4 Global Trade Compliance Issues To Watch Out For

Whether you're just setting up a deal or looking to keep existing arrangement working smoothly, there can be a number of global trade compliance issues to navigate. Problems can occur at sources, in transit, and even upon arrival. In order to look out for your company's interests, try to keep these four potential challenges in mind.

Not Just Strict Compliance

In today's marketplace where every minor failure has the potential to blow up in a full-on PR disaster due to social media, staying compliant to the letter of the law isn't good enough. There are huge reputational risks that accompany dealings that are seen as shady. A company's stated values should now be seen as part of its compliance requirements and that means keeping close tabs on things like sourcing and suppliers. A jewelry company that prides itself on not using conflict diamonds, for example, doesn't want to find out that ones of its suppliers has been routing around the company's rules using shell companies and intermediary countries.

Acceptable Containers, Packages, and Pallets

On the more mundane side of things, all countries have rules requiring items to be shipped in specific ways. This can get very complicated as items move from port to port, and it's best to see that sources are using containers, packages, and pallets that are fully compliant with the regulations of each country where products will travel. For example, the European Union is known for being especially picky about wooden pallets and stamps for them in order to prevent pest problems from spreading. It can be difficult to track all these rules, and it may be best to have a global trade compliance officer around just to deal with such concerns.

Records, Payments, and Licensing

Production of written documentation for each shipment is a huge responsibility, such as producing receipts, logs for items, and proof that you're allowed to bring them into or through a country. Disputes over payments and resolution hold up about $140 billion of commerce each day worldwide. Likewise, the average wait in resolving transportation issues is 42 days. Streamlining the resolution process even slightly can provide a huge competitive advantage.

Tracking and Analysis

In addition to wanting to know where all cargo is at any time, you'll also want to use compliance data to study processes. Developing a database of previous and current shipments will allow you to analyze where problems are occurring, allowing you to make adjustments to your shipping chain.

You can get help with all of these compliance issues with a global trade compliance company like Braumiller Consulting



Tags:
428 Words

About Me

Can Consultants Help Your Small Business? As a small business owner, I have worked with many consultants throughout the years. I have had service providers prepare my taxes and handle all of my accounting, and I have had consultants help me create training materials and business policies. I've even worked with consultants instead of lawyers when I was creating, reading, or signing business contracts. Along the way, many colleagues have come to me for advice and I've been successful at help them find the consultants they need. So, I figured I would help small businesses around the world determine their consulting needs and ensure that their needs are being met as time goes on – which is how this blog came into fruition. I hope the information found here helps your small business as much as it has helped mine.

Search

Categories

Latest Posts

The Value of IT Recruitment Services in Today's Digital Age
20 January 2025
Finding the right talent in the fast-paced world of information technology can be a daunting task for companies of all sizes. With the rapid evolution

The Advantages of Medical Insurance Appeal Assistance: Securing the Care You Deserve
8 November 2024
Medical insurance claim denials can be incredibly frustrating and stressful, especially when you or a loved one requires urgent or ongoing care. Often

Unlocking Expertise: The Benefits of Building Consultants for Insurance Companies
12 August 2024
In the intricate world of insurance, where accuracy and efficiency are paramount, building consultants offer a crucial advantage. Insurance companies