The customs brokerage market in the US alone, is worth $4 billion. It’s little wonder, as the ground beneath our feet is shifting. There is protectionism around the world. There are major shifts occurring in the global supply chain. In the modern world, some regulations make it easy to export, while political leaders are trying to stem the flow of outward-going products. So the focus has now become clear, customs clearance is where the real battle in the economy will now take place.
Bureaucratization must become limited
The swathe of regulations and laws that underpin the customs market are acting as somewhat of an impediment to business. Companies want less centralization from governments and it’s public bodies, and instead, allow private companies to perform the checks for them. This means that technological advancements that allow for faster and simpler checks of goods at borders, is vital for this decade’s global growth prospects. Informational-filing will need to be slimmed down, so automation may take the bulk of the box-ticking that is done by people. Things such as language detection of parcel stickers and barcode identification regarding its origin, must be done via scanners and the information sent to a datazone for automatic storage.
Speeding things up
As ever, for the majority of businesses clearing the path for cross-border trades is done by working with a customs broker. The majority of the heavy lifting is taken out of their hands and put onto the shoulders of experts. Your goods will be getting cleared day and night, while you work and sleep, taking a lot of the difficult negotiation, paperwork and regulations inquiries out of your hands. This frees you up to speed things along in your business, such as producing products, satisfying customers, building marketing campaigns and accounting of your costs and profits. The broker will work 24-7, so no matter where your goods are being exported, they are ready to handle any mishaps or confirmation requests.
Electronic border checks
As recommended by many politicians around the world, rather than trucks and trains being kept for hours at border customs terminals, electronic checks are the future. Documentation that the drivers of freight transport carry, can be assessed electronically or rather digitally. These documents can be uploaded to a server that the public customs body owns or pay to use, which can allow customs officers to check the authenticity of the document and thus the legality of the goods. This sounds complex but it is the way the world is heading. While in their infancy, these checks can be moved inland, rather than at the border. This saves long lines of freight trucks being stuck at the opening of a nation’s border and instead, allows them to deliver their goods on time. If things are not right, they can always be collected and sent back via the same or another freight haul company.
Customs is an exciting part of the economy and at the sharp end of economic and political policy. Prepare for these challenges now and post-covid you will become more adaptable.
