What is Commercial Invoice in Export-Import Business?
In the apparel export-import business, the commercial invoice is evidence or record of the transaction between the importer and the exporter which is a mandatory document for customs clearance. When the goods are available then the exporter issues a commercial invoice to the importer to charge him for the exported goods. It should be noted here that, commercial invoice always contains some basic information’s on the transaction. It has too much importance in customs clearance.
Types of Documents Required for Export Customs Clearance:
The most important documents listed in “shipping documents” for customs clearance which is also known as “export documents checklist” have pointed out in the following:
- Information of the exporter and the importer (Name and Address),
- Date of issue,
- Number of invoices,
- Bill of lading or airway bill,
- Details description of the export goods (Name, quality, etc.)
- Unit of measure,
- Unit value,
- Insurance certificate,
- Quantity or amount of goods,
- Import license,
- DEEC/DEPB /ECGC or any other documents for duty benefits,
- Total item or products value,
- The total value of the invoice,
- Industrial License,
- Test report,
- GATT/ DGFT declaration,
- Packing list,
- Purchase order/ letter of credit,
- RCMC (Registration cum Membership Certificate),
- Central excise document,
- The currency of payment (The equivalent amount must be indicated in a currency freely convertible to Euro or another legal tender in the importing EU country),
- Payment terms (Method and date of payment, discounts, etc.).
What is Single Administrative Document (SAD) Used in Apparel Shipment?
In the export-import business, SAD stands for “single administrative document”. It is the common import declaration form for all the EU countries. By using a single administrative document form, all the goods imported into the EU must be declared to the customs authorities of the respective EU country.
Single administrative document (SAD) contains the below information’s for customs clearance:
- Documentary approval of origin normally used to apply a tariff preferential treatment,
- Document of transport,
- Value of custom declaration,
- Document of community surveillance,
- Cites certificate,
- Documents required for Excise purposes,
- The certificate which confirms the special nature of clothing product,
- Commercial Invoice,
- Inspections certificates,
- Import licenses,
- Documents to support a claim of a tariff quota,
- Evidence to support a claim for VAT relief.
-Written by
Mayedul Islam
Merchandiser at Fashion Xpress Buying House.
Badda, Dhaka, Bangladesh.
Email: mayedul.islam66@gmail.com
Mayedul Islam is a Founder and Editor of Garments Merchandising. He is an Expert in Garments Merchandising. Writing is his passion. He loves to write articles about Apparel, Textile and Garment Washing specially on Merchandising. Mail him at mayedul.islam66@gmail.com