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Understanding Rules of Origin

Rules of Origin determine the ‘economic nationality’ of a good and could qualify you for lower or nil customs duty. In order to qualify for lower or no tariffs, businesses need to sufficiently prove where their product originated from. These are particularly complicated when moving through multiple countries and require a fair bit of paperwork.

Rules of Origin under the TCA- where your good originated from depends on where it was ‘wholly obtained‘ or where it was ‘substantially transformed.’ There are certain general provisions all importers and exporters must abide by but there also exist product specific rules that might apply to your business.

Proving origin- once you know where you want your good to originate from, you must submit proof to HMRC. This could include:

  • a Statement on origin completed by the exporter on a commercial document
  • knowledge obtained and held by the importer that the goods are originating.

Claiming preferential tariffs- after submitting proof of origin, you can claim preferential tariff treatment if you qualify.

The trade experts at Misca Advisors have a deep understanding of these rules and can maximise your preferential tariff treatment by providing training or simply declaring customs on your behalf.