Customs Clearance

Customs clearance involves preparing and submitting the required declarations, paying import duties and taxes, and satisfying any permits or inspections before goods are released. Accurate documentation — commercial invoice, packing list, bill of lading and correct tariff classification — is essential, since errors cause delays, penalties or held shipments.

For procurement teams importing goods, customs clearance affects both cost and lead time, so it must be factored into landed-cost calculations and delivery schedules. Many buyers rely on freight forwarders or licensed customs brokers to manage clearance. Chosen Incoterms determine whether the buyer or supplier is responsible for clearing goods at each border.