Here is the complete report "Export Customs Procedures for glass at Uc Thinh Vietnam Glass Science Development Company Limited." The report systematically presents the fundamental knowledge of customs procedures and provides a brief introduction to the company. It analyzes the current state of the customs procedures for exporting glass at the company. Additionally, the report evaluates the existing advantages and disadvantages of this procedure at the company. Based on these limitations and the company''''s future direction, the report proposes practical solutions to enhance the customs procedures specifically for exporting glass, and to improve overall efficiency in exporting goods to foreign markets. The company has performed well in its business operations and has gradually established itself in import-export activities by expanding relationships with foreign markets and achieving high effectiveness. However, in recent years, there have been fluctuations in the global and Vietnamese economies, leading to a decline in export revenues. Nevertheless, the company has maintained a positive profit margin compared to its targets. Currently, the company is actively promoting the export of glass to countries worldwide. This will contribute to the company''''s customs declaration responsibilities, thus emphasizing the importance of focusing on and improving customs procedures. We hope that in the coming period, the company will particularly focus on improving the customs procedures. During my internship at the company, I have learned about the practical aspects of customs procedures for export goods. This work requires meticulousness, attention to detail, a broad understanding of state laws and policies, and proficiency in specialized professional skills. As a result, I have gained a deeper understanding of the customs procedures through hands-on experiences. Due to limited knowledge and practical experience, my research topic still has a theoretical nature and some shortcomings. The solutions I propose also have certain limitations. Therefore, I greatly appreciate the contributions and guidance from professors, teachers, and colleagues at the company to further improve my research. 43 Finally, I would like to express my sincere gratitude to my dedicated supervisor, Dr. Bui Huynh Nguyen, and to all the colleagues at the company who have assisted me in completing this graduation report. Thank you very much.
THEORETICAL FRAMEWORK OF CUSTOMS PROCEDURES
Overview of export activities
According to conventional understanding, exporting is a commercial endeavor that takes place on a global level, involving the exchange of goods between nations through a currency-mediated process of equal value exchange Alternatively, it can be described as the act of selling goods from domestic economic entities and companies to foreign individuals and organizations
Pursuant to Clause 1, Article 28 of the Commercial Law No 36/2005/QH11 promulgated on June 14, 06, 2005 stipulates as follows: "Export of goods means the removal of goods from the territory of Vietnam or into a special area located on the territory of Vietnam which is considered a separate customs area in accordance with the provisions of law." (Luật Thương mại, 2005)
According to Albaum, G S., Albaum, G., & Duerr, E (2008), in the initial phases of expanding into international markets, exporting remains the prevailing method for manufacturers to engage in foreign business transactions
The export of goods has significantly contributed to the rapid increase in foreign currency revenue and made a substantial impact on the national economy As a result, the Vietnamese government has increasingly encouraged and promoted export activities
The export of goods plays a crucial role and brings numerous benefits to a country
Firstly, exporting contributes to economic growth Selling goods in the international market generates revenue in foreign currency, contributes to foreign exchange reserves, and enhances a country's international payment capacity The higher the quantity and value of exports, the stronger the financial resources available for investment in infrastructure development, education, healthcare, and other important sectors
Secondly, export activities also play a significant role in job creation Export-oriented industries often require a skilled workforce, thus reducing unemployment rates and improving the living standards of workers
Thirdly, exports create opportunities for the development of domestic industries and businesses Access to international markets opens up access to larger supply and demand sources, promoting competition and enhancing the competitive capabilities of domestic enterprises This encourages investment in improving product quality, technology, and production processes, contributing to value-added and sustainable growth
Moreover, export of goods plays a crucial role in promoting economic integration and strengthening international trade relations Through exports, a country can build and strengthen partnerships with other nations, expand its network of economic connections, and drive comprehensive development This facilitates the country's participation in global supply chains and economic integration
In summary, the export of goods plays a vital role in a country's economy by contributing to economic growth, job creation, development of domestic industries, and enhancing economic integration and international trade relations Encouraging and developing exports is an essential part of a nation's economic development strategy
1.1.3 Common export forms in Vietnam
Direct Export: Direct export is the process of selling goods or conducting commercial transactions directly with foreign customers without involving any agents or intermediaries In this case, the business carries out every stage of the export process, from market research, product marketing, contract negotiation, to managing transportation and delivery to the end customers Direct export requires significant investment and carries high risks, so it may not be suitable for new businesses without experience in the export industry However, direct export allows for higher profit margins, so it is commonly pursued by reputable import-export companies with highly skilled staff
Indirect Export (Entrustment): Indirect export refers to the method of exporting goods through intermediaries The exporting business does not directly engage with foreign customers; instead, they utilize the services of agents or intermediaries to market and sell their products in the international market When delegating the export, these exporting businesses (the ones receiving the delegation) need to establish two contracts: a sales contract with the foreign party and a delegation contract with the delegating party Indirect export is often used when a business lacks the resources or experience to market and sell directly to international customers This helps them expand their marketing scope and increase business opportunities in the international market without having to invest heavily in marketing and advertising activities
Export Processing: This is a type of export where domestic companies receive production materials (raw materials, machinery) from foreign countries They use these production materials to process and manufacture goods according to the requirements of the ordering party Finally, the finished goods are exported to designated countries as specified by the ordering company Export processing is commonly used in industries such as garment manufacturing, electronics, mechanical engineering, information technology, and many others Engaging in export processing can help companies leverage competitive advantages in terms of labor costs, raw materials, or specialized skills of the processing partners, while expanding production scale and accessing export markets that the company cannot reach on its own
On-site Export: On-site export refers to the method of delivering goods on the territory of Vietnam instead of shipping them overseas as in regular exports This method helps businesses save a significant amount of costs by eliminating customs procedures, insurance purchases, and transportation and delivery expenses
Temporary Import for Re-Export: Temporary import for re-export is a method where Vietnamese traders temporarily import goods into Vietnam but subsequently re- export those goods to another country This method involves importing goods without consuming them domestically, but rather exporting them to a third country to generate profit.
Overview of customs procedures
As outlined in ISO 9000:2015, a procedure refers to a meticulously designed approach for carrying out a specific activity or process It involves organizing tasks systematically and logically, adhering to a well-defined sequence established through scientific principles.
In accordance with the 1999 Kyoto Convention, "customs procedures" refer to all activities that relevant parties and Customs must undertake to ensure compliance with the Customs Law (Nghị Định Thư Về Sửa Đổi Công Ước Quốc Tế, 1999)
Customs procedures encompass the mandatory tasks performed by customs declarants and officials in accordance with the provisions set forth in the Customs Law These procedures regulate the export and transport of goods and means of transportation across national borders, ensuring compliance with state regulations.
Import and export customs procedures in Vietnam are executed at either the Customs Department situated at the border gate (international airport or seaport) or the Customs Department located outside the border gate (inland port).
Based on Article 3 of Decree 08/2015/ND-CP, "Electronic Customs Procedures" refer to customs procedures in which the declaration, receipt, processing of customs declaration information, and exchange of other information as stipulated by customs procedure laws among relevant parties are carried out through the Customs Electronic Data Processing System
Currently, the customs procedure process has been optimized, saving businesses from spending excessive time on legal procedures Specifically, businesses will electronically submit customs dossiers through the VNACCS software The Customs General Department will notify businesses of the results of their dossier through the electronic information portal after verifying the validity of the submitted documents
1.2.3 The role of customs procedures
In the realm of foreign economic development, customs procedures play a crucial role that extends beyond the mere management of import and export goods They serve as essential tools utilized by the state to protect economic sovereignty, national security, and the interests of domestic production, consumers, and the state budget Particularly in Vietnam, with its recent economic advancements, customs procedures have become increasingly concentrated and hold significant importance within the country's economic management system
Firstly, customs procedures are employed as an administrative management instrument by the state to ensure compliance with relevant legal regulations regarding the import and export of goods and transportation This ensures the protection of the rights and interests of all parties involved and upholds fairness in international trade
Secondly, customs procedures act as a means for the state to safeguard national security and safety They involve inspections of goods and transportation to prevent activities such as smuggling, the entry of hazardous materials, weapons, or any goods that could pose harm to the nation and its population
Customs procedures play a significant role in revenue generation for governments By collecting taxes, fees, and other charges on imported and exported goods, customs procedures contribute substantial revenue to national budgets This revenue serves as a vital source of funding for important public projects and services, enabling governments to meet the needs of their citizens and drive economic development.
Lastly, customs procedures establish a favorable environment for international trade by ensuring prompt and efficient clearance of goods and transportation This fosters economic development, promotes trade growth, and stimulates economic cooperation among nations
1.2.4 The legal basis system for applying customs procedures in Vietnam
Some documents and decrees provide detailed regulations on customs procedures as follows:
Customs Law No 54/2014/QH13 outlines the regulations governing state management of customs for goods exported, imported, transited, and means of transport entering, exiting, or passing through the customs territory It also establishes the structure and operations of the Customs authorities responsible for implementing and enforcing these regulations.
Decree 154/2005/ND-CP provides detailed regulations on customs procedures, inspection, and customs supervision
Decree 87/2012/ND-CP dated October 23, 2012, by the Government, provides detailed provisions of the Customs Law regarding electronic customs procedures for goods in import and export trade
Decree 59/2018/ND-CP dated January 21, 2015, by the Government, amends and supplements certain provisions of Decree 08/2015/ND-CP, which regulates the implementation of customs laws regarding customs inspection, supervision, and control
In addition, there are also various circulars and decrees issued by authorized state agencies that provide guidance on the execution of customs procedures:
Circular 39/2018/TT-BTC, replacing Circular 38/2015/TT-BTC, regarding customs procedures, customs inspection, customs supervision, export tax, import tax, and tax management for goods in import and export
Decision 1996/QD-TCHQ dated July 10, 2015, on the issuance of customs procedures for goods in import and export
Circular 22/2014/TT-BTC dated February 14, 2014, by the Ministry of Finance, which regulates electronic customs procedures for goods in import and export trade
1.2.5 The parties involved in customs procedures and the responsibilities of each party
According to Clause 21 of the 2014 Customs Law, when going through customs procedures, the declarant is responsible for: a) Declaring and submitting the customs declaration form; submitting or presenting the documents related to the customs dossier as stipulated in Article 24 of this Law; b) Bringing goods and means of transport to the designated location for actual inspection of goods and means of transport; c) Paying taxes and fulfilling other financial obligations as prescribed by tax laws, fees, charges, and other relevant regulations
When going through customs procedures, the customs authorities and customs officials are responsible for: a) Receiving and registering the customs dossier; b) Checking the customs dossier and conducting actual inspection of goods and means of transport; c) Organizing tax collection and other charges as prescribed by tax laws, fees, charges, and other relevant regulations; d) Making decisions on customs clearance, release of goods, and confirming that the means of transport have completed customs procedures
For service providers for businesses:
Customs brokerage agents operating under authorized contracts with importers and exporters, are responsible within their scope, and service companies provide services to facilitate customs procedures
OVERVIEW OF UC THINH VIETNAM GLASS SCIENCE
Company overview
Company name: Uc Thinh Viet Nam Glass Science Development Company Limited (UTG)
Business field: Manufacturing decorative glass, colored glass, clear glass, coated glass Address: Lot 12A, Bac Chu Lai Industrial Park, Tam Hiep, Nui Thanh, Quang Nam Website: http://www.ucthinhglass.com
Uc Thinh Vietnam Glass Science Development Company Limited is a Chinese- invested company located in the North Chu Lai Industrial Park, Central Vietnam The company was established on March 25, 2016 It is known as a specialized manufacturer and distributor of patterned glass, catering to both the domestic market and export markets, with a range of 12 different patterns
Figure 2.1 Logo of Uc Thinh Viet Nam Glass Science Development Company Limited
Uc Thinh Vietnam Glass products are manufactured using natural materials, ensuring excellent gloss, smooth surface, and a tempering rate of 98% Our factory offers a range of Patterned glass and coated Patterned glass varieties, including FLORA, MISTLITE, DIAMOND, SEASONS, Millennium, NASHIJI, MORU, KARATACHI, which can also be customized according to customer requirements The product specifications available are 2.0m × 1.5m, 2.0m × 1.7m, 2.0m × 1.8m, 1.83m × 2.44m, 1.83m × 2.134m, 1.524m × 2.134m, and 2.0m × 2.4m
Uc Thinh Company prioritizes technology and quality, adopting consistent management practices to ensure product excellence Unwavering adherence to safety and quality standards drives continuous innovation, ensuring products consistently meet high expectations Rigorous checks and controls during transportation and packaging safeguard product integrity, guaranteeing unwavering quality from production to delivery.
Figure 2.2 12 different glass patterns produced by the company
Since its early days, UTG has been committed to building a corporate culture based on core values such as diligence, simplicity, learning, and innovation The company aims to become a loyal partner to its customers, a model within the industry, and a trusted brand in the public eye UTG accompanies its customers by expanding its range of products to meet diverse needs, both domestically and in export markets, with increasing consumer demand
Furthermore, UTG places great emphasis on social responsibility in its actions The company strives to build and continuously improve its quality management system according to ISO 9001:2015 standards, as well as implementing the 5S-Kaizen system It also has an evaluation and performance appraisal system, and a comprehensive ERP management system that covers all aspects from procurement to sales and material management in all its administrative operations
Emphasis on the golden principle in labor analysis:
UTG believes that the "human resources" factor plays a crucial and fundamental role in the business operations Furthermore, it also determines the prosperity of the enterprise This belief is clearly reflected in our policies on skill training, welfare benefits, and rewards for staffs, which we consistently prioritize Additionally, UTG places importance on recruiting competent staffs with high professional qualifications, while also considering and evaluating their potential for development within the company The quality of the workforce not only contributes significantly to the organization's success but also creates a competitive advantage and differentiation compared to other competitors
Based on statistical data, the workforce is distributed by qualification and age, showing that individuals with at least a secondary level of education account for 27% of the workforce, particularly those under 40 years old, who make up 74.6% This creates certain advantages for the current and future development of UTG
Focus on welfare and benefits for the workforce:
UTG prioritizes staff well-being by investing in outdoor activities, team building, and a football field for sports and cultural events The organization also conducts talent and labor competitions, provides regular health check-ups and occupational disease screenings, and offers life insurance coverage for exceptional employees, ranging from 10,000,000 to 30,000,000 VND.
Furthermore, the work areas and departments are equipped with essential infrastructure to ensure aesthetics and health conditions The nutrition mechanism for industrial meals is planned and the menu is constantly changed to ensure the provision of quality meals to the workforce Every year, a program for providing refreshing drinks is organized for all production units to ensure efficient work energy
General Labor Intermediate College University Engineer Expert
Figure 2.3 Workforce distribution by skill level and age
Emphasis on improving the quality of the management team:
The management team and department heads receive high attention and guidance from the Board of Directors to enhance their management and leadership capabilities Over 50% of the management team and department heads are personnel with a college degree or higher qualifications or have been trained to become outstanding staffs
Building a strong Trade Union organization to protect the rights and interests of workers
In parallel with developing essential resources for the workforce, UTG also focuses on building a strong grassroots Trade Union organization, taking the Collective Labor Agreement as the guiding principle for actions, and advising the leadership to coordinate timely organization of activities such as visiting and encouraging union members who are sick, facing difficulties, and providing welfare benefits as prescribed by the Vietnam General Confederation of Labor
Source: Administration - HR Department of UTG
Figure 2.4 The organizational structure of UTG
Deputy General Director of Administration - HR and Business
The functions of the main departments:
The General Director assumes the highest position within the corporate structure, exercising leadership and management over the entire organization Their primary responsibilities include establishing long-term strategic directions and making pivotal decisions that shape business operations and management practices In essence, the General Director serves as the ultimate authority, guiding the company's trajectory towards success.
Deputy General Director of Finance: Develops financial plans, manages capital and assets, oversees accounting operations and financial reporting, and makes decisions related to finance and investments
Deputy General Director of Administration - Human Resources and Business:
Ensures smooth administrative operations, manages and develops human resources, develops and implements business strategies, and ensures the company's efficiency and growth
Material Manager: Identifies material needs, plans procurement, negotiates with suppliers, manages the purchasing process, and controls inventory of materials
Chief Product Officer: Builds production plans, manages technological and production processes, ensures product quality, and improves production efficiency and effectiveness
Warehouse and QC Manager: Manages warehouse operations, conducts quality inspections to ensure compliance with quality standards
Accounting Department: Records and verifies financial transactions, prepares financial reports, conducts financial analysis, ensures compliance with financial regulations and standards
Administration-HR Department: Manages staff records, handles issues related to
HR policies, ensures compliance with administrative procedures, and meets the company's personnel needs
Sales Department: Understands customer needs, seeks, and builds customer relationships, implements sales strategies, ensures sales volume, and enhances market share
Planning and Purchasing Department: Develops production plans, plans and manages resources, negotiates with suppliers, conducts procurement activities, and manages procurement contracts
Export and Customs Department: Prepares export documentation, handles customs procedures, ensures compliance with regulations for export and import of goods
Laboratory Department: Performs testing and quality analysis of products, ensuring compliance with quality standards
Warehouse Department: Receives, inspects, and stores goods, manages warehouse operations, ensures proper arrangement of warehouse items, and controls inventory.
The company's business performance from 2021 – 2023
Table 2.1 Business performance of UTG from 2021 – 2023
Source: Accounting Department of UTG
During the period from 2021 to 2023, the company's operations experienced significant fluctuations The total revenue, especially domestic revenue, underwent substantial changes, increasing from 2021 to 2022 but then sharply declining in 2023 2022 could be seen as a year of strong recovery following the COVID-19 pandemic Vietnam, along with many other countries worldwide, implemented social distancing measures and economic restrictions to control the pandemic When the situation was brought under control and economies reopened, there was a strong growth potential due to increased consumer demand and the company's effective business strategy However, the sudden decline in 2023 reflected the market's difficulties The Vietnamese economy was heavily influenced by the global economic context, and business operations faced challenges with decreased orders and ongoing difficulties
After COVID-19, countries also tended to prioritize domestic products over imports
Therefore, export revenue continuously decreased from 185.004 billion VND in 2021 to
105.512 billion VND in 2022 and 31.058 billion VND in 2023 This was a challenging period for export-import activities as the global economy was predicted to face high inflation and a likely recession, leading to reduced purchasing power and global consumption Business operations faced disadvantages in accessing export markets The decline in export revenue could also indicate strong competition from rival competitors It is possible that other domestic and international companies increased their competitiveness in the company's business sector, resulting in decreased market share and revenue
The total expenses of the company increased from 210.186 billion VND in 2021 to
294.110 billion VND in 2022 before decreasing to 202.094 billion VND in 2023 The initial increase in expenses was due to the expansion of the company's operational factories, while the subsequent decrease was the result of cost-cutting measures or production process optimization
Despite the declining export market and domestic revenue in 2023, the company was able to maintain a positive profit This is a positive sign, demonstrating the stability and operational capabilities of the company amidst market fluctuations and external factors.
IMPLEMENTATION STATUS OF EXPORT CUSTOMS
Description of customs procedures at the company
Figure 3.1 The process flowchart for customs procedures for export glass at at Uc Thinh Viet Nam glass science development Co Ltd
Step 1: Prepare the necessary documentation
Before proceeding with the customs procedures for exporting goods, the company needs to prepare and complete the information in the required export documents The time to complete this documentation typically takes 3-5 days
Once the goods are ready for export, the export-import staff will contact the freight forwarder (FWD) to make a booking After a successful booking, the FWD staff will send a Booking Confirmation/Booking Note to the company The information on the Booking Confirmation will be used by the customs declarant to determine the appropriate timing for
Submitting the customs declaration and receiving the result of selectivity of customs declaration form
Customs declaration and sealing the container, moving it to the port
Declaration liquidation and finalizing customs procedures. customs declaration and to prepare the necessary documents for the declaration process in the customs software
The necessary documents that must be included in the customs dossier are as follows: packing list, commercial invoice, sales contract, and booking confirmation
Commercial Invoice: It is a trade document used for payment between the exporter and importer It typically includes detailed information about the goods, prices, quantities, payment terms, and other commercial terms The commercial invoice plays an important role in confirming and proving the buying and selling transaction and is often required in customs, payment, and warranty processes (Appendix 1)
Packing List: It is a detailed document that lists the goods and their information in each package or container being transported The information on the packing list usually includes a description of the goods, quantities, weights, dimensions, and packaging types The packing list helps both the exporter and the customs authorities in the exporting and importing countries to verify and confirm the contents of the shipment, ensuring accuracy and transparency during transportation (Appendix 2)
Sales Contract: It is a legal agreement between two or more parties to establish terms and conditions for the purchase or supply of goods or services in business operations The sales contract typically includes elements such as information about the participating parties, description of the goods or services, prices, payment terms, transportation conditions, warranties, and other relevant terms related to the business transaction (Appendix 3)
Booking Confirmation: It contains information about the shipper's name, shipping line, cargo details (type, weight, quantity), origin and destination ports, estimated time, and other terms and conditions of transportation It is used to confirm and ensure that a booking has been made on the vessel and to guarantee that the goods will be transported as requested and within the agreed-upon time (Appendix 4)
The article lacks specific regulations for document preparation time Nonetheless, staff should adhere to the deadline for customs procedures as outlined in the Booking Note This will ensure sufficient time for document preparation and prevent delays in customs clearance.
There are some risks that can occur during this process:
The main risk is the lack of documents or inaccuracies in the document information, leading to inaccurate customs declaration If this affects the amount of taxes to be paid, the penalties can be significant
Another risk that can occur is when staffs fail to assess the appropriate timeframe to complete customs procedures This can result in preparing documents too close to the vessel's departure date, not allowing enough time to complete the clearance process As a result, the shipment may be delayed and unable to be exported according to the initial plan
Once all required documentation is secured, the company's export-import department staff initiates the customs declaration process utilizing FPT.VNACCS software This advanced software serves as an updated iteration of the previously used FPT.TQDT software.
The declaration process takes approximately 15-25 minutes after all the required documents are available
The sequence of steps is as follows:
Step 2.1: Use the EDA transaction to temporarily declare export information
When accessing the FPT.VNACCS software and logging in, the main interface appears as follows:
Figure 3.2 The main interface of the FPT.VNACCS software
To perform the EDA transaction, the customs declarant selects the "Export Declaration" or "Export Information Declaration" option from the system menu
Figure 3.3 The EDA transaction execution
After the staff selects the EDA (Electronic Customs Declaration for Export) transaction, the EDA declaration information screen will appear The staff will enter information into the data fields on the screen
For tab 1 "EDA Declaration Information":
Customs Office: 60CB - Ky Ha Port Customs Branch
Declaration Processing Unit Code: 00 Ky Ha Port Customs Branch
Export Type Code: B11 - Export for business purposes
Transport Method Code: 2 - Sea transport
Exporter’s Information: Uc Thinh Viet Nam Glass Science Development Co Ltd
Importer Information: XXXXXXX (Information in these fields will be obtained from the Commercial Contract)
Number of B/L: This information is obtained from the Booking Confirmation
Number of Packages and Total Weight: This information is obtained from the Packing List
Warehouse Location for Customs Clearance: 60CBC41 - Uc Thinh Viet Nam Glass Company
Final Destination: Obtained from the Booking Note
Loading Location: Obtained from the Booking Note
Mode of Transport: Obtained from the Booking Note
Estimated Departure Date: Obtained from the Booking Note
Invoice Number: Enter the commercial invoice number, obtained from the commercial invoice
Date of Issue: XX/XX/XXXX, obtained from the commercial invoice
Payment Method: Obtained from the commercial invoice
Delivery Terms: Obtained from the commercial contract
Total Invoice Value: Enter the total amount shown on the commercial invoice, obtained from the commercial invoice
Total Taxable Value: Enter the value of the goods, obtained from the commercial invoice
Currency Code: USD, as the company uses the US dollar for the contract, obtained from the commercial invoice
Tax and Guarantees: The company will self-declare, so the exporter will be responsible for paying taxes (if applicable) In the case of delegated export, option 2 - Customs agent will be responsible for tax payment
Export License: The company's glass products are not listed in the list of items requiring an export license or specialized inspection, so there is no need to submit or present an export license Therefore, this section can be left blank
For tab 3 "List of Goods":
Item Code: XXXX, refers to the product code used internally by the company
Description (Product Name): Textured glass
Unit of Measurement: MTK (square meter)
Unit of Measurement 2: MTK (square meter)
Invoice Price: Obtained from the commercial invoice
Invoice Value: Automatically calculated by the system
Providing the specific details for each item in the cargo list following the above format
Code: 60CBC41 is the code for the loading location onto the cargo truck
Name: Uc Thinh Viet Nam Glass Company
Address: Lot 12A, Bac Chu Lai Industrial Park, Tam Hiep, Nui Thanh, Quang Nam
Container number: Please enter the container number
After updating all the necessary information in the export declaration, click to submit the declaration to customs In this operation, it is required to sign the declaration with a digital signature The system will display a screen where you can select the digital signature to be applied to the declaration Choose the desired digital signature and click the "OK" button to proceed with the signing process
Figure 3.8 Signing with a digital signature
Step 2.2: Modifying the provisional declaration (this step is user-dependent):
In situations where amendments are required for the provisional EDA declaration, the declarant will utilize the EDB function to access the information of the provisional declaration Once the EDA operation screen is displayed, the declarant can make necessary edits to the declaration details and save the changes During the process of modifying the provisional EDA declaration, the VNACCS system allows unlimited revisions This means that the declarant has the flexibility to make as many adjustments as necessary It's important to note that the VNACCS system does not issue a new declaration number when making modifications to the provisional EDA declaration
Step 2.3: Formal registration of EDC export declaration
Evaluation the customs procedures for export
Firstly, the innovation in Customs Law and regulations has brought significant improvements to the customs clearance process, especially with the introduction of electronic customs The implementation of electronic customs declaration helps companies save time, effort, and costs in the customs clearance process, while reducing obstacles and difficulties in procedures
Secondly, thorough, and complete preparation of necessary documents for presentation to the Customs Department helps the company save travel expenses for staffs involved in the customs declaration process
Thirdly, During the customs clearance process, all declaration steps are performed on the electronic customs declaration system software, from opening the declaration form to routing or receiving notifications This ensures that the company's declaration procedures are well controlled, closely monitored, and accurate
The fourth advantage is that the company's staff members have a high sense of responsibility, professionalism, and the ability to handle issues promptly and effectively With three years of experience working in the company, the staffs have gathered knowledge and understand the company's regulations as well as the characteristics of products and corresponding customers in each market This makes customs declaration easier and ensures the accuracy of declaration information
Fifthly, the company also invests in equipment and technology to support internal work processes and communication with relevant parties This ensures that the company's operations run smoothly, from managing information and documents to communicating with customs authorities and partners
Finally, the company always adheres to and strictly complies with customs laws, ensuring full tax compliance with the state This builds trust from customs authorities and may result in the company being exempted from physical inspections of goods in some cases By meeting the target quantity of export declarations and not violating regulations, the company's exported goods can be processed quickly and smoothly, enhancing efficiency and reducing time in the transportation and customs clearance process
First, occasionally, staffs may make mistakes in declaring vehicle codes, product codes, or other information This can result in wasted time and effort when having to rectify and adjust the information, and in some cases, there may be financial compensation required for customs violations
The second drawback is that during periods of high workload, staff and equipment shortages can lead to delays in transferring files, declaration results, and result routing between two companies This can lead to document confusion and incorrect customs declaration information
Furthermore, due to international business operations, the time zone difference between exporting countries can create difficulties in exchanging and communicating information between parties This can slow down the data transmission process and increase customs processing time
Lastly, the network system may experience congestion, causing difficulties in data transmission This may require manual handling in certain cases, slowing down the process and consuming time
Due to limited staffing, the company currently encounters challenges in handling import-export tasks efficiently With only two individuals responsible for these operations, the workload can become overwhelming during periods of high order volume This constraint can result in confusion and potential delays in delivery schedules, affecting the overall operational performance.
Sudden internal network disconnections can result in data loss when newly entered information is not stored and needs to be re-entered from the beginning Additionally, internal network system failures can disrupt data transmission to the server, affecting the storage of important documents and paperwork
Eventually, the company does not have a technical team to handle hardware and software-related issues This means the company has to spend a significant amount of time waiting for repairs when facing technical problems.
PROPOSED SOLUTIONS TO IMPROVE THE EXPORT
Proposed solutions basis
The future development directions of the company
The company aims to increase its revenue and attract new partners in emerging markets This includes efforts to enhance competitiveness and reputation both domestically and internationally, with a long-term goal of achieving profitability and meeting government budget requirements
The company seeks to boost its export development by increasing the number of annual export orders This involves building a skilled workforce proficient in import and export customs procedures The company also aims to complete the implementation of an electronic customs declaration system and stay proactive in keeping up with new regulations in electronic customs procedures
The company is willing to contribute its insights and opinions to customs authorities in order to progress towards full implementation of electronic customs, rather than partial digitization This collaboration aims to establish efficient export processes, enhance professionalism, and adapt to changes in customs regulations.
Proposed solutions
The efficient execution of export customs procedures greatly influences the progress of the company Enhancing the customs procedures is an essential undertaking for the company's future advancement Taking into account the assessments of the current state of customs procedures at Uc Thinh Vietnam Glass Science Development Co.Ltd and the forthcoming trends in electronic customs, I would like to present several solutions to improve the customs procedures at the company
4.2.1 Proper execution of document preparation
Proper document preparation is paramount for seamless export customs procedures, especially in the face of increasing export activity Accurate and valid documentation facilitates swift customs clearance, reducing associated expenses and potential delays By streamlining the document preparation process, businesses can ensure timely export and minimize customs-related costs.
To ensure accurate customs declarations, the company and import-export department must proactively review all relevant export-related licenses and documents By regularly cross-referencing these documents with customs declaration forms, businesses can ensure precision in declaring goods' names, types, quantities, weights, qualities, values, origins, codes, and tax rates, in compliance with export regulations.
If additional documents are required, staffs should carefully analyze the customs authority's requirements for the supplementary documentation to ensure accurate and minimize physical inspections of the goods
4.2.2 Rectifying customs declaration process and utilizing electronic customs system
Although the company is performing well in this step, occasional errors still occur in customs declaration, where the content of the customs declaration does not match the previous documents The declaring officers must proactively address and promptly rectify any deficiencies by providing necessary additions For information discrepancies during the declaration process, the company needs to have appropriate measures in place to apply corresponding penalties based on the severity of the mistakes This is done to resolve unwarranted errors that consume time and money
Additionally, during software usage, there have been instances where the customs headquarters system encountered errors or overload, resulting in time loss due to failure to transmit the declaration forms To mitigate this situation, the company should enhance the technical proficiency of its technology team to receive timely support and guidance in resolving such issues
In today's highly competitive business environment, companies must encourage their staffs to continually improve and enhance their knowledge in order to effectively compete with their rivals This, in turn, helps the company grow and remain competitive
The company should organize training programs on import-export business operations for staffs, preferably during weekends to avoid disrupting regular workdays Staffs should be encouraged to participate in courses on electronic customs procedures to enhance their professional skills, develop specialized language and computer proficiency to meet the evolving job requirements
Encouraging staffs to pursue certification in customs declaration proficiency from the Vietnam Customs School is highly advantageous for the company This certification, authorized by the General Department of Vietnam Customs, carries substantial weight in validating the staffs' expertise in the field By undertaking the certification exam, staffs gain a comprehensive understanding of the latest regulations and best practices in customs declaration They acquire the necessary skills to accurately complete documentation, ensure compliance with customs requirements, and effectively navigate through the intricacies of the customs process The certification process also encourages staffs to engage in continuous learning and professional development, allowing them to stay updated with industry advancements and adapt to evolving customs procedures
To stay compliant with Vietnam's evolving customs landscape, companies must proactively engage in regular training initiatives These sessions should provide staff with comprehensive updates on new regulations and electronic customs procedures By maintaining up-to-date knowledge, businesses can minimize the risk of penalties or delays and optimize their customs processes.
Currently, staffs handling customs procedures at the company are responsible for both exports and imports, which can affect their work efficiency due to splitting their focus between the two Therefore, it is advisable for the company to separate the tasks of handling export and import procedures This allows staffs in each department to focus on their specific responsibilities and achieve better results However, it is important to note that this does not mean the two departments operate independently; they still need to support and collaborate with each other to ensure the most efficient workflow
4.2.4 Equipping and upgrading infrastructure, and software
To foster a seamless work environment, infrastructure and equipment upgrades are imperative Regular system assessments are crucial for timely malfunction detection and resolution Aging computers warrant replacement to ensure uninterrupted operations Investing in new computer systems is a prudent decision, as the benefits far outweigh the costs, ultimately enhancing business efficiency and productivity.
In addition, the company should continuously update its customs declaration software to utilize all available features and stay up-to-date with the latest legal changes
The company should also upgrade its internal network system by using higher bandwidth connections, even if it involves higher costs, or consider changing to a more reliable network provider to avoid sudden connectivity issues that may impact staffs' customs declaration tasks Furthermore, to ensure computer security and protect the company's data confidentiality, robust cybersecurity measures should be implemented Each staff should install licensed antivirus software and set individual passwords for their computers to ensure safety
Here is the complete report "Export Customs Procedures for glass at Uc Thinh Vietnam Glass Science Development Company Limited." The report systematically presents the fundamental knowledge of customs procedures and provides a brief introduction to the company It analyzes the current state of the customs procedures for exporting glass at the company Additionally, the report evaluates the existing advantages and disadvantages of this procedure at the company Based on these limitations and the company's future direction, the report proposes practical solutions to enhance the customs procedures specifically for exporting glass, and to improve overall efficiency in exporting goods to foreign markets
The company has performed well in its business operations and has gradually established itself in import-export activities by expanding relationships with foreign markets and achieving high effectiveness However, in recent years, there have been fluctuations in the global and Vietnamese economies, leading to a decline in export revenues Nevertheless, the company has maintained a positive profit margin compared to its targets Currently, the company is actively promoting the export of glass to countries worldwide This will contribute to the company's customs declaration responsibilities, thus emphasizing the importance of focusing on and improving customs procedures We hope that in the coming period, the company will particularly focus on improving the customs procedures
Through my internship, I gained practical knowledge of export customs procedures, demanding meticulousness, attention to detail, and a comprehensive understanding of legal regulations I honed specialized skills and gained hands-on experience, deepening my knowledge of customs practices and their complexities.