Exporting entails certain procedures on the sale of goods with Mexico’s act of exportation involving the legally approved procedures of the exporting country and the country for exportation. The following is a detailed guide to assist one in successfully exporting from Mexico.
Key export destinations
Primary markets are the United States, Canada, the European Union, and Asia.
The process involved
It entails:
Conduct your export research and develop your export strategy
A forecast of the demand for food in the destination countries, the competition likely to be faced, and trade barriers.
Introduce tools like Promexico or export resources from Mexico’s Ministry of Economy.
Conduct market research
Conduct market research and analyze price segmentation and regulation, import policies/instructions/standards.
Develop an export plan
Develop a list of goals to achieve, the markets to be served, how products are going to be delivered, and possible revenues and costs.
Ethics, Legal and Regulatory Standards
Register with SAT (Tax Administration Service). Before your business can export legally it needs to have an RFC (Federal Taxpayer Registry) number.
Export registration
Even in cases where you are exporting certain products such as agricultural products, and minerals, you may be required to join one export program or the other through SAT.
Compliance with export controls
Check on the requirements that govern the exportation of goods to Mexico as well as that of the country of destination.
It is essential to make sure certain products cannot be exported.
Classify your products
Harmonized System (HS) Code: Make sure you get the right HS code for your product so that you can classify it correctly. HS code controls the levels of tariff, taxes to be paid and the stipulated measures that your product needs from the country of destination.
If you’re a business exporting from Mexico, you will need the following documentation:
RFC (Registro federal de contribuyentes)
People who have legal situations, who annually prepare statements, who are obliged due to the demand to issue tax receipts for such activities as exports. And many others must be registered in Registro Federal de Contribuyentes (RFC).
Registration before the corresponding chamber
There is no compulsory membership to a chamber or other business cooperation body of any sort, but it is advantageous to be so enlisted if one is an exporter.
Country of origin marking
In Mexico, there are Mexican Standards (Norma Mexicana or NMX) and Mexican Official Standards (Norma Oficial Mexicana NOM) that are obligatory. The country of origin marking may be in the origin country’s language. It must indeed respect the non-tariff regulations laid down by the importing country.
Customs clearance
The exporter has to go to customs through a customs broker to complete the process of the customs export permit and declare and pay export taxes in case. The customs broker gets paid for this service. The amount he gets paid usually is a percentage of the value of the exported goods.
Customs documents
Besides the customs export application, the commercial invoice or any other document used to declare the value of the merchandise shall be submitted. Coupled with the customs declaration and has to meet both the mandatory and the non-mandatory legal provisions. The enclosures of the customs export application and the “entrustment letter,” must contain such data as the exporter’s information and the customs broker, date and place, kind of goods, quantity and value, export special procedure and export customs office.
Packing list
The packing list is a record that shows the description and nature of the box wherever the products are contained. This packing list must bear the invoice number and they must show the actual number of pieces in each box as well as the kind of packaging.
Quality certification and merchandise quantification
There are watchdog companies from across the world which monitor and oversee the loads for conformity to agreed standards. Quality, quantity, and weight control, shipping, temperature control, and fumigation. The volume of the load, pre-inspection for cleanliness, inspection of packaging, and evaluation and inspection of the products as per the international standards are possible.
Transportation document
This means, that the documents which have to be sent to the importer at the destination country in case of transportation by trucks, must contain the invoice, packing list etc. The documents for trilling are the Bill of Lading and Bill of Lading Supplement.
Major exports
Mexico’s major export products include machinery and transport equipment, steel, electrical equipment and accessories, chemicals, food products and beverages, and oil and petroleum products. About eighty percent of Mexico’s petroleum exports are directly shipped to the United States, thus Mexico is one of the key suppliers of oil to this country. Mexico’s main imports are Machinery & transport equipment, Chemicals and trash and miscellaneous goods.
Conclusion
Trading from Mexico is quite fulfilling when it is well facilitated and the resulting exports are in compliance with the laws of the country. It is only when you can take advantage of the international sales presence, comprehend the legalities of the foreign markets, and establish intricate supply chain structures that there is the possibility to succeed in the new markets of Mexico.
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