Importance of Customs Clearance

Importance of Customs Clearance Process in International Trade

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Are you aware of the importance of customs clearance involved in International Trade? The importance of custom clearance is a must in the import-export business. The goods have to undergo customs clearance for their release. Here we will discuss the procedures required for the release of the shipment in the Import Export Process.

As we all know, every country has its laws, and these laws, are governed by different authorities in a particular country. The person handling your shipment documentation and customs documentation must be an experienced one. This is required for you to be on the safer side.

What is Customs Clearance?

The role of the customs clearance function in the Import-Export Process involves the preparation as well as the submission of import and export documentation. It helps in the following:

To represent a company before the customs examination

Assessing the document

Payment of duties and releasing the cargo from customs after the clearance of documents.

Understanding the Import-Export Process and its customs procedure is essential. Customs involved a set of documentation, both while importing or exporting goods.

Customs Clearance Process

Documents for the customs clearance Process in International Trade are mentioned here:

  • A purchase order from the buyer
  • ill of entry
  • Assessment
  • Signed invoice
  • Packing list
  • Bill of lading or delivery order/ airway bill
  • An Importer’s/ CHA’s declaration
  • Import license
  • Insurance documents
  • LC or Letter of Credit or a Bank Draft
  • Certificate of origin, etc.

List of custom clearance documents for export in International Trade

  • Export customs clearance documents are necessary to authenticate the goods and the owner behind them. Thus, please make a note of it and use it precisely.
  • Follow this list of documents required for export customs clearance in India and make your process smooth and quick.
  • Registration
  • Purchase order from the buyer
  • Sales invoice
  • Processing of shipping bill, both, EDI and Non-EDI
  • Export of Goods under Drawback scheme.
  • Status of shipping bills
  • Customs examination of export cargo, etc.

Importance of customs clearance Process in International Trade

The importance of customs clearance services is observed when you require support transporting goods from one destination to another without any trouble. Professional guidance assists you during the transition and makes exporting goods less challenging.

  • Bespoke service.
  • Professional consultation throughout the process.
  • Document verification.
  • Analyzing delivery process.
  • Regular updates on government policy changes.
  • Avoid Unnecessary Expenses.
  • Verifying custom clearance services.
  • Convenient Paperwork.
  • Suitable identification of good.
  • Easy clearance.
  • Support in customs clearance procedures for export import

Import export executive responsibilities

A person in the import export business should have adequate knowledge about international trade, policies, and the latest development in the industry. Import export executive responsibilities consist of various branches. You have to adhere to the guidelines whiles importing or exporting goods.

Top Import export executive responsibilities

  • Offering consultation to the client about the insurances, duties, and taxes.
  • Monitoring shipments to meet compliance with regulations.
  • Find the scope to reduce taxes while dealing in the international market.
  • Strengthening customer relations and offering them bespoke services.
  • Finding new marketing and sales opportunities.
  • Dealing with the goods in customs clearance.
  • Improving the efficiency of the import and export deals.
  • Managing essential data and analytics reports to use in future development.


Apart from the procedure mentioned above for clearance of import cargo and export goods, others also follow simultaneously.

The import customs clearance process needs a well-defined and right forwarder who can easily handle the release of shipments without fail. A wrong customs broker may lead to a delay in the shipment. In such cases, heavy payments are to be borne by you, resulting in hefty penalties.

  • Choosing the right freight forwarder should be the main aim of any business owner or company:

This is because, a wrong freight forwarder with less experience and knowledge not only makes your company bear the loss, it might also result in losing the reliability, credibility, and delay in the shipment to international customers.

Once the material is delayed, the chances of losing a potential buyer increases, which no business owner wants, especially when dealing with international supplies. So, whether you are new in business or not, you should be aware of the basic Import Export Process well to avoid such issues. Alternatively, you can take guidance from import export custom clearance agents




  • What not to do?

If you want your import-export customs clearance business to be handled in the right way and smoothly, here is what not to do.

  1. Selecting the cheap freight forwarder to save money
  2. Selecting the freight forwarding company, which is new in the business
  3. Neglecting procedure for customs clearance of import cargo.

Thus, the people mentioned above might help you save money by luring you to pay the lowest price, but when the further process comes, you will be in trouble. So, paying a little extra buck to the company which is handling the import and export shipping process (shipment) & warehousing, in the long run, is the best option.

Big companies have contacts with the customs department guys, which will be another factor in making the process easier and faster. Large companies ensure export clearance success while sending and receiving goods from different ports.

what is custom clearance process?


Let’s explore, customs clearance meaning, custom clearance agents, and a few more important points related to it. 

what is the role of customs in International Trade?

The role of the custom clearance process in the Import Export Process requires a wider aspect to explore the actual requirements which come in its way; like the complexity of custom clearance process of export cargo shipment. Moreover, there are certain problems that might come your way while the import shipment procedure is loaded and put on hold in the warehouse department.  

But there are ways to make import customs clearances work in your favor, these are:

  • Giving Accurate Information to your Customs Broker:

The first and essential thing should be clear, i.e., ‘The Right Info’. Providing the details to your customs broker accurately will make the further process easier. It helps the customs broker or freight forwarder to perform their tasks efficiently.

If you are dealing with an import-export business, then it is well known, that it requires a lot and a lot of paperwork. If the details asked by your customs clearance department executive are given properly, the paperwork is carried in a couple of times. Otherwise, it takes a lot of time.

  • A Right Info Saves From The Risk 

The Import Export Process, though, it seems to be easy, is a hectic one. As a business owner, you have to carry out your manufacturing processes without any delay. A delay in the supply means you are more likely to lose the international client. 

So, to avoid such delays, providing the right information to your customs broker saves you from the risk of delay. It saves you from extra duties and customs fees at the ports.

Many companies try to hide the info while letting a freight forwarding company manage their cargo customs clearance. Think, will it benefit you? No. Sharing the details is an advantage in getting your shipment to be exported or imported in a risk-free means.


While dealing in the import-export business or one can say, an Import Export Process, the role of Customs Clearance is big. One must fully understand the process involved, the documentation required, risks-factors in the shipment, and overall choosing the right company to handle the logistics, customs, and companies which can make your shipment documents easier.

Overall, an import-export business is a lucrative one. Earning good money and maximizing profits are factors that make an international business look good. The role of customs clearance is as vital as described in the customs clearance job description. So, to make your business run smoothly, a significant role is played by a customs clearance department.

Are you looking to enhance your customs clearance knowledge?


Find out more about the Import Export clearance Process and get help from the Impexperts team to find the best customs broker or freight Forwarder Company.

We, at Impexperts, make your work easier when it comes to importing and exporting knowledge.

With a long run into the import and export business, we are one of the most reliable sources when it comes to import or export consultants.

Locate us now at impexperts to get your Customs Clearance-related queries clear.

Frequently Asked Questions (FAQs)


1. What is customs clearance?

Permission receives from the customs official to send goods or receive goods from the other country when the stock reaches the port. Importers have the privilege to file documents 30 days in advance and provide the expected date of good arrival to the port. I hope now you have understood the customs clearance meaning and its importance.

2. What is the role of a customs clearance agent?

Customs clearance agent plays a diverse role in the import and export business. He/She is responsible for procuring the bill of lading, bill of entry, buying order, sales invoice, certificate of origin, and many other essential tasks that make the transportation of the goods easy. The agent also takes care of the custom clearance documents for export and import.

3. What is the role of the customs authority in general?

The Customs authority is responsible for managing the export and import of various instruments in international trade. They keep track of goods sent and received through the port, ensuring no illegal stocks, banned goods, or unauthorized products are imported or exported into the country.
Various checkpoints are set in customs to manage the supply of the goods. Documents are verified before allowing the goods to pass through the customs authority. Furthermore, it prevents smuggling and non-tax criminal activities.

Vaibhav Sharma

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