WEBVTT 1 00:00:00.760 --> 00:00:04.599 For your seven billion dollars. The tongue of twice that exists. The risk 2 00:00:04.799 --> 00:00:09.759 is ninety percent. They are from SMEs that generate 80 per cent of your 3 00:00:09.759 --> 00:00:12.800 time and I would give you information on the most relevant foreign trade, fiscal 4 00:00:12.919 --> 00:00:20.719 and customs issues with a human touch. And let' s do a Truik, 5 00:00:20.960 --> 00:00:26.960 a podcast of maga TVs and Mexica Hi how are you good afternoon welcome. 6 00:00:27.000 --> 00:00:30.000 Let' s barter as it comes out at a telese magas event in 7 00:00:30.000 --> 00:00:34.799 Mexico. I am very happy to greet you and good to welcome you to 8 00:00:34.840 --> 00:00:39.520 the month of August, the first month, the first day of the month 9 00:00:39.600 --> 00:00:43.000 of August, that we have barter, but well I wanted. I' 10 00:00:43.079 --> 00:00:46.119 m glad to say hello. Doctor Maximo, as you are, Hector, 11 00:00:46.520 --> 00:00:48.880 how you are. I' m so glad you' re joining us today 12 00:00:48.960 --> 00:00:55.399 to barter. And well Dani, today' s topic and barter is the 13 00:00:55.520 --> 00:01:02.039 importance of customs planning in foreign trade operations. So, if you' ll 14 00:01:02.079 --> 00:01:11.359 allow me, I' m going to present your face. Dr Héctor Díaz 15 00:01:11.599 --> 00:01:15.159 is a PhD in Donor Law and Foreign Trade Law at the University Center for 16 00:01:15.200 --> 00:01:19.760 Legal Studies. He holds a degree in International Trade, a graduate of the 17 00:01:19.799 --> 00:01:23.959 Higher School of International Trade, with more than thirty years of experience in logistics 18 00:01:23.959 --> 00:01:26.680 and foreign trade. For nineteen years he worked in the Latin American mater company, 19 00:01:26.840 --> 00:01:30.959 where he developed in different positions. His last position in this company was 20 00:01:30.959 --> 00:01:36.719 as the representative of regulatory matters for Latin America. He is also a professor 21 00:01:36.719 --> 00:01:41.040 at the University Center for Legal Studies, a member of the NIEM Member also 22 00:01:41.120 --> 00:01:44.959 of the National Logistics Committee of the Mexican Foreign Trade Council. CONCE participated in 23 00:01:44.959 --> 00:01:49.159 the National Committee of Technical Barriers to Trade of the Ministry of Economy and also 24 00:01:49.239 --> 00:01:53.840 in the Technical Committee for the elaboration of Mexican official standards. At the Directorate 25 00:01:53.319 --> 00:01:59.120 - General of Standards, he conducts training courses on logistics and customs issues, 26 00:01:59.640 --> 00:02:04.640 as well as being a lecturer on international trade issues at different universities in our 27 00:02:04.680 --> 00:02:08.400 country. Currently he is a partner and commercial director of the firm ah J 28 00:02:08.439 --> 00:02:15.479 H Drivers of Customs and Logistics and Foreign Trade at the firm International Market Access 29 00:02:15.479 --> 00:02:17.879 and Standards. He serves as Director of Operations and Accounts, already with the 30 00:02:17.960 --> 00:02:23.319 publication of the book entitled Functional Logistics in International Trade and is also co- 31 00:02:23.240 --> 00:02:28.680 author of the book called the topic commented. Hector, thank you so much 32 00:02:28.680 --> 00:02:31.039 today for being here, for joining us thanks to everyone who connects both on 33 00:02:31.120 --> 00:02:38.800 YouTube and our social networks. And I' ll tell you again. Today 34 00:02:38.879 --> 00:02:43.960 ' s barter is the importance of customs planning in foreign trade operations. Welcome 35 00:02:43.960 --> 00:02:47.120 to Hector. On the contrary, Danie, thank you very much for the 36 00:02:47.199 --> 00:02:55.159 invitation, thank you very much for your audience, for this opportunity to share 37 00:02:55.199 --> 00:03:00.520 some time and some of the experience lived an honor. He' ll be 38 00:03:00.560 --> 00:03:05.439 here sharing stage with the Doctor maximum and with the other panel representatives. A 39 00:03:05.560 --> 00:03:15.879 big hug for them. Let' s get started. I have a little 40 00:03:15.960 --> 00:03:22.280 presentation itself that we can share later. And, well, you were already 41 00:03:22.319 --> 00:03:28.319 talking about the book. There it is available in the publishing house, which 42 00:03:28.439 --> 00:03:32.680 we have there for the client discussion. And precisely within what is the logistic 43 00:03:32.719 --> 00:03:42.560 process, the different elements that make up the process, we find just the 44 00:03:42.639 --> 00:03:50.439 process of customs clearance as one of the most important elements. I always mention 45 00:03:50.520 --> 00:03:54.520 it like the neck of the bottle. What is the reason if, for 46 00:03:54.680 --> 00:04:03.039 some situation or we omit with s s the implications of this process or this 47 00:04:03.159 --> 00:04:10.759 element of the logistic process, it could have critical consequences to us at the 48 00:04:10.879 --> 00:04:14.120 moment of what is the dispatch, of what is the logistic process. Why? 49 00:04:14.639 --> 00:04:20.040 What is the reason if we do not consider from the beginning that the 50 00:04:21.319 --> 00:04:27.600 product must have or will have some implications in normative or legal matters, or 51 00:04:27.759 --> 00:04:32.720 some Mexican official norm, some permission from any of the secretariats, and we 52 00:04:32.839 --> 00:04:39.000 do not have it at the moment that the goods are already in the port, 53 00:04:39.240 --> 00:04:46.120 What it will bring as a consequence is additional costs, such as expenses 54 00:04:46.240 --> 00:04:53.600 of storage of arrears in the case of maritime traffic, storages in the case 55 00:04:54.399 --> 00:05:00.920 of air traffic And besides, we would also have the problem of delay in 56 00:05:00.920 --> 00:05:04.160 the operation. If it is a commodity that already has a certain urgency to 57 00:05:04.439 --> 00:05:11.560 be delivered, it can be a situation that complicates everything and good we will 58 00:05:11.600 --> 00:05:16.279 enter into context what is customs clearance and we will see how important it has 59 00:05:16.360 --> 00:05:26.879 in everything that has to do with foreign trade. Regularly when we need a 60 00:05:26.959 --> 00:05:30.040 product, if we realize, in most cases, in many situations, many 61 00:05:30.079 --> 00:05:38.759 of these products are of foreign origin. Around us. In products of daily 62 00:05:38.839 --> 00:05:46.000 consumption we are having this type of products and without perhaps on many occasions we 63 00:05:46.120 --> 00:05:49.480 are unaware of all the implications that have the fact that that product can reach 64 00:05:49.519 --> 00:05:57.240 our hands, either for personal consumption, for use in some production process or 65 00:05:57.360 --> 00:06:04.839 to provide some service. In some cases too and this we will find in 66 00:06:04.879 --> 00:06:11.759 the same way at the time of export. We, when we are developing 67 00:06:11.800 --> 00:06:16.439 products now that the theme of the new shopping is very high, because also 68 00:06:16.519 --> 00:06:23.560 Mexican products that travel to other countries or that are destined to other countries have 69 00:06:23.600 --> 00:06:30.680 to comply with the regulations that are required to enter those markets. We think 70 00:06:30.759 --> 00:06:34.480 that the office is the fact of preparing a pediment, validating that expedition, 71 00:06:35.000 --> 00:06:41.600 paying taxes, submitting them to the mechanism, automated selection, it is up 72 00:06:41.600 --> 00:06:44.959 to you to review or not. And already ready the release of the goods 73 00:06:46.279 --> 00:06:55.000 is like regular people or companies. Employers consider that it should be the clearance 74 00:06:55.040 --> 00:07:01.360 of goods. However, entering into this matter, we will realize that there 75 00:07:01.519 --> 00:07:08.399 are a number of legal implications that must be taken into consideration when carrying out 76 00:07:08.920 --> 00:07:14.120 this element of the process, the customs law, the liba law, the 77 00:07:14.199 --> 00:07:16.680 Foreign Trade Act, the Federal Law on Rights, the law on excise duty 78 00:07:16.680 --> 00:07:21.439 on products and services, the different decrees and agreements of the secretariats and the 79 00:07:21.480 --> 00:07:28.800 Federal Tax Code as a supplementary law of the customs law, the general rules 80 00:07:28.839 --> 00:07:31.680 of foreign trade, the income tax law, the anti- laundering law, 81 00:07:32.160 --> 00:07:42.120 the health laws, to mention a few. We could still talk about a 82 00:07:42.439 --> 00:07:46.199 lot more that are going to be involved in this issue. And well, 83 00:07:46.319 --> 00:07:53.399 here we' re going to talk about one of a super important law that 84 00:07:53.519 --> 00:07:56.399 connects with all of this, which is the General Import and Export Tax Act. 85 00:07:57.240 --> 00:08:05.759 On the understanding that the first data to be obtained or identified is the 86 00:08:05.800 --> 00:08:11.160 tariff classification of goods. Why? Why is it so important, because tariff 87 00:08:11.279 --> 00:08:18.040 classification is going to help us connect that thread, which connects all the legal 88 00:08:18.120 --> 00:08:22.199 implications that a product is going to have, from what import tariffs are, 89 00:08:22.800 --> 00:08:26.759 if it is subject to the payment of a VAT, if it is subject 90 00:08:26.800 --> 00:08:33.000 to a permit, if it is committed to a compensatory quota for the origin 91 00:08:33.159 --> 00:08:37.639 it has. All of this we' re going to identify through the tariff 92 00:08:37.639 --> 00:08:41.360 fraction. Tariff classification will help us to cope with this situation or to know 93 00:08:41.480 --> 00:08:50.399 all the implications of importing a commodity and avoid such situations. Today, with 94 00:08:50.399 --> 00:08:56.639 what we know about online shopping, we often click on the comps button not 95 00:08:56.799 --> 00:09:03.799 knowing what the consequences are going to be, and this is reflected in a 96 00:09:03.879 --> 00:09:11.600 series of products abandoned in customs, precisely because they have implications with some health 97 00:09:11.960 --> 00:09:18.039 issue and that we cofeprist We have to process a permit or that we have 98 00:09:18.159 --> 00:09:24.840 to certify under a rule. Just a few days ago, about a month 99 00:09:24.879 --> 00:09:31.320 ago, a customer who bought a watch one of the famous smar Watch on 100 00:09:31.360 --> 00:09:37.399 a digital platform came from Europe. The clock cost him$ 3, 500 101 00:09:37.919 --> 00:09:43.399 and was subject to compliance with an official Mexican norm and there was no way 102 00:09:43.600 --> 00:09:46.960 to look at that compliance. The purchase of this product did not have to 103 00:09:48.039 --> 00:09:54.879 be discontinued because it had no way of covering the cost of compliance with that 104 00:09:54.879 --> 00:09:58.919 standard. Such situations arise at the time of online shopping and we sometimes know 105 00:09:58.960 --> 00:10:07.200 them precisely and put us in a complicated situation. Then the office has three 106 00:10:07.279 --> 00:10:13.360 times previous acts that we mentioned right within what is customs planning is to identify 107 00:10:13.480 --> 00:10:20.360 what are the implications, to know if it is subject to any label or 108 00:10:20.480 --> 00:10:26.159 some permit or some certification, to work from before the goods are even shipped, 109 00:10:26.080 --> 00:10:31.000 so that when they arrive at the port or airport or destination, we 110 00:10:31.120 --> 00:10:39.879 have already covered all those implications and thus avoid any situation that could hold the 111 00:10:39.919 --> 00:10:46.600 goods at customs. Let us not remember that the most expensive hotel in the 112 00:10:46.639 --> 00:10:54.399 world is customs precisely and that is why it is very important that we take 113 00:10:54.919 --> 00:11:00.399 this part into consideration in order to avoid having to be paying costs of soul 114 00:11:00.399 --> 00:11:07.759 - cense delays. There are even times when we do not identify the amount 115 00:11:07.919 --> 00:11:11.919 of taxes that have to be paid or if the goods are subject to payment 116 00:11:11.000 --> 00:11:16.919 of a compensatory fee and suddenly that situation. Lack of financial resources can lead 117 00:11:18.000 --> 00:11:24.480 to delays. No and as we commented not regularly in port customs the terminals 118 00:11:24.559 --> 00:11:31.200 have one by law they grant seven days free of storages from day eight. 119 00:11:31.559 --> 00:11:37.639 You have to pay a storage fee for each day that that product or that 120 00:11:37.720 --> 00:11:48.600 shipment is in the port terminal. Shipping companies also have a deadline for the 121 00:11:48.559 --> 00:11:54.679 importer to have to return that empty and clean container and if he does not 122 00:11:54.759 --> 00:12:01.600 return it, then he will have to pay a fee of delays that can 123 00:12:01.639 --> 00:12:07.039 go from$ 150 to$ 200 per day. So let' s imagine 124 00:12:07.120 --> 00:12:13.320 that we have a standard, that an official Mexican norm that is subject to 125 00:12:13.399 --> 00:12:18.480 that product and that has to carry out testing methods that will take approximately sixty 126 00:12:20.399 --> 00:12:28.320 days. No And then, during those sixty days, discounting the seven days 127 00:12:28.399 --> 00:12:33.240 free of storage, all that you will have to pay for not having the 128 00:12:33.600 --> 00:12:39.000 certification of that product the same at the time of being looking at the issue 129 00:12:39.080 --> 00:12:45.879 of delays. But besides, there is another situation. Article twenty- nine 130 00:12:45.879 --> 00:12:52.519 of the Duanera law tells us that after sixty days in the case of imports, 131 00:12:52.679 --> 00:12:58.519 it will be considered that the goods are already being abandoned tacitly speaking and 132 00:12:58.600 --> 00:13:03.879 this means that if the authority decides, it can dispose of that goods. 133 00:13:05.159 --> 00:13:09.879 If we have not withdrawn it, then those are the issues that arise if 134 00:13:11.320 --> 00:13:16.320 we do not identify all the implications it has for imports into our country or 135 00:13:16.440 --> 00:13:22.159 any other country related to the subject of foreign trade. That is why planning 136 00:13:22.279 --> 00:13:30.879 is important, from the fact of saving or carrying a financial reserve to cover 137 00:13:30.960 --> 00:13:37.799 that tax commitment to the fact of complying with all permits authorizations procedures that have 138 00:13:37.840 --> 00:13:45.360 to be carried out to avoid this issue of delays. The next act is 139 00:13:45.399 --> 00:13:50.960 from the office. That we know that the customs authorities have the power to 140 00:13:52.080 --> 00:13:54.759 ensure that all these requirements are being met and, if it is identified that 141 00:13:54.799 --> 00:14:00.960 any of them are not met, there may be an economic consequence or even 142 00:14:01.879 --> 00:14:09.639 confiscation of the goods when it comes to safety regulations or security regulations. And 143 00:14:09.720 --> 00:14:18.320 this obviously directly affects the assets of companies or importers. That is why it 144 00:14:18.399 --> 00:14:22.720 is very important to take that planning into account, precisely in order to avoid 145 00:14:22.720 --> 00:14:30.000 any situation. And then, if we get rid of the subject of the 146 00:14:30.000 --> 00:14:35.000 review in the office, there are subsequent activities, which are the famous audits 147 00:14:35.120 --> 00:14:43.559 that the authorities can still do to claim any situation that arise up to here 148 00:14:43.559 --> 00:14:52.320 have some momentary doubts. Hector wasn' t born, so in the end 149 00:14:52.360 --> 00:14:58.000 we can ask a question session, certain places perfect maybe. I' m 150 00:14:58.000 --> 00:15:01.240 going too fast, you' re not going, all right, all right. 151 00:15:03.399 --> 00:15:07.919 Within the previous acts, I told them it is important to plan, 152 00:15:07.559 --> 00:15:13.559 to take into consideration all these elements. And in order to carry out this 153 00:15:13.639 --> 00:15:16.480 planning, as I told you a moment ago, the first thing we have 154 00:15:16.960 --> 00:15:26.679 to do is identify an engineering enriching greeting, identify the tariff classification of the 155 00:15:26.679 --> 00:15:31.360 goods. Well, the tariff classification that is the base or, as I 156 00:15:31.360 --> 00:15:39.159 told you earlier, the thread that connects all the legal implications that must be 157 00:15:39.240 --> 00:15:46.000 fulfilled at the time that the merchandise is going to enter or even leave our 158 00:15:46.120 --> 00:15:52.159 country, which is the tariff classification. Well, it' s this code 159 00:15:52.200 --> 00:15:58.480 that helps us identify and that' s based on the harmonized commodity coding system 160 00:15:58.519 --> 00:16:07.639 administered by the World Customs Organization. We find that it helps us to identify 161 00:16:07.759 --> 00:16:15.879 in an orderly manner and classify the goods, not as their name says, 162 00:16:15.960 --> 00:16:21.879 codify them. This system applies to everyone and we could say that all countries 163 00:16:21.960 --> 00:16:29.360 that adhere to this harmonised system have this standardization or approval. As for the 164 00:16:29.399 --> 00:16:33.320 six- digit code at subheading level, all countries that are part of the 165 00:16:33.360 --> 00:16:38.360 World Customs Organization are going to have the same classification and, to say the 166 00:16:38.399 --> 00:16:41.679 least, if chapter ninety- five or heading ninety- five three tells us 167 00:16:42.080 --> 00:16:49.159 that there we are going to find all the toys in Mexico, in China, 168 00:16:49.519 --> 00:16:53.320 in Argentina, in the United States. It' s going to be 169 00:16:53.320 --> 00:16:57.720 exactly that ninety- five three for toys wherever they' re classified or wherever 170 00:16:57.799 --> 00:17:02.919 they' re going to be imported. In this way it is also possible 171 00:17:03.080 --> 00:17:07.960 to approve the identification of which type of regulations and restrictions will be required already 172 00:17:08.039 --> 00:17:15.200 each country establishes it in a timely manner, naming them accordingly. In order 173 00:17:15.279 --> 00:17:18.240 to carry out the tariff classification, well, some technical information is required, 174 00:17:19.880 --> 00:17:27.359 mainly of the goods, and to answer some questions such as what it is, 175 00:17:27.720 --> 00:17:32.759 what it is for, what it is made of. These questions will 176 00:17:32.839 --> 00:17:37.880 help us to codify or identify in terms of the tariff fraction the goods and 177 00:17:37.920 --> 00:17:44.920 thus be able to associate them or link them to all the regulations and restrictions 178 00:17:45.319 --> 00:17:51.640 to which they will be subject. As I mentioned, the World Customs Organization 179 00:17:52.039 --> 00:17:56.640 administers this harmonized system, which is the basis of the general import and export 180 00:17:56.680 --> 00:18:02.680 tax law. In six days, here we see the first two digits speak 181 00:18:02.799 --> 00:18:07.599 of the chapter, the three and four give us the game, the five 182 00:18:07.640 --> 00:18:11.400 and the six give us the sub game and then we would have eight digits 183 00:18:11.480 --> 00:18:18.039 the tariff fraction and from two thousand twenty. In the sixth amendment, we 184 00:18:18.039 --> 00:18:23.839 find in the sixth amendment the niches, the commercial identification number that helps us 185 00:18:23.880 --> 00:18:30.640 with the statistical question mainly, although in some cases they also touch on the 186 00:18:30.680 --> 00:18:37.799 regulatory issue. But in general terms, this data will help us identify everything 187 00:18:37.920 --> 00:18:45.079 that has to do with tariff fractions. But first, before the topic, 188 00:18:45.119 --> 00:18:49.799 and the classification, it is also important to know the business model of the 189 00:18:49.799 --> 00:18:56.480 company. Why. Because any company that intends to import a commodity must have 190 00:18:56.519 --> 00:19:02.039 a register on the importer' s register. In the first instance for goods 191 00:19:02.160 --> 00:19:07.880 in general. In order to be able to obtain this registration in the importer 192 00:19:07.960 --> 00:19:12.559 ' s register, it is obviously required that it be a company fulfilled in 193 00:19:12.799 --> 00:19:18.200 its tax obligations, that has these. This favourable opinion of compliance with the 194 00:19:18.200 --> 00:19:26.039 declarations and good if it were to be so- called sensitive goods such as 195 00:19:26.039 --> 00:19:32.480 explosives, medicines, the textile industry, among others, would have to have 196 00:19:32.720 --> 00:19:37.960 a sectoral register or a register on a sectoral register, which is still a 197 00:19:38.079 --> 00:19:44.720 little more demanding as to the information to be obtained. Similarly, if it 198 00:19:45.000 --> 00:19:49.200 is a company that has a promotion program such as the famous PROCEC or an 199 00:19:52.480 --> 00:20:00.720 Inmex program, it will have a special treatment, but that finally that also 200 00:20:00.839 --> 00:20:04.799 requires certain obligations on the part of that company and in the same way it 201 00:20:04.839 --> 00:20:11.400 has an OA BAJEPS certification and depending on the regime to which the goods are 202 00:20:11.480 --> 00:20:15.000 to be subjected, it will be the level of requirement regarding issues of regulations 203 00:20:15.039 --> 00:20:22.839 and restrictions, it must comply. As we were saying, the tariff fraction 204 00:20:22.839 --> 00:20:27.680 is going to help us identify from the tariff that has to be paid if 205 00:20:27.680 --> 00:20:32.000 it is. If it is a commodity that comes from a country with which 206 00:20:32.119 --> 00:20:36.480 Mexico has a free trade agreement, it will surely have a preferential rate in 207 00:20:36.599 --> 00:20:41.279 the same way if it has a sectoral promotion program, or if it is 208 00:20:42.119 --> 00:20:47.200 a commodity that is subject to payment of a compensatory fee, non- tariff 209 00:20:47.240 --> 00:20:52.400 regulations and restrictions, estimated prices, as with textiles or sensitive goods more commercial, 210 00:20:52.599 --> 00:21:06.880 official Mexican hydrocarbon rules. If it is a commodity that can be used 211 00:21:06.880 --> 00:21:11.960 or handled under the transit or tax- deposit regime, there are also certain 212 00:21:12.000 --> 00:21:18.079 conditions for these. Or if they are goods that would have to be entered 213 00:21:18.200 --> 00:21:22.200 by an authorized customs office. All this we will find through the tariff fraction. 214 00:21:25.119 --> 00:21:27.839 How important it is that, in conclusion, this tariff fraction, good 215 00:21:27.880 --> 00:21:36.880 is the start of import and export processes show or reflect in the trade policy 216 00:21:36.920 --> 00:21:45.920 of countries. He said that in the case of toys we have that the 217 00:21:45.920 --> 00:21:52.160 United States handles only three tariff fractions. They only worry if it is a 218 00:21:52.240 --> 00:21:56.000 toy that is aimed at children under three years of age or older and electrical 219 00:21:56.079 --> 00:22:00.640 toys. In the case of Mexico we have 36 tariff fractions for toys. 220 00:22:02.799 --> 00:22:07.599 In the case of Argentina there are about three hundred and fifty tariff fractions for 221 00:22:08.079 --> 00:22:14.720 toys depending on the trade policy that a country has, it is how one 222 00:22:14.519 --> 00:22:18.680 sector is going to open up more. We could not see the example of 223 00:22:18.799 --> 00:22:23.480 textiles in the case of Mexico, which is even more complex in that sense. 224 00:22:25.279 --> 00:22:29.440 It will also help us identify non- tariff regulations and destructions. Taxes. 225 00:22:30.440 --> 00:22:36.079 Formalities of clearance, as we said authorized customs are the basis for the 226 00:22:36.119 --> 00:22:42.799 rules of origin. Free trade agreements also have a special chapter for current programmes, 227 00:22:44.559 --> 00:22:48.839 such as the LIMEX process. We have chapter ninety- eight. They 228 00:22:48.880 --> 00:22:53.200 will also help us to do a skill analysis for importing and marketing a product. 229 00:22:55.559 --> 00:22:59.119 Later on, let' s look at that issue of feasibility, which 230 00:22:59.200 --> 00:23:07.240 we could say is super important for companies to identify that feasibility. It also 231 00:23:07.319 --> 00:23:14.559 serves to enable authorities to identify statistical information and determine how their trade balance is 232 00:23:14.599 --> 00:23:21.039 moving and helps us to have traceability to identify unfair practices or improper activities in 233 00:23:21.079 --> 00:23:30.079 foreign trade. In the case of regulations, we will see how a large 234 00:23:30.160 --> 00:23:37.839 number of trarancelaria fractions are subject to some regulation or restriction by the Mexican National 235 00:23:37.920 --> 00:23:47.519 Customs Agency. In the case of the estimated prices, the sensitive goods sectoral 236 00:23:47.519 --> 00:23:53.640 patterns, all these goods will be subject to some regulation by the National Customs 237 00:23:52.960 --> 00:23:59.599 Agency in the case of the Ministry of Economy. It' s still a 238 00:23:59.640 --> 00:24:03.720 little bit more complete on the subject, because we' re talking about over 239 00:24:03.880 --> 00:24:10.759 one hundred and seventy- seven percent of the seven thousand eight hundred fractions that 240 00:24:10.839 --> 00:24:14.440 our rate has are subject to some regulation by the Secretariat of Economy. And 241 00:24:14.519 --> 00:24:19.160 here we could be talking about one about regulation. And I' m going 242 00:24:19.200 --> 00:24:25.079 to give you an example of what happens to the NOMS in the case of 243 00:24:25.160 --> 00:24:30.359 official Mexican standards. In Mexico we have a structure regarding the implementation of NOMS 244 00:24:30.440 --> 00:24:37.640 that goes by function, that is, vertically and not horizontally, and that 245 00:24:37.720 --> 00:24:47.119 makes a product subject to more than one or two official Mexican norms. What 246 00:24:47.160 --> 00:24:51.519 happens, for example, to toys? In the case of toys. We 247 00:24:51.559 --> 00:24:56.880 have to first the toy is subject to the norm zero fifteen, which is 248 00:24:56.960 --> 00:25:02.200 commercial information for toys. And if on that label tells us that the label 249 00:25:02.200 --> 00:25:06.279 should bring the data from the given range to which the toy is directed, 250 00:25:06.400 --> 00:25:11.279 if it has small parts, warn the parents that there is a risk that 251 00:25:11.400 --> 00:25:15.279 the child can suffocate with those small parts if it is a functional toy, 252 00:25:15.599 --> 00:25:19.400 that that toy, when it is using it, the child has to be 253 00:25:19.480 --> 00:25:26.000 under the surveillance of an adult and details of that type. No. But 254 00:25:26.079 --> 00:25:29.480 it is also subject to the nom two fifty- two which speaks of the 255 00:25:29.559 --> 00:25:37.559 limits of bioavailability in coating metals that paints are used to paint toys. No. 256 00:25:37.640 --> 00:25:44.480 Why, Because regularly these paints have some heavy metals like lead, barium, 257 00:25:44.920 --> 00:25:48.599 cadmium, selenium, arsenic, which must be monitored and controlled for this 258 00:25:49.039 --> 00:25:57.200 type of products. Why, Because the toy is considered as if it were 259 00:25:57.240 --> 00:26:03.319 a food and is even regulated by the Health Secretariat by the limits of bioavailability 260 00:26:03.400 --> 00:26:07.839 of these heavy metals, then this norm two, two, fifty and two 261 00:26:07.920 --> 00:26:12.000 sets out what are those limits that can be used in the paints that bring 262 00:26:12.000 --> 00:26:17.640 the toys. We already have two rules, but if it is an electric 263 00:26:17.720 --> 00:26:22.160 or electronic toy, we are talking about going to the one that talks about 264 00:26:22.359 --> 00:26:27.519 electronic products in general, or not to the three in the case of electrical 265 00:26:27.640 --> 00:26:33.440 products in general. And this brings with it that it is also subject to 266 00:26:33.480 --> 00:26:41.680 the nom zero twenty- four that speaks of commercial information for electrical and electronic 267 00:26:41.799 --> 00:26:48.079 products, a manual for use when bringing batteries and all indications and recommendations for 268 00:26:48.200 --> 00:26:55.920 those products, must also be complied with. We already have five official Mexican 269 00:26:55.920 --> 00:27:00.480 regulations. But if it were also a radio cons toy that is handled through, 270 00:27:00.880 --> 00:27:03.720 for example, a drone or a remote control cart, we are talking 271 00:27:03.759 --> 00:27:11.400 that it has a radio communication system that will force compliance with the number two 272 00:27:11.440 --> 00:27:18.119 hundred and eight of radio communication equipment. We are already talking about six official 273 00:27:18.160 --> 00:27:26.039 Mexican rules for a toy and so we could talk about computers and other types 274 00:27:26.079 --> 00:27:30.000 of products that are also subject to more than one official Mexican norm, unlike 275 00:27:30.079 --> 00:27:34.480 what happens, for example, in Europe, which is only norm n seventy 276 00:27:34.720 --> 00:27:40.160 - one, with its four sections, which must be complied with for all 277 00:27:40.200 --> 00:27:44.000 toys in general, or in the case of the United States, the STM 278 00:27:44.039 --> 00:27:49.279 nine six three is the only standard for toys and that makes it first much 279 00:27:49.319 --> 00:27:59.680 longer, complex and also costly to comply with these kinds of regulations. This 280 00:28:00.000 --> 00:28:06.240 is no reason why the new Law on Quality Infrastructure aims to change this regulatory 281 00:28:06.319 --> 00:28:11.319 structure in our country, precisely in order to reduce this over regulation that is 282 00:28:11.319 --> 00:28:18.960 taking place and that makes products more expensive to import into our country. Well, 283 00:28:19.000 --> 00:28:23.440 compliance with all these regulations. There are fifty customs that we have in 284 00:28:23.559 --> 00:28:27.640 our country where the goods are going to enter and that, well, there 285 00:28:27.680 --> 00:28:36.000 we have them mainly in the north, precisely because of the intensity with which 286 00:28:36.039 --> 00:28:41.680 we have the trade with our neighbour on that side, because obviously more customs 287 00:28:41.680 --> 00:28:45.039 are. Nineteen customs on the northern border, two on the southern border, 288 00:28:47.920 --> 00:28:53.039 seventeen maritime. Also important are the most important customs. Here we come again 289 00:28:53.119 --> 00:28:57.640 Laredo, Ciudad, Juárez, Tijuana. The first three are from the north 290 00:29:00.680 --> 00:29:06.359 too and, well, as I was saying, the importance of having this 291 00:29:06.440 --> 00:29:11.240 identification from the beginning from the tariff fraction so that I can really know how 292 00:29:11.319 --> 00:29:18.000 much it will cost me to import that product. I always worry a little 293 00:29:18.079 --> 00:29:26.599 how it is that merchants manage to configure the price of the product and determine 294 00:29:26.680 --> 00:29:30.599 even the cost to which they are going to give it the sale price, 295 00:29:30.759 --> 00:29:37.799 considering an important margin of profitability, knowing by identifying all these implications that have 296 00:29:37.839 --> 00:29:44.400 the import of a product, because it would be important to identify this part 297 00:29:44.440 --> 00:29:49.079 and to have a clarity in the communication regarding the arrival of these goods and, 298 00:29:49.359 --> 00:29:56.160 therefore, to flow this information and manage more effectively all the permits or 299 00:29:56.240 --> 00:30:02.799 authorizations that are required for the fulfillment for the waste. What points should we 300 00:30:02.839 --> 00:30:08.200 consider here? I put in a short list. We will see it have 301 00:30:08.240 --> 00:30:14.599 the register of importers or sectoral registry, identify the customs procedure to which these 302 00:30:14.640 --> 00:30:21.559 goods are to be imported, the tariff classification, comply with customs formalities and 303 00:30:21.559 --> 00:30:26.960 apply trade facilitation measures, know the origin of the goods, identify the customs 304 00:30:26.960 --> 00:30:32.119 value, which is the basis for the calculation of taxes, comply with all 305 00:30:32.319 --> 00:30:38.839 tariff obligations and other contributions, comply with non- tariff measures and know which 306 00:30:38.880 --> 00:30:51.079 obligations are imposed. As far as the means of transport and linking that part 307 00:30:51.160 --> 00:30:59.960 of the linconterm is also very important and here I told you that it is 308 00:31:00.279 --> 00:31:07.359 important to know this feasibility or to identify this feasibility or feasibility in every way 309 00:31:07.440 --> 00:31:11.480 in the operational question. If we have enough resources, human resources to be 310 00:31:11.599 --> 00:31:17.359 able to carry out the operation, the full technical knowledge of the goods that 311 00:31:17.519 --> 00:31:26.119 we are going to import, the financial determination, what is super important, 312 00:31:26.200 --> 00:31:32.240 what profitability will actually generate me and the times that I have to be able 313 00:31:32.240 --> 00:31:36.680 to reach these goods. This will depend heavily on the type of transport that 314 00:31:36.759 --> 00:31:41.519 I am going to handle, the legal policy, I told you the legal 315 00:31:41.559 --> 00:31:47.799 implications that it has and the commercial aspect, to know what is the price 316 00:31:47.920 --> 00:31:53.519 that the competition gives, to know if I am within the margins, to 317 00:31:55.039 --> 00:32:00.400 know if my product is going to be competitive, how I can determine the 318 00:32:00.440 --> 00:32:08.039 issue of costs. It is also important to know that the volume of the 319 00:32:08.079 --> 00:32:13.160 packing for the cost of the freights we have to distribute it in the quantity 320 00:32:13.240 --> 00:32:19.880 of parts that we can bring into it within a container, within the shipment 321 00:32:19.960 --> 00:32:22.119 the cost of the goods. All these elements will help us to know the 322 00:32:22.640 --> 00:32:29.200 real cost of import, international transport, insurance and, in this way, 323 00:32:29.279 --> 00:32:38.480 be able to identify whether the import cost in all directions. No. That 324 00:32:38.599 --> 00:32:45.960 is why it is important to carry out this planning precisely in order to have 325 00:32:45.960 --> 00:32:52.440 all the elements, avoid delays and know fully what the real cost of the 326 00:32:52.440 --> 00:33:01.519 operation is. One of the topics that I have been identifying in recent years 327 00:33:01.599 --> 00:33:09.519 and that it is very important to recommend is that, many times, in 328 00:33:09.599 --> 00:33:15.079 the logistics chain, that is, in the interaction between the adbanal agent and 329 00:33:15.200 --> 00:33:21.119 the importing company, on many occasions it is not possible to connect that communication. 330 00:33:21.680 --> 00:33:24.799 And this brings a consequence because we remember that we, because we have 331 00:33:24.880 --> 00:33:28.240 to make use of the annual people, that is the expert everything that has 332 00:33:28.279 --> 00:33:32.039 to do with the office and this, obviously, has to tell us to 333 00:33:32.119 --> 00:33:37.000 listen you are your merchandise, according to the classification, is subject to this 334 00:33:37.440 --> 00:33:40.559 permission, to this authorization. You have to pay this tax. In other 335 00:33:40.559 --> 00:33:45.160 words, this is a joint work that requires a very timely communication in all 336 00:33:45.200 --> 00:33:51.680 the elements of the logistic chain, from the supplier, the buyer and the 337 00:33:52.000 --> 00:33:55.599 logistic actors, within them, in the adbanal people, so that good planning 338 00:33:55.680 --> 00:34:01.440 and an orchard execution can be achieved in the dispatch of the goods, identify 339 00:34:01.440 --> 00:34:08.199 all the implications and manage in time and form the permits is super important. 340 00:34:09.639 --> 00:34:15.320 Unfortunately, companies, people working in agencies often have a significant workload and suddenly 341 00:34:15.519 --> 00:34:24.400 fail to assertively communicate these kinds of situations. And this brings a consequence because 342 00:34:24.480 --> 00:34:30.280 many times the importer is more focused on the marketing of their products and does 343 00:34:30.360 --> 00:34:35.320 not care about these situations. Turns out nobody cares. And until the shipments 344 00:34:35.360 --> 00:34:39.199 to customs arrive, then we' re already running around with you urging this 345 00:34:39.280 --> 00:34:44.400 permission and it' s already costing me this. And this is how unfortunately 346 00:34:44.519 --> 00:34:52.079 happens, because of this lack of communication between the different elements of the process 347 00:34:52.119 --> 00:34:59.519 and that it is suddenly necessary to align this communication well, precisely to avoid 348 00:34:59.559 --> 00:35:04.840 these losses that it has mine to affect the entire logistic chain, because if 349 00:35:05.800 --> 00:35:09.519 a company that is constantly carrying out imports suddenly has this situation of cost delays, 350 00:35:09.880 --> 00:35:15.079 because obviously it ceases to have that competitiveness and runs the risk of even 351 00:35:15.199 --> 00:35:23.280 decreasing its imports or even disappearing. This is why communication and teamwork between all 352 00:35:23.320 --> 00:35:29.039 the elements that make up the process, whether internally or externally, is very 353 00:35:29.119 --> 00:35:37.559 important. Many times internally the policies that each department carries. For example, 354 00:35:37.599 --> 00:35:42.320 the finance area says no. I have a policy to schedule payments 30 days 355 00:35:42.519 --> 00:35:45.559 in advance and if you don' t file the application, I can' 356 00:35:46.039 --> 00:35:51.000 t do it by tomorrow. And well, we know that customs doesn' 357 00:35:51.199 --> 00:35:54.719 t fund taxes and if we don' t have that quick reaction time, 358 00:35:54.800 --> 00:36:00.119 because we' re going to be starting to run the risk of generating additional 359 00:36:00.159 --> 00:36:05.960 costs that weren' t contemplated and that little by little they' re going 360 00:36:05.960 --> 00:36:10.159 to reduce the profitability of the business to a point where we' re already 361 00:36:10.239 --> 00:36:12.320 talking about a loss rather than a utility in that project. No, and 362 00:36:12.400 --> 00:36:16.639 that, therefore, without taking into account the issue of the delivery of the 363 00:36:16.760 --> 00:36:21.599 product in time, which is also super important, because if it were a 364 00:36:22.239 --> 00:36:28.800 product of temporality, suddenly arriving already with fifteen days of delay, because it 365 00:36:28.840 --> 00:36:32.440 no longer serves much, already it is left that merchandise lags behind and becomes 366 00:36:32.519 --> 00:36:37.239 a loss. We said, in the case of the toy industry, that 367 00:36:37.719 --> 00:36:42.119 the toy, without being a food, is also a perishable, because after 368 00:36:42.159 --> 00:36:45.239 January 6, in the case of Mexico, the toy that continues in the 369 00:36:45.239 --> 00:36:50.480 shelf. That toy is already lost and will no longer be sold at the 370 00:36:50.519 --> 00:36:55.159 price intended, because people are no longer looking for toys. It' s 371 00:36:55.199 --> 00:37:00.280 not like the product you' re looking for after January 6. So, 372 00:37:00.360 --> 00:37:04.760 that' s why it' s important to have him on the shelf early, 373 00:37:05.840 --> 00:37:09.039 meeting all the requirements that have to be met in order to be there 374 00:37:09.079 --> 00:37:23.760 at that point of sale. All right. I think we' re already 375 00:37:23.800 --> 00:37:34.400 at the end. Excellent way you' re missing plates. No, no, 376 00:37:34.440 --> 00:37:39.320 okay, okay. I want it, or you' re saying it 377 00:37:39.320 --> 00:37:43.840 right now. If they' re reporting inconsistency on the Internet. We take 378 00:37:43.840 --> 00:37:47.119 no inconsistencies. I' d like to know here I see an assistant who 379 00:37:47.159 --> 00:37:51.559 ' s raising his hand. I don' t know if you can put 380 00:37:51.599 --> 00:37:55.800 your questions and answers to us they' re also telling us here and sending 381 00:37:55.800 --> 00:38:00.360 me the question via Facebook. It is also part of the planning is to 382 00:38:00.360 --> 00:38:05.199 know the products and statistics that are handled where they can find information about the 383 00:38:05.280 --> 00:38:15.119 products that are mainly imported. In Mexico there is a system XABI, it 384 00:38:15.159 --> 00:38:22.159 is called that helps us to identify that. If there is a platform called 385 00:38:22.199 --> 00:38:28.320 trade maps, well, that applies globally, it has the record of all 386 00:38:28.320 --> 00:38:31.599 the operations that countries run. Either of those two, in the case of 387 00:38:31.639 --> 00:38:38.559 Mexico, the ZIAB and for any other country can be the Trade Maps. 388 00:38:40.000 --> 00:38:45.800 Excellent, because I think everything was very clear here. I haven' t 389 00:38:45.360 --> 00:38:52.599 seen any questions around here I don' t know if in this case you 390 00:38:52.639 --> 00:38:54.519 Enrique who is very important to you too. If there' s a question 391 00:38:54.719 --> 00:38:57.760 here, I' m sorry I' m seeing myself. It tells you 392 00:38:57.840 --> 00:39:00.159 there is a table where you can consult the NOMS, yes, it is 393 00:39:00.159 --> 00:39:08.559 dual- use, etcetera, for a faction in specific health mactor health rather 394 00:39:08.559 --> 00:39:13.480 than a table. We have attached point four one of the rules of trade 395 00:39:14.440 --> 00:39:17.559 to the rules of Secretariat of Economics Forgiveness. Attachments four, one, two, 396 00:39:17.800 --> 00:39:22.760 four, one is where we will identify or link the tariff fraction with 397 00:39:22.760 --> 00:39:30.159 the rules to which they are subject. And I don' t know if 398 00:39:30.159 --> 00:39:34.800 you want to make a comment, Enrique. Yeah, listen to my dear 399 00:39:34.800 --> 00:39:37.320 Hector. What a good presentation you gave us that good keys and what good 400 00:39:37.360 --> 00:39:44.639 data you give us, how interesting, how important to see I definitely say 401 00:39:44.719 --> 00:39:46.960 the ones we manage the dinner classification. Many times we focus on knowing the 402 00:39:47.000 --> 00:39:52.639 merchandise and classify it. But what comes next is all this that you just 403 00:39:52.639 --> 00:39:59.000 told us right now how important and how interesting all these things are, which 404 00:39:59.000 --> 00:40:07.559 has since then that you need to be the business sector and you need everything 405 00:40:07.760 --> 00:40:13.039 that comes with all those lines, how interesting to the rules of presentation, 406 00:40:13.920 --> 00:40:17.840 everything, I say and definitely the classification for dinner and is the important point 407 00:40:17.840 --> 00:40:25.039 in any operation. I don' t also say many times I' ve 408 00:40:25.039 --> 00:40:29.079 met people who suddenly talk to me and tell me hey I' ve stuck 409 00:40:29.239 --> 00:40:32.119 in customs, such merchandise. I say what you' re missing, not 410 00:40:32.119 --> 00:40:35.119 because it' s what got me, but it needs a banal agent. 411 00:40:35.280 --> 00:40:37.920 Aren' t you already fried? You' re already fried. And, 412 00:40:37.960 --> 00:40:43.280 like you said, you' re gonna go through like a week can happen, 413 00:40:43.719 --> 00:40:47.679 you can spend three, four months and if you haven' t already 414 00:40:47.760 --> 00:40:51.000 lost the merchandise, then what big problems there are. And people, then, 415 00:40:51.199 --> 00:40:54.760 must have that understanding, this logistics that you or you talked about all 416 00:40:54.880 --> 00:41:00.000 that time, this logistics and all that important. This and all that, 417 00:41:00.039 --> 00:41:02.280 that brings you to the classification in dinner. And now I' ve had 418 00:41:02.400 --> 00:41:08.599 the logistics more than important. Thank you, Hector, and we really liked 419 00:41:08.719 --> 00:41:12.960 your presentation. I really liked this, Dani Te, I' m going 420 00:41:13.679 --> 00:41:17.920 to ask that it' s a copy of this presentation, because I' 421 00:41:19.039 --> 00:41:19.679 d like to see it and study it a little bit more. In the 422 00:41:20.000 --> 00:41:22.800 depths of all this data that Hector gives us, not the CIAVI me, 423 00:41:22.000 --> 00:41:29.840 don' t keep the statistics east. All that I handled when I was 424 00:41:29.880 --> 00:41:34.719 in the economy and we also fought a little bit over the question that tariff 425 00:41:34.800 --> 00:41:40.760 classification and is a little different from statistical classification. But all this takes us 426 00:41:42.239 --> 00:41:46.480 and all this gives us important information. Thank you, Hector, happiness. 427 00:41:46.599 --> 00:41:52.800 It' s a hug and I was very happy to see you, no, 428 00:41:52.119 --> 00:41:57.719 thank you very much to you engineer, because thank you always, because 429 00:41:57.760 --> 00:42:01.000 you are part of the inspiration of being here sharing. Thank you, and 430 00:42:01.039 --> 00:42:07.760 now if you were a student, you got over it. Master. Thank 431 00:42:07.760 --> 00:42:15.480 you, a hug, a good hug. In this case. I don 432 00:42:15.519 --> 00:42:23.639 ' t know if anyone else wants to make any other comments and obviously, 433 00:42:25.119 --> 00:42:30.360 doctor you want some comments ahead. Thank you, Daniela, Dr Diaz, 434 00:42:30.719 --> 00:42:35.760 for many congratulations. Thank you, first of all, for the kind mention 435 00:42:35.840 --> 00:42:40.320 you make to me and I am very fond of Enrique' s congratulations. 436 00:42:42.039 --> 00:42:49.639 It has really been a very instructive talk, It is simple and, for 437 00:42:49.639 --> 00:42:53.679 the same reason, of a great content and a great transmission of knowledge. 438 00:42:54.599 --> 00:43:05.400 With your films, you are shown by the erudition you have in the matter 439 00:43:05.679 --> 00:43:12.800 of foreign trade and the dates, the numbers of the rules, which is 440 00:43:12.880 --> 00:43:17.159 not so easy, for example, the last of the Secretariat of Economy to 441 00:43:17.280 --> 00:43:24.920 see this list, etcetera. I congratulate him very much for this talk, 442 00:43:25.239 --> 00:43:30.760 which leaves us with a magnificent taste of mouth and a good learning. Thank 443 00:43:30.760 --> 00:43:35.760 you, Dr Diaz. Thank you very much, Doctor Maximo. There is 444 00:43:35.840 --> 00:43:40.920 no doubt that it is a challenge for me to be here in front of 445 00:43:42.559 --> 00:43:45.360 great speakers at national level, and it is a pleasure to be able to 446 00:43:45.440 --> 00:43:49.800 share a real honour, to be here. The honor is ours and thank 447 00:43:49.880 --> 00:43:53.280 you so much you really wanted. I would like to ask a question, 448 00:43:53.559 --> 00:43:58.880 Hector, to whom we are being asked who can release a list of the 449 00:43:58.920 --> 00:44:02.519 countries that follow the nomenclature of the on class at the starting chapter level that 450 00:44:06.119 --> 00:44:12.559 we handle in Mexico or what interesting question. Well, I think we should 451 00:44:12.639 --> 00:44:16.039 go to the World Customs Organization page and there we can see all the countries 452 00:44:16.079 --> 00:44:22.480 that belong to that organization and have been subject to the system ahead. Doctor 453 00:44:22.159 --> 00:44:28.159 maximum. There are two hundred and two who carry the harmonized system. Many 454 00:44:29.119 --> 00:44:36.920 are in their capacity as observers, but they have more countries and should be 455 00:44:36.920 --> 00:44:42.719 noted. This is the harmonized system that the UN itself, the United Nations, 456 00:44:44.039 --> 00:44:47.960 has, because of the importance of trade in the world. Thank you, 457 00:44:49.360 --> 00:44:54.719 Hector, for allowing me to buy two hundred and four between countries, 458 00:44:57.639 --> 00:45:01.559 associations and conglomerates like the European Union. And all that, you fool right 459 00:45:01.559 --> 00:45:06.559 now. Practically if it' s marmonized, everybody uses it. There' 460 00:45:06.679 --> 00:45:08.440 s no day today, two of them joined yesterday. That' s why 461 00:45:08.480 --> 00:45:13.599 I had the data of two hundred and two. It' s interesting, 462 00:45:15.880 --> 00:45:20.800 interesting fact. Note and I sometimes processed the certificate to LADI for Brasilia, 463 00:45:22.119 --> 00:45:24.880 Argentina and even though they are also within what is the harmonized system for LADY. 464 00:45:28.199 --> 00:45:31.400 You have to deal with the swimsdiper. It is not interesting that part 465 00:45:31.880 --> 00:45:37.400 that we have to find the link between the smokenized system and the naladiza to 466 00:45:38.159 --> 00:45:45.039 be able to process a certificate of origin of aladi We have reached the end 467 00:45:45.039 --> 00:45:47.159 of today' s trache. Thank you so much for joining us. This 468 00:45:47.199 --> 00:45:52.079 was let' s barter via are an event tes tels magísi Mexico. If 469 00:45:52.159 --> 00:45:57.239 you like this talk, don' t forget to share each event with your 470 00:45:57.280 --> 00:46:01.639 contacts so that we continue to spread knowledge and stay up to date. Find 471 00:46:01.800 --> 00:46:06.960 all our talks through our online education platform, entering www FTAs Mexico com mx 472 00:46:07.119 --> 00:46:15.760 in the course section, where you can see them again without things. If 473 00:46:15.800 --> 00:46:19.599 you are interested in any specific topic. Send us a message through the social 474 00:46:19.599 --> 00:46:22.800 networks of magas hotels in Mexico and we will look for an expert who can 475 00:46:22.840 --> 00:46:24.960 clarify your doubts. This was let' s do a creec.