June 2010

Welcome to the June 2010 newsletter from Customs Clearance Ltd.

The freight forwarding industry has endured some interesting times in recent weeks. What with the customs strike in Greece and now the ‘austerity measures’ unrest across the Euro Zone; not to mention airline troubles and of course, the confusion created by drifting clouds of volcanic ash. We work hard to stay in touch with what’s going on all over the globe and keep our clients’ goods on the move, even if they don’t arrive quite when they’re expected. So if you’re experiencing any transportation troubles, don’t forget, you can look to us for solutions. And if we can’t help directly, we’ll generally know somebody who can.

As usual we hope you find this issue of value, and don’t forget, for any customs and importation queries, make our friendly and approachable Customer Services team on +44 (0)20 8231 0900 your first port of call.

Rudee is on the run! Yes, it’s true our very own Roadrunner is on the move. Rudee is running the Royal Parks Half Marathon in October, in aid of MIND, one of CCL’s sponsored charities. He’s already in training, pounding the pavements every morning before work (Ed: every morning, really?!). So if you’re feeling generous and you want to support Rudee in this admirable endeavour for a very worthy cause, check out his page on Virgin Money Giving here.

Trade Show Update: Are you going to be at the Triangle World Mail and Express Europe event in Copenhagen from 16th to 17th June. If so, let us know. We’ll be there and we’d love to connect.

Low Value Bulked Imports Customs Declarations – Important New Policy: We’ve been in debate with HMRC on several occasions in recent weeks, over the problem of false or incorrect customs declarations being made by certain of our clients using the Low Value Bulked Imports declaration. We need to make sure, when we make a customs declaration based on information provided by a client, that it is correct in every way. We cannot allow any client to instruct us to make a false declaration on their behalf. Consequently, in collaboration with HMRC, we’re putting in place a new procedure which will protect us against penalties which might be imposed for false declarations:

1. We will be reviewing all manifests and accompanying documentation looking out for repeat shipments and delivery addresses, and values and weights that might be borderline.

2. If we are in any way uncertain of the validity of the information presented to us for customs declaration we will advise the client that we do not accept the manifest as a true and correct declaration for HMRC purposes and further advise that we will insist on paying VAT and duty if necessary on the manifest value.

3. If we do not receive a satisfactory explanation or justification from the client, we will at this point request that HMRC intervenes – they have already indicated their willingness to assist as needed.

4. Once a satisfactory conclusion is reached, and assuming the client relationship remains in place, we will resume customs clearance.

5.We will be asking clients as necessary to read and accept the document “LVBI standing/specific authority with HMRC Information Pack”. You can request a copy of these documents by emailing us on info@ccllhr.com

Import Control System (ICS) Update: The European Commission aims to deliver fully electronic customs on a level playing field across the European Union under a 10 year plan called MASP - The Multi Annual Strategic Plan. It requires a mixture of legal, procedural and technological systems of which the Import Control System (ICS) is one.

ICS Phase 1 introduces the requirement for electronic pre-arrival information to be provided to the customs authorities on all goods entering or passing through the customs territory of the Community. The UK intends to implement ICS Phase 1 on 2 November 2010 before the main transition deadline of 1st January 2011.

From this point, all consignments (with very few exceptions) which enter or pass through the EU having originated from countries outside the EU, will be required to be reported electronically, in advance of arrival, to the relevant customs administration, via an electronic Entry Summary Declaration (ENS).

As you might imagine, this is a complex transition and as a result, there is a wealth of information on the planned procedures available from HMRC and elsewhere. You will need to make your own assessment as to whether you are impacted by the changes. A good place to start is a comprehensive and detailed update document from HMRC, which you can download from our web site here. Further information can also be found on the Business Link web site here.

How much are you worth? Let’s say you run an e-commerce business. You take orders over the web, then each week you present a bulk order to your supplier in the Far East. They send a shipment containing all the products ordered by your customers, which arrives at Heathrow Airport on a Monday morning.

Here’s where the fun starts for you. You have to fight your way across London in your van, on the busiest morning of the week, carrying armloads of paperwork. You must locate your shipment, arrange for it to be cleared through customs, and then load it on your van (hoping it all fits in) and fight your way back across London. Once you get back to base, you unpack your shipment. Then, armed with another fist full of paperwork, you break it down into individual orders, pack it, stick address labels on it, and arrange for collection by your courier or mailman.

How long does this take? Perhaps a day, each week? And what else is this task taking you away from doing? Meeting with new clients, perhaps? Building relationships with partners and associates who can help your business? Making sales?

One of the many valuable benefits you gain from instructing Customs Clearance Ltd to do your customs clearance, collection, break-bulk and distribution is….. time. So when you’re stuck in the Monday morning traffic on the A4, struggling to make it to the airport before the storage charges kick in, consider how valuable your time is to your business. Then get it back, by calling the friendly team at CCL.

A mini Coffee Break Story: More haste, less speed

The plane back from Chicago was late landing. It’s bad enough travelling on one of those red-eye routes – you know, the ones where they turn out the lights at seven in the evening and wake you up for a disgusting breakfast in the middle of the night – without being late in as well. I was supposed to go straight to the office, but I was planning on sneaking a quick wash-and-brush-up at the airport hotel where my mate works, but now there wasn’t even time for that. The monthly drains-up meeting was fast approaching and I didn’t want to be late.

At least I had the orders – all three of them – in my tired, sticky mitts. The Directors would be happy, even if the wife was grumpy that I hadn’t brought her anything. Well, how could I? There wasn’t a moment to breathe. Three days, six meetings and hardly even a moment for the ‘retail experience’ at the airport. I got her some chocolates – that would have to do this time.

I was running. Yes, I know, that’s never wise. Especially not with a wheelie case snapping at your heels and a laptop slung over your shoulder. I practically skidded out into the arrivals hall and I wasn’t really minding where I was going. I was looking for the car park pay machine and wondering where I’d stashed the ticket. I barrelled straight into him.

We actually fell over – both of us. It was all very embarrassing. Although thinking about it, maybe he was running too. We were converging on the ticket machine from different directions, both of us looking the wrong way. He caught his ankle and toppled right over my case. I fell over him as my laptop swung round and it landed right on top of him. I think he even smacked his head on the floor too. If it wasn’t so embarrassing, we might have laughed. He definitely came off worse, so it was my job to apologise. And apologise I did, profusely and abjectly.

Anyway, we dusted ourselves off and I offered to buy him a coffee. I don’t know why, but suddenly it seemed stupid to rush, rush, rush off to the office at that point. Time to be a gentleman, not an idiot. So we popped into the coffee bar and in the time it took to drink a tall latte, I found out he was a man I needed to know. He owned a company called Customs Clearance Limited. It turns out this poor chap with the twisted ankle and the bruised ego could help me import and customs clear our raw materials and dispatch the orders to our new customers in the USA too. There was plenty else he could do for us too, with those problems we’ve been having with our Far Eastern imports.

So, with all the panache, flare and genius of genuine global wheeler-dealers, we managed to turn an awkward collision into a most productive connection. But I’ll still look where I’m going next time I’m scooting through the airport in too much of a hurry.