By “post audits” I am referring to audits conducted by either yourself (i.e. annual self-audits), an independent auditor or post-audits conducted by SARS Customs.
This primarily involves tariff classification and you’re TPL (Tariff Parts Library). It will also involve landed costings, Customs TDN (Tariff Determinations), which purpose codes to use (i.e. whether duty paid or rebate clearances), certificate or permit requirements and how part numbers and descriptions must be captured. Many of these aspects will be communicated on the Clearing Instructions to your LSP on a shipment basis. However, it is a good idea to have a holistic discussion about these on a regular basis. For now, we will delve into the tariffing procedure and your TPL.
Most Traders use one LSP (Logistics Service Provider) for both the Freight Forwarding and Customs Clearing components of their business. Some use separate LSP, one for Freight Forwarding and another for the Customs Clearing. The reasons for the latter may be for cost benefits, to meet buyer or supplier requirements or because of the Incoterms (International Commercial Terms) agreed. There may be more reasons for this but, whichever the case, there will need to be a full implementation of both your Freight Forwarding and Customs Clearing requirements with your LSP.
I was asked at a conference in Durban in recently whether Customs clients will in the future have to write a Customs exam as proof of knowledge. While this is true for clients wanting to attain the SARS Customs PTA (Preferred Trader Accreditation), it is not true for all Customs clients. Well, not at this stage anyway.
Compliance is not about one or two things which if done correctly, assure you a pass. It is also not something that you do in isolation from your LSP (Logistics Service Provider). It is also not something that is simply passed onto a third party LSP believing that they are the sole providers of the respective legislative compliances.