EXPORTING TO FRANCE
If you’re planning to expand your business through exports, particularly when exporting to France, there are several critical factors to consider. From understanding customs procedures to complying with trade agreements, being well-prepared is essential for seamless and efficient international trade. Here are ten key considerations to guide your export process and help you thrive in the French market.
In this article we will go through the following topics:
1. Understand French Customs Export Procedures
Customs export procedures apply when shipping goods to non-EU countries. However, if your export destination is within the EU, such as when exporting to France, this process falls under intra-community trade, which differs significantly from international exports. Knowing the specific requirements for your destination can help avoid unnecessary complications.
2. Choosing the Right Company Status
The legal status of your company can affect your export process. Limited companies like EURL, SARL, or SAS benefit from tax-free exports, but if you’re operating under an autoentrepreneur (freelance) status, you must pay VAT on all goods you export. Make sure your company structure aligns with your tax and export strategy, especially when exporting to France.
3. Register for an EORI Number
An Economic Operator Registration and Identification (EORI) number is mandatory for businesses exporting goods from the EU. It is a unique identifier used for tracking shipments and filing customs documentation. Contact your regional customs office to obtain your EORI number before exporting to France or any other destination.
4. Exporting Goods Tax-Free
For businesses registered with a tax ID number, goods can be exported from the EU without paying VAT. Customs officers will verify the shipment and provide an export certificate to ensure your goods qualify for tax-free status. Be sure to confirm the tax regulations to avoid unexpected costs.
5. Accurate Tariff Classification
Each product you export requires a precise tariff classification number, often referred to as an HS (Harmonized System) code. This classification determines applicable customs duties and technical standards, so it’s critical to get it right. The first six digits of the HS code are universal, so make sure to check with your supplier for this information.
6. Importance of Goods Origin
The origin of a product impacts customs duties and compliance. Don’t confuse origin with provenance, which refers to the geographic source. If you’re exporting to France or another country with a free trade agreement with the EU, providing a certificate of origin can help your customers benefit from reduced or zero customs duties. Ensure your product complies with the applicable rules of origin.
7. Choose the Right Incoterms
International Commercial Terms (Incoterms) define the responsibilities of buyers and sellers in international trade. This includes details like risk allocation, shipping responsibilities, and customs clearance duties. Selecting the correct Incoterm for your transactions can protect your business and ensure smooth logistics.
8. Check Customs Duties in Destination Country
Customs duties vary from country to country, and knowing the fees applicable in your destination is crucial for pricing and profitability. For exports to France, you can consult the Economic Department at the French Embassy or relevant trade organizations to get accurate information on customs duties.
9. Intra-EU Trade Documents
While trading within the EU may not require customs procedures, there are still documentation requirements for statistical purposes. For example, if your transaction exceeds a certain threshold, you will need to complete a Declaration of Exchange of Goods (DEB). Ensuring compliance with these requirements when exporting to France helps streamline your operations and maintain accuracy in reporting.
10. Customs Clearance Agents France
Most exporters rely on logistics companies, couriers, or postal services to handle customs clearance. These entities ensure that export declarations and relevant documents are filed correctly. However, some products, like alcohol or wine, require specific customs procedures. Make sure you understand the clearance process for your goods.
At Customs Complete, we offer 24/7 customs clearance and supply chain services across the UK, Ireland, and France. Our expert French customs team ensures the seamless flow of goods, whether you’re importing from within or outside the EU.
We’re here to help optimize your operations and minimize delays.
