HS CODE

HS CODE

Dealing with customs clearance procedures in the world is one of the things that need a lot of time and effort, this drain of time and effort is a problem that all people and countries around the world suffer from, and in search of a solution to this problem, many countries have sought to find a way to facilitate customs clearance operations and make them faster and easier. Therefore, the so-called commodity coding appeared, which became one of the most important mechanisms that facilitated customs operations, whether for the importer or exporter, and this term began to be developed in 1974 by the World Customs Organization, seeking to use it as a unified international method for describing commodities in international trade so that it is easier to identify Each commodity which helps to control the prohibited commodities with ease.

Definition of HS CODE:

The Customs Coordinator Code is a unified international system worldwide, used to classify products that are traded and shipped globally to all parts of the world. It is a six-digit code, whereby this code classifies each product according to the nature, type and purpose of this product. This coding method was implemented for the first time in 1988 and is maintained by the World Customs Organization at the present time, and this coding is used by more than 200 countries around the world as it helps in determining the customs tariff of goods, and some reports indicate that more than 98% of the products that are exported And their imports are classified according to the HS CODE coding system, and this coding system is updated every five years through the World Customs Organization.

The global form of the customs code:

The customs code for any product consists of six numbers, these six numbers are divided into three groups, each of which has two numbers, and each two numbers represent a specific code.

  • The first and second numbers from the left represent the code for the classification to which the product belongs, as there are more than 5300 classifications of products.
  • The third and fourth numbers symbolize the group to which the product belongs within the classification.
  • The fifth and sixth numbers represent the sub-faculty to which the product belongs.

Example of a code for an item: Suppose we have the customs code for green tea, which is: 09.02.10

We find that this symbol is divided into:

  • The two numbers 09 belong to the product classification, which is the group of coffee, tea, and spices.
  • The two numbers 02 refer to the group to which the product belongs within the classification, which is tea
  • The two numbers 10 and these two numbers refer to the faction to which the product belongs within the group, which is green tea

Uses of the HS Code Merchandise Coding System:

The commodity coding system is used for several purposes, which are as follows:

  • Assists customs authorities in identifying the product and assessing its customs duties as well as any other tax charges upon customs clearance of a shipment.
  • The coding system greatly helps in determining the origin of the goods, which facilitates the identification of commercial laws between the two exporting countries, which is the country of origin and the importer, which is the country to which the goods are imported.
  • The coding system helps in identifying the goods that are eligible for commercial transactions from the goods whose import is prohibited.
  • The customs coding system has become used by private sector companies as well as international organizations as well. Its use is no longer limited to government agencies, which has a significant impact in facilitating customs procedures and easily identifying taxes and fees imposed on each product.

How to get HS code: If you have prepared your parcel of goods and prepared it for shipping and transportation and you do not have its commodity code, all you must do is to go to the customs website of the country in which you are located, and then follow the instructions of the site by providing it with data about your goods that you intend to ship and specify its exact type. Then transfer its code, which appeared in front of you on the site so that you can deal with the customs authorities through this code that determines the type of your goods, which facilitates customs procedures a lot, and it is better to use those who have experience in dealing with these matters, such as Al-Fares Cargo Service and Clearance, which does this work Instead of customers in order to avoid that the customer gets a wrong code that does not correspond to his merchandise. The results of getting the wrong product HS code:

  • Your merchandise will be incorrectly categorized.
  • Goods will be entered into the importing country under incorrect classification.
  • The certificate of origin for the exporter will be prepared incorrectly.
  • Delays may occur in customs clearance of imports which may cost the importer a lot of additional costs.
  • Your goods may be denied preferential customs treatment, which greatly delays customs procedures.
  • Penal measures may be taken against the importer.


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