In Brazil there are several types of importation and one of them is Import to Order. Generally, companies that opt for this type of operation understand the advantages of acquiring products abroad and wish to take advantage of these benefits, but do not want to get involved (or do not have time) in the day-to-day operational of international purchases.
Due to the practicality offered by this type of import, it is one of the most indicated in these cases. How about understanding a little better about it? We put together this article to highlight the most important points on this topic!
How Import to Order Works
Unlike the direct operation, where a single company imports the goods in its own name, the Import to Order is carried out through the link between two different legal entities: one of them will act as IMPORTER and the other will be the ORDERER (buyer), that is, effective buyer of the cargo.
In our case, Target acts as IMPORTER and nationalizes the material previously negotiated with the exporter by the ORDERER (buyer). Subsequently, Target sells imported merchandise to the purchaser.
In this process, both companies need to be registered on the radar and the relationship between them must be agreed through a service provision contract previously signed and registered on the Federal Revenue.
Step by Step of Import to Order
The flow of procedures in this type of operation is easier,as long as, after developing the supplier and effectively closing the commercial negotiation, the IMPORTER is in charge of operationalizing all the other steps until the sale and delivery of the cargo to the ORDERER.
Target finances the operation, in addition to assuming all the procedures inherent to the client's import through its own structure. This means that the entire process step by step, from the payment to the supplier previously established by the ORDERER to the arrival of the cargo at the final destination address is the responsibility of the IMPORTER company.
Upon customs clearance of the goods, that is, their nationalization, there is the issuance of the entry invoice and subsequent issuance of the sales invoice to the ORDERING company (buyer), ending the process.
How Companies are Linked in Imports to Order
To operationalize the Import to Order, it is necessary that the two companies, importer and orderer (buyer), are qualified in the RADAR and specifically linked for this purpose on the Federal Revenue Service.
The link must be made preferably at the beginning of the boarding negotiations, unfailingly before the nationalization. For this, two procedures are necessary:
– Signing of a contract for the provision of Import Services to Order by the two companies; and
– Electronic link through the Siscomex Portal (https://portalunico.siscomex.gov.br/)
The validity of this link is recorded both in the service provision contract and in the Siscomex Portal, and it is necessary to reconcile the dates in both. There is no maximum or minimum validity, and the related companies are responsible for this mutual decision.
Benefits of Import to Order
One of the main advantages of making an Import to Order is not worrying about the day-to-day operational process and, even so, ensuring that the bureaucratic part is fulfilled in accordance with the legislation and other requirements of the Federal Revenue.
The procedures are done following the correct parameters and, thus, speeding up the customs clearance of the process.
It is important to emphasize that in this type of import, the ORDERING company has a specialized consultancy that takes care of all the nationalization procedures until the delivery of the properly nationalized goods in its establishment.
Other highlighted benefits are cost reduction, assistance in carrying out negotiations with exporters, simulation of costs that would be necessary for the process.
After understanding Import to Order better, it becomes clear that it is a very attractive option for companies that want to acquire imported products, but cannot get involved in the day-to-day operational process.
If you are interested in the service and are willing to boost your business by adding international supply options, our team is ready to assist you. Get in touch with us.