by the customs.
• Unpaid Taxes: Your shipment will get stuck if you haven’t paid the customs duty yet.
• Consignee Refuses to be the Importer: A shipment might get stuck with customs if the consignee refuses to be the Importer of Records (IoR) to avoid getting involved in the process. The IoR is responsible for submitting the documents and paying taxes. To become one, the company must have a registered unit in the country of import.

Whatever the reason is, a shipment getting stuck in customs hold causes a lot of inconvenience to everyone involved in the supply chain. So, here’s a list of things you can do in such a scenario. And panicking isn’t one of them.

1. Check Customs Duty: See if the duty is paid. If not, you should sort that out.
2. Check Documentation: See if there is a problem with the documentation or if some information or paperwork is missing.
3. Connect with the Consignee: The consignee must get your shipment out of customs if you have paid the duty. So connect with them to understand what is the holdup.
4. Contact the Seller: You can check with the seller of goods about the information or documentation misrepresented or withheld that led to this hiccup in the supply chain.
5. Check with the Carrier: See if your shipment is on hold with customs or if there is another issue.
6. Let Your 3PL Partner Assist: Or, you can simply allow a competent 3PL partner to handle your worries and get critical information on your shipment. For instance, TMT’s Team of Specialists can take this unload customs procedures and all documentation and duty-related concerns off your shoulders.