Importation of goods is critical to the fulfillment of the needs of any Country as it benefits from the comparative or Absolute advantage that other economies have on certain commodities. Kenya imports goods from all over the world to meet its production and consumption needs i.e. Raw Materials, Intermediate goods and Finished goods. The below are the Key import Documents in Kenya when it comes to importation of goods:
1.Commercial Invoice (CI)
This is a critical document that is issued by the Overseas supplier to the Importer/Consignee. It is used in the Customs Valuation of goods before the levying of Customs Duties and levies by the Customs Department.
The Commercial Invoice indicates details such as the Description of the goods, value of goods, The Supplier, The Buyer/Importer, Incoterms, Date, Commercial Invoice Number, HS Code of the goods etc.
2.Packing List (PL)
This Key document indicates the Packaging details of the consignment e.g. Number of boxes/Packages, Net Weight, Gross Weight, Volumetric Weight, PL Number etc.
It is critical in the determination of the Volume, Actual Weight of the cargo and nomination of the correct Transport unit for the same.
3.Certificate of Origin (COO)
A Certificate of Origin is a critical document that indicates the National origin of the Imported Goods.
A Valid COO enables an Importer to enjoy preferential tariff treatment (reduction in Import duty or Duty exemption) instead of the Most Favored Nation (MFN) treatment that other importers may face.
A COO is issued based on Rules of Origin (ROO) from the Regional Economic Community or Trade Agreement that Kenya is a signatory to.
Rules of Origin can be defined as those set of Criteria that are used to determine the National Source of goods.
Below are some of the Rules of Origin that are applicable in Kenya:
a)East African Community (EAC) ROO
b)Common Market for Eastern and Southern Africa (COMESA) ROO
c)Africa Continental Free Trade Area (AfCFTA) ROO
d)Africa Growth and Opportunity Act (AGOA)ROO
e)Generalized System of Preferences (GSP) ROO
f)European Union Generalized System of Preferences (EU_GSP) ROO
A COO has details such as the Exporter, Consignee, Marks & Numbers, COO Number, Invoice Number& Date, HS Code, Origin Criterion, Description of the goods etc.
4.Bill of Lading (BL)
Almost 90% of International Trade in goods is Transported by Seagoing vessels. This makes the BL one of the most critical, if not the most critical documents in Seaborne Trade.
This document is issued by the Carrier to the Shipper upon departure of vessel from Port of Loading.
The BL serves three functions:
a)Evidence of the Contract of Carriage
b)Document of Title
c)Receipt of Goods
There are many types of BLs depending on the needs of the Seller or Buyer.
This document provides details such as the Shipper, Consignee, Ocean Carrier, Gross Weight, Description of Goods, Marks & Numbers, BL Number, Port of Loading, Port of Discharge, Terms of the Contract of Carriage etc.
The BL is very important to Customs in Kenya as the details on the BLs for a particular vessel are captured on a Manifest which MUST be submitted by the Ocean carrier NOT LATER than 24 hrs before arrival of the vessel. The Manifest helps to monitor the trade in Dangerous, Prohibited and Restricted goods.
5.Airway Bill (AWB)
An Airwaybill is a critical Air Cargo Transport document issued by the Airline to the Shipper of goods.
It indicates details such as Shipper, Airline, Consignee, Number of Pieces, Gross Weight, Description of goods, Airport of Loading & Destination, AWB Number.
The airline is by law expected to submit the manifest to the Kenyan Customs immediately the aircraft departs the Airport of Loding.
The information on the Manifest are derived from the details provided on the AWBs for the goods loaded on the subject aircraft.
6.Certificate of Road Worthiness (COR)
A Certificate of Road Worthiness is a critical document issued by Automobile Inspection agencies eg Quality Inspection Services Japan (QISJ) on behalf of Kenya Bureau of Standards (KEBS)
A COR applies in the Importation of Used Motor Vehicles, Used Mobile Equipment and provides the below details: COR Number, Date of Issue, Country of Supply, Inspection Center, Make, Model, VIN/Chassis Number, Inspected mileage, Year of First Registration.
The COR acts as a confirmation to KEBS that the goods have been inspected and are fit to be used in Kenyan market.
7.Certificate of Conformity (CoC)
Under the Pre Verification of Conformity (PVoC)Program, All Imports into Kenya MUST be inspected and issued with a CoC when found fit.
The CoC is issued by KEBS appointed agencies eg Bureau Veritas, SGS, Intertek etc depending on the Country of Export.
Goods imported into Kenya without a Valid CoC risk a penalty of 5% of Customs Value plus or minus a return to the country of Export on the Consignee’s account.
8.Import Permits/Licenses
Restricted goods into Kenya cannot be released into the Market without permits/Licenses from the relevant Partner Government Agencies (PGAs). e.g.
a)Pharmacy and Poisons Board (PPB) -Pharmaceuticals and Drugs
b)Kenya Civil Aviation Authority (KCAA)-Unmanned Aerial Vehicles/drones
c)Electricity and Petroleum Regulatory Authority (EPRA)-Solar Panels,
d)Kenya Plant Health Inspectorate Service (KEPHIS)-Plants, Fruits, Vegetables
e)Communications Authority of Kenya(CAK)-Smart Phones, Computers etc
Based on the above information, it is vitally important to do some research before importing goods into Kenya to avoid inconveniences such as delays, unexpected penalties and Reputational damage at the marketplace.
Goliath Africa Logistics is here to hold your hand through the importation process from end-to- end e.g. Incoterms, Documentation, Best Mode of Transportation, Rules of Origin, Customs Valuation etc.
Contact us Today:
Email: solutions@goliath-africa.com
Tel no: +254(0)739057747/+254(0)738057935
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