What You Don't Know about Customs Trade Compliance Could Hurt You

In 1993, the Customs Modernization Act went into effect. This law sought to keep the international trade community informed of legal obligations to comply with the regulations of the U.S. Customs and Border Protection (CBP). One goal of the legislation was maximizing voluntary compliance with regulations. This act remains a cornerstone of customs trade compliance for importers and exporters in the United States. Importers and CBP Responsibilities Under the Customs Modernization Act, the CBP and importers share an obligation to adhere to customs regulations. For example, the importer of record has to use "reasonable care" in entering, classifying, and determining monetary value of imports. The importer must also provide any other information needed by CBP to properly calculate duties, collect any necessary statistics, and determine if all applicable legal requirements have been met. Prior Disclosure and Investigations Whenever a CBP officer believes that a Customs violation has occurred, he or she records the relevant information in writing, marking the commencement of an investigation. For this reason, it is important that businesses disclose any potential violations as soon as possible after they are suspected. If such a disclosure is made before the CBP believes a violation has occurred the business may be treated with greater leniency than if no disclosure was made. Licenses, Agreements, and Recordkeeping Because of the possibility of a CBP investigation, it is absolutely critical that your international business keep employees up to date on the latest regulations that affect them. Many firms work with Customs trade compliance specialists to train employees and to ensure that adequate records are kept. Getting through a CBP investigation is much easier when a company can demonstrate it was taking reasonable care in compliance and has documentation supporting that claim. The Customs Trade Compliance Specialist and Your Business CBP is a law enforcement agency, but it wants to help businesses operate lawfully. Your company must demonstrate that it is taking all reasonable steps to ensure compliance. Working with a customs trade compliance specialist not only helps you spot vulnerabilities early, it also shows the CBP that your company has made a good faith effort to remain compliant.

Pre Trade Compliance Specialist Keeps Businesses Running Smoothly

Under U.S. Customs and Border Protection Importer Security Filing (ISF) regulations, importers have to electronically submit information on cargo before it's imported to the United States. The goal is to more efficiently identify high-risk shipments and ultimately to prevent the weapons and tools of terrorists from entering the U.S. These pre trade compliance rules use information already included in entry documentation, but now it has to be submitted to CBP not later than 24 hours before cargo goes onto a vessel headed to the U.S. Exporters and Trade Compliance The letter of the law under International Traffic in Arms Regulations (ITAR) can be ambiguous and may be interpreted in many ways. To ensure your success as an exporter, an export compliance program is the minimum your company needs to prevent export violations. When your company maintains a dialog with trade regulators and stays current under export requirements, you help minimize violations and present a good case of mitigating circumstances should a violation occur. The Basic Building Blocks of Compliance The rock bottom basics of a compliance program for importing and exporting consist of • Compliance manual • Employee training • Recordkeeping A pre trade compliance specialist helps ensure that you and your employees are informed on the latest trade regulations and that every effort is made to avoid violations. Violations can hold up your supply chain, cause productivity to drop, and in serious cases, result in fines and negative publicity. Mitigating Factors After a Violation Should a violation occur, you will have a better case for the appropriate government agency to consider mitigating factors if you have a solid import and export control program in place. Because regulations and classifications are subject to interpretation, being able to show that your company engaged in pre trade compliance auditing and training lowers your risk of incurring drastic penalties. Sharpen Your Company's Competitive Edge Don't think of trade compliance as a necessary evil, but rather as a program that gives your company a competitive edge. Invest in compliance policies and training up front and you help ensure that both the import and export sides of your business run smoothly. pre trade compliance, pre trade compliance specialist

The Benefits of Export Compliance Webinars

It doesn't matter if you have 10 employees or 10,000. If you export products, you have to stay current on export regulations. Many export compliance services are now offering webinars as a cost-effective way to provide training to any size group. Import and export regulations change frequently, and custom webinars are a great way to make sure everyone on your team is up-to-date. Corporate travel budgets are leaner than ever, and sending employees away to training seminars can be a real financial burden. But export compliance webinars are brought right to each desktop so that training can be easily integrated into work schedules at a far lower cost than off-site training. With their low cost per employee, webinars are less expensive and disruptive than live, on-site training. Minimum Disruption to Productivity Web-based export compliance training is the most convenient way to ensure that every employee receives the training they need and that disruption to production schedules is minimized. Employee training by webinar can be staggered by the day or by the hour so that you won't find yourself without multiple key employees all at once. You don't have to give up a day of productivity to ensure your employees are properly trained in the export regulations.  Up-to-the-minute regulatory changes can be incorporated into your online training program. Compliance Assurance stakes its reputation on keeping current with export regulations, and web-based training is a great way to ensure your employees receive only the most current training. Regular reinforcement of export regulations and the consequences for non-compliance  are necessary to avoid violating export laws. Web-based training on the latest in export regulations is a convenient, cost-effective way to make sure that employee awareness of the importance of compliance is refreshed and reinforced. When every employee is educated about the latest export regulations, your company reduces the risk of violation and may even be able to claim mitigating circumstances if an unintended violation should occur.

Post Trade Compliance and Traceability

Products may leave your company for delivery to end users, but trade compliance does not end at the loading dock. After an overseas transaction, your company must practice good post trade compliance to avoid penalties and fees and to keep export operations running smoothly. Documentation showing that your business complies with the latest export regulations is necessary for traceability and auditing purposes. Remaining in good standing with international trade regulations requires commitment from every employee involved with importing and exporting. Comprehensive Trade Compliance and Your Operations Periodic training is necessary for all workers who deal with imports and exports to avoid falling afoul of regulations. Trade regulations are known for changing frequently, so employees must remain aware of the changes that affect them. Your business's trade compliance policy must be communicated clearly from the CEO's office, and you must demonstrate your commitment to compliance by keeping employees abreast of changes in the regulatory environment. Compliance from Import to Export and Beyond Pre trade compliance and post trade compliance successfully bookend your operations so that you avoid problems importing commodities and exporting products. Without trade compliance at the beginning and end of your production process, you risk severe financial and legal consequences. Ensuring Continuing Trade Compliance Compliance consultants help businesses every day by providing employee training, finding out where there are potential weaknesses in compliance and finding ways to fix those potential problems. For any business operating internationally, trade compliance is not only the right thing to do, but also provides a competitive edge. Compliance must be integrated into your company at every step from commodity import to finished product export.

Does Your Company Take International Trade Compliance Seriously?

Many violations of trade compliance regulations are unintentional, but that doesn't mean they aren't serious. If your company is found to be in violation of regulations, whether on the import or the export side, problems can quickly mount, such as: • Slowing or halting of the supply chain • Products languishing in customs for lengthy periods • Difficulty getting products to customers • Assessment of heavy fines Importance of Having an Official Trade Compliance Policy If your company does business internationally and doesn't have an official trade compliance policy issued by the president or CEO, you risk an uninformed or misinformed employee pool. Having an official company trade compliance policy is the first step toward integrating trade compliance into your everyday operations. If you are not sure where to begin, contacting an international trade compliance specialist is a good starting point. Employee Training Policies are great, but they aren't worth much if employees don't know about them and don't know what to do if they believe a violation has occurred. Any employee who deals with imports or exports must be trained in trade compliance, and their training must be kept current. Trade policies change frequently and what was OK last year may not be OK this year. Keeping employees aware of trade compliance is one key to avoiding violations. Periodic Trade Compliance Auditing Another reason to consider working with an international trade compliance

specialist is for periodic compliance audits. An independent audit can discover problems and potential problems, and a good compliance specialist will help you devise and implement solutions. Audits should not be a one-time undertaking. Changes to trade policies happen frequently enough that periodic compliance check-ups are highly recommended. Don't Take Chances You don't want all the hard work your company does to be undone by supply chain problems, trade violations, and fines. Even if you work in a sector unrelated to sensitive industries like defense, trade regulations may apply to your supplies, products, or services. Staying on top of trade regulations is absolutely essential for your company to continue to operate at its best.

Could your Business Benefit from Import Compliance Consulting?

Uncertainty about Import Compliance Common

If your business imports goods, you are probably aware of how complex import regulations are. It's not uncommon for even savvy business owners to be uncertain about exactly which regulations apply. All importers should be educated on import compliance, but with regulations that change frequently, keeping up can be a daunting task. The worst thing you can do is give up and hope for the best.

Serious Consequences of Non-Compliance

Failing to comply with import rules can result in consequences ranging from shipments sitting on a dock awaiting proper documentation to shipments being seized and fines being assessed to the importer. No business big or small can afford to ignore import regulations. Even a brief holdup at Customs can slow production and diminish profits. That's why ensuring your business complies with all import regulations is essential to success.

When Adding Staff is Not Feasible

Businesses today must be lean due to the realities of a tight economy. Often, adding a full-time staff member to ensure import compliance is just not realistic. Adding import compliance tasks to workers you already have is a recipe for mistakes and can lead to staff burnout. But you don't have to hire a full-time staffer to ensure your business follows import regulations.

What Import Compliance Services Do

Import compliance services are dedicated to understanding all import regulations, knowing when they change, and developing programs to ensure that businesses become compliant and remain compliant. These services are the best choice when hiring a full-time staff member to handle import compliance is not possible. Many of these services also provide in-house or online training, to raise all employees' awareness of import laws.

Import Compliance Consulting May be the Answer

If you're trying your best to comply with import regulations but are not 100% certain you're in full compliance, hiring an import compliance consultant is the quickest and best way to get your company on track to full compliance. Enlisting in the services of compliance specialists helps you avoid violating regulations and having to deal with the consequences that result. By knowing your company follows all import laws, you're free to concentrate on running your business successfully.

Renewed Emphasis on Customs Trade Compliance

After the 2001 terrorist attacks on the United States, supply chain security became a top priority of the U.S. government. Since 2001, major goals of U.S. Customs and Border Protection include knowledge and tracking of the following:

· Who is handling cargo at all points on the chain
· Where shipments are going
· Why it is being shipped
· Who receives the shipment

New security measures have represented a fundamental shift in logistics for international businesses that had been used to facing few if any questions about what products were going where.

The Supply Chain

Even small international businesses can have a complicated supply chain. The supply chain includes suppliers, manufacturers, and retailers, as a product transforms from raw material to finished product, with the final destination being the customer. Each point along a supply chain has its own unique security vulnerabilities. The corporate trade compliance specialist evaluates individual supply chains and makes recommendations about potential vulnerabilities and how to make the entire supply chain compliant with regulations.

Concerns of International Businesses

All international businesses must comply with regulations of U.S. Customs and Border Protection. Depending on the nature of the business, there may be several layers of regulations that must be met. That's the main reason why a corporate trade compliance specialist can be of tremendous help, regardless of the type of business. Penalties for violating regulations can be crippling to a business.

Timely, Secure Shipments

If you own a business that exports or imports product, you want your shipments to be secure and timely. Cutting corners on export compliance is a huge mistake and can lead to trouble all along the supply chain. Regulations are complex, and they change frequently. Consultants with expertise in trade compliance are there to help prevent problems with compliance, which have serious consequences.

Export Compliance Consulting

Compliance with international trade regulations can make the difference between success and failure of an exporter. Export compliance consulting is a growing sector, as exporters realize how many regulations apply to their products. No business, large or small, can withstand the risks of violating export regulations, and compliance consultants know how to eliminate these risks.

Corporate Trade Compliance: Critical to your Success

Complying with export regulations may seem like nothing more than an exercise in filling out complicated forms. However, knowing your business complies with all applicable export regulations gives your business a competitive edge. Overseas customers don't want to risk being involved with international trade violations, even indirectly. By assuring your international clients and customers of your corporate trade compliance, you help build your brand worldwide.

International Trade in a World Economy

The 21st century marketplace is global. For many sectors, healthy growth requires international trade. Countries like China and India are growing economic players on the world stage, and developing international trade helps you maintain your success even when markets at home are slower. From socks to tablet computers, international trade is a must for success today.

Ignorance is Not Bliss

Some businesses think they are unaffected by export regulations and only find out about them after unknowingly committing violations. Even if your business has little to do with technology or defense, it still may be subject to export regulations. One of the first things any business should do when going international is invest in corporate trade compliance consulting to determine which rules apply and how to comply with them.

Penalties for Non-Compliance

A corporate trade compliance consultant should be well-versed in penalties that apply when regulations are violated. The International Emergency Economic Powers Enhancement Act of 2007 enacted civil penalties of $250,000 or more and criminal penalties consisting of fines of up to $1 million plus the possibility of 20 years in prison. Furthermore, the Commerce Department publishes names of violating companies in Federal Register notices, and these are often used against non-complying companies by competitors.

Don't Be Afraid of Going International

Making your business international should be exciting and should make you feel proud. Investing in the services of a corporate trade compliance consultant early in the process will help you gain international success while avoiding trade violations. It simply isn't worth it to engage in international trade without knowing exactly which export regulations apply. Corporate trade compliance consulting should be part of your plan for a successful global enterprise.

The Role of the Customs Trade Compliance Consultant

Not only is trade compliance the only legal way to operate, it has also become a competitive advantage in today's world of international trade. It isn't just defense manufacturers and huge multinational businesses that have to worry about trade compliance, but any business that operates internationally. Proper trade compliance saves money, improves efficiency, and helps insure against incidents that cause negative publicity.

Agencies Involved in Trade Compliance

A competent export trade compliance consultant knows the regulations and practices of multiple government agencies such as:

· U.S. Department of State Directorate of Defense Trade Controls
· U.S. Customs and Border Protection
· U.S. Department of Treasury Office of Foreign Assets
· U.S. Census Bureau
· U.S. Department of Commerce Bureau of Industry and Security

Ensuring ongoing compliance is a big task. Regulations change frequently, and keeping on top of the latest developments is daunting, particularly for the smaller business.

Risks for Failure to Comply

Most failures of compliance with international trade regulations are due to simple ignorance of policies. All violations can result in serious criminal and civil penalties and loss of material goods. International trade is vital to today's businesses, and entrepreneurs should not avoid the international market out of fear of regulations. Knowledge of regulations, import compliance consulting, and export trade compliance consulting can save businesses a world of trouble by preventing violations of trade regulations.

Do You Need a Customs Trade Compliance Consultant?

If you answer "no" to any of these questions, then you may benefit from import compliance consulting or the services of an export trade compliance consultant:

· Has our CEO or President issued a formal trade compliance policy statement?
· Do we have a designated trade compliance officer?
· Are employees who process international transactions updated on trade regulations every six months?
· Do we classify exports with Export Control Classification Numbers or other required numbers?
· Do we have documented import / export compliance and auditing procedures?

The risks of failing to comply with trade regulations are too big to ignore. Give your business the best prospects internationally by ensuring it abides by all necessary international trade regulations.

Import Compliance Consulting Advice from the Pros

Any company that imports into the United States must comply with the Customs Modernization Act (1993). Also known as the “Mod Act,” this law forever altered the relationship between importers and exporters and the U.S. Customs and Border Protection (CBP) Agency. Before the act, importers relied upon the actions of Customs to declare value, classify and assess duties on imported merchandise. But after it, importers were made legally responsible for valuation, classification and rate of duty applied to entered merchandise.

What was the effect?

Like many new laws, the language in the Mod Act was ambiguous, perhaps deliberately so. It speaks of companies using “reasonable care” with regard to the merchandise they import. When importers do not abide by this “reasonable care” guideline, their transactions are often delayed due to incorrect, inaccurate, or missing documentation.

But dilatory tactics are not the only weapon the CBP has at its disposal. They can also assess fines and penalties at their discretion. In some cases, the imported merchandise is forfeited and sent back to the exporter. What are importers to do?

For huge, multinational corporations, the answer is easy. They simply hire a licensed customs broker of trade compliance consultant, or a team of them, and keep them on staff. But for small companies it is not that easy. Few of them can afford to hire a full-time broker trade compliance consultant.

Smaller firms can avail themselves of the services of an import trade compliance consultant, who will assess their current level of compliance and recommend the most effective and affordable practices that will ensure their compliance with the CBP. What are the benefits?

Import compliance consulting can help any firm reduce the cost of imported items, eliminate holds or delays on imported merchandise, and minimize fines and penalties associated with noncompliance on imports and exports.

James M. Anzalone is the president of a firm that provides global trade compliance solutions to businesses of all sizes. Compliance Assurance LLC focuses on import compliance consulting in the United States. With over 17 years of experience, Mr. Anzalone has personally developed a number of programs that have made attaining comprehensive compliance much easier and more affordable for his clients.

Addressing Your Company’s Supply Chain Security

In an era when supply chain security is as important as the contracts your company has secured for the export of product, choosing a supply chain security consultant to make sure the transport logistics and systems are compliant with the most current regulations and guidelines. With Compliance Assurance supply chain consulting, you can be sure that your company is implementing the best system, ensuring delivery of the exports as well as all the necessary training and tools needed to exercise the best possible practices suited for the individual needs of your company and clients throughout the world.

Recent years have seen an unprecedented effort on the part of the international community to establish supply chain security standards for the export of physical goods as well as technological data. Unfortunately, we are still some ways off from having one uniform set of regulations or even one organization with which to obtain guidance. In today’s international market, the supply chain security consultant must not only be able to establish export compliance programs that address the myriad of regulations and initiatives currently in effect, but also tailor compliance practices to suit each industry and company.

The effective supply chain consulting obtained from Compliance Assurance will not only ensure that a compliance program is established to adhere to the applicable regulations, but that each department and employee is trained and confident in their understanding of the program’s implementation. As your supply chain security consultant, Compliance Assurance can provide training to every level of management as well as every employee. Our supply chain security consulting services can include the production of a supply chain security manual to support the training and to serve as a reference for managers and employees as they implement the supply chain security program.

As the international business community strives to keep pace with increasing exports and our federal government strives to increase national security, it is important to remember that the role of supply chain security consulting is not finite. Compliance Assurance is the supply chain security consultant that will continue to serve your company’s needs through independent audits, seminars and workshops to keep your employees informed and confident in the implementation of the best supply chain security practices.

Keep Your Corporate Trade Compliance Policy Strong

In the last decade, the Federal laws and regulations regarding corporate import and export trade have become increasingly complex, and with a ramping up of the policing and enforcement of trade policy and restrictions, there is no room for error in this business. Under current Federal law, infringement of Federal trade compliance regulations can incur a hefty fine of between $500,000 and $1 million, and can carry a jail sentence of five to ten years per violation. Given that most companies can face over one hundred alleged violations within a single case of Federal trade compliance infringement, having a weak or risky trade compliance policy or strategy just isn’t worth the risk.

Staying Out Of Trouble

The best way to stay out of trouble is to have your corporate trade compliance policies periodically evaluated by an experienced compliance practices firm like Compliance Assurance LLC. Their assessment teams are highly skilled in executing an in-depth review of your company trade policies and strategies for dealing with Export Administration Regulations (EAR), International Traffic In Arms Regulations (ITAR), or compliance with the Office of Foreign Assets Control (OFAC). The comprehensive internal audit focuses on compliance risk analysis, written management and corporate compliance procedures, structure and control within the organization, customer transaction and screening processes, identification, handling, and tracking of regulated items, export and transfer procedures and screening, licensing, testing, and documentation procedures, record keeping, internal monitoring , control, violation report and corrective actions, as well as employee compliance awareness and training.

Once a thorough assessment of your current compliance policies and strategies is complete, their corporate trade compliance specialists will help your employees to recognize the areas of vulnerability or risk in your current compliance plan. They will assist your company in strengthening those areas of you compliance policy, develop and implement better strategies, and train your employees in recognizing and overcoming such weaknesses in the future. Their goal is not just to come in and reorganize your compliance structure, but to ensure that your employees will continue to successfully manage and troubleshoot your corporate compliance policy even after the experts have gone.

BIS Update 2011

Well true to this year's BIS Update 2011 namesake - Implementing Export Control Reform - attendees were shown proof of real progress made in reforming America's outdated system of export controls. Quick to dismiss previous year's skeptics, Under Secretary of the Bureau of Industry and Security, Eric L. Hirschhorn, in his opening remarks, commended the agency for its tremendous efforts over the past 16 months and pledged that there is more to come.

Mr. Hirschhorn's remarks echoed the familiar origins of export control reforms (ECR) with the early meetings with President Obama, then National Security Advisor General James Jones, and former Defense Secretary Gates charge for changes to the existing export control system. He also pointed out the obvious flaws in a system that requires the same level of government scrutiny to the export of every nut, bolt and screw for a F-18 fighter aircraft that is applied to the entire aircraft. But this year's remarks had much more to report than just words. Under Secretary Hirschhorn reported on several recent (and well timed) changes and proposed changed to our current system of export control reforms.

The most touted of reforms, echoed by other speakers throughout the day, was last Friday's Notice of Proposed Rule that moves certain items from the U.S. Munitions List (USML) to the Commerce Control List (CCL) and creates the framework to move additional items from Department of State (defense articles) to Department of Commerce (dual-use) jurisdiction. This proposed rule fulfills several objectives of export control reforms. First, to allow our government to focus its efforts on the most critical items to destinations of concern. Secondly, this move would eliminate the Dept. of State registration requirement for many manufacturers as their lower-level components would no longer be subject to their jurisdiction. Additionally, this would eliminate the "see through rule" which makes items manufactured offshore subject to U.S. reexport control if they contain any U.S.-origin ITAR parts or components, regardless of the value or significance of those U.S.-origin items.

Under Secretary Hirschhorn also spoke about the recently implemented license exception, Strategic Trade Authorization (STA), which allows for the license free export of many dual-use commodities to 36 (mostly European) countries and an additional 8 countries for items controlled for NS-only reasons. According to Hirschhorn, the STA exception would have potentially will eliminated 3000 of the 22,000 licenses BIS issued last year. He also stressed that the STA does not "decontrol" these items but will reduce the level of control so as to facilitate trade with U.S. allies. An important aspect of STA is that it will pave the way for future license exceptions for items moving from the USML into the proposed "600" series ECCN classifications.

Mr. Hirschhorn was quick to point out that the U.S. government will continue its comprehensive sanctions against Cuba, Iran, North Korea, Syria, and Northern Sudan. Additionally, there are no plans to alter the U.S. prohibitions on exporting Munitions List items to China or dual-use items for military end use in China.

These key proposed and implemented controls were not the only highlights of Mr. Hirschhorn's speech. He also addressed continuing efforts of the BIS to increase its education and outreach by addressing the DHS Form I-129 export control certification, consolidated end-user screening list, and items to be added to the agency's export compliance tool kit including industry practices. Finally, he addressed the importance of export enforcement activities and the President's executive order to increase coordination among export control enforcement agencies and the expectation for companies to self-police and file voluntary self-disclosures when required.

This year's BIS Update is certainly not short on substantive regulatory changes. As with all things, the devil is in the details and it remains to be seen how the export community will deal with these significant changes now, or soon to be, in play. The breakout sessions that followed brought up a number of very good questions that will need to be addressed in order for these reforms to work in the real world. Stay tuned for future posts on how exporters can put these export control reforms to work at their companies.

A full transcript of Under Secretary Hirschhorn's remarks can be found on the BIS website or at the following link: http://www.bis.doc.gov/news/2011/hirschhorn_update.htm.

Protect Your Business by Hiring A Corporate Trade Compliance Specialist

If your company deals regularly with international import or export trade, you know that compliance with international trade regulations is a serious business. A few decades ago, the regulatory process may have been simple enough for your assistant to keep track of your corporation’s trade compliance, but with the added complexities and strict regulatory crackdowns brought on by today’s political and economic climate, more and more companies are using professional means of tracking their trade compliance. Mega-corporations have taken to setting up their own trade compliance departments, but smaller companies may not have that option, or it may be too cost-prohibitive. Corporate trade compliance consultants like Compliance Assurance LLC can keep your company compliant without sending your books into the red.

Developing a Corporate Compliance Policy

These days, obscure and newly interpreted regulations are giving today’s international trade companies a workout, and there’s no lenience for errors. One simple slip in international trade compliance can result in exorbitant fines, penalties, and interest fees- even possible criminal charges and jail time. It’s vital for the continued success of your company and its ranking members that you have a corporate compliance policy in place, and that it is up to date and rigorously implemented. Corporate trade compliance specialists are adept at assessing a company’s needs and developing a sound corporate compliance policy, or auditing and revising policies that are already in place.

At Compliance Assurance LLC, expert consultants don’t just evaluate your current compliance strategy and develop new procedures, they will work hand in hand with your employees to ensure they have the training and knowledge they require in order to understand and implement your corporate trade compliance policy. Their specialists are skilled at managing the project so you don’t have to, and as an added bonus, they will educate your employees on identifying regulatory compliance issues, implementing solutions, and working out strategies to avoid or deal with future compliance issues. Effective, experienced compliance assistance will help your company maintain safe and legal trade practices, and stay competitive in today’s ever-hardening market.

The Importance of Export Compliance Training

The United States government has some of the world’s strictest export regulations. Failure to comply with those regulations can result in fines, restrictions in your ability to export your products and even prison sentences for your company’s officers and parties responsible for ITAR compliance. To make things even worse, the ITAR regulations are subject to frequent updates and changes, making it difficult for employees to keep up with the intricacies of export compliance and export compliance documentation. Comprehensive export compliance training is your best defense against being hit with stiff fines and penalties for unwittingly falling afoul of the many regulations that U.S. exporters must follow.

Sources of Export Compliance Training

While the U.S. government regularly offers seminars on the intricacies of export regulations, developing in-house export compliance training and programs can be tricky without expert advice. Engaging an export compliance consultant can help you create the framework for a comprehensive ITAR compliance program, starting with an export compliance audit to determine where your business stands on compliance and an export compliance checklist to help your company create a plan for following compliance regulations and the documentation trail you need to maintain to prove that you’re following all the rules.

The Basics of an Export Compliance Program

There are many companies that provide compliance training of various sorts. When
choosing among them, look for a consultant that will help your company develop its own internal expertise on compliance. The best compliance consultants understand that a good export compliance program starts with the senior management and is disseminated downward until it becomes part of the base of company procedure and culture.

The first steps in compliance training include reinforcing the importance of compliance, explaining the necessity for a compliance manager and soliciting support for the in-house compliance manager.

Degrees of Training for Middle Management and Support Staff

Every employee who is part of the export supply chain should be trained in not only the techniques and procedures required to remain in compliance, but the reasoning behind the regulations. New employees should be required to take the training early in their orientation and undergo export compliance evaluation within 30 days of their hire. A competent export compliance consultant will work with your company to develop the appropriate levels of training for each level of your staff.

Don’t take chances with export compliance training. Be certain that the consultant you hire understands both the regulations to which your company must adhere and the best ways to train your employees about the importance of following the rules to the letter.

Ros-Lehtinen throws cold water on export control reform - The Hill's On The Money

Ros-Lehtinen throws cold water on export control reform - The Hill's On The Money

Why You Need a Corporate Trade Compliance Specialist

Whether your business is involved in export or import trade, there are specific regulations with which you must comply. Once upon a time, it may have been enough for your office admin assistant to track your corporation’s compliance with international regulations, but that’s no longer true. Many larger corporations have their own corporate trade compliance departments, but that’s not always a cost effective means for smaller companies. Hiring a corporate trade compliance specialist as a consultant can ensure that your export and import practices comply with all regulations without you devoting a full-time position to the task.

Advantages of Hiring a Corporate Trade Compliance Specialist

A corporate trade compliance specialist can perform an audit of your current corporate compliance policy – or help you develop one if you haven’t already. Without a corporate compliance policy, it’s far too easy for your company to slip up on obscure or newly interpreted regulations. Failure to comply with certain regulations can result in significant financial penalties, high interest fees and penalties that cost your company a lot of money. Engaging a trade compliance specialist to perform an audit and develop a trade compliance policy will save your company time and money in the long run.

The best trade compliance consultants will work hand in hand with your company to evaluate your current procedures, develop a trade compliance policy and create a training program to educate your employees about the new procedures and the importance of following them. By taking ownership of the entire process, a corporate trade compliance specialist can help your company identify issues with regulatory compliance, implement immediate solutions and develop a process to avoid any issues in the future.

Compliance with international customs and trade regulations seems to grow more complex with each day. If you’re doing business on a global scale, it’s vital that your company develop and implement an import and export trade compliance policy in order to remain competitive on the international marketplace. The first step in ensuring that your company stays on the right side of all regulatory agencies is hiring an effective, experienced corporate trade compliance specialist and following his recommendations.

Join Me at Tampa Bay Export Controls Seminar May 22, 2011

Join me at the Tampa Bay area Export Controls Seminar May 22, 2011. I will be presenting the fundamentals of the Export Administration Regulations (EAR) and Foreign Trade Regulations (FTR) along with Department of Commerce / BIS representatives, trade compliance attorneys, consultants and other industry experts in a information-packed full-day seminar.

The event will take place on Tuesday March 22, 2011 at the EpiCenter in Clearwater, FL. Registration will begin at 8:00 am and the program will run until 5:00 pm. Lunch will be provided courtesy of OCR Services, Inc.

Register at https://emenuapps.ita.doc.gov/ePublic/newWebinarRegistration.jsp?SmartCode=1Q5X or by contacting Sandra Campbell at the U.S. Department of Commerce at (727) 893-3738 or via email at Sandra.Campbell@Trade.gov.

America's hottest export: Weapons - Full version

America's hottest export: Weapons - Full version
An interesting Article from CNNMoney.

Plano woman pleads guilty to smuggling night-vision scopes | News for Dallas, Texas | Dallas Morning News | Headline | National News

Plano woman pleads guilty to smuggling night-vision scopes | News for Dallas, Texas | Dallas Morning News | Headline | National News