Kerim Allam

Strictly speaking, the difference between SMBs and SMEs are blurred. An SMB is a small-to-medium sized business, whereas an SME is a small-to-medium sized enterprise. Generally speaking, a company is usually associated with the service industry, where an enterprise is involved in manufacturing.

Some of the common SMBs in India include – restaurants, cafes, retail outlets, grocery stores, traders, travel agencies, spas, salons, auto garages and more. Some of the familiar SMEs in India include cottage-industries, small-scale manufacturers, and other enterprises that produce a manufactured product.

GDP is important because it gives information about the size of the economy and how an economy is performing. The growth rate of real GDP is often used as an indicator of the general health of the economy. In broad terms, an increase in real GDP is interpreted as a sign that the economy is doing well. GDP enables policymakers and central banks to judge whether the economy is contracting or expanding and promptly take necessary action. It also allows policymakers, economists, and businesses to analyze the impact of variables such as monetary and fiscal policy, economic shocks, and tax and spending plans. GDP can be calculated either through the expenditure, income, or value-added approach. GDP isn't always flawless and overlooks several important factors.

The Incoterms rules are silent on the issue of when title in the goods passes from seller to buyer. This should be dealt with elsewhere in the commercial agreement.

The issue of title to the goods is related to that of revenue recognition, which matters to those organisations who want the best figures in their financial reports.

Revenue recognition is defined by accounting standards such as GAAP, and the point of delivery (as defined by the Incoterms rule) is one factor in the decision on this matter.

Hence rules such as DAP and DAT would tend to be disadvantageous in this respect.

Import tariffs may need to be paid for your product when it enters the EU. The EU is a customs union, which means that a single import tariff is due at the place of entry where the import declaration is made, irrespective of the EU Member State. The product can then circulate in the EU market without further customs formalities.
Who pays for the tariffs depends on the agreement with the seller, but often import duties are paid by the importer.

The safest way of getting a definitive decision on the correct UK / EU customs commodity code for a product is by obtaining a “Binding Tariff Information Ruling” (BTI) from H.M. Revenue & Customs. This will provide a definitive decision on the correct tariff code for a specific article, which is then binding for 3 years on H.M. Revenue & Customs and their counterparts in all other EU Member States.