Import Procedure for Modified Starch

Import Procedure for Modified Starch by Ipologistics

Import Procedure for Modified Starch – Ipologistics is a company that specializes in providing comprehensive logistics services for businesses both domestically and internationally, including international transportation, customs clearance, warehousing, distribution, and import-export services. With over a decade of experience in logistics and customs procedures, Ipologistics is not only a trusted partner but also a professional advisor for businesses in all aspects of import procedures, particularly for products requiring high-quality standards such as modified starch.

Modified starch, produced from natural starch through physical and chemical modifications, has a wide range of applications in industries such as food, pharmaceuticals, chemicals, and packaging. However, importing modified starch into Vietnam involves many complex regulations, including customs procedures, product quality, tax rates, and other legal requirements. Ipologistics, with its expertise and professional knowledge, will help clients understand the necessary steps and procedures to import modified starch efficiently, legally, and quickly.

1. Import Procedure for Modified Starch into Vietnam

Importing modified starch from other countries into Vietnam requires a rigorous process that complies with regulations from Customs and other government agencies. Below, we will describe the detailed steps in this process and explain the related legal requirements and state policies.

Step 1: Register HS Code for Modified Starch

Before proceeding with the import process, the first step is to register the HS code for the modified starch product. The HS code is an international system for classifying goods, which helps customs authorities identify the product and the related tax policies.

• Common HS code for modified starch: According to Vietnam’s classification system, modified starch typically falls under HS code 3505 – “Dextrins and other modified starches.”
  • 3505.10: Modified starches derived from starch (including corn starch, cassava starch, potato starch, etc.)
  • 3505.90: Other modified starches.

Correctly determining the HS code will influence the legal requirements and applicable import taxes for the product. Misclassification of the HS code can lead to complications in the customs clearance process and unnecessary costs.

Step 2: Prepare Import Documentation

After obtaining the HS code, businesses need to prepare a complete set of documentation for importing modified starch into Vietnam. These documents include:

• Commercial Invoice: This document is essential for determining the value of the shipment. The invoice should clearly list the seller, buyer, product description, quantity, unit price, and total value of the shipment.
• Packing List: This document details the quantity, weight, and volume of the goods, helping customs authorities verify the accuracy of the declaration.
• Certificate of Origin (C/O): If the modified starch product is imported from countries with free trade agreements (FTA) with Vietnam (e.g., ASEAN, South Korea, Japan), the business can apply for a Certificate of Origin to benefit from preferential tax rates.
• Certificate of Quality: If the modified starch is used in food or pharmaceuticals, businesses must have a quality certificate from an authorized body or a reputable testing organization. This certificate must confirm that the product meets relevant safety standards for food or the respective industry.
• Import License: For certain types of modified starch with specific chemical properties or potential health risks, businesses may need to obtain an import license from the relevant authorities, such as the Ministry of Industry and Trade or the Ministry of Health.

Step 3: Customs Declaration and Tax Payment

After preparing all necessary documents, the business will need to submit a customs declaration and pay the import tax. These steps include:

• Customs Declaration: Ipologistics will assist clients with submitting the customs declaration through the electronic customs system. This step is crucial for customs authorities to review and verify shipment information and calculate the applicable import tax.
• Import Tax: The import tax rate for modified starch depends on the HS code and Vietnam’s tax policies. With a valid Certificate of Origin (C/O), businesses may reduce or eliminate import tax under the applicable free trade agreements.
• Value Added Tax (VAT): All imported goods, including modified starch, are subject to VAT. The current VAT rate for most imported products is 10%, unless specific regulations state otherwise.

Step 4: Quality Inspection and Quarantine

If the modified starch is used in food, pharmaceuticals, or other sectors with stringent quality requirements, government agencies may request a quality inspection. Specific steps may include:

• Food Safety Inspection: If the modified starch is used in food products. The Ministry of Health’s Food Safety Department will verify whether the product meets food safety standards. The business must have a Certificate of Conformity to prove the product’s quality.
• Chemical Inspection: If the product contains chemicals that could harm human health, businesses must seek approval from relevant authorities and ensure that the product complies with safety regulations.
• Sampling and Testing: Authorities may require sample testing in accredited laboratories to confirm the product’s quality.

Step 5: Receiving Goods and Domestic Transportation

Once the customs procedure and quality inspection are complete, the goods will be delivered to a warehouse or the designated receiving address. Ipologistics provides domestic transportation services, helping businesses save time and costs on logistics.

2. Relevant Policies and Legal Requirements for Importing Modified Starch

Tax Policies and Tax Preferences

Vietnam has signed various free trade agreements (FTAs) with countries such as ASEAN, South Korea, Japan, and others. These FTAs may help businesses reduce import tax rates for modified starch. The Certificate of Origin (C/O) is crucial for businesses to benefit from these preferential tax rates.

Food Safety Regulations

If the modified starch is used in food, businesses must comply with the Food Safety Law and other related regulations. Specifically, these products need a Certificate of Conformity, an import license. And clear labeling as required by the Ministry of Health and the Food Safety Department.

Quality Control Regulations

All imported goods to Vietnam, especially those related to public health and safety, must meet quality and safety standards. Businesses need to prepare the appropriate quality certificates and conformity documents to avoid delays in customs clearance.

Conclusion

Importing modified starch into Vietnam requires businesses to comply with various complex regulations and procedures. Ipologistics, with its experienced team of experts, is the reliable partner to guide businesses through the import process from A to Z. From correctly determining the HS code, preparing documentation, submitting customs declarations, and paying taxes to conducting quality inspections and domestic transportation, we are committed to providing the most efficient logistics solutions, helping businesses save time, reduce costs. And ensure full compliance with legal requirements.