Companies that export and import goods to and from the Philippines know some of the benefits of hiring a customs broker. Traders like them generally have to deal with customs officials to obtain product permits. To get these things done, companies often choose the services of an experienced customs broker. With multiple processes, importing and exporting outside the country requires a clear understanding of various regulations and laws.
What is a Customs Broker?
A customs broker is a professional intermediary who facilitates the import and export of goods by helping individuals and businesses navigate the complex and often daunting customs clearance process1. These experts are well-versed in customs regulations, tariffs, and documentation requirements, ensuring that shipments comply with legal and regulatory standards while minimizing delays and cost inefficiencies1.
Customs brokers help their clients remove barriers in world trade by facilitating the import and export of goods across international borders. Whether you are an individual, a small business or a corporation, customs brokers use their experience to get goods through customs smoothly in different countries. By optimizing the flow of shipments across borders, customs brokers reduce the stress of international shipping for their customers.
Subscribe to the Ex-works24/7 newsletter
The are the benefits hiring a customs broker?
Customs brokers know the system better than anyone else, they can navigate it faster and more efficiently. In some countries you can even access automated customs clearance. Here are some of the benefits of hiring a customs broker:
Cost Management
The main reason why companies do not use a customs agent is brokerage fees. That’s a pretty short-sighted view of profitability. Do not consider hiring a customs broker as a cost factor, but as an investment in the future of your company. A customs broker will not only help you avoid costly fees due to customs fraud and other penalties, but they are also ideally placed to find the cheapest rates for your shipments and can help you budget accordingly.
Documentation assistance
There’s nothing more disheartening than looking at a stack of important papers that you don’t know how to take care of. Since documentation is so crucial to the customs process, it is best done by experts. Unfortunately, a small mistake can cost you something. When you hire a customs broker, he will take your company’s interests into account. They are ready to stand up for you every step of the way. That’s more than you can say for the average customs officer who really doesn’t care if your shipments are delayed or not.
Avoid incurring penalties
Different countries work with other parameters when calculating duties and fees. Failure to comply with these rules can impact businesses, often in the form of fines or lengthy delays that can impact the supply chain. Thorough knowledge of regulations and their exceptions means customs brokers can quickly and accurately identify and calculate all duties and taxes.
Shipment Visibility
For companies that import goods, insight into the shipment enables forward planning, which helps to simplify customs clearance. With access to the latest technology and tools, customs brokers can provide 24/7 visibility across all time zones by taking on the role of tracking global shipments on behalf of the company. When problems arise, customs agents can also step in to resolve the complications as they constantly interact with customs officials.
Peace of mind with Customs Broker
What is the main difference between hiring a tax advisor and self-government? It’s more convenient to pay the accountant… and you’re less likely to have problems with the tax office later. When you choose to pay someone to do a job that you could do yourself (but without the experience), you value your time and energy more. When it comes to customs clearance, you can theoretically do everything yourself, but it takes a lot of time and energy that you probably don’t have.
Appointing an experienced Licensed Customs Broker to handle the company’s import process helps ease the strain on staff, who can then focus on core business. Delegating these responsibilities to a customs professional minimizes business inconvenience and can ultimately result in increased internal productivity as well.
