Blog

Freight Logistics

What is a EUR1 and how could it work for you?

  |   Uncategorized   |   No comment

Amongst the heap of important documents involved with international trade there are some that can really benefit your business. One such example is a EUR1, also known as a movement certificate. This document allows certain commodities in certain countries to clear imported goods at a reduced or zero-rated duty percentage.

.

The European Union Association Agreement is a framework between the European Union and non-EU members allowing co-operations between members, strengthening relations between countries. South Africa signed its agreement, the Trade, Development and Cooperation Agreement (TDCA) in 2004.

.

This agreement allows South Africans to import EUR1 certified products at a reduced or zero-rated duty tariff, while simultaneously allowing businesses to better price their products for the EU export market, since buyers will also qualify for reduced duties.

In a nutshell, all participating countries benefit from this trade deal.

.

How can a supplier apply for a EUR1?

.

A product becomes eligible for a EUR1 if it’s wholly or partly (but mostly) manufactured in the country of origin. Any business who is registered with the Chamber of Commerce as an exporter will be able to apply for a EUR1, which is valid for 4 months. The application will ask for details of the buyer and supplier (name and address, the commodity (such as HS codes) and details of the shipment such as weight and mode of the cargo. A COC may also accompany the application.

.

The supplier can either issue a EUR1 certificate or an EU declaration.

A declaration is a statement, usually stating; “The exporter of the products covered by this document (customs authorisation No (1)) declares that, except where otherwise clearly indicated, these products are of (2) preferential origin. This is accompanied by an authorisation number that the shipper will put on their invoice.

A EUR1 certificate must be issued if goods exceed a value of over EUR 6 000.00

.

Example of a EUR 1 Certificate from Italy

No Comments

Post A Comment