Introduction to the various documents required for effective export transactions. Including: Documents required in South Africa to export a consignment; Documents required by the foreign customs; Transport documentation required; The export flow and Exporter's check list
CERTIFICATE PROGRAMME IN INTERNATIONAL FREIGHT MANAGEMENT AND ADMINISTRATION FOR IMPORTERS AND EXPORTERS
EXPORT PRACTICES AND CARGO-HANDLING METHODS
EXPORT DOCUMENTATION
INTRODUCTION
An export order can only be successfully executed, received by the buyer and paid for, if all the documents
pertaining to that transaction, and required by the importing country, are properly and accurately completed
and promptly dispatched through the correct channels.
Although many exporters, whether inexperienced or not, have their forwarding agents prepare their
documents; it is nevertheless worthwhile knowing what documents are required and how to complete them.
It is important that any advice or instructions received from your overseas agent or customer about
documentation be followed precisely. Sometimes the reason for a particular instruction may not be clear to
you and you will be tempted to ignore it. The result may only be new problems.
In the context of international trade, documentation may serve any or all of the following functions:
• the attestation of facts - e.g. a certificate of origin;
• evidence of the terms and conditions of a contract of carriage -e.g. by air, by rail, by road or by sea;
• evidence of ownership or title to goods -e.g. a bill of lading;
• a promise to pay - a promissory note;
• a demand for payment - a bill of exchange;
• a declaration of liability - a customs bill of entry;
• a receipt for goods received.
CUSTOMS MODERNIZATION SOUTH AFRICA, RELEASE 2
The South African Customs Modernization Programme was launched in October 2009 with the publication of
two draft bills, the Customs Control Bill and the Customs Duty Bill. The purpose of Customs Modernization is
to make it easier and more convenient for traders to comply with their obligations.
The South African Modernization Programme involves the use of a modern, electronic and integrated
technology platform together with a redesign of basic processes to bring about several benefits for traders
and for the South African Customs Administration, SARS. These benefits include greater ease of movement
of goods and cost savings for traders as well as increased efficiency for SARS.
The first change was the introduction of the Electronic Data Interchange (EDI) a few years ago. As a result,
SARS now receives more than 95% of international clearance declarations electronically.
Over the weekend of 1 November 2010, SARS introduced Phase 1 (Release 1) of Customs Modernization in
South Africa. The entire South African Customs declaration process was then redesigned in line with
international instruments such as the (revised) Kyoto Convention and World Customs Organization (WCO)
Customs Data Model.
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, CERTIFICATE PROGRAMME IN INTERNATIONAL FREIGHT MANAGEMENT AND ADMINISTRATION FOR IMPORTERS AND EXPORTERS
EXPORT PRACTICES AND CARGO-HANDLING METHODS
Under Release 1, SARS went from using purpose codes for declarations to procedure category (PCC) and
customs procedure codes (CPC's). These had a huge impact on trade as systems had to be updated and
extensive training was required.
The Manifest Acquittal System (MAS) has been engineered and rewritten on the same platform as the new
Customs risk engine which will allow speedy intake of data, reconciliation and risk assessment.
The first phase of this project involved the decommissioning of the old MAS system on 6 May 2011 and
replacing it with the brand new Automated Cargo Management (AGM) system.
SARS is now building on the gains of Customs Modernization Release 1 by introducing more key changes
PHASE 2 (Release 2) of Customs Modernization in South Africa, was introduced and came into effect from
Friday 10 June 2011.
These changes relate to the submission of supporting documents, declaration processing, case management
and inspection procedures.
With effect from Friday 10 June 2011, traders no longer have to hand-deliver clearance supporting
documents to Customs. A customs broker, importer or exporter will be able to submit trade documents
electronically to SARS where such documents may be required to finalize a customs inspection.
As from 10 June 2011 nine new Customs Procedure Code combinations were introduced. This includes the 9
new codes, available on the SARS website.
There were also form changes. With the SAD 503 being replaced by the SAD 504 (for amendments to both
international and cross-border import clearances) and the SAD 554 (for amendments to both international
and cross-border export clearances).
Another huge change that took place on Friday 10 June 2011 is the introduction of an electronic case
management and inspection process. The manual customs stop and inspection process is now eliminated.
CHANGES
The Preferred Trader Programme was officially launched during 2011 after a legal amendment to the
previous accreditation rules (under section 64E) had been finalized in a proclamation. The amendment
introduces the new Preferred Trader category and provides several benefits to the affected traders.
The customs-related provisions under the Customs and Excise Act, 1964 were repealed when the Customs
Control and the Customs Duty Act entered into force during the latter part of 2011.
SOUTH AFRICAN CUSTOMS MODERNISATION RELEASE 3
Release 3 of South Africa's Customs Modernization Initiative was introduced on Saturday 11 February 2012
with a set of Customs Rule amendments which were published in Government Gazette 35027 on 10 February
2012 under Notice R.102. (See "Rule Amendments" below for specific information about the amendments).
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