Customs Brokers: How They Can Help Your Business
The customs process is complex and constantly evolving. For companies with a global presence, especially those who import into multiple countries, it can become increasingly difficult to stay up to date on changing customs regulations. This is one of the many reasons it is beneficial to work with a customs broker.
Customs brokers handle every step of the process for you, from clearing goods across the border to completing and filing all necessary paperwork, allowing you to focus on your business. And with different countries having different processes, it pays to have a broker like Scarbrough who is licensed in multiple countries to navigate the complexities of each border.
Countries like Canada are a great recent example of this. Canada Border Services Agency (CBSA) is in the process of rolling out its new duties and taxes program, CBSA Asset & Revenue Management (CARM). CARM is CBSA’s new digital initiative to simplify how duties and taxes are collected and paid on imported goods. Delegating authority to a broker under CARM allows businesses to entrust the handling of their duties to an expert in the matter, reducing the likelihood of mistakes or costly fees.
A broker also helps ensure compliance with each country’s laws. Customs laws and regulations can differ by country, and they tend to be complex. Customs brokers stay on top of changing regulations and can advise clients on how to stay compliant with the laws and regulations of each country. With US CBP recently cracking down further on supply chain transparency, the role of customs brokers has become increasingly important.
Brokers also help ensure proper classification of goods. Classification can be a long and tedious process, not to mention difficult. Allowing a broker to handle the classification process not only saves time but can also save money on penalties for misclassification of goods. And in today’s digital age, brokers like Scarbrough can leverage AI to save even more time in the classification process and lead to better compliance.
The best brokers maintain close, working relationships with local government authorities. In Mexico and Canada, this means working closely with ANAM and CBSA, respectively. In the U.S., there are a handful of other agencies that can help simplify and speed up customs entries. While CBP is the main entity, having a good relationship with agencies like the USDA, FDA, BIS, and TTB among others helps to avoid potential issues.
Another factor that sets brokers apart is their use of technology. This can manifest itself in multiple ways that are beneficial to an importer. Features like tracking or a dashboard with all paperwork make life easier and provide enhanced visibility throughout the process. Further features like AI offer the previously mentioned classification assistance but can also help with supply chain monitoring and supplier risk management.
Additional services such as ongoing training and education so businesses can better understand their processes only add to the value of enlisting a customs broker to handle your imports.
If you have questions about your customs processes or think your business could benefit from the services of a broker, reach out to Scarbrough today and our team of 16 Licensed Customs Brokers will help you find a personalized solution to your customs problems.
