Export Documentation

Presenter: Bengt Reed Anderson, ces

President

840 Tollgate Road

Elgin, IL 60123

Tel: 847-760-0000

Cell: 630-776-1872

email: banderson@bdginternational.com

Presented by

BDG International, Inc.

Export Documents

Certificate of Origin

Ocean Bill of Lading

Air Waybill of Lading

SLI

Certificate of Origin

Certificate of Origin

Document that certifies a shipment's country of

origin. It is used between members of a trading block

or where special privileges are granted to goods

produced in certain countries.

Certificate of origin is commonly issued by a trade

promotion office, or a chamber of commerce in the

exporting country. Also called declaration of origin.

Freight Forwarder can Create, Notarize and Chamber

stamp the C of O.

NAFTA C of O must be created by the shipper.

Certificate of Origin

NAFTA

US to Canada required for values greater than CAD1,600.00

US to Mexico required for values greater than USD1,000.00

Under limits: Invoice Statement "I hereby certify that the good

covered by this shipment qualifies as an originating good for

purposes of preferential tariff treatment under the NAFTA.

Israel - Any Value

Generic – Any Value

Rules of Origin

Preferential Rules – for purposes of utilizing

FTA’s and tariff concessions

Non-Preferential Rules – for purposes of

labeling, quotas, anti-dumping, anti-

circumvention and statistics.

Determining Origin

Points to consider

Is the product wholly produced in the originating

country?

Was the product imported and now being exported in

it’s original state?

Does the product contain imported items from another

country?

Determine % of foreign product

Is there a clear supplier paper trail providing evidence

of the country of origin.

Certificate of Origin’s are required in certain countries to

show evidence of the origin of the product.

Methods of Determining Origin

Wholly obtained

Substantial Transformation

Ad Valorem Percentage

NATFA

Transaction Value = 60% and tariff change

Net Cost Method = 50% and tariff change

Israel

35% US Value

Specific Manufacturing Processing Operations

Determined by where the processing occurs

Requiring a Specified change in tariff classification.

Input tariff headings must be different then final product tariff heading

Statement of Origin

These documents are used for instructional purposes to

countries the USA may have a Free Trade Agreement

with.

The country itself does not require a formal Certificate of

Organ by rather a simple statement attesting the origin of

the product.

This document does not require a Chamber Stamp or

Notarization.

Special Certifications

Documents may need:

Legalization

Consularization

Notarization

Apostille- Certificate by designated authority to

authenticate seals, court orders, etc

Typically when required a C/O will also

be required.

Countries Requiring C of O

Syrian Arab Republic

Tajikistan

Turkey

Turkmenistan

United Arab Emirates

Uzbekistan

Yemen

Israel

Canada

Mexico

Bahrain

Iran, Islamic Republic of

Iraq

Jordan

Kuwait

Kyrgyzstan

Lebanon

Oman

Pakistan

Qatar

Saudi Arabia

Duty Preferences and

Free Trade Agreements

Free Trade Agreements =

Accuracy on Country of Origin

Free Trade Agreements

Australia

Bahrain

CAFTA-DR

Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, and Nicaragua.

Chile

Israel

Jordan

Morocco

NAFTA

Oman

Peru

Singapore

Colombia

Korea

Panama

Need Help on a FTA?

Each FTA provides help for Free!

The duty will be based on a product as per the General Rules of Interpretation

from the U.S. Regulations & Harmonize Tariff System

Commodity (What is the HTS #)?

Tip: The buyer / importer must agree to the HTS

Type

Material

Usage

Cultural Interpretation

Country of Origin

Based on the FTA country of origin rules

Main Benefit:

Lower Duties = Duty Preference

Bill of Lading

Ocean Bill of Lading

Purpose of the Ocean Bill of Lading

Evidence of Contract of Carriage Contract of Carriage is created at the time of Booking

Receipt of Goods

Document of Title to the Goods Goods may be transferred to the holder of the bill of

lading. Giving care, custody and control.

Ocean Bill of Lading Types

Straight Bill of Lading

Issued to a “named” Consignee

Non-Negotiable & Non-Transferable

Released to Named Consignee only upon

surrender of original

Seaway Bill of Lading / Express Release

Does not require an Original B/L

Non-Negotiable & Non-Transferable

Used in low risk transactions

Ocean Bill of Lading Types

Negotiable Bill of Lading / Order Bill of Lading

“To Order …”

Negotiable & Transferrable

Used when payment terms involve a Letter of Credit

or Cash Against Documents

Require original endorsement

Whomever presents the endorsed bill of lading can

claim title and control over the freight.

Used in High Risk transactions

Ocean Bill of Lading Types

Electronic or “Telex” release Similar to a Straight Bill of Lading

Non-Negotiable & Non-Transferable

Eliminates the need for the Original B/L to be presented at

Destination

The shipper endorses presents at origin.

An e-mail is sent to destination to release the freight.

Used when the buyer is holding payment until arrival of

shipment.

Air Waybill

Non-Negotiable & Non-Transferable

Evidence of Contract of Carriage

Cargo Receipt

Bill of Lading and AWB

Review the terms and conditions

What are the carriers responsible for?

What are you hiring them to do?

Where do they start and end their

responsibility?

Ocean T&C Considerations

Carrier Liability

$500.00 per Customary Freight Unit

Lien

Carrier shall have a lien on the merchants property

General Average

Merchant will share in the risk of the voyage

Liability for Equipment

Merchant Shall assume full responsibility of equipment and

indemnify the carrier against any loss while in the control

of the Merchant

Ocean T&C Considerations

Carrier does not guarantee delivery of the goods at the

port of discharge at any particular time.

AWB T&C Considerations

Carrier Liability

17 SDR per Kg or $9.07 LB

Lien

Carrier shall have a lien on the merchants property

General Average

Merchant will share in the risk of the voyage

Liability for Equipment

Merchant Shall assume full responsibility of equipment and

indemnify the carrier against any loss while in the control

of the Merchant

SLI

SLI

Shipper's Letter of Instruction (SLI) Multi-function form providing for:

Detailed instructions to the forwarder

EEI (Electronic Export Information)

Provides information to complete Automated Export Declaration

(AES)

Information not typically available on other documents prepared by

the Exporter

Proper authority to the AES agent

Provided by a Letter of Authority or

Provided by a Power of Attorney

Signed SLI on Box 34-41

SLI / EEI1&2.USPPI-Company

responsible for

shipping the

product from the

USA

6. USPPI EIN-Required

information

7.Parties RelatedIs USPPI or FPPI

related 10% or more?

9. Routed:

Yes or no

10. Ult cneeCompany who is

receiving the cargo

11. Ult Cnee type

Direct consumer (D),

Government (G)

Reseller (R), Other

(O)

12.Intermed

iate cneeReceiving the

cargo and on

fwd – not a

freight frwrdr

13. Point

(state of

origin)Where is the

cargo physically

coming from?

14. Country

of Ult DestDo you have

knowledge of the

final destination

beyond your

deliver to

address?

15. Hazardous

Materials

Yes or no

20. D/F

Is the product

“Made in the USA”

or of foreign

origin?

21.

Schedule B

#

Number that

associates

the product

with the U.S.

Govt

classification

system

SLI / EEI22. Quantity in

Schedule B /

HTS units

Refer to the

Schedule B

number unit

requirement

23. DDTC

Quantity and

DDTC Unit of

Measure

Based on

license

requirements

24. Shipping

Weight

(in kilos)

Accurate Gross

weight is essential to

National Security

25. ECCN, EAR99

or USML

Category No.

All exports will

have one of the

above three.

26.SME (Y/N)

SME =

Significant

military

equipment

Y= ITAR

N= no ITAR

concern

27. License

data

28. Value at the

Port of Export

(USD)

Enter the value per

Schedule B

FOB/FCA include

domestic $

Value should

equal total

amount paid or

payable for the

product, or

market value if

no financial

transaction

29. License value

by item

Licensable values

based on the

license may have

a different

calculation. Refer

to license

30 & 31. DDTC

information

ITAR related

32. Check if

there are

other values

that do not

exceed

$2500.00 per

schedule b

number