Putin proposed to find out the real cost of imported goods

“Customs and tax authorities should establish cooperation with foreign partners in order to receive objective information about the price of supplied goods” – declared Vladimir Putin at a meeting with the Head of the Federal Tax Service.

Tax and customs officers should receive objective information about the cost of goods imported into Russia from abroad. Maintaining close relationships is necessary for reliable accounting.

The meeting report is published on the Kremlin website.

So far, the statement is only an oral wish. Vladimir Putin didn’t commit to take any actions. But in any case, the next 2019 year prepares for us a lot of changes.

Trademark Agreement signed

The members of the EEC Council signed the trademark, service mark and appellations of origin agreement of the EAEU goods.

The document was developed in order to ensure the legal protection of trademarks of the Eurasian Economic Union. It will give an opportunity to send one application for specified objects to any of the intellectual property offices of member states and receive a single security document, which will be valid throughout the Union.

In addition, the EEU will create the Unified Register of Trademarks of the Union and the Unified Register of the AO of the Union. The documents will simplify and speed up the procedure for registering trademarks, as well as cut redundant administrative barriers.

The trade turnover between the Russian Federation and China increased by 27,8% in January-November period

On Saturday General Customs Administration of China published the report about the turnover results. The trade turnover between Russia and China grew by 27,8% to $97,23 billion in January-November of the current year.

The volume of exports from China increased by 12% and exceeded $43,45 billion over this period. Imports of Russian goods and services in China rose by $44,3% – to $53,78 billion. In November the two countries’ trade amounted to $ 9,9 billion.

At the end of 2016 the volume of trade between Russia and China grew by 2,2% in annual terms and reached $69,52 billion. In 2017 this figure increased by 20,8% in annual terms, to $84,07 billion.

Can Russia and Europe find common interest?

Lately Russian authorities have been talking about dedollarization a lot. The European Union’s desire of strengthening the role of the euro coincides with Russia’s intention to reduce dependence on the dollar. Russia and the EU have close economic ties and opportunity to increase trade in Euro. Unfortunately two main obstacles stand in the way of increasing the share of euro transactions between them.

The first difficulty is existing order to carry out most of oil trade in Dollars and there is no possibility to change it quickly. The second obstacle is the low liquidity of the euro/ruble pair, especially considering the ruble course drop after Western sanctions.

“Russia and the EU are on the same side in this issue [pricing and energy trading in the euro],” said Thierry Bro – RBC senior scientist at the Oxford Energy Research Institute. At the same time, he noted that the European Union will be able to promote commodity trading in Euro more effectively without the UK in its composition.

What is DDP

What is DDP

When it comes to international trade, one of the most pressing issues is shipping. In drawing up contracts, the Incoterms 2010 (by The International Chamber of Commerce) help out.

What is DDP?

DDP means delivery duty paid (place name). The term is always used with the arrival place indication. Most often, this is the buyer’s warehouse. First, let’s figure out what does DDP mean in incoterms?

What is DDP

The seller is responsible for delivering the goods to the specified location (which determines by the buyer). The manufacturer also pays all costs for delivering the products to the destination, including import duties and taxes. A separate contract’s clause must specify whether the cargo’s unloading is the seller’s responsibility.

What does DDP stand for in shipping?

All risks in the delivery process are borne by the seller:

  • Selection carriers and contracts conclusion.
  • Goods damage or loss insurance in transit.
  • Search for lost cargo.
  • Pay idle at the terminal (not even the seller’s fault).
  • Loading and unloading organization and payment (at ports, airports, cargo terminals).

What does DDP stand for in shipping when crossing the border?

One of the most difficult delivery points using DDP for the seller is the products’ customs clearance. For example, in some countries only resident firms or local affiliates are allowed to import goods. Also, the seller must independently:

  • Calculate and pay duties, taxes.
  • Get insurance.
  • If necessary, obtain licenses and certificates.
  • Fill out the customs declaration.

If the seller does not take into account any buyer’s country laws or misinterprets them, he will incur unforeseen expenses. Also, the cargo can be strongly delayed at the border.

What is DDP shipment for buyer?

This term sets the maximum obligations to the seller and the minimum obligations to the buyer. No risk or liability is transferred to the buyer until the goods are delivered to the specified destination. The buyer can take the goods’ unloading in stock. This should be spelled out in the contract.

What is DDP in accordance with the maritime rules and inland navigation?

The term DDP is suitable for all transport modes and their various combinations. It can be used for container and non-container transportation. In the case where the load is sealed, the term DDP is ideal. The risk and responsibility for unloading from one carrier to another remains on the seller. If you use another term, for example, DAT (delivered at terminal), the container would have to be opened. Otherwise, there is no way to check the freight integrity.

What is DDP shipment with an independent agent?

The DDP delivery term can’t be applied if the seller directly or indirectly can’t ensure the import fulfillment customs procedures for the products’ importation. However, it is allowed to attract a customs broker.

If the parties have agreed to exclude some of the expenses payable on import (such as value added tax – VAT) from the seller’s obligations, this should be clearly defined in the sale’s contract. In some cases, certain fees types payment can be completely avoided. NH Logistics conducts business consultations on customs clearance profitable issues.

The seller may agree to the DDP delivery and transfer authority to an independent agent. An importer responsibilities are often performed by logistics companies. NH Logistics can take on the delivery services’ full range or carry out only the functions needed by the client.

What is DDP for carrier?

The term DDP may be used in the products’ carriage by any transport’s mode, including mixed, multimodal transport and groupage cargo. The word “carrier” means any company who on the carriage contract basis undertakes to provide or arrange for the freight transportation by rail, road, air, sea and inland waterway or these transport’s types combination.

Do you want to know the delivery rules to a particular country? Learn more about what does DDP mean in shipping terms.

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