Carrier liability in transit. What procedures are required and what is essential to know?
Poland is playing an increasingly important role as a transit country, not only in the context of transporting goods from Ukraine, but also the new Silk Road, which connects China to the European Union. “The majority of shipments under the Community transit procedure are external transit. Companies carrying out carriage must remember all the requirements and documents that are associated with the proper implementation of this procedure,” – says Joanna Porath, owner of AC Porath customs agency.
The transit procedure is implemented on the basis of the Convention on a common transit procedure (WPT), and its parties are: European Community (27 countries) and Iceland, North Macedonia, Norway, Serbia, Switzerland, Turkey, Ukraine and the United Kingdom.
– Most shipments under the Community transit procedure are external transit. It allows the movement of non-EU goods from one place to another in the customs territory of the Union. The T1 transit procedure is then used. The T1 customs document requires the presentation of, among other things: a national or international consignment note (CMR), a goods specification or packing list, certificates, certificates and licenses that are required for the transit of specific goods, such as a certificate of origin of the goods or a sanitary certificate. The most important document, however, is the commercial invoice, because it is on the basis of it that the customs value of the goods is determined, and therefore also the amount of the transit guarantee required for the procedure – explains Joanna Porath, owner of AC Porath customs agency.
Other types of documents are also used for the transit procedure:
- the B/L document
- TIR carnet (International TIR Convention)
- AWB air letter (international air transit)
- CIM/SMGS rail document (rail international transit).
The transit procedure can be carried out under the standard procedure (the start and completion of the procedure takes place at a customs branch) or the simplified procedure (the start and completion of the procedure takes place at a recognized or designated place, with an authorized consignor or consignee. What are the carrier’s obligations when declaring its means of transport as carrying out a transit procedure?
– Prior to the start of the transit procedure at the Customs Office of Exit), there are steps under the Common Transit Convention. These include: submission of the customs declaration in electronic form, assignment of the LRN, presentation of the goods and required attachments, assignment of the MRN, registration of the security lodged, printing of the TAD, and release of the goods for the transit procedure. On the other hand, at the end of the transit procedure at the Customs Office of Destination, the required activities are: presentation of the goods and documents in an unaltered state, registration of arrival, i.e. identification by MRN number, release of the goods from the transit procedure and entry of the goods into the next customs procedure: release for circulation, re-export or entry into storage in the form of Temporary Storage Warehouse or Customs Warehouse. At any time during the transit procedure, customs officials may request an inspection of the goods – explains Joanna Porath.
How does it look in practice? What is the carrier’s responsibility in transit?
– Every carrier must be familiar with the procedures and know which documents are required at each stage of the transit process in accordance with the Common Transit Convention. Understanding these aspects facilitates cooperation not only with the customs agency handling the transport but also with customs offices along the entire transit route. A driver employed by the transport company should also have the necessary knowledge on how to proceed during transit, for example, in the event of an inspection or customs examination – says Joanna Porath.
For example, an importer who has a warehouse in Warsaw would like to store goods currently located at a terminal in Gdańsk and handle customs clearance independently. To do this, they must initiate the transit procedure at the Customs Office in Gdańsk, in accordance with the location of the Official Clearance Center, and close it at the Customs Office in Warsaw, following the same restrictions. In each case, a customs officer sets a deadline by which the goods must be presented at the destination customs office. This means that the carrier has a limited time to deliver the goods and submit them for the next procedure.
When handling transit procedures, the carrier or an authorized representative must also remember another crucial requirement—the obligation to submit an Entry Summary Declaration (ENS). This declaration must be submitted to the customs office of entry (i.e., the customs office at the EU border) before the goods arrive at that office. Depending on the mode of transport, different deadlines apply for submitting the ENS. For example, in the case of road transport, it must be submitted at least one hour before arrival at the EU border customs office.
– Poland is playing an increasingly important role as a transit country, which is why it is so important to understand all necessary procedures to ensure that goods transported through our country can reach their destination quickly and efficiently and that all transit-related formalities are correctly completed – adds Joanna Porath.
