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Export, import

CUSTOMS CLEARANCE shall mean Customs complex formalities starting with the lodgment of customs declaration on goods and means of transport crossing the customs border at the customs and ending with customs permission to release them after required examination and payment of Customs duties and other taxes.

Customs clearance for export and import consists of the following steps:
1. Declaring the goods
2. Inspection of customs documents
3. Inspection of the goods and means of transport
4. Levying customs duties and other taxes and payments thereto
5. Releasing goods, granting permission to cross the goods across customs border.

Declaring the goods shall mean lodging all necessary information regarding the goods and means of transport crossing the customs border to the customs in a form in conformity with the customs declaration form along with other related documents.

Forms of declaring goods::
1. In writing
2. Through information network
3. Verbally for travelers regarding their personal effects and declarants regarding postal items
4. By action when passengers choose either red or the green channel

Other types of customs clearance:

customs clearance

Customs expedite clearance:

Customs expedite clearance is applied for the following goods:
· Relief goods to recover losses and damages caused by disaster or force majeure;
· Radio-active substances, toxic and dangerous chemicals, explosives;
· Livestock and animals;
· International postal items;
· Newspapers, periodic editions, materials for media, scientific and research materials;
· Perishable goods requiring special storage conditions;
· Donor organs or blood, blood products;
· Other goods specified in this law.

Customs pre-arrival clearance:

Customs pre-arrival clearance may be applied for goods dispatched from the departure country and before their entry into the Mongolian border or before the completion of the carriage of the goods from border customs control to an inland customs. Copy of all the documents accompanying the goods shall be submitted to the customs; and upon the arrival of the goods, they will be compared with the originals.

Customs simplified clearance:

Goods shall cross the Customs border under simplified Customs clearance without lodgment of all the documents specified in this Law and with the request to fill-in some parts of the Customs declaration.
· For goods entering the Customs bonded zones directly from abroad, not being in transit through the customs territory;
· For goods sent abroad from the customs bonded zones, not being in transit through the customs territory;

Customs clearance upon order:

Customs clearance may take place at the location requested by the declarants on their expense for perishable, easily spoilt goods, goods which require special condition for transporting, loading or storage, confidential goods, historical heritage items, currencies, bonds and chemical precursors being sent overseas or from overseas; and goods belonging to foreign diplomatic mission office or organizations of similar status, personal effects of the workers thereto.

International trade documents:

International trade documents are classified into the following categories based on their functions.

Road transport carriers:
· Certificate of vehicle;
· Transport bills;
· Trade documents /trade contract, receipts, invoice, packing list, insurance documents, other documents necessary for the description of the goods/

Airway carriers:
· Aircraft certificate;
· General declaration;
· List of passengers’ names;
· Cargo manifest;
· Airway bill;
· List of foodstuff and other items to be consumed by passengers in the flight;
· Trade documents;

Railway carriers:
· Pass-over documents;
· Railway car documents;
· Railway bill;
· Trade documents;

INCOTERMS:
The international commerce terms in international trade contracts determine the cost and the party responsible in case of risk and directly affect the valuation of the goods. Thus, in order to prevent misunderstanding and unnecessary waste of time and money, it is important we understand the international commerce terms prevalently used in international trade and widely accepted. “International commerce terms” is often referred to as Incoterms 

Incoterms 2000


E group “Departure”

Characteristic of E group: The seller supplies the goods to the buyer from his own premise (industry, warehouse)

 incoterms1

 

F group: “Main carriage unpaid”

Characteristic of F group: Buyer makes the international transport contract. The goods are carried to the carrier the buyer specified.

incoterms2

 

C group: “Main carriage paid”

Characteristic of C group: Seller makes the international transport contract and the risk during carriage is the responsibility of the buyer.

 incoterms3

 

D group: “Arrival

”Characteristic of D group: The seller makes the transport contract and supplies the goods at the importer’s country (except for the case of DAF). The transportation cost is included in the contract value.

incoterms4