-The supplier sends the buyer stock lists with Cost, Insurance and Freight (CIF) prices and with details such as model, colour, options, year and month of first registration in Japan, via e-mail or sometimes the importer obtains the list online (through the supplier’s website).
1. When the car importer has a potential buyer for a car listed on the stock list, the importer orders the vehicle. This is usually done via email or fax and sometimes over the phone. 2.The car exporter in Japan then informs the importer in Sri Lanka of the possible date of shipment and sends a Proforma Invoice on which an L/C is opened by the importer. 3.The exporter then prepares the vehicle/s to be exported.
-Terms of trade agreed upon, invoice and purchase order agreed upon
1. Collect the documents required for importing vehicles. The documents that are required for importing a vehicle include the Commercial Invoice, the Original Cancellation of Registration Certificate, English translation of the Cancellation Certificate, Pre-shipment Inspection Certificate given by the Japan Auto Appraisal Institute (JAAI), Bill of Lading and the insurance policy (obtained from the exporter in Japan). 2.The majority of these documents are sent by the exporter via the exporter’s bank to the importer’s bank as a requirement of the L/C. 3.A Declaration of Value Certificate is obtained from the local dealers of that vehicle. This gives the current market value of the vehicle and is used by the Customs Department to calculate the depreciation value and the relevant taxes. 4. The importer also has to collect the Delivery Order (DO) from the local shipping agent.
1. Importers submit the completed CUSDEC form (hardcopy) with following supporting documents: the Commercial Invoice, Original Cancellation of Registration Certificate, English translation of the Cancellation Certificate, Pre-shipment Inspection Certificate (also called the JAAI Certificate since it is issued by the Japan Auto Appraisal Institute), Declaration of Value Certificate, Declaration of valuation of accessories, the Working Sheet, insurance policy and B/L. 2. The Customs Department keys the information into the electronic system and issues a declaration number. 3. The Assessment Note is then issued, after which the Customs Department verifies the documents and checks against the manifest. 4. If the documentation is correct, the importer (or agent) makes the duty payments to the bank in person. 5. The importer returns to the Customs Department with the receipt and gets the accounts updated. 6. Then the channel is selected. Reconditioned vehicles always go through the yellow channel, while new vehicles go through the green channel or the fast track system.
1. The importer or agent goes to the SLPA and makes the SLPA payment. This is, on average, between LKR 2000 and LKR3000, depending on the size of the vehicle 2. To make the payment, one needs to provide the Delivery Order, B/L and the Cancellation of Registration Certificate as supporting documents 3. An SLPA Payment Receipt is provided in acknowledgement of the payment 4. The importer then requests inspection by an appraiser (at the customs office at the port) by providing the Declaration of Value Certificate and the Declaration of Value of Accessories Certificate 5. The importer then presents the Delivery Order and the CUSDEC to the Passing Office, which verifies the documents and, if required, carries out an inspection 6. The SLPA verifies the payments and documents with the manifest and approves it 7. In the meantime, the agent requests a Gate Pass from the store keeper by providing a copy of the CUSDEC, DO and the B/L 8. Once the Gate Pass is issued and the documents are verified, they are taken to the Key Clerk 9. The keys of the vehicle are collected at this point. The Agent then proceeds to the yard security office, signs a tally report and goes to the yard 10. He gives the keys to the SLPA driver to bring the vehicle to the entrance of the SLPA, after which the importer’s driver take the vehicle(s) to the importer’s premises.