Have you ever been in a situation where you told yourself: had I known this, I would have acted differently?
Well, this is what usually happens when we do not know the standards or rules about something and act anyway, blindly and without weighing the cost of doing so. In this case, regarding customs compliance.
That is why, if you want to always have a good experience with your imports and exports, it is best that you read to the end. There are rules in every setting and every sector in the world.
In international trade, Mexico has been making great efforts in this area, which have led to strict adjustments aimed at eliminating illegality and organized crime. This set of rules requires full compliance by companies and customs agencies.
Failure to comply with these rules can lead to fines and penalties that can be very serious. For companies, it can mean the loss of their goods and assets and being unable to carry out further international operations. For agencies, it can mean the loss of their customs broker license. This is why customs compliance is the most important thing for us.
That is why, through this article, we want to help you be clear about the most important aspects when carrying it out, since in most cases where errors occur, even though they are unintentional, these fines and penalties are incurred because of a lack of knowledge on the subject. In addition to the rules the government sets for the exchange of goods, both in Mexico and in the rest of the world, there are rules set by companies and agencies.
This whole set of rules must be aligned for operations to be successful. In our case, as a customs agency with a long track record and one of the most important and difficult certifications to obtain: C-TPAT Certified.
We are convinced that this is a matter that cannot be left to chance and that it is vitally important for our clients and for any company that depends on foreign trade, both for its daily operations and for its expansion and growth.
Not knowing these rules not only leads to fines and penalties, it also leads to cost overruns and inefficient operations.
Our goal is to give you information so that you can anticipate these situations, helping to reduce costs and make processes more efficient.
When you review your customs compliance, you must have extensive knowledge of the international trade laws in force in Mexico, as well as those of the points of origin and destination.
Customs regulations in each country respond to its own interests and also to the cultural way in which each country manages its internal dynamics in processes as sensitive as foreign trade.
The Mexican case is no exception, and there are rules and processes quite different from those of more advanced countries such as the European Community or the United States, where customs processes are quite simplified and based on the trust placed in their own culture, where the individual's responsibility toward the state prevails; the state applies very rigid mechanisms against physical or technical smuggling and leaves little room for people to think about committing minor offenses or bypassing rules for their own individual benefit.
In Mexico and some Latin American countries, where customs processes can be more complex, entities or individuals doing international business must take special care to review the rules which, although similar worldwide in tariff matters, may differ in normative and regulatory matters, with diametrically opposed penalties in different countries.
In Mexico, the detail where people tend to have the most problems, and which can even lead to the confiscation of their goods, is the completion of the customs entry (pedimento), since the simple fact of having an inaccuracy or omission results in additional costs starting at $1,800 MXN per document. That is why at Spectrum Worldwide we adhere to compliance to prepare a correct pedimento.
At Spectrum Worldwide we prepare this document as part of the comprehensive service we offer, and based on our experience, we especially recommend always working with a customs broker and carrying out all the prior reviews the government offers before making the payment and having the document issued by the SAT. All customs brokers are responsible for preparing the pedimento, and customs law determines who and which goods must be cleared through a customs broker.
Points such as correctly preparing the sales invoice, checking that the negotiation terms are clearly specified and updated to the INCOTERMS 2020 rules, which will govern negotiations for the next 10 years, as well as an exact rather than generic description of the products sold, and reviewing any export or export permit required before carrying out the operation, are an essential task.
That is why we suggest that you make a detailed plan of your imports or exports that allows you to identify:
Hire a logistics operator that guarantees the handling of the entire operation and offers you
And keeps you informed of every step of your goods.
We have noticed that a lack of attention to the document, the goods or the shipping or receiving processes can create failures. The main failure is when the goods do not match: the goods shipped and the goods the importer receives. At Spectrum Worldwide we do not have that problem, because we pay attention to every particle of the customs process to avoid non-compliance like this.
Our work consists of paying attention to every detail, not only of regulations and restrictions, but of how goods are received or dispatched, so that when they enter customs they can pass through without being held up in any of the processes.
Complying 100% with the law is necessary and complicated, especially keeping up with new provisions that change continuously. That is why it is essential to have a team that keeps you up to date on new requirements.
For the same reason, as Spectrum we must protect ourselves in order to maintain our license as brokers. And we have an obligation, for the service provided to our clients, to comply with the strict rules and thus avoid customs problems with the goods of our client partners who import or export.
In Mexico, customs agencies are endorsed by the SAT, which is the regulatory body for tax and customs legislation in the country, and Article 40 of the Customs Law establishes the obligation to use a customs broker for import or export operations.
Therefore, the greatest guarantee you can have when hiring one is their knowledge of customs matters and, above all, their strict adherence to customs compliance, which ensures zero risk in the import and export of goods.
