Export Classification- How It Benefits Export-Import Trade

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With the expansion of export-import business, more and more companies are dealing with customers who are located in other parts of the world. Due to the development of transport facilities and containers, manufacturers sitting in one country are selling their products to other countries, located anywhere around the globe. But, on the other hand, misuse of exporting items, mainly the defense objects and arms and crimes are becoming quite common within the export process. Thus, it is very important to classify the items that fall under CCL list so as to make the trade compliant with export rules and regulations. Trade classification plays a vital role in the process of exporting and importing.

As discussed earlier, export-import business has expanded its wings across the international borders; in such a case trade authorization is quite important. It is considered to be a crime to export goods to the business entities that fall under the restricted party lists. The export parties are classified under two categories- denied and sanctioned party lists. The denied party list consists of business entities that do not have the authority to export goods without the license. Apart from an effective export classification, proper screening is a crucial part of the trade.untitled

How You Can Determine ECCN Number-

In each of the export process, authorization is very critical and it always depends on certain criteria. At the first step, the exporter has to determine the ECCN number of all the items that are to be exported to other nations, mainly defense items and technical arms. In the second step, the end-user of the products are to be determined, and in the third step, where the products and the lastly, the usage of product requires checking. Generally, almost all the commercial exporting items of US do not need the trade license, but while exporting, putting ECCN number to each of the items is very important. If the product is falling under the jurisdiction of US dept of commerce, the exporter should see whether the item is having the ECCN number or not. It is also to be remembered that the products that are not falling under CCL, are categorized under EAR99.

Consequences Of Products Not Falling Under CCL

In some of the cases, the exporting items come under the division of EAR but they do not fall under the list of CCL. As it is discussed earlier, these types of items come under EAR99. If such circumstance came in front, the item is to be exported without the proper trade license as long as the criteria are maintained. The item is not sent to the destined location, the product is also not been used by the end-user or not shipped to the denied person or any other illegal end-user.

Lastly, there are three important ways for determining ECCN number to the products- going to the source or the manufacturer of the product, then self-classification and sending the request online by providing the ECCN number. In these days, all sorts of trade complexities can be cleared by using the export software. These applications are easy to use, give results quickly and effective in giving bulk and individual screening. There are organizations located in the US that provide software for maintaining compliance within the trade.

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