x Businesses, private individuals, and shippers new to the field of import and export of goods need to learn about back-to-back CO?
x You don't understand what conditions need to be met to be granted a back-to-back CO? How to prepare documents? What is the process for applying for a back-to-back CO?
x You wonder what is the difference between a back-to-back CO and a three-sided CO?
Back-to-back CO is an important document for goods to be cleared through customs and allowed to circulate on the market... at Proship.vn will help you understand more about what back-to-back CO is and what conditions are needed to be issued a back-to-back CO. back to back, what is the procedure for issuing CO back to back,...right next.
What is a back-to-back C/O? Are there any characteristics?
What is the definition of back-to-back CO?
What is back-to-back CO? Back-to-back C/O, also known as Back-To-Back Preferential Certificate of Origin (Movement Certificate or Back-To-Back C/O), is a type of C/O issued by domestic agencies issuing Free Trade Agreements. mediated by (FTA) to re-export goods. Back-to-back C/Os are issued based on preferential C/Os issued by the first exporting country.
Characteristic of back-to-back CO
Characteristics of back-to-back C/O include:
- Back-to-back C/Os are only issued in cases where goods are not transported directly from the exporting country to the final importing country, but must go through an intermediary country;
- Participating in FTA: Back-to-back C/O only applies to member countries of the FTA Free Trade Agreement;
- Must ensure original C/O information: Back-to-back C/O content is based on the original C/O, in which the information must be as complete as on the original C/O.
What are the conditions for being issued a back-to-back C/O?
What are the conditions for being granted back-to-back CO? According to Circular 22/2016/TT-BCT of the Ministry of Industry and Trade, the C/O issuing organization of the intermediate Member State can issue back-to-back C/O if there is an application for back-to-back C/O from the exporter with condition:
“1. The applicant for a back-to-back C/O must present the original valid copy of the original C/O. In case the original C/O cannot be presented, the applicant for a back-to-back C/O must present a certified copy of that C/O.
2. The issued back-to-back C/O must include some of the same information as on the original C/O. The boxes in the back-to-back C/O must be completely filled in. The FOB price of the intermediate country in box 9 must be recorded in the back-to-back C/O.
3. For partial export shipments, the value of each export portion will be recorded instead of the value of the entire shipment on the original C/O. When issuing back-to-back C/Os to exporters, the intermediate Member State must ensure that the total re-export quantity of partially exported consignments does not exceed the quantity stated on the original C/O imported from that country. first member.
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4. In case of incomplete information and/or suspected violation, the Customs authority of the final importing Member State may request the presentation of the original C/O.”
Distinguish between back-to-back C/O and three-sided C/O
What are the similarities and differences between trilateral CO and back-to-back CO? Back-to-back C/Os and three-sided C/Os easily cause confusion for many people during the process of carrying out import and export procedures. The similarities and differences between these two types of C/O are:
Similarities between back-to-back CO and trilateral CO
The similarities between three-sided CO and back-to-back CO are:
- A company headquartered in a third country will be the issuer of commercial invoices;
- Transactions arising during the import and export process will involve three parties and be headquartered in three different countries;
- Both the exporter and the importer are headquartered in countries participating in the same trade agreement.
The difference between back-to-back CO and three-sided CO
Besides the similarities, there are other differences between three-sided CO and back-to-back CO:
- With back-to-back C/O, goods must be shipped to an intermediate third country;
- With 3-party C/O, goods will be shipped directly from the producing country to the importing country.
What is the process and procedure for issuing back-to-back C/O?
Below is the procedure for applying for a back-to-back CO that Proship has updated:
Application for back-to-back C/O
To make an application for a back-to-back C/O, you need to prepare the following documents:
- Application for issuance of back-to-back C/O (form 04 - Decree 31/2018/ND-CP);
- C/O form has complete information and has the "Back to Back C/O" stamp;
- Original C/O or duly certified copy of the first exporting country;
- Copy of B/L or equivalent documents (stamped as true copy);
- Copy of customs declaration of goods imported and exported from bonded warehouse (certified by customs and stamped as true copy).
Place to issue back-to-back C/O in Vietnam
In Vietnam, the only competent authority to issue C/O (Certificate of Origin for import and export goods) is the Ministry of Industry and Trade. However, in addition to direct issuance, the Ministry can authorize the Vietnam Chamber of Commerce and Industry as well as other organizations with equivalent authority to issue C/O in general and back-to-back C/O in particular. .
Back-to-back C/O application process
Besides understanding what a back-to-back C/O application is and where this document is issued, you need to know the process of applying for a back-to-back C/O to clearly understand the administrative procedures. Accordingly, the process of applying for back-to-back C/O includes 5 basic steps as follows:
- Step 1: Register and declare trader profiles on the online management system of the Ministry of Industry and Trade.
- Step 2: Submit application for back-to-back C/O prepared as instructed above. You can submit your application online at ecosys.gov.vn, send it by post or submit it directly to the competent authority issuing C/O.
- Step 3: The C/O issuing organization checks the dossier, approves it and notifies the applicant of the results.
There are 4 cases where results are reported as follows:
1. In case the application is valid: Notice of approval to issue back-to-back C/O as requested and attach specific issuance time.
2. In case the file lacks documents: Notify that the file is incomplete and request additional documents.
3. In case the dossier is not transparent: Notify that the dossier does not meet the conditions for issuance and request to check related documents. At the same time, request explanations or make additional amendments if necessary.
4. In case the dossier is invalid: Notice of refusal to issue back-to-back C/O.
- Step 4: If the application is approved, officials of the C/O issuing organization will confirm and enter back-to-back C/O data into the management system of the Ministry of Industry and Trade.
- Step 5: The C/O issuing organization signs, stamps and returns the C/O to the applicant.
What is a back-to-back CO , what are the conditions for applying for it, what are the procedures for issuing it,... are the contents that have been shared in full and in detail by Proship Logistics. From here, new businesses and shippers participating in the import-export process without much experience can still complete the back-to-back C/O application process according to regulations.
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