Import licenses are necessary administrative procedures to introduce goods from third countries. To obtain them, it is necessary to submit the application to the corresponding administrative body. The World Trade Organization (WTO) contemplates two categories, automatic and non-automatic.This process is an essential requirement for importing goods, as stated in Article VIII of the GATT (General Agreement on Tariffs and Trade) under the heading “Rights and formalities concerning importation and exportation.” This international agreement establishes that each member country must apply laws and regulations regarding importation and exportation.The complexity of administrative procedures and the serious economic consequences, due to errors or omissions in documentation, make it highly advisable to delegate management to an expert company in international trade operations like Bull Importer. If you need to obtain the necessary licenses, contact us for a safe and profitable import.With the aim of preventing import license procedures from hindering international trade operations, a binding agreement for all WTO members came into effect in January 1980, aiming to simplify this process. At the same time, transparency in its implementation is intended to be ensured.This implies that states will avoid rejecting applications with minor documentation errors and imposing severe penalties for omissions or errors without the intent to commit fraud.
Automatic Import Licenses
Automatic import licenses primarily serve to gather statistical information on international trade operations. Import applications eligible under this system are approved in all cases.Applications for this type of license can be submitted any business day prior to customs clearance and are approved within a maximum period of 10 business days.However, this procedure, necessary when other appropriate procedures are not available, should be abolished when the circumstances that led to its implementation cease to exist.
Non-automatic Import Licenses
Non-automatic import licenses are used when there are duly justified restrictions on international trade by the WTO and with a specified duration. Each member state must publish information regarding the restrictions, quantity of quotas, start and end dates 21 days before the restriction takes effect.Once the import license is received, it will have a specific validity period that the importer must be aware of.Although it is not a complex procedure, it is essential to carry it out in form and time. It is worth remembering that correct classification of goods, application of tariff classification, calculation of taxes, and other requirements necessary to import certain products are essential for international trade operations to be carried out smoothly. For example, one of the most recognized licenses is the cosmetics license, which is necessary to import cosmetics from countries like China.Errors in documentation can result in penalties, the return of goods to the country of origin, or their destruction. To avoid economic losses, delays, and fines, at Bull Importer we always advise our clients to delegate administrative procedures.
