Recently a client needed a single CISCO server delivered to their remote office in Kathmandu. The customs clearance process in Nepal is complex and needs to be carefully managed. There are numerous complexities in the documentation needed as well as the clearance process itself. Navigating their system can be as difficult and daunting as traversing the country’s famous mountain ranges. Standard importer of record (IOR) processes typically involve a local trading company importing the equipment under their tax code and then transferring ownership of the goods to the end user.
In Nepal however, the IOR process is more complicated. In order to successfully execute a clearance, the equipment being shipped must go through a process that simulates a commercial transaction. In this case, the FGX’s IOR team arranged for the purchase of the equipment in Nepal using a Telex Transfer. FGX wired funds equal to the purchase price of the equipment to our local team. FGX then wired the funds from Nepal, back to our client in NYC, closing the loop on the simulated transaction. For shipments with large invoice values, FGX would require the client to make the purchase funds available before shipping. In this case, FGX wired the funds on our client’s behalf to expedite the process. The client then returned these funds to FGX post-delivery.
FGX’s operations team determined a flight routing that minimized transit friction and tendered on a direct flight to Kathmandu via HKG and arrived within 3 days. Equipment datasheets, eletro-mechanical certifications, ECCN numbers and HS codes were all procured by FGX during the pre-shipment clearance simulation. Our diligence in ensuring accurate customs paperwork ahead of time allowed for the shipment to be cleared and delivered within 5 business days of arriving in Nepal.