LuitBiz For Cargo & Freight Industry

Certificate of Origin Document Management for Commercial Shipping

What is "Certificate Of Origin" & why is it important?

What is it? A Certificate of Origin is an important document used in international trade. This document attests that goods in a particular shipment are wholly obtained, produced, manufactured, or processed in a particular country. Basically, the exporter uses the Certificate of Origin to officially declare where the goods originate. There are two types of Certificates of Origin: Non-preferential (certifies that the country of origin of a particular product does not qualify for any type of preferential treatment) and Preferential ( goods with this type of documentation may enjoy tariff reductions or exemptions when they are exported to countries extending these privileges, eg, NAFTA)

Why is it important? The Certificate of Origin is extremely important to the officials of the country where the goods are heading. Virtually every country in the world requires the origin of the goods in order to determine the amount of import duty assessed on the goods. In some cases, the country of origin also determines whether the goods may be legally imported at all. The exporter should send the original Certificate of Origin to the importer and include a copy of it with the shipment. As an exporter, you’re required to keep all documentation for 5 years or more.

A Certificate of Origin has to include a great deal of detailed information about the shipment, where it’s coming from, and where it’s going Some details included in the Certificate of Origin include:

  • * Importer’s name, address, country, phone number, and email address
  • * Exporter’s name, address, country, phone number, and email address
  • * Producer’s name, address, country, phone number, and email address
  • * Period of time the certificate is valid for
  • * Complete description of merchandise, detailed enough to match contents with invoice and tariff schedule
  • * Tariff classification for merchandise
  • * Country of origin

What happens when Certificates Of Origin are not managed properly

Certificate of Origin is only required when you export goods to another country. Every country has different rules regarding the Certificate of Origin. Some countries are satisfied with a statement of origin printed on company letterhead while some countries in the Middle East need it to be to be notarized, certified by a local chamber of commerce, and legalized by the commercial section of their own consulate. Considering the sheer number of potential trading partners, it becomes quickly apparent that it’s no easy task to provide the correct ocean freight shipping documents.

Additionally, if the Certificates Of Origin is not filled out correctly or is missing, there can be serious consequences that include:

Delayed Shipments
Non Payment For Seller
Assessment of fees for missing or incorrect information
Additional storage costs until proper documentation arrives

The benefits of LuitBiz DMS in managing Certificates Of Origin

Managing Certificates Of Origin in a way that reduces error and increases compliance with each country’s requirements is critically important. LuitBiz DMS makes it easier for meeting these requirements by:

Going Paperless

Helps your company go "Paperless"

Access Anywhere, Anytime using Any Device

Keep your documentation accessible anywhere

Easy Search and retrieval Of Commercial Invoices

Easy Search & Retrieval Of Documents & Related Information

Allow you to have the right documents on hand when you need them

Provides the right documents on hand when you need them

Access Anywhere, Anytime using Any Device

Manage documents globally from a central location

Easy Search and retrieval Of Commercial Invoices

Allows user-specific access to the correct documentation

With LuitBiz DMS you can turn the complicated process of managing Certificates Of Origin into a quick and easy task. The result is fewer shipping delays, fewer customs problems, and greater customer satisfaction. Sound good? Go ahead and try out a free 15 day trial version of LuitBiz DMS by clicking on the link "Start My Free Trial" below.

LuitBiz Effortlessly manages all business information in the Cargo & Freight industry

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