Unit X. Customs brokerage

✔ What do you think are the duties of a customs broker?

✔ Express your opinion on the statement by Harry Beckwith: “To sound like an expert, hire one”. How can it be connected with customs sphere?

✔ Have a look at the words, translate them. Using the words predict the functions of customs brokerage.

to clear goods

the 'clearing' of goods

to present/produce electronic submissions

on behalf of the client

excises

to submit documentation

to notify about smth

to obtain the clearance from government agencies

a listing of duty rates for imported items

to arrange the transhipment or local delivery

to ensure

to have responsibility for the customs debt arising from smb’s actions

Text a. Customs brokerage

I. Read the article and give synonyms for the underlined words. Use the dictionary of synonyms or/and the dictionary of economic terms.

Customs brokerage is a profession that involves the 'clearing' of goods through customs barriers for importers and exporters (usually businesses). This involves the preparation of documents and/or electronic submissions, the calculation (and usually the payment) on behalf of the client of taxes, duties and excises, and facilitating communication between the importer/exporter and governmental authorities. Customs brokers in the USA will often prepare and submit documentation to notify or obtain the clearance from other government agencies such as the Food and Drug Administration (FDA), the United States Department of Agriculture (USDA), the Fish and Wildlife Service, and many others. Customs brokers need to be familiar with the Tariff Schedule, a listing of duty rates for imported items, and the regulations governing importations found in the Code of Federal Regulations. For example, a customs broker may need to advise an importer regarding country of origin marking requirements or the precise paperwork requirements for a clothing shipment subject to quota/visa requirements. Knowing the requirements of each type of import can avoid costly delays or seizure of the merchandise. Many customs brokers specialize in certain types of transactions, such as wearing apparel, perishables, or clearing the crew and manifest of large cargo vessels. Customs brokers can be located at inland "ports" to clear merchandise sent "in bond" but most are located at major airports and harbors with international traffic. Customs brokers normally arrange the transhipment or local delivery of cleared merchandise through relationships with trucking companies and others.

Customs brokers must pass an examination and background check to become licensed. Customs brokers are not government employees and should not be confused with Customs agents, although in some countries the term customs agent may mean customs broker.

Custom brokers may be employed by or affiliated with freight forwarders, but may be independent businesses or may be employed by shipping lines, importers, exporters, trade authorities and customs brokerage firms.

In the United States, customs brokers are licensed by the U.S. Customs and Border Protection.

In Canada customs brokers are licensed by Canada Border Service Agency (Canada Customs). The majority of licensed Customs Brokers are members of the Canadian Society of Customs Brokers.

In Australia Customs Brokers are licensed by the Australian Customs Service and the majority are members of the Customs Brokers and Forwarders Council of Australia, the peak industry body representing these service providers.

For customs brokers and clearing agents operating within the European Union, there is no licensing system. The onus is firmly on the importer or exporter to ensure that any party acting on their behalf is in possession of the facts to do so. Article 5 of the current customs code deals with the very important area of representation. This provision allows an importer or exporter to appoint a third party to act on their behalf. The importer or exporter can appoint the third party to act in two capacities, i.e. as a direct representative or as an indirect representative. A direct representative will act on behalf of the importer/exporter but will have no responsibility for the customs debt arising from their actions, whereas an indirect representative will have a joint and several liability for the customs debt. In almost all cases, the third party will elect to provide brokerage services on a direct representation basis. As a result the importer or exporter is fully exposed to the risk or error and omission by the customs broker.

II. In the article above find the English equivalents for the following words and phrases. Then choose any seven of them and make up a short story ending “…and now the customs broker and his/her clients are in prison”.

1) юридическая ответственность; 2) совместный; 3) подверженный риску; 4) перевозчик; 5) получить лицензию; 6) добиться (получить) таможенной очистки товаров; 7) дорогостоящие задержки товаров; 8) подлежащий чему-то (оплате); 9) ошибка; 10) бремя, ответственность, долг; 11) госчиновники, госработники; 12) скоропортящийся груз, товар; 13) растаможенный товар 14) организовывать доставку товара: 15) компания, занимающаяся перевозкой грузов; 16) действовать от чьего-либо имени; 17) иметь факты; 18) выступать в качестве кого-либо; 18) предоставлять услуги.