Export Procedures for Plastic Cups

Export Procedures for Plastic Cups and Bottles by Ipologistics

Export Procedures for Plastic Cups – Plastic cups and bottles are essential products in daily life, especially in the food and beverage industry. Vietnam has become one of the major exporters of these items, catering to domestic and international markets. To successfully export plastic cups and bottles, businesses must understand the procedures, regulations, and required documents.

1. Legal Basis

The export of plastic cups and bottles in Vietnam is governed by the following legal documents:

• Commercial Law of 2005: Regulates commercial activities, including the export and import of goods. Article 28 outlines the rights and obligations of traders in export activities.
• Decree No. 69/2018/ND-CP: Regulates the quality management of export and import goods. Exported goods must meet specific quality standards before being allowed for export.
• Circular No. 38/2015/TT-BTC: Provides guidelines on customs procedures for exported goods, including customs declarations, inspections, and clearance.
• Circular No. 20/2017/TT-BCT: Regulates the management and quality inspection of exported products. This includes requirements for quality checks, product certification, and business responsibilities.
• Circular No. 07/2019/TT-BYT: Sets conditions for food safety regarding packaging materials in direct contact with food. Products such as plastic cups and bottles must comply with food safety regulations.

2. HS Codes (Harmonized System Codes)

HS codes (Harmonized System Codes) are an international classification system for goods in global trade. For plastic cups and bottles, the applicable HS codes are:

• Plastic cups: HS Code for plastic cups is 3924.10.00 (Plastic products for holding beverages).
• Plastic bottles: HS Code for plastic bottles is 3923.21.00 (Plastic containers such as bottles, jars).

Correct HS code determination is crucial as it affects tax rates and relevant regulations for the goods.

3. Required Export Documents

To complete the export procedures for plastic cups and bottles, businesses must prepare the following documents:

• Commercial Invoice: This document shows the value of the goods, product name, quantity, and other details related to the transaction.
• Packing List: This lists the quantity, weight, dimensions, and description of the goods, ensuring smooth inspection and transportation processes.
• Certificate of Origin: This document certifies the origin of the products, usually issued by the Vietnam Chamber of Commerce and Industry (VCCI).
• Export License: While plastic cups and bottles generally do not require a special export license, businesses must check for any specific requirements from the importing country.
• Quality Certificate: For products in direct contact with food, businesses must obtain a quality certificate from an authorized agency, ensuring that the products meet food safety standards.

4. Detailed Export Process

Step 1: Prepare the Goods

• Quality Control: Businesses should conduct quality checks to ensure that the products meet national and international standards, which often involve material quality, design, and usability.
• Packaging: Goods should be securely packaged to ensure safety during transportation. Proper packaging not only protects the products but also enhances the business’s brand image.

Step 2: Prepare Export Documents

1. Document preparation: Gather all necessary documents such as the commercial invoice, packing list, certificate of origin, export license, and quality certificates.
2. HS Code determination: Ensure the correct HS codes are applied to the products to avoid customs issues.
3. Complete customs forms: Fill out the customs declaration forms with detailed product information, including product names, HS codes, quantities, values, and exporter information.

Step 3: Customs Procedures

1. Customs declaration: Businesses must declare detailed information about the exported goods, including their value, quantity, and other relevant details. Accurate and complete information is crucial to avoid penalties or shipment delays.
2. Submit documents: Export documents will be submitted to the customs office for review and approval. These documents are typically submitted electronically through the customs portal.
3. Physical inspection: Customs officials may conduct a physical inspection of the goods to ensure they match the declared information. If any issues arise, businesses will be required to provide additional information or documents.
4. Tax payment: Businesses must fulfill their export tax obligations as required. Export tax rates for plastic cups and bottles are outlined in the government’s export tax schedule. Companies should monitor and calculate the exact tax amounts owed.

Step 4: Product Quality Inspection

Before customs clearance, plastic cups and bottles may undergo a quality inspection, including:

• Product sampling: Regulatory bodies may require product samples to be tested for compliance with food safety and quality standards. This process usually includes chemical analysis and physical testing of the products.
• Issuance of a quality certificate: If the products meet the required standards, the regulatory body will issue a quality certificate. This certificate is mandatory for customs clearance.

Step 5: Transporting the Goods

1. Select a transport method: Businesses may choose between sea, air, or land transportation depending on the specific needs and conditions. Sea freight is typically used for large shipments, while air freight is faster for smaller orders.
2. Sign a transport contract: Enter into a contract with the shipping company to ensure the goods are transported safely and on time. Businesses should review the shipping company’s reputation and the terms of the contract.

Step 6: Receive Export Documents

1. Export Certificate: After completing customs procedures, businesses will receive an export certificate, which permits the goods to be exported. This certificate is a legal proof of the goods being exported.
2. Track the shipment: Businesses should monitor the shipment to ensure timely and accurate delivery to the customer. Maintaining communication with the shipping company and the customer is essential.

5. Export Costs

Exporting plastic cups and bottles involves several costs, including:

• Production costs: Covering raw materials, labor, and manufacturing.
• Shipping costs: Depending on the method of transportation chosen.
• Export taxes: Businesses should be aware of the applicable export tax rates for their products.
• Customs fees: Fees associated with customs procedures, including declaration, quality inspection, and other related costs.

6. Conclusion

Exporting plastic cups and bottles is a complex process, but it can be successfully achieved if businesses understand the regulations, procedures, and prepare all necessary documentation. Ipologistics is committed to providing professional export services, supporting businesses through each step of the process to ensure fast and efficient customs clearance.

To succeed in export activities, businesses must stay updated on new regulations and continuously improve their processes. By complying with international standards, businesses not only ensure product quality but also enhance their brand reputation in the global market.