Raymond Yang

Shipping dangerous goods internationally by vessel is regulated through the International Maritime Organization (IMO). The IMO is a specialized agency of the United Nations. The IMO uses the International Maritime Dangerous Goods Regulations Code (IMDG Code) as the basis for international enforcement of dangerous goods transportation by vessel. These regulations are amended every two years with each amendment valid for three years.

The IMDG Code requires the following:

A declaration from the consignor stating that the particular dangerous goods declared are identified, classified, packaged, marked, labeled and placarded correctly.
A declaration from the person packing the container to ensure it has been done correctly.

When using EX Works all of the costs and risks of shipping the goods are for the buyers account. For the buyer it can be a good term to get a clear picture of all of their shipping costs, which can help calculate more accurate landed costs.

However, there are issues when using EX Works. For example the risk passes when the goods are made available for collection. This means that the buyer is responsible for loading the goods, but many companies who use this term as the seller, will actually load the goods.

The other issue is the customs declaration for export, where the buyer has responsibility for this process, yet a seller who is exporting from the UK, would not be charging VAT. Therefore, it is important that they can get proof of export for HMRC audit purposes, which can be difficult in some cases when using the EX Works term. For an exporter it may be better to use other terms, which cover the loading and export declaration process.

   The inland bill of lading is a contract between the owner of the goods and the carrier stating what goods are shipping, where they are going, and where they started. It also serves as a receipt issued by the carrier once your shipment is picked up. This document is typically consigned to the freight forwarder, warehouse, packaging company, another third party in the process, or the international carrier. It is not typically consigned to the foreign buyer of the goods. If it is not immediately consigned to the international carrier, the forwarder or other third party will need to consign it to the carrier once they are identified.

An inland bill of lading should include:

• the name and contact information for the exporter, the consignee, and the bill to party;
• the inland carrier’s information;
• a description of the goods including their weight and dimensions and how they are packed;
• any special instructions for the shipment.

It's important to make sure that you legally can export your products overseas without a license. While most goods do not need an export license under the federal Export Administration Act, licenses are generally required for high-tech or strategic goods, or goods shipped to certain countries (such as Iran or Libya) where national security or foreign policy controls are important. Even if you're selling goods to a friendly country, you may have to take steps to prevent your overseas buyer from reselling the goods to a restricted country. If there is even a remote possibility that your products or software may have military applications, you should consult with a lawyer specializing in international trade matters before exporting anywhere.
In many countries, kickbacks and bribes have long been an expected cost of doing business. But the Foreign Corrupt Practice Act (FCPA), enacted by Congress in 1977, prohibits bribery of officials in other countries. It's illegal to make payments, promises or offers of anything of value to foreign officials to obtain or retain business, or to get an improper advantage. It's also illegal to make such payments to a third party (say, a government official's brother), knowing he's just an intermediary.

There are many standard methods of paying for imports, each with its own associated monetary costs and risks. Four common options, ranging from most secure (to you, the importer) to most risky (which will be the most secure to your exporting counterpart) are open account, documentary collection, letters of credit, and cash in advance. Typically, a larger local bank (with its own international trade services department) can help you through the process.