AGRICULTURAL MACHINERY IMPORT PROCEDURES BY IPO LOGISTICS
AGRICULTURAL MACHINERY IMPORT PROCEDURES BY IPO LOGISTICS – Importing agricultural machinery into Vietnam is a crucial activity that contributes to the development of the agricultural sector. However, for a successful and legal import process, businesses must comply with a complex set of legal and customs regulations. With extensive experience in logistics, IPO Logistics proudly serves as a trusted partner to assist businesses throughout the entire agricultural machinery import process.
1. Classification of Agricultural Machinery
Agricultural machinery imported into Vietnam encompasses various types, including but not limited to the following:
- Tractors and plows: Essential equipment for soil preparation and tillage.
- Seeders and sprayers: Used during planting and crop protection processes.
- Harvesting machines: Such as combine harvesters, sugarcane harvesters, corn harvesters…
- Water pumps and soil tillers: Supporting irrigation and soil preparation activities.
Accurately identifying the type of agricultural machinery is crucial for determining the correct HS code, tax rates, and related legal procedures.
2. Determining HS Codes for Agricultural Machinery
The HS code (Harmonized System Code) is a globally applied classification system for categorizing goods in import-export activities. Accurately determining the HS code not only helps reduce errors during customs procedures but also ensures proper compliance with legal requirements. Some common HS codes for agricultural machinery include:
- Tractors: HS Code 8701
- Harvesting machines: HS Code 8433
- Seeders: HS Code 8432
- Water pumps: HS Code 8413
Businesses should thoroughly verify each machine type to ensure accurate declaration and compliance with legal regulations. IPO Logistics can assist businesses in searching and determining the appropriate HS codes.
3. Legal Requirements for Importing Agricultural Machinery
Agricultural machinery is not on the list of prohibited goods for import into Vietnam. However, businesses must comply with certain critical legal regulations.
3.1. Conformity Certification and Quality Inspection
According to Decree 74/2018/ND-CP and the Law on Product and Goods Quality, imported agricultural machinery must undergo quality inspection and conformity certification before being allowed for circulation in the market. The responsible management agencies include:
- The Ministry of Science and Technology: For machines related to technical safety standards.
- The Ministry of Agriculture and Rural Development: For quality inspection of machinery used in agriculture.
The purpose of quality inspection is to ensure that the machinery meets necessary technical standards before being used in production.
3.2. Conformity Certification (COC, CQ)
Imported agricultural machinery must have conformity certificates and meet technical standards to ensure safety and efficiency during use. The certification process includes the following steps:
- Registering for quality inspection with the relevant management agencies.
- Physical inspection of sample machines.
- Issuance of conformity certificates if the machinery meets the required technical standards.
IPO Logistics provides full support in the quality inspection and conformity certification registration process, facilitating smooth customs clearance.
4. Agricultural Machinery Import Procedures
Importing agricultural machinery requires businesses to follow a rigorous process and comply with legal regulations. Below are the detailed steps that IPO Logistics will support businesses in completing:
4.1. Preparing Import Documentation
Import documentation must be fully prepared and include the necessary documents, such as:
- Sales contract: A document confirming the sale between the supplier and the business.
- Commercial invoice: A document specifying the value of the goods.
- Packing list: Details on weight, size, and quantity of the goods.
- Bill of Lading: A document indicating the transportation of goods from the export country to Vietnam.
- Certificate of origin (C/O): To benefit from preferential import tax rates under free trade agreements.
- Conformity certification (COC, CQ): Verifying that the goods meet the required technical standards.
- Electronic customs declaration: IPO Logistics will assist in submitting customs declarations via the VNACCS/VCIS system.
4.2. Customs Declaration
Once the documents are ready, IPO Logistics will help the business submit customs declarations electronically. Imported goods will be assigned to one of the following customs clearance channels:
- Green channel: Goods are cleared without inspection.
- Yellow channel: Detailed document inspection is required.
- Red channel: Physical inspection of the goods is required.
We ensure that the customs declaration is fast and accurate for effective goods clearance.
4.3. Physical Goods Inspection (If Required)
For goods in the red channel, IPO Logistics will coordinate with customs authorities to conduct a physical inspection at the port. This inspection may include checking the technical specifications of the machinery and accompanying documents. We ensure to assist the business in overseeing the process and ensuring smooth inspection procedures.
4.4. Import Tax Payment
The import tax on agricultural machinery depends on the HS code and the country of origin. Import tax rates generally range from 0% to 10%, depending on the type of machine and the trade agreements that Vietnam participates in (e.g., ATIGA, EVFTA).
IPO Logistics supports businesses in calculating accurate tax rates and ensures the timely payment of taxes before customs clearance.
4.5. Goods Release
After completing customs procedures and paying taxes, the goods will be released. IPO Logistics can assist businesses in transporting the goods from the port to the warehouse or specified location, ensuring the goods are transported safely and on time.
5. Relevant Legal Regulations
To ensure that the import of agricultural machinery complies with all legal requirements, businesses should familiarize themselves with the following legal documents:
5.1. Customs Law 2014
The Customs Law 2014 comprehensively regulates customs activities, including declaration procedures, inspection, and supervision of imported and exported goods. This law is an essential legal basis that all businesses must comply with when importing goods.
5.2. Decree 74/2018/ND-CP
Decree 74/2018/ND-CP regulates the quality management of imported products and goods, including agricultural machinery. Businesses must ensure that imported agricultural machinery meets the quality and safety standards before being allowed to circulate in the market.
5.3. Circular 38/2015/TT-BTC
Circular 38/2015/TT-BTC provides detailed guidance on customs procedures, customs supervision, inspection, and taxes for imported and exported goods, including agricultural machinery.
6. IPO Logistics’ Services in Agricultural Machinery Import
IPO Logistics is a trusted partner in providing services related to agricultural machinery import, including:
- Legal consultancy: Ensuring businesses understand the legal regulations for importing agricultural machinery.
- Document preparation and verification: Assisting businesses in preparing all necessary documents for customs clearance.
- Customs declaration: Performing accurate, fast declarations through the VNACCS/VCIS system.
- Quality inspection: Registering and supporting quality inspections of goods as required by management agencies.
- Goods transportation and delivery: Arranging safe, fast transportation of goods from the port to the delivery location.
IPO Logistics is always ready to accompany businesses throughout the agricultural machinery import process, from document preparation to customs clearance and goods delivery. Contact us for detailed consultation and support!