Customs Procedures and Export Taxes for Dried Tea from Vietnam

Vietnam, renowned for its high-quality dried tea, is a key player in the global tea export market. The country’s robust tea industry, coupled with its strategic location in Asia, makes it an attractive hub for tea exporters. This article provides a comprehensive overview of the customs procedures and export taxes involved in exporting dried tea from Vietnam.

The process of exporting dried tea from Vietnam involves understanding the country’s export regulations, customs procedures, and tax structures. This article aims to provide a detailed guide on these aspects, helping businesses navigate the complexities of the export process. By leveraging Vietnam’s dense network of free trade agreements (FTAs), businesses can optimize their operations and tap into global markets.

Understanding HS Code and Customs Duty for Dried Tea Export from Vietnam

In the realm of international trade, one of the first steps in properly determining duties, policies, and procedures of a commodity is identifying its Harmonized System (HS) code. The HS code is a standardized numerical method of classifying traded products. It is used by customs authorities around the world to identify products for the application of duties and taxes.

When it comes to exporting dried tea from Vietnam, understanding the HS code and the associated customs duty is crucial. The HS code for tea and tea products falls under Chapter 09 & 21. Here are the specific codes and export duties for tea and tea products in Vietnam for 2024:

The classification of a product to a certain HS code is based on the nature, composition, etc., of the actual exported commodity at the export time. The actual inspection results of the Customs and announcement by the Customs Department of Commodity Verification are the legal basis for applying the HS code to exported goods.

Customs Procedures

When exporting dried tea from Vietnam, it’s crucial to understand and follow the customs procedures. Here are the key steps involved:

1. Trade Contract Agreement: The first step in the process is to finalize a trade contract. The contract should clearly state details such as the addresses of the buyer and seller, details about the goods such as quantity, quality, packaging specifications, storage conditions, price, method of transportation, method of payment, and delivery time. For business security, it’s a smart strategy to request advance payment or use a Letter of Credit (LC) from a bank to minimize risk.
2. Preparation of Goods for Export: The seller must ensure that the goods are prepared accurately in terms of quantity, quality, and packaging. For agricultural products like tea, timely delivery and appropriate storage temperature are important. Especially, ensuring the content of the export country’s label complies with regulations is also indispensable.
3. Preparation of Export Documents: Basic export documents include the Contract, Invoice, Packing List, and Purchase List or Purchase Invoice. Although some documents may not be mandatory, they should still be prepared to avoid future issues. Consistency between the documents and their content is very important to avoid unexpected difficulties and costs.
4. Plant Quarantine Procedures: Plant quarantine plays an important role in determining the quality of exported goods. Preparing goods with guaranteed quality is important for smooth quarantine. If possible, businesses should strive for quick quarantine, especially when transporting by air.
5. Customs Declaration: All goods, both imports and exports, must go through the process of making a customs declaration. Businesses need to carefully check the information in the declaration to avoid future issues, especially with agricultural goods that are often automatically cleared.
6. Procedure for Issuing Certificate of Origin (C/O): To apply for a certificate of origin, the seller needs to prepare documents such as the export declaration, invoice, bill of lading, purchase list or purchase invoice. This process provides tax benefits for the importer, helps increase competitiveness, and supports the seller in increasing sales. We advise proposing a certificate of origin for each export batch.

>> Read more: Top 10 Reliable Vietnamese Tea Export Companies in 2022: List Released by the Ministry of Industry and Trade

Customs Procedures for Exporting Dried Tea from Vietnam

When exporting dried tea from Vietnam, it’s crucial to understand and follow the customs procedures. Here are the key steps involved:

1. Business Registration: If you are exporting for the first time, you need to register your business. This is not required for subsequent exports.
2. Commercial Invoice: A commercial invoice is a necessary document that provides a detailed record of the transaction between the exporter and importer. It includes information about the buyer and seller, a detailed description of the goods, the terms of sale, and the method of payment.
3. Letter of Introduction: This is a document that introduces the exporter to the customs authorities. It provides essential information about the exporter and the nature of the goods being exported.
4. Container Handover Minutes: If you are exporting a full container of goods, you need to prepare the minutes of container handover. This document records the transfer of the container from the exporter to the shipping line.
5. Certificate of Origin (CO): The CO is a document that certifies the country in which the goods were produced. The form of the CO (e.g., Form D, B, E, etc.) depends on the country that imports the goods. The CO can help the importer qualify for preferential treatment under various trade agreements.
6. Input Documents for Commercial Goods: For some branches, additional input documents for commercial goods may be required. These documents provide further details about the goods being exported.
7. Customs – Enterprise Partnership Agreement: Some branches may require an agreement to develop the Customs – Enterprise Partnership. This agreement outlines the responsibilities of both the customs authorities and the exporting enterprise.

Important Notes for Exporting Dried Tea

When exporting dried tea, there are several important considerations to ensure the process is smooth and efficient:

1. Preparation of Export Documents: The export dossier needs to be carefully prepared and complete. This includes documents such as the commercial invoice, packing list, plant quarantine certificate, and certificate of origin. A complete dossier helps ensure smooth customs clearance.
2. Plant Quarantine and Quality: Ensure that the dried tea meets the plant quarantine standards and quality of the importing country. The quality of the product is a decisive factor for success in the international market.
3. Proper and Secure Packaging: Package the product tightly and appropriately according to the requirements of the target market. Ensuring the safety and quality of the product throughout the transportation process is important to maintain the value and reputation of the product.
4. Identify the Correct HS Code: Identify the correct Harmonized System (HS) code for dried tea. This helps ensure accurate customs declaration and avoids legal issues.
5. Perform Customs and Tax Procedures: Understand the customs regulations and export taxes of both the exporting and importing countries. This helps avoid financial risks and promotes a quick and efficient customs procedure.

Freshdi.com's Guide to Tea Exportation

Freshdi.com's guide provides you with all the detailed information about the Vietnamese Tea industry, covering various topics from the import market and popular tea varieties to price trends, finding exporters, and necessary considerations when exporting tea from Vietnam. This guide helps you understand the Vietnamese tea market, helping you succeed in trading with tea suppliers in Vietnam.

Chapter 1: Comprehensive Overview of Vietnam’s Tea Market Embark on a journey through Vietnam’s tea market, understanding its global position, top suppliers, exporters, and factors impacting prices.

Chapter 2: Certified Vietnam Tea Exporters List accredited by the Ministry of Industry and Trade - October 2022 Stay updated with the certified list of tea exporters in Vietnam, accredited by the Ministry of Industry and Trade as of October 2024.

Chapter 3: Vietnam’s Top 10 Tea Exporters (Q1 2022) Discover the top 10 tea exporters in Vietnam for Q1 2022, leading the charge in the global tea market.

Chapter 4: Top Vietnamese Tea Suppliers: A Comprehensive Guide 2023 Explore the top Vietnamese tea suppliers, their diverse tea offerings, and the advantages of partnering with them in the tea industry.

Chapter 5: How to Import Tea from Vietnam: A Step-by-Step Process Uncover the process of importing tea from Vietnam, from finding suppliers to navigating customs procedures.

Chapter 6: How to Find Tea Suppliers in Vietnam Follow our guide to finding reliable tea suppliers in Vietnam, a major contributor to the global tea industry.

Chapter 7: Comprehensive Guide to Import Customs Procedures for Tea from Vietnam Navigate through the comprehensive process of importing tea from Vietnam with our detailed guide on customs procedures.

Chapter 8: Comprehensive Guide to Taxes for Tea Export from Vietnam Understand the comprehensive guide on exporting dried tea from Vietnam, including customs procedures and export taxes for success.

Chapter 9: Top Types Of Tea Exported Abroad Vietnam Tea Export Explore the variety of teas exported from Vietnam, including green, black, oolong, and specialty blends, to markets worldwide.

Chapter 10: Forecast for Vietnam’s 2024 Tea Exports Explore Vietnam’s tea industry, its challenges, opportunities, and the role of key players in 2024.

This guide provides a comprehensive understanding of the Vietnamese tea market, from suppliers to exporters, and from import processes to future forecasts. It serves as a valuable resource for anyone interested in the Vietnamese tea industry.

Conclusion

In conclusion, understanding the customs procedures and export taxes is crucial for successfully exporting dried tea from Vietnam. With its rich history and quality produce, Vietnam has become a significant player in the global tea market. However, navigating through the export process can be complex due to various regulations and taxes. Therefore, it’s essential to stay updated with the latest information and trends in the industry. If you’re looking for top, reliable dried tea exporters from Vietnam, consider visiting Freshdi.com. It’s a trusted B2B platform that connects you with reputable Vietnamese Dried Tea Suppliers and offers a wide range of Vietnamese Tropical Fruits and other products for your business needs. Remember, successful export largely depends on choosing the right partner and understanding the market dynamics. So, equip yourself with the right knowledge and resources to make the most out of your export business.