Under normal circumstances, the DP settlement method has a lower risk than the non-certified settlement methods of DA and OA, mainly because the exporter can control the cargo right. If the importer does not pay, the exporter can dispose of the goods to reduce losses. In the practice of claims, it was found that in some countries, due to its special customs regulations, the exporter’s “control of cargo rights” may not be able to successfully dispose of the goods. At present, there are mainly two cases:

1. The insured must obtain the consent letter from the original buyer for the disposal of the goods: Pakistan, India, Turkey, Algeria, Morocco.

2. If the importer fails to pay, the customs clearance procedure can be carried out first, and the exporting party has obstacles in handling the goods. For example: Brazil, Peru in South America. Based on the above, there are the following suggestions:

It is recommended that the insured pay attention to the relevant customs regulations of the importing country, carefully select the DP settlement method, and if it is inappropriate to change the proposal, require a certain proportion of the advance payment to increase the buyer's default cost.

 

Appendix 1: Relevant provisions on the time limit for the retention of imported goods by some countries in the world:

1. The US Customs Law stipulates that goods that have been processed for customs declaration or have not been processed for customs declaration (except for goods subject to customs formalities in accordance with the provisions of Article 557 of this Law, but including goods subject to customs clearance for transit or export), If it has been deposited in a bonded warehouse for more than 6 months from the date of import, if it fails to pay all duties and other taxes, interest, storage fees or other expenses, it shall be deemed as a waiver of the goods. The ownership is transferred to the US government and is valued and auctioned by the Customs in the form of a public auction in accordance with the administrative regulations of the Minister of Finance.

2. The Canadian Customs Law stipulates that, except as otherwise provided in this Article, all imported goods shall be declared to the nearest on-site customs office designated for this business during office hours in accordance with the prescribed conditions. The Authorized Governor shall prescribe the time and manner in which the goods shall be declared in accordance with paragraph 1 of this Article.

3. The EU Customs Law stipulates: 1. For goods that have been submitted for entry, the application procedures for customs approval or use shall be completed within the following time limit: (a) The seaborne cargo shall be 45 days from the date of the entry report. (b) Goods of other modes of transport shall be 20 days from the date of entry into the territory. 2. When circumstances permit, the customs authorities may shorten or extend the period specified in paragraph 1 of this Article, but the period of extension shall not exceed the time required to adapt to the relevant circumstances.

4. The Thai Customs Law stipulates that after the ship arrives in Hong Kong for 10 days, the goods that are still on the ship or near the place of unloading have not been formally declared, inspected or cleared, may be immediately taken care of by the customs or by the owner of the goods. The fee is deposited in the bonded place. When the goods are discharged from customs, all expenses including the rents stipulated in the ministerial regulations shall be delivered.

5. The Korean Customs Law stipulates that, after the announcement, the Commissioner of Customs and Excise may sell the goods whose expiration of the storage period in the bonded area within the limits prescribed by the Director of the Customs Department. However, for freshly-growing plants, goods that have been or will be rotted, goods that will cause damage to warehouses or other foreign goods, goods that will lose or reduce their actual use value over time, or at the request of the owner of the goods, may be stored Sales before the expiration of the period.

6. Indonesian Customs Law stipulates that: For unclaimed goods other than those specified in paragraph 3 of this Article, the customs official shall immediately notify the owner of the goods in writing, and if it is not disposed of within 60 days from the date of storage in the customs warehouse, the customs will The goods are auctioned. (Customs stipulates that the goods must be taxed within 30 days after arrival in Indonesia. In the port of Jakarta, the goods will be sent to the state-owned port company supervision warehouse after the time limit expires. If they are not stored for 3 months, they will be auctioned to pay the storage fee, and the balance will be retained. If the unclaimed person is 3 years, it will be turned over to the state treasury. The goods are not allowed to be returned before the duty is paid.)

7. Malaysia's relevant regulations: The consignee did not pick up the goods arriving in Hong Kong on time, and the customs warehouse granted the reservation for 21 days. If it is overdue, the consignee will be notified to pick up the goods within 7 days, otherwise the customs will auction to pay customs fees, storage fees and other expenses. Air cargo must be picked up within 72 hours, otherwise a high storage penalty will be imposed. After 3 months, the goods have not been withdrawn and will be returned.

8. Relevant provisions of Iraq: Goods entering the Iraqi customs warehouse must be registered and cleaned, whether they are inbound storage or transferred products. The storage limit is two months from the time the goods arrive to the shore (air cargo is limited to one month). The goods will be auctioned without authorization for the unclaimed goods within the prescribed time limit.

9. Saudi Arabia's relevant regulations: The consignee must pick up the goods within 2 weeks after the arrival of the ship, otherwise it will be auctioned;

10. Relevant provisions of Turkey: According to Turkish Customs regulations, goods entering Turkey cannot be resold to third parties without the consent of the importer, and may not be returned. If the importer does not pick up the goods 45 days after the arrival of the goods, the customs has the right to auction, and The original importer has the right of first refusal.

11. Relevant regulations in India: Indian customs regulations: goods can be stored in the customs warehouse for 30 days after arriving at the port. After 30 days, the customs will issue a delivery notice to the importer. If the importer fails to pick up the goods on time for some reason, he may submit an extension request to the Customs as needed. If the Indian buyer does not make an extension, the exporter’s goods will be auctioned after 30 days of customs clearance.

12. Relevant provisions of China: If the consignee of imported goods fails to declare to the customs for more than three months from the date of declaration of the entry of the means of transport, the imported goods shall be sold by the customs in accordance with the law, and the proceeds shall be deducted from transportation, loading and unloading and storage. After the expenses and taxes have been paid, if there is still the remaining amount, it shall be returned by the consignee within one year from the date of the sale of the goods according to law; where the state has restrictions on imports, it shall submit a permit and cannot provide it. , will not be returned. Those who have not applied for it within the time limit or refused to return it shall be turned over to the state treasury.

13. Relevant provisions of Nigeria: The owner of the unpaid goods shall, within 15 days of importation, declare all unreleased (unaccepted) goods in customs at the customs declaration. The customs then decides to deal with the goods. In most cases, these goods are moved to bonded warehouses (national warehouses) and charged for the period of storage, and the costs are increased on a weekly basis. Perishable goods can be auctioned immediately without destroying general storage regulations. The auction period for other goods (generally set at 3 months) is generally 4 weeks from the date of publication in the Niger Gazette.

 

Appendix 2: Other import regulations for some countries and regions in the world:

1. Relevant regulations in India: Customs regulations in India stipulate that if the goods arrive at the destination, they will be returned if the importer does not pay the goods or if they need to return the goods due to quality problems. The exporter must go through the formalities of returning the goods provided by the original importer, the relevant delivery documents and the exporter’s request for a return letter.

2. Relevant regulations of Pakistan: The Karachi Port Authority stipulates that the toner, graphite powder, magnesium dioxide and other dyes in the inbound paper bags must be palletized or packed in boxes, and the total amount of corrosives, radioactive materials and dangerous goods per ship exceeds. For 200 metric tons of other dangerous goods, the consignee must lift directly at the side of the ship, otherwise they will not be unloaded. In addition, the country does not accept vessels linked to India and South Africa, Israel, South Korea and Taiwan.

3. Relevant provisions of Sri Lanka: The country's standards research institutes and customs implement mandatory quality inspections on many imported goods, and importers should submit a prior inspection report to the standard inspection office before issuing the letter of credit. Political theory uniformly manages the management of weapons, chemical products harmful to the human body, rice, wheat, potatoes, automobiles, milk powder, textiles, wood products and paper products. Documents submitted to Customs, textiles should specify the composition of the fabric; vehicles should indicate new or used cars, or old cars should be refurbished; perfumes, cosmetics and fragrances should indicate the number and total amount of gallons per unit of container. In the port of Colombo or Mali Port, the shipping and loading and unloading fees will be completed within three sunny working days from the date of arrival of the shipping vessel. If the delivery of the goods is completed after 7 sunny days from the date of arrival of the goods, you will be required to pay twice the loading and unloading fees and delivery charges. The shipper will complete the delivery at the customs sales warehouse and pay additional shipping charges. Certain valuable goods are delivered in the special counter warehouse, and the shipper is required to pay the counter fee and related incidental charges. For dangerous goods, the shipper is required to pay a special tax.

4. Saudi Arabian regulations: Goods destined for Saudi Arabia are not allowed to transship through Aden. The Jeddah and Dammam port authorities stipulate that all goods to the two ports must be palletized at the port of shipment, and the container goods should be packed in pallets first; the net weight of the bags should not exceed 50 kg per package and the gross weight should not exceed 65 kg; The contents of the document must be clearly defined. If the consignee is a bank, the detailed name and address of the holder of the last bill of lading must be specified; the steel must be tied with steel wire or with a lifting eye. The above violations will result in a fine for the ship. The age of the arriving ship shall not exceed 15 years, otherwise it shall not be allowed to berth. In the case of a transshipment, the above provisions are valid only for the last-class ship and there is no restriction on the age of the first-class ship. The port has a limited amount of regulations on the carriage of dangerous goods by ships and requires prior consent.

5. Regulations of the United Arab Emirates: The health authorities of the ports of Dubai and Abu Dhabi stipulate that all imported foods must be marked with an expiration date and accompanied by a health and health statement, otherwise the Hong Kong side will not discharge the goods.